How can a platform bring millions of economic value to the company?

FineMonkey · Post time 2020-5-11 19:44:52

Company: China Construction West Construction Xinjiang Co., Ltd.
Industry: Construction
Region: Xinjiang
Product: FineReport, Mobile
Scenario: Finance, Production, Equipment, Management Cockpit
Scale: 10 billion
Status: Industry leader
Year: 2019

In the absence of industry information solutions, China Construction West Construction Xinjiang Co., Ltd. embarked on the road of digital transformation. In view of the problems of data islands, inconsistent data calibers, and slow data response, the company used FineReport to build a data decision-making platform. From the aspects of production, equipment, and finance, the company then sorted out the data and built subsystems to form a complete data decision-making system. The data decision-making platform also brought millions of economic value to the company.

12% increase in asset utilization
1.5 million reduction in equipment purchase costs
18 million reduction in bad debt provision

1. Company Profile

China Construction West Construction Xinjiang Co., Ltd. is a wholly-owned subsidiary of China Construction West Construction Co., Ltd. (the stock market referred to as "West Construction", stock code "002302"), a second-level professional company under the central enterprise China Construction (27th in the "World Top 500"). The company has nearly 16 years of history and successful experience in the production of ready-mixed concrete, focusing on the production services of concrete, cement, concrete admixtures, mortar and other related businesses. China Construction West Construction Xinjiang Co., Ltd. has 18 subsidiaries and its main business covers 11 cities and prefectures. It is also committed to the regional layout, and has radiated to five provincial cities of Shandong, Qingdao, Lanzhou, Zhengzhou, and Xining. It has a relatively complete industrial chain from mines, cement, ready-mixed concrete, mortar, and concrete additives to transportation, pumping, and testing.

2. Project Background

China Construction West Construction Xinjiang Co., Ltd. is a commercial concrete company. At present, the information level of the concrete industry is generally low. Many companies have not even used EPR, MES or other systems. Therefore, there are no successful cases in the same industry for reference when implementing data decision-making projects.

Starting in 2016, China Construction West Construction Xinjiang Co., Ltd. began to implement a three-step strategy of building a "digital enterprise" internally and establishing a "digital ecosystem" externally. In 2016 and 2017, the ERP and MES systems were deployed and launched to the affiliated companies to establish basic data sources. Despite having a certain information foundation, the following pain points still existed in the implementation of business:

1) There are many data sources.

At present, there are multiple information systems in the enterprise such as ERP, MES, CRM, HER, etc. When business departments draw a report during business analysis, they often need to export data from different information systems and manually process them.

2) There are many manual data transfers, and the quality of the data is difficult to guarantee.

The company has more than 10 branches, and each branch has several on-site ready-mix plants. The reports that the leaders view need to go through three levels of collection and summary. The error rate is extremely high, and the error rate exceeds 30%.

3) There are large number of reports and heavy workload.

In terms of quantity, according to statistics, 16 branches submit a total of 2,500 reports each month. In terms of manpower, the number of people engaged in the reporting business is more than 350. And in terms of time, the employees spend about 10 days a month doing work related to reports.

4) Data is not intuitive.

At present, the main presentation of the reports that leaders view is dense numbers, which cannot intuitively support their decision-making.

5) There is a slow response to the data.

According to statistics, the company’s monthly report accounts for 97.9%, weekly report accounts for 1.4%, and daily report accounts for 0.7%. Most of the company’s reports supporting leadership decisions are lagging, and real-time data during the operation of the enterprise cannot be seen in time.

6) The data caliber is inconsistent.

Unified data is inconsistent in different business departments due to different data sources, inconsistent data standards, and different statistical methods.

In response to the above pain points, the company urgently needed effective tools to support business implementation and leadership decision-making. After market research and selection comparison, the company finally selected FineReport to start building a new data decision-making platform.

3. Application Scenarios

3.1 Asset management platform

The company has a total of more than 5,000 assets. In the past, if you wanted to know about the company’s overall assets, you needed to summarize the accounts reported by each unit every month.

There was lack of management. The company was in a state of lack of asset management, and could not even accurately know the quantity and status of each type of assets.
The management was lagging. Monthly reports couldn’t track assets in time, and there were often cases where equipment had been damaged, left idle, and scrapped, but the headquarters business department were not aware of it. The management personnel couldn’t timely allocate idle assets to revitalize the company's overall assets.
The machine inventory, transfer, and maintenance were often registered through paper, and were not retained online, so it was difficult to query historical data.

The above problems can’t be solved just by a report or a visual analysis interface. An asset management system is what the company urgently needs. Through investigating the business process of the asset management department, the value of FineReport has been deeply explored, and an asset management system has been developed, including the PC and mobile terminals. The system includes all business links such as asset management dashboard, asset warehousing, asset inventory, asset allocation, asset retirement, asset maintenance, and asset analysis.

Through the on-line asset management system, we track the entire life cycle of the company ’s assets, provide a basis for rational resource allocation, revitalize the company ’s assets, and increase the asset utilization rate by 12%, saving the company about 2.7 million yuan in costs. By monitoring the maintenance situation, the maintenance cycle of the equipment can be analyzed in order to replace the accessories in advance, which greatly improves the asset life and reduces the equipment purchase cost by about 1.5 million yuan.

3.2 Legal debt settlement system

In the past, the legal department had no relevant business system, and all business was stored in EXCEL reports. The analysis was also through observation of data, which had greater risks.

In order to solve the above problems, the company used FineReport to develop a legal debt settlement system that includes the entire business link of debt management, litigation management, and debt analysis, and provides a visual interface to monitor the progress of litigation in real time.

By monitoring the time limit of litigation and correcting the evidence in a timely manner, the company successfully realized more than 2.9 million yuan in the confirmation of debts, reducing the risk of bad debts of the enterprise. By following up on the progress of the lawsuit in real time, the recovery of liquidated damages increased by more than 1.4 million yuan, and the bad debts were reduced by 18.87 million yuan.

3.3 Automatic report generation

Most of the reports in enterprises are in the form of Excel. At present, a large number of people are engaged in the work of collecting such reports with low value.

Through combing the business requirements of 13 business departments, there are more than 200 reports at the headquarters level. After merging, optimizing, and removing redundant reports, there are 120 fixed-format reports in final demand.

By using FineReport to extract and calculate data in different systems, the corresponding reports in a fixed format are automatically generated. At the same time, corresponding authority and multiple retrieval modes are equipped.

Value:

Improve efficiency and reduce workload. The data system is automatically generated, eliminating the need for manual processing and reporting.
Data accuracy is high. The data is taken from the information system to effectively avoid manual sorting errors.
Data timeliness has been greatly improved. In the past, it was necessary to spend several days at the end of the month to summarize data. Now you can view the data in real time and export it with one click.
The basic report processing is done by the machine. There is no longer a need for reporting staff to do basic collection statistics, saving labor costs of 1.7 million yuan.

3.4 Production dashboards

What the leadership is most concerned about every day is the company's output in accordance with the regions, units and ready-mix plants. Previously, the marketing department submitted daily output reports in Excel format. You could only know the output of each unit, there was no comparative analysis, no drill-up or drill-down analysis, and the data was submitted manually, and the error rate was extremely high.

With the help of FineReport, the data of the pre-mixing plants which are the smallest analysis dimension is processed and analyzed.

Maps are used to visually display the output of each area of the company. You can use the map to drill down to the output data of different provinces and cities and finally to a single ready-mix plant. At the same time, the annual, monthly and daily output data of all levels are compared and analyzed.

The use of the production dashboard provides the decision-making layer with a visualized production situation and provides effective data support for the rapid adjustment of the company's resource allocation.

4. Project Experiences

1) The starting position should be high. What we develop is not a report, but a business system, which is the integration of the user's business. And the report is only part of it.

2) The direction should be clear. In the development process, instead of copying the Excel report of the business department into the system, we should sort out the business process, analyze the data, and produce higher results.

3) The thinking should be clear. Faced with many needs, we need to clarify which is the core requirement and which is the secondary requirement.

4) The method should be innovative. Continuously explore new methods and deeply integrate them with business.

[Construction] How can a platform bring millions of economic value to the company?