Introduction to ERP

Gilard Application Programmers
Gilard Application ProgrammersGilard Application Programmers
Some Common Problems faced by
an Entrepreneur
Attrition by itself and its related problems
Low Profits in business
Cash Flow
Capacity Utilization
Imbalance in Inventory
Rejection and Material Losses
Low Machine Utilization
Low Productivity
The Basic desire of an Entrepreneur
To make his business grow (and sustain)
To Increase the Top Line (Sales)
To Increase the Bottom Line (Profits)
The additional desire of an
Entrepreneur
Business should also be easy and fun
He needs
To standardize his work...
To make it transparent,
With better monitoring and controls,
Self running and needing minimum interventions
What are QMS ??
Quality Management Systems like ISO 9001,
TS 16949 etc....
These systems if supported by an ERP which
is actually a Business Management System are
easy to implement, sustain and improve.
Can an ERP improve my Top
Line ?

Yes ! An ERP can increase your sales....
by improving your monitoring of Sales, Deliveries, Orders, Inquiries, Customer
Satisfaction, Costing and Competitiveness
by reducing your production time, development time
by enhancing your personal abilities,by giving you more time to think and to
relax.
Can ERP improve my Bottom Line ?

Yes ! An ERP can increase your Profits....
by improving your Production Efficiencies
by reducing your Rejections and wastages
by reducing your cost of production as well as cost of Poor Quality.

It can reduce your Financial costs by reducing your Variable Assets:
Reduction in Inventories ( improve ITR)
Improvement in Cash Collection from the Customers
Can ERP also make it Easy n Fun ?

Yes ! An ERP will do all that....
it brings order to
Man, Machine ( including Maintenance), Materials and Money by establishing
Methods for them all.
How...
Man

, Machine ( including Maintenance), Materials and Money by establishing
Methods for them all.
As Is
1.Customer sends an urgent order for
Item: ABC . Qty : 100 nos
2. You check up with Finished Stores if the item
and qty required is available
3. If not Available, you check up with Assembly
if they can make.
4. Assembly checks up with Central Stores if the
required child parts are available.
5. If some parts are not available,Stores checks
up with down line Production shop if they can
make and also checks up with Purchase if
any of the required parts are somewhere in
transit.
To Be
1.Customer sends an urgent order for
Item: ABC . Qty : 100 nos
2.Your ERP checks up the Finished
Stock, checks up WIP in Assembly,
checks for the required child parts
and their availability, checks the
Raw Materials required and their
availability.Checks up the entire
supply chain in QA, inwards,
production shops , Pending
Purchase orders, rework etc.
It also checks up other pending
orders of other customers for the
same item
And in a few seconds tells you as to
when and how much qty you can
send to the customer.
1 of 10

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Introduction to ERP

  • 1. Some Common Problems faced by an Entrepreneur Attrition by itself and its related problems Low Profits in business Cash Flow Capacity Utilization Imbalance in Inventory Rejection and Material Losses Low Machine Utilization Low Productivity
  • 2. The Basic desire of an Entrepreneur To make his business grow (and sustain) To Increase the Top Line (Sales) To Increase the Bottom Line (Profits)
  • 3. The additional desire of an Entrepreneur Business should also be easy and fun
  • 4. He needs To standardize his work... To make it transparent, With better monitoring and controls, Self running and needing minimum interventions
  • 5. What are QMS ?? Quality Management Systems like ISO 9001, TS 16949 etc.... These systems if supported by an ERP which is actually a Business Management System are easy to implement, sustain and improve.
  • 6. Can an ERP improve my Top Line ?  Yes ! An ERP can increase your sales.... by improving your monitoring of Sales, Deliveries, Orders, Inquiries, Customer Satisfaction, Costing and Competitiveness by reducing your production time, development time by enhancing your personal abilities,by giving you more time to think and to relax.
  • 7. Can ERP improve my Bottom Line ?  Yes ! An ERP can increase your Profits.... by improving your Production Efficiencies by reducing your Rejections and wastages by reducing your cost of production as well as cost of Poor Quality.  It can reduce your Financial costs by reducing your Variable Assets: Reduction in Inventories ( improve ITR) Improvement in Cash Collection from the Customers
  • 8. Can ERP also make it Easy n Fun ?  Yes ! An ERP will do all that.... it brings order to Man, Machine ( including Maintenance), Materials and Money by establishing Methods for them all.
  • 9. How... Man  , Machine ( including Maintenance), Materials and Money by establishing Methods for them all.
  • 10. As Is 1.Customer sends an urgent order for Item: ABC . Qty : 100 nos 2. You check up with Finished Stores if the item and qty required is available 3. If not Available, you check up with Assembly if they can make. 4. Assembly checks up with Central Stores if the required child parts are available. 5. If some parts are not available,Stores checks up with down line Production shop if they can make and also checks up with Purchase if any of the required parts are somewhere in transit. To Be 1.Customer sends an urgent order for Item: ABC . Qty : 100 nos 2.Your ERP checks up the Finished Stock, checks up WIP in Assembly, checks for the required child parts and their availability, checks the Raw Materials required and their availability.Checks up the entire supply chain in QA, inwards, production shops , Pending Purchase orders, rework etc. It also checks up other pending orders of other customers for the same item And in a few seconds tells you as to when and how much qty you can send to the customer.