Government of Tanzania

Epicor ERP helps the Government of Tanzania manage income and expenditure to streamline processes and improve efficiencies

The main function of the Office of the Accountant General, operating under the Ministry of Finance of Tanzania, is to control disbursements and report on funds to all Government Ministries and Independent Departments. As this process is complex and intricate, it's impractical to carry out manually. In 1998 the Government of Tanzania underwent financial reforms and computerized part of its financial functions through a standalone system known as the Central Payment System. The system was developed by a local consultant and was designed to manage Tanzania's exchequer and expenditure. The problem with the system was that it was owned by the consultant who designed it. He was the only one who knew how it operated and he was also the only one capable of providing support. This put the Government in a precarious position.

Finding a New Solution

A solution had to be found that was proven, easy-to-use, and able to manage the Government's complex budget, income, and expenditure processes to help ensure transparency, efficiency, and facilitate reporting.

"To help ensure that the ideal solution was implemented, we drew up a list of criteria to support the selection process," explains Adam Mshangana, head of the technical support team for the accountant general of Tanzania. Among them were the following:

• The system must support strict international financial management and reporting requirements to manage budget, funds, and control commitments
• Easy to integrate with other systems
• Intuitive and easy-to-use
• Accompanied by sound local support

Why Epicor and Soft-Tech Consultant Ltd

"After evaluating the world's top business software providers, we chose Epicor ERP. Not only because it offered the best fit for our requirements, but also because it was supported by Soft-Tech Consultants Ltd," says Mshangana. "They proved that they have the expertise and experience to implement the system and ensure a continued high level of support."

"The professional service, level of expertise, and excellent support is something that Soft-Tech Consultants Ltd. should be proud of," says Mshangana.

"Soft-Tech Consultants Ltd. takes customer support very seriously," explains Harish R. Bhatt, managing director of Soft-Tech Consultants Ltd. "We work closely with our customers so that we understand their needs and deliver on our promises."

The centralization of data and the ability to integrate with other systems make Epicor ERP(now known as Kinetic) stand out from other systems. Added to this, the system's flexibility and scalability mean that it can be tailored to accommodate a customer's needs and adapt to them as they grow.

The Nuts and Bolts

The process started with Soft-Tech Consultants Ltd. gaining an intricate understanding of the Government of Tanzania's financial processes and needs. This resulted in the following Epicor ERP modules being implemented:

• Budget management
• Fund management
• General ledger
• Accounts payable
• Accounts receivable
• Cash management
• Purchase order
• System manager

"Epicor offers a number of modules, which are relevant to our organization," explains Mshangana. "As we progress, we expect to add additional modules as we require them. To date, the most significant benefit we have enjoyed is that of management and reporting of payments."

The Result

The Government of Tanzania now controls all of its expenditure and revenue using Epicor ERP. In particular, Epicor ERP manages the Government's:

• Budgeting management
• Funds management
• Financial transactions receipts and payments
• Printing reports meeting international standards
• Procurements and commitments

"After evaluating many leading business software providers we chose Epicor ERP. Not only because it offered the best fit for our requirements, but also because it was supported by Soft-Tech Consultants Ltd... they proved that they have the expertise and experience to implement the system and offer a continued high level of support." 
Adam Mshangana, head of the technical support team for the accountant general of Tanzania

"The ability to generate financial reports based on real-time data, to international reporting standards, supports strategic decision making and helps minimize [reporting] errors," explains Bhatt. "Epicor ERP also integrates with the banking system known as TISS (Tanzania Interbank Settlement System) to facilitate EFTs so that payments can be made via banks. This has considerably improved the way that the Government manages cash flow and interacts with stakeholders. Later, we plan to add integration with payroll and debt management systems to further enhance the Government's efficiencies."

Improved Efficiency with Epicor ERP

Some of the most significant benefits of Epicor ERP center on improved efficiency:

• Epicor ERP has played a critical role in expenditure control to help minimize overspending
• Enhancement of security, accuracy, reliability, efficiency, effectiveness, and availability of government financial information
• It has played a significant role in the implementation of international financial reporting and statistical standards like IPSAS and GFS
• Timely production of various financial reports

Success

"The ease with which we can process payments and supply data to our customers and other stakeholders has resulted in stronger relationships. The same can be said for our development partners as we can now provide them with the information they require safe in the knowledge that it is up-to-date," explains Mshangana.

Customers now enjoy a more efficient payment system and reports are readily available. The preparation of financial accounts and the reconciliation of data can be done with ease, while the automation of accounting and financial control has resulted in the improvement and implementation of international accounting and financial policies.