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Siberia Airlines to use Oracle E-Business suite to enhance its competitive ability


Siberia Airlines, one of the leaders in the Russian aviation market, and the representative office of Oracle CIS, the largest global producer of corporate software, announced signing a licensing contract. It will allow Siberia Airlines to build a full-scale corporate information system of managing the company's resources based on the Oracle E-Business Suite. The goal of this project is to boost Siberia Airlines competitiveness in the Russian and international air service. The system will integrate 430 computer workstations in the central control, supply service, repair area. In the future, the project will be extended to include marketing and sales management. This means full automation of the company's management process and the transfer of all management functions into the corporate information system.
Siberia Airlines is systematically implementing its strategic plan aimed at increasing its presence in the air service market and enhancing the quality of passenger service. For the second year running, the company has ranked the second in Russia and has the highest volume of domestic passenger traffic of all Russian airlines.
Building a full-scale corporate information system marks the next step in the implementation of the company's strategy.
Based on the analysis of the company's specifics and main business processes, the company's management has set the following goals for the integrated management system implementation:

  • To improve the company's controllability by introducing performance benchmarks and procedures of management by exception;
  • To increase the efficiency of financial management by implementing an integrated system of budgeting, management accounting and bookkeeping;
  • To enhance the reliability of the aircraft by increasing the share of preventive maintenance, reducing downtime and emergency repairs;
  • To cut down the cost of aircraft maintenance by raising quality and optimizing resource management schedules and efficiency;
  • To manage capital investment by dynamic planning for reducing inventory reserves, project control, efficient management of spare parts and replacements. Building an integrated management system.

"We are a dynamic and continuously developing company. We aim at success. Being aware of Oracle experience in Russia and worldwide, we are confident in our fruitful collaboration", - said Vladimir V. Perekrestov, Siberia Airlines Director for Strategic Management and Planning."I believe with Oracle's help we'll be able to achieve our strategic goals and enhance the company's competitive position in the domestic and international markets."
According to the signed contract, during the first stage of the project 6 subsystems of Oracle E-Business Suite will be implemented simultaneously: for managing finances, projects, supplies, the information system for the company's management, the budgeting system and the system of complex maintenance, repair and overhaul (Oracle Complex MRO), the system of equipment handling and discrete manufacturing. The project provides for full integration of all system components and remote access from any place via Internet/Intranet to the single point information center.
The first stage is planned to take 15 months. Then the project framework should be extended by implementing Oracle solutions for calculating payrolls, managing human resources and client relationship. The implementation of all stages of this full-scale project to automate Siberia Airlines will allow fusing critically important management functions into a single point corporate integrated management system.
The implementation of Complex Management, Repair and Overhaul subsystem (Oracle Complex MRO), which is the only specialized solution for air companies, will be one of the first projects in Russia as well as worldwide.
"Today, it is the largest project for air companies being implemented in Russia," - noted Boris Scherbakov, General Director of the Oracle CIS representative office. "The decision was made based on tender results, and we are pleased that the winner is our company's product. The size and scope of the country are critically important for the development of the transportation and air carrier industry. So, together with our partners, we are now responsible for a project of national importance and will use the best expertise of Oracle in Russia and worldwide to make it a reality."
About Siberia Airlines:
According to the Transport Clearing Organization, Siberia Airlines has the highest volume of domestic passenger traffic and the second highest volume of international passenger traffic of all Russian airlines. In 2003, Siberia Airlines carried 3.4 million passengers. For more information on the company please visit www.s7.ru.
About the Oracle corporation:
Oracle Corporation is the largest global supplier of corporate software. For detailed information on the company please visit www.oracle.com and www.oracle.com/ru.
Oracle is the trade mark of Oracle Corporation.
For more information please contact Marina Savinova, Oracle PR manager
(095) 7213281, Marina.Savinova@oracle.com