Case Study
Location
Saudi Arabia
Business
General Contractor
MAS Engineering & Construction Company Ltd. had been operating under Al Sahel Contracting Co. in the United Arab Emirates and Azmeel Contracting Co. in K.S.A. before officially being established as a company on 5th November 2018. MAS earned a stellar reputation for providing extraordinary & high-quality services in all aspects of construction within a constricted timeframe and attracted an extensive portfolio of reputed customers throughout the K.S.A. MAS has completed several High-Rise Buildings, Residential & Commercial Buildings, Luxury Villas and Hotels.
Xpedeon has all the functionality that construction companies need to work digitally and in an integrated manner across sites, departments, functions and offices. The Xpedeon Consulting Team has a wealth of experience in implementing solutions and profoundly understands construction. We could very clearly perceive the amount of time and cost savings we would be able to generate
Project Background
MASECC witnessed growth at a breakneck pace and had set its sights on continuing this pace into the future. They had implemented a general-purpose ERP in the initial years. They faced numerous challenges when it came to addressing the core challenges of a construction company. The legacy solution addressed some back-office requirements, such as financial accounting and purchasing but did not address the core construction controlling and project management processes. The management team concluded that they needed a specialized construction-focused ERP that provided integrated project management and controls. They went out to the market to explore their options. Further, MASECC was clear that they required a Cloud/SaaS offering. They wanted to concentrate on growing their core business rather than worry about IT Infrastructure, Support and in-house resources to manage systems.
Challenges Identified
Subcontracts which constitute a major element of cost were being handled entirely through spreadsheets maintained by individuals, resulting in no control and very poor visibility of costs.
Lack of budget controls resulting in unregulated order placements and spends
Managing the deployment, time and cost related to internal contract labour was entirely manual and consumed excessive management time and resulting in poor accuracy of information.
Profit destruction due to lack of control over changes/variations, both on the client-side as well as with subcontractors.
SELECTION OF ONXPEDEON CLOUD/SAAS SOLUTION
MASECC reviewed several offerings, local providers, construction-specific ERPs and Tier 1/2 ERP vendors as part of their selection process. After going through a comprehensive diligence process, they selected Xpedeon Cloud/SaaS platform. It demonstrated the most comprehensive functional coverage and total integration. The following capabilities provided by Xpedeon were a game changer for MASECC:
- Complete control over the Subcontracting process from Work Order and Variation Control to processing payment certificates
- Client Contract & variation Management and Applications and Certificates for Payment
- Integrated Procurement, Inventory functions at a project/site level
- Totally seamless operation between the Financial Accounting, Project Budgeting and Job Costing functions resulting in a single source of truth
- Integrated HR/Payroll system with proper Labour control
- Support for forthcoming E-Invoicing legislation in K.S.A.
- Real time & Proactive reporting
It was reassuring that companies across all sizes, scales, and industry verticals were Xpedeon customers and the references were more than satisfactory. Xpedeon, with its presence across the GCC, would ensure that it could help support business growth in other member states as well.
The Implementation
Xpedeon implementation proceeded in a hybrid format, comprising online and in-person sessions against extremely aggressive time targets. Using the proprietary "Xpedite " implementation methodology, the team ensured that MASECC business processes mapped effectively to the solution and quickly proceeded for user acceptance testing and training. It also assured that there was minimum disruption to the business while implementing the solution. Within a span of 3 months, the Xpedeon consulting team completed the entire process, and MASECC went LIVE.
The Results
All MASECC core processes across the organizations are now fully digitalized and fully integrated. This has resulted in tremendous savings in terms of time and cost. The shift from largely manual processes to a comprehensive business solution has resulted in the total elimination of manual reconciliations and spreadsheets.
- All core processes operate fully integrated and joined-up, fostering teamwork and collaboration.
- Paper-based processes stand eliminated through automation which also supports MASECC's Carbon-footprint goals.
- Instant views of Budgets, Costs and At Completion scenarios help MASECC to be in total control of project margins and cashflow.
- In-built Reporting & Analytics have transformed the way MASECC view information for real-time decision making
- Users onboarding was quick and easy which resulted in wider acceptance of the Xpedeon across the organisation.
There is visibility and transparency around what is happening on our project sites has improved by order of magnitude. We now clearly understand costs and liabilities live and in real-time. In the future, this will immensely help us deliver projects profitably and on time, and the elimination of the manual working will help us scale our business exponentially.
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