ENTERPRISE RESOURCE PLANNING
HOOFDSTUK 1: What is ERP
Department structures
- Sales & distribution
= sales department
- Materials Management
= purchase department (department where we buy the raw materials)
- Production planning
= production department
3 OPERATIONAL PROCESSES
SALES DEPARTMENT
Sales person talks to customer
= FRONT OFFICE PROCESS
Sales order
= making contract
We are moving from a selection phase to a transaction phase
Step 1 : Stock checking
= CHECK AVAILABILITY
2 OPTIONS
- IN STORE
Pick & pack
= post goods issue (scanning en shipping)
= step of change ownership ( not owned by company anymore)
Any process can be broken down into 3 sub-processes
▪ Documentation process
= paperwork
SALES ORDER
▪ Physical process
POST GOODS ISSUE
▪ Financial process
INVOICE
, = 3 - WAY MATCH
( documentation has to match the delivery has to match the invoice)
- NOT IN STORE
Checking the raw materials
AVAILABLE ?
- NO
▪ Purchase (buying raw materials)
▪ Production
▪ Pick & pack
▪ Sending with invoice
Practical problems ?
▪ Communication
▪ Time
SOLUTION
ERP
HOW ?
- Putting thing in computer
- Automaticly searching in stock
- Automaticly calculation delivery date
- Automaticly order parts
- Automaticly start of production
ENTERPRISE
For companies
RESOURCE
People + materials
PLANNING
Plan the sequence better
Segregation of duties
SOD
Acces to the software but based on your login , they make sure nobody
else can see or change your date input
Master Data Management
Big companies have this
WHY ?
➔names customers are putted in the system for reusing it
➔suppliers data
, Hoofdstuk 2: Sales & Operations Planning
Planning what we want to sell
PHASE 1 : FORECASTING
Try to make a forecast of future sales
Different ways
▪ Put real sales in the system & extrapolate for the future
▪ Own forecasting on basis of research
WHO DOES THE FORECASTING?
Marketeers
Demand planner (has a active eye on the real numbers)
Forecasting in ERP
Forecasting models
▪ Trends
▪ Seasonal
▪ Trend and seasonal
▪ Constant
Forecasting is done via a roll up process and force down process
Roll up process
▪ Not intrested in details
▪ Making a big number of what we want to sell
Force down process
▪ Going back to SKU level
▪ Going to be done with the help of the demand planner
PHASE 2 : DEMAND PLANNING
Number on SKU LEVEL = independent demand
➔demand of the market for the product
PHASE 3 : SUPPLY PLANNING
Questions to answer :
1) Do we have enough raw materials
2 processes
▪ MPS : Master Production Schedule
➔takes numbers forecaster and demand planner and puts them ready in the
calculater
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