Magyar Olaj-es Gazipari Reszvenytarsasag (MOL) and Accenture Announce Significant Outsourcing Agreement for Finance and Accounting Functions in Hungary
BUDAPEST, HUNGARY and NEW YORK, JANUARY 11, 2001 - - Magyar Olaj-es Gazipari Reszvenytarsasag (MOL) and Accenture have signed an initial six-year contract to outsource the MOL’s finance and accounting functions.
This agreement is one of the largest outsourcing deals in Hungary, and is one of the first business processing outsourcing agreements in Central Europe.
The agreement aims to radically improve MOL’s business efficiency by simultaneously allowing the company to focus on its core activities and save costs on support functions. Key to the agreement is the transfer of around 400 finance and accounting professionals to Accenture. The arrangement is structured to allow third party clients to be accommodated in the Multi-client Service Centre, with MOL being the founder client.
"In the implementation of our strategy, it is vital for us to be able to focus on our business and MOL’s future, “ said Mr. Michel-Marc Delcommune, MOL’s Chief Financial Officer. “By outsourcing standard transactional processes and allowing a contracted party to manage these, we are achieving this objective. This arrangement will also enable us to save on costs, control the services delivered to us and, as a knock on effect, foster a service mentality within our organisation as a whole."
MOL currently operates one of the largest internal finance and accounting functions in Hungary, providing a wide range of services and spanning the entire country. Over the six years of the contract, the annual costs to MOL of the outsourced activities are expected to decrease by at least 40%. Under the agreement, Accenture takes responsibility for financial, accounting, reporting and tax services to be delivered for all of MOL’s business units.
"Accenture’s approach and extensive global experience in operating finance and accounting services for many of the energy industry leaders was found to be the most suitable for MOL,” said Alison Peden, Accenture Partner. “We are committed to delivering improved services and we intend to exceed the expectations raised by MOL’s internal customers. We are equally committed to extending the service to additional clients in Hungary and the Central European region.”
Daniel Stewart-Roberts, MOL’s Finance and Tax Director added, "Over the next year, Accenture will transform our key processes to align them with industry best practices as well as our new systems. This will allow the Multi-client Service Centre to provide more clients with financial and accounting services. The first additional clients should be MOL’s subsidiaries and the companies in which MOL has major shareholdings. This is consistent with MOL’s strategic intent to become the dominant oil producer and retailer in the region.”
About Accenture
Accenture is a $10 billion global management and technology consulting organization. The firm is reinventing itself to become the market maker, architect and builder of the new economy, bringing innovations to improve the way the world works and lives. More than 70,000 people in 46 countries deliver a wide range of specialized capabilities and solutions to clients across all industries. Under its strategy, the firm is building a network of businesses to meet the full range of client needs -- consulting, technology, outsourcing, alliances and venture capital.http://www.accenture.com.
About Magyar Olaj-es Gazipari Reszvenytarsasag (MOL)
The MOL Hungarian Oil and Gas Company was founded on October 1, 1991. The organization was later transformed into a group of companies, and MOL Group has become the leading integrated petroleum company in Central Eastern Europe. The main operations pursued by MOL Group include: exploration and production of crude oil, natural gas and gas products; crude oil refining, transportation and storage, transportation, storage and wholesale and retail of oil products; and the import, transmission, storage and wholesale of natural gas and gas products. The MOL Group is the largest industrial corporation in Hungary in terms of net revenues of sales. MOL Group’s key objective is to permanently increase the shareholders value by exploiting existing and new business opportunities, pursue a dynamic development and enhance competitiveness. MOL shares are traded on the stock exchanges in Budapest and Luxembourg, as well as on the SEAQ international system (London). The most important future goal of MOL Group is to become the dominant participant in the consolidation process in the region. The first major step and achievement in this process is the co-operation concluded between MOL and Slovnaft (signed in 2000), as a result MOL has become the largest investor in Slovnaft.http://www.mol.hu.