Customer
Total Türkiye
Partner
Pargesoft
Product and Solutions
Microsoft Dynamics 365
Industry
Oil
Organization Size
Large (1,000 – 9,999 employees)
Country
Türkiye
Creating an Ecosystem with High operational Efficiency with Microsoft Dynamics NAV (Navision), Total is keeping the system updated by developing it every day.
Aiming to organize the structure of its dealers and switching to a common accounting system, Total standardized the work processes between the company and its dealers, increases its operational efficiency and helped creating a strong ecosystem. Introducing requests from distributors and users to the system easily, Total reviewed the system with Microsoft Dynamics business partner Pargesoft in its efforts to update the version. Thanks to the developed system, both dealers and the center have achieved a high level of customer satisfaction.,
Status
Total Oil Türkiye A.Ş, a company founded as part of international energy giant Total Group, with the merger of two companies under the name of Total and Elf in 2002, also acquired Totalgaz, and started to carry out its activities as single fuel oil, mineral oil and LPG company. As an international tech giant, Total is marketing more than 1.170.000 tons of products every year in 140 countries including Turkey.
In addition to its mineral oil factory in Menemen with a production capacity of 30.000 Tons, Total Oil Türkiye A.Ş, also has storage and distribution facilities in İstanbul Haramidere, İzmit Gebze, İzmir Aliağa, Menemen and Samsun. Also, one of the group’s subsidiaries, Totalgaz company carries out activities in LPG sector with almost 350 autogas sales point, more than 1000 main and sub-dealer of tubes and LPG products. Providing service in 20 different locations across Turkey, and switching to distributor structure with 14 exclusive distributors in 2005, Total was aiming to organize the structure of its distributors and achieve an efficient accounting system, and needed an ERP solution that could meet these requirements. Infrastructures of distributors were not sufficient in many areas, especially for working in electronic media. The fact that each had a different accounting infrastructure prevented central data consolidation. The company aimed to control the distribution network and help the network make use of other benefits introduced by the central management.
Solution
Having evaluated the options in the market, Total started to focus on Microsoft Dynamics NAV for the solution it was looking for. The fact that Microsoft Dynamics is compatible with the distributor structure, and its database solution allows functional benefits in the use of certain components were the main reasons why NAV was preferred. It would also be possible for distributors to use specific customer and product segmentations tracked in the existing database more efficiently by means of the additional components in Navison.
Compatibility with portable devices and mobile use was also another factor in this decision. The project started with a pilot distributor, which was analysed for all sales, purchase and accounting work processes. After a model was developed and the structure was clarified, the same model was implemented for the other 13 distributors. Upon the requests of distributors, specific components were excluded. After these special requests were approved by Total, various procedures were conducted for the customization of the application. In this process, a segmentation study was conducted at the distributors to determine which distributor is stronger or weaker in which segment, and the company started to address weaknesses.
Work processes of distributors and their own segmentation studies were reviewed and errors related to segmentation and customer profile were corrected. An analysis environment, which is flexible and accessible in real time, was developed with OLAP cubes. This allowed managers and relevant persons to instantly display on the system which distributor showed what level of performance on which products in specific periods by means of different dimensional analysis. In this way, Microsoft Dynamics NAV was configured as a decision support system for Total’s sales, marketing and distributor relations.
Microsoft Dynamics NAV’s ease of use and its familiar Microsoft screens and menus, helped users at the distributors adopt to the system in a short span of time. Thanks to user’s quick adoption to the stock cards and identifying movements, the data was collected by the centre in an accurate and reliable way starting from the first day.
Benefits / A Clearer Dealer Profile A Single Ecosystem
Operational Efficiency: As in all companies with a distribution structure, Total also goes through serious problems if the parent company, distributors and end customers are not managed in a single ecosystem. With Microsoft Dynamics NAV, all the parties in the distribution network were gathered together in a single ecosystem, which allowed them to develop a much closer relationship. For this reason, Total now can feel the pulse of its end users and distributors much better compared to the past. In this way, it can direct its distributors better and directly contribute to their success. This ecosystem, which is fed with real time data, and where all relations are carried to the electronic environment, is also rendering operations more efficient. Total authorities emphasize that Microsoft Dynamics NAV does not only provide an IT infrastructure, it is also a model that reflects all the perspectives that a commercial organization needs, allowing the tracking of accounting, analysing customers and evaluating customer and profitability factors better.
High Manageability with Common Standards
When Total distributors had different structures of accounting systems and different operational methods in the past, ensuring that distributors speak the same accounting language and consolidating the reports was a big challenge. The ecosystem provided by Microsoft Dynamics NAV allowed 14 distributors to use the same system, and establishing standards for customer and product segmentation, accounting, and sales and financial statements. Since this structure also allows Total to perform accurate analyses, it made the operations of distributors more manageable. Thanks to the reporting, which allows distributors and the centre to speak a common language, now everyone talks about the same segmentation.
Since the customer type and product categories are determined by the centre, both the distributors and the centre infer the same meaning from the sales reports. Confusions in the past are now completely eliminated. Errors of distributors can be detected more easily thanks to the common reporting. When a figure, which deviates from the usual trends for a specific product or product group due to a data input error, is determined, the system allows retrieving the data input procedure and correcting the error immediately
Support to Strategic Decisions
Thanks to Microsoft Dynamics NAV, Total managers can now receive all kinds of analyses and reports from the system in real time. The performance of level of any distributor for any specific product and period can be displayed with different dimensional analyses. For this reason, Microsoft Dynamics NAV has become an important part of decision support system of Total in strategic decision points such as sales, marketing and distributor relations.
Easy Adaptation to Newly Emerging Needs
With Microsoft Dynamics NAV, the needs that emerge over time can be easily met. For example, when the distributorship system emerged in fuel distribution, the system was built on Microsoft Dynamics NAV and fuel distributors were included in the same system. Likewise, some requirements that emerged in different campaigns were easily introduced into the system.
The necessary adaptations for the user to use the system easily and perform the necessary functions quickly and smoothly could be quickly introduced to the system and put into use. In this way, high level of user satisfaction has been achieved. Nur Kulaoğlu emphasizes the importance of the business partner at this point. “As much as the technological infrastructure of Microsoft Dynamics NAV, Pargesoft’s experience has also been very effective in making the system so suitable for us. Pargesoft managers and consultants’ experience, product knowledge, approach, understanding our needs correctly and producing quick solutions were very effective in the success of the version upgrade and review project we carried out. We have achieved high user satisfaction as well as staying within our targets both in terms of budget and time.”
Ease of Use
Microsoft Dynamics NAV has a user friendly structure. It also offers very familiar interfaces to users who are used to other Microsoft products. In this way, even users who do not have very good computer and accounting knowledge in distributors could easily adopt to the system after a short training period.