Enterprise Resource planning
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Stovepiped Systems
Strategy
Tactics
Operations
data
data
data
data
data
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ERP Pre implementation Input
Sales Snacker
Production Delivery
Output
No integration across functions
Page 3
Integrated Systems
data
Page 4
ERP Post implementation
Input
Sales Production Delivery
Output
Functional integration Page 5
Evolution of ERP
Electronic Commerce Supply Chain Management Sales Force Automation
ERP II
MRP II mrp MRP
Manufacturin Material Requirement g Resource Planning (Planning Capacity)
ERP
Enterprise Manufacturing Resource Resource Planning (+BPRHR Planning Logistics (+Cash flow) Service..)
Internet Integration
Business Intelligent
Knowledge Management
Customer Relationship Management
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ERP Vendors
SAP* Oracle* PeopleSoft* AMS (CGI)* Baan Others including Partners
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Dependent versus Independent Demand
Item Demand Source Material Type Materials With Independent Demand Materials With Dependent Demand
Company Customers
Finished Goods Forecast & Booked Customer Orders EOQ & ROP
14-9
Parent Items
WIP & Raw Materials Calculated
Method of Estimating Demand
Planning Method
MRP
1998 by Prentice Hall, Inc. A Simon & Schuster Company Upper Saddle River, N.J. 07458
Transparency Masters to accompany Operations Management, 5E (Heizer & Render)
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CONTINOUS DEMAND VOLUME / STABILITY INCREASES
MASS
BATCH
JOB SHOP
LABOR INTENSITY DECREASES Page 9
PRE-IMPLEMENTATION STAGE
Set up Steering Committee
ERP Training
Feasibility Study
Requirement Analysis
Prepare Testing Data
Selection of System
(c) copyright 2005
By David Pun, MPA, MEC, MBA, BSc,
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IMPLEMENTATION STAGE
Set up Implementation Committee Document and finalize the operation procedures
ERP and System Training
ERP and System Training
Set up Master Information
Parallel Run
Prepare Testing Data
System online
Pilot Test Post implementation review
(c) copyright 2005
By David Pun, MPA, MEC, MBA, BSc,
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SUCCESSFUL FACTORS OF IMPLEMENTATION
Clear understanding of strategic goals
Commitment by top management Data accuracy
(c) copyright 2005
By David Pun, MPA, MEC, MBA, BSc,
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Page 12
FLOWS OF SUPPLY CHAIN
Material Inflow Information Flow Material Outflow
Material Flow
Suppliers
Procure
Assemble
Sales
Customers
Fund Flow
Fund Outflow
Information Flow
Fund Inflow
(c) copyright 2005
By David Pun, MPA, MEC, MBA, BSc,
13
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Sales tax Forms:F-Fact-Branch C-Branch- Branch D-Branch to Factory I-SEZ H-Export
Entry forms:ExUP-ST-31
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Sales/Purchase
SALESDIRECT SALES RETAIL SALES HIGH SEA SALES EXPORT CAPTIVE CONSUMPTION WAHER HOUSE TRANSFER GOODS TRANSFER ORDER TYPES ORDER STEPS:SALES ORDER MAINTAIN DELIVERY CAL TAX RG23D PURCHASEMATERIAL PURCHASE SUBCONTRACTING
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THANKS
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