Emergency 1C:ZUP implementation in two months instead of the usual nine

Emergency 1C:ZUP implementation in two months instead of the usual nine

UCMS Group client since 2022
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In 2022 we won a tender for payroll and for implementing the 1C:ZUP 8.3 payroll and HR system at a large manufacturing company. But due to external circumstances the system had to be implemented in just two months instead of the planned nine. Ekaterina Menshikova, sales director at UCMS Group, explains how the team coped.

Context
UCMS Group client since 2022

Specifics:

  • Industry: agriculture
  • The Russian division of an international holding, 1,000 employees
  • More than 30 divisions with different types of accruals and additional payments
  • Complex internal processes and a strict compliance policy

What matters most in a provider:
  • fulfilling
    commitments
  • a non-standard
    approach
  • relevant
    experience
A task with an asteriskImplement 1C:ZUP 8.3 to replace SAP (payroll, reporting) and 1C:ZUP 2.5 (HR administration)
  • An unrealistic timeframe for such a project: 2 months
  • Many different employee categories with specific accounting treatment

The situation. "No in-house team could have coped with such an abrupt move to a new system"

At the end of 2022 the client of UCMS Group became the branch of an international manufacturing holding headquartered in Europe. The total headcount is 1,000 people.
The client had two systems: SAP for payroll and 1C:ZUP 2.5 for preparing HR administration reports. Instead, a single 1C:ZUP 8.3 system had to be implemented.
The estimated transition time in such cases is 6-9 months because of the abundance of customisations, printed forms and management reports. The implementation project was scheduled to start in mid-2022 and payroll was planned to start at the beginning of 2023.

Ekaterina Menshikova:
“In the first quarter of 2022 the client approached UCMS Group to ask us to estimate the cost of an emergency transition, in case the global provider left and SAP was disconnected due to the serious change in the external context. For our part we presented a possible action plan and confirmed our readiness to provide full support.
In the end the emergency transition became our reality: the client received official notice from the provider that the contract would end in the near future and that work in SAP could not continue. Only 2 months remained to implement the new system.
Both we and the client clearly understood that we would have to implement a "half-naked" system, in a hurry and with unplanned resources.
Another thing was obvious too: no in-house team could have coped with such an abrupt transition. A large provider has practically unlimited ability to bring specialists with the right qualifications and relevant experience into the project. And you cannot find and hire a new employee that quickly for a short period.”

Delivery. "Trust in the provider turned out to be an important component of success"

During preparation for the 1C:ZUP 8.3 implementation, UCMS Group specialists identified the following specifics of the project:

  1. Payroll and HR administration are handled by two different providers. This is part of the company's policy.
  2. Internal processes are complex because of the abundance of multi-stage procedures and approvals. At the same time it is fundamental for the company that everything is perfect from a compliance standpoint and in line with internal regulations.
  3. The company has more than 30 divisions with a large range of accrual and additional payment types.
  4. Of the 1,000 employees, many are "non-standard cases" for which legislation provides specific treatment in accounting, contribution payment, PIT calculation, reporting and so on.

The solution

For the urgent delivery of the project the provider allocated additional resources. In a limited time the UCMS Group specialists:

  1. Developed a detailed two-month implementation plan and broke the whole process into stages. To spend as little time as possible on implementation, they defined a minimum working but functional version. The implementation itself and the preparation of the BRR (Business Requirements Review, or blueprint) had to run in parallel, although normally the BRR precedes implementation.
  2. During the data migration the system was tested at the same time. To do this a calculation was simulated and immediately checked for errors.
  3. They set out clear regulations for payroll and HR procedures and trained both the customer's employees and the specialists of the third-party outsourcing company involved in the project to work with the new system. During the training, UCMS Group employees took on part of the HR administration work themselves.

In just two months, to an extremely tight deadline, UCMS Group specialists managed to implement a system that could be used for payroll.
The customer understood that an ideal situation should not be expected by the first calculation. All refinements to a full system would be made in stages after the express transition was complete.
Thanks to the client's involvement and constant communication between highly qualified project managers on both sides, most issues were resolved in the shortest possible time.

Ekaterina Menshikova:
“Trust in the provider turned out to be an important component of success. If the client had entrusted us only with payroll and given the implementation of the payroll and HR system to another partner, the project most likely would not have been delivered on time. Increasing the number of responsible parties always complicates the process of implementing or changing anything.
Moreover, when both the implementation and the subsequent accounting are handled by one company, all responsibility is concentrated in one pair of hands. For a strong provider that is an advantage: the process will be built faster and more efficiently.”

The result: UCMS Group specialists exceeded expectations on implementation time and quality

A single payroll and HR system, 1C:ZUP 8.3, was implemented and both providers began using it. UCMS Group experts prepared the foundation in time for correct HR administration, payroll accrual and payment, and reporting.

Other outcomes:

  • the likelihood of errors was reduced through automation and customisations that minimise the human factor;
  • the whole system, including customisations, is fully configured for Russian legal requirements and business needs. The previous foreign system could not provide that;
  • according to the customer, UCMS Group specialists exceeded expectations on implementation time and quality.

The client on the project:
“The emergency implementation showed us that we made the right choice in entrusting UCMS Group with such high-risk processes as payroll and tax reporting.
We were especially impressed by how the technical specialists, having received from us an export of SAP data in a format radically different from the 1C architecture, were able in a short time to transform a large volume of sensitive data into the format needed for use in the new database.
We also want to note the team of methodologists, who within a tight timeframe wrote detailed BRRs for payroll and HR administration and at the same time audited our activities, which allowed us to unify, simplify and adjust the processes.
The result is a qualitatively new product. We continue to work with UCMS Group and are now delivering an HR outsourcing project together.”

How to cope with an emergency implementation:
advice from the client

  • Be fully involved in the project: gather information promptly and answer the provider's questions as fully as possible.
  • Think through how you will extract data from the old system: which historical data you will need for the transition, which for the archive, how to extract it and where to store it.
  • Agree to basic functionality: keep unique requirements to a minimum; refinements can be made after go-live.
  • Be prepared for everything to be new: even standard processes will look different on screen. But you will get used to it soon.
  • Be prepared that you may not make it: an emergency implementation is always a risk. Prepare a fallback option.
  • Choose a competent provider: consider not only software vendors but also outsourcing companies. Think through how you will integrate the new provider into your processes.

Emergency situations involving urgent implementation are not uncommon in current conditions. It is important not to let the situation reach extremes, to turn to experienced professionals in time and to appreciate all the benefits of cooperation.

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