Eldorado Gold

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Eldorado Gold

Eldorado Gold Corporation is a gold producer active in exploration and development in Brazil, China, Greece, Turkey and surrounding regions. Their goal is to produce over 1 million ounces of gold annually by 2013. As one of the lowest cost gold producers – one with a strong balance sheet and no hedge positions – they are well positioned to grow in value as they create and pursue new opportunities in gold and other resources.

The Business Situation
Eldorado Gold Corporation has defined a project objective to significantly improve their information systems structure by replacing their legacy systems. The implementation strategy was to quickly replace and enhance existing business processes by taking advantage of SAP® Business All-in-One’s best practices.

Eldorado Gold had many disparate legacy systems that could no longer cope with their growing operational requirements. Their systems required a lot of contractor support and annual IT support costs were very high. Eldorado wanted to have one global ERP system standard that would meet their global operational requirements. Specifically, they needed a system that could handle multi-language and multi-currency requirements as well as other localization related requirements such as regulatory compliance for operations in Turkey and in Brazil.

The Solution
Eldorado Gold selected SAP® Business All-in-One for its global operations, and Illumiti as its solution implementation partner. Illumiti implemented a working solution, including two Turkish mine sites, a regional headquarters in Ankara and the corporate headquarters in Vancouver, British Columbia—which went live in two phases within a 10-month period.
The phase I implementation covered Eldorado Gold’s Turkish operations and included an operational mine site (Kisladag), a mine site under development (Efemcukuru) and the regional head office in Ankara. From a business process perspective, the scope for phase I included Financials, Procurement, Inventory management, Plant maintenance, Human Resources, Payroll and Business Intelligence.

The phase II implementation focused on Eldorado Gold’s corporate head office in Vancouver, British Columbia. The initial scope included Financials, with a follow-up phase to implement Human Resources and Business Intelligence.

To maximize the benefits of the new system and stay ahead of the game, Eldorado Gold modified its business processes to take advantage of SAP®’s best practices. One of the key related activities was data analysis and cleansing, enabling the implementation team to ensure that the solution has a consistent global data model, with data being captured at source within each operational process. The project also included specialized warehouse analysis, driving process and layout improvements.

Benefits

  • Increased productivity and effectiveness, using a single ERP system to handle global operations and reporting needs while supporting local requirements such as regulation, language and currency.
  • Increased competitiveness through the adoption and automation of processes that follow industry best-practices.
  • Reduced data redundancy and efficient data entry by eliminating multiple disparate systems and associated interfaces, e.g. between Finance, HR, Maintenance, Procurement and Stores.
  • Real time access to data for reporting purposes.
  • Optimized warehouse

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“We needed an ERP system with Mining-specific functionality that had already been tried and tested in the countries where we do business. I knew SAP was strong in terms of Mining market share but was surprised by SAP’s competitive price point. Ultimately, Illumiti was able to deliver this global solution in a highly professional manner, completing it on time and within budget.”

Charlie Parker, Corporate Controller, Eldorado Gold Corporation

 

“With their experienced and skilled staff Illumiti was able to provide invaluable guidance to the local consulting team in rolling out the Eldorado Gold company template. They kept the project on schedule and when big or small issues arose they provided technical and business knowledge to quickly resolve the issues.”

Long Trinh, Operations Controller, Eldorado Gold Corp, China