This document provides an overview of Material Requirement Planning (MRP), Manufacturing Resource Planning (MRP II), and Enterprise Resource Planning (ERP). It discusses the key concepts, processes, advantages and disadvantages of each. MRP helps plan material needs and schedules, while MRP II expands this to integrate other business functions. ERP is the most comprehensive as it integrates all business operations and functions into a single system. Implementing any of these systems aims to streamline operations and supply chain management through automation and data-driven insights.
Material and capacity requirements planning (mrp and crp) part 1Dr. Mahmoud Al-Naimi
Lectures on Production Planning and Control for B.Sc. Students - Industrial Engineering Branch -Department of Production Engineering and Metallurgy- University of Technology - Baghdad -Iraq
Inventory control involves regulating inventory levels according to predetermined norms to reduce costs. It aims to balance ordering, holding, and stockout costs. The ABC analysis technique categorizes inventory into A, B, and C items based on annual consumption value to focus control efforts where they are needed most. VED classification groups items as vital, essential, or desirable based on the criticality of inventory to operations. FSN analysis looks at item movement patterns to identify fast, slow, or non-moving inventory.
This document provides an overview of various inventory control methods used in hospitals and other organizations. It discusses ABC analysis which categorizes items based on their annual expenditure. It also covers VED analysis which categorizes items based on their criticality for patient care. Other methods discussed include ordering techniques like two bin systems, classification of items as fast/slow moving, and Just in Time inventory techniques. The document emphasizes the importance of proper inventory control and record keeping.
ABC analysis (Inventory) Inventory optimization in supply chain, ABC analysis is an inventory categorization method which consists in dividing items into three categories, A, B and C
The document discusses inventory control in hospitals. It defines inventory control and describes the objectives as maintaining the optimal level of supplies to efficiently order and store just the right amount needed for patients while tracking costs. It outlines different types of inventory including official and unofficial inventories. It also describes concepts like reorder levels, safety stocks, lead times, and costs of ordering, carrying, and shortages. Methods of selective inventory control are provided like ABC analysis.
The document discusses material management in healthcare facilities. It defines material management and outlines its key aims and principles, which include obtaining supplies of the right quality, quantity, time and place at the lowest cost. It describes the various functions and elements of material management like procurement, storage, inventory control and equipment maintenance. The primary objectives are economy, continuity of supply and developing good supplier relationships.
This document discusses the key aspects of materials management. It covers the scope of materials management, which includes all material costs, supply, and utilization. An integrated materials management approach coordinates the functions of planning, purchasing, storage, inventory control, and other related activities. The goals are better accountability, coordination across functions, improved performance and effectiveness, and adaptability to automated systems. Some key functions of materials management include materials planning and control, purchasing, stores management, inventory control, standardization, simplification, and value analysis.
This document discusses inventory control and management. It begins by defining inventory as raw materials, components, work in process, and finished products held in the supply chain. Inventory is maintained to bridge gaps between availability and demand. Inventory control aims to maintain inventory levels that are economically optimal for an organization by considering factors like economic order quantities, safety stocks, minimum and maximum levels. The document then discusses reasons for holding inventory like supporting production and customers. It outlines functions, objectives, types, costs and techniques of inventory control before concluding with a discussion of computerization benefits.
Material and capacity requirements planning (mrp and crp) part 1Dr. Mahmoud Al-Naimi
Lectures on Production Planning and Control for B.Sc. Students - Industrial Engineering Branch -Department of Production Engineering and Metallurgy- University of Technology - Baghdad -Iraq
Inventory control involves regulating inventory levels according to predetermined norms to reduce costs. It aims to balance ordering, holding, and stockout costs. The ABC analysis technique categorizes inventory into A, B, and C items based on annual consumption value to focus control efforts where they are needed most. VED classification groups items as vital, essential, or desirable based on the criticality of inventory to operations. FSN analysis looks at item movement patterns to identify fast, slow, or non-moving inventory.
This document provides an overview of various inventory control methods used in hospitals and other organizations. It discusses ABC analysis which categorizes items based on their annual expenditure. It also covers VED analysis which categorizes items based on their criticality for patient care. Other methods discussed include ordering techniques like two bin systems, classification of items as fast/slow moving, and Just in Time inventory techniques. The document emphasizes the importance of proper inventory control and record keeping.
ABC analysis (Inventory) Inventory optimization in supply chain, ABC analysis is an inventory categorization method which consists in dividing items into three categories, A, B and C
The document discusses inventory control in hospitals. It defines inventory control and describes the objectives as maintaining the optimal level of supplies to efficiently order and store just the right amount needed for patients while tracking costs. It outlines different types of inventory including official and unofficial inventories. It also describes concepts like reorder levels, safety stocks, lead times, and costs of ordering, carrying, and shortages. Methods of selective inventory control are provided like ABC analysis.
The document discusses material management in healthcare facilities. It defines material management and outlines its key aims and principles, which include obtaining supplies of the right quality, quantity, time and place at the lowest cost. It describes the various functions and elements of material management like procurement, storage, inventory control and equipment maintenance. The primary objectives are economy, continuity of supply and developing good supplier relationships.
This document discusses the key aspects of materials management. It covers the scope of materials management, which includes all material costs, supply, and utilization. An integrated materials management approach coordinates the functions of planning, purchasing, storage, inventory control, and other related activities. The goals are better accountability, coordination across functions, improved performance and effectiveness, and adaptability to automated systems. Some key functions of materials management include materials planning and control, purchasing, stores management, inventory control, standardization, simplification, and value analysis.
This document discusses inventory control and management. It begins by defining inventory as raw materials, components, work in process, and finished products held in the supply chain. Inventory is maintained to bridge gaps between availability and demand. Inventory control aims to maintain inventory levels that are economically optimal for an organization by considering factors like economic order quantities, safety stocks, minimum and maximum levels. The document then discusses reasons for holding inventory like supporting production and customers. It outlines functions, objectives, types, costs and techniques of inventory control before concluding with a discussion of computerization benefits.
This document discusses material management in healthcare. It defines material management and lists its basic functions which include effective purchasing, inventory control, and distribution systems. The goals of material management are to have the right materials in the needed quantities and quality at the lowest possible price. Key aspects covered include demand forecasting, procurement, receipt and inspection of materials, storage, and issue and use of materials. Effective material management is important for delivering quality healthcare services on budget.
This document discusses inventory control and various inventory management techniques. It defines inventory as materials kept in stock, including raw materials, components, work-in-process, and finished goods. It then describes different types of inventories and introduces key inventory terms like lead time, holding costs, ordering costs, and shortage costs. The document outlines techniques for effective inventory management including ABC analysis, VED analysis, economic order quantity modeling, first-in first-out, and last-in first-out costing methods. The goal of inventory control and analysis is to maintain optimal inventory levels to minimize costs.
Inventory management involves controlling the ordering, storage, and use of components and finished goods. It represents a major investment for businesses. [1] Techniques for effective inventory management include determining stock levels like reordering levels and minimum/maximum amounts based on consumption rates and lead times. [2] Safety stocks are amounts held above requirements to prevent stock-outs during lead times. [3] Economic order quantity models determine optimal order sizes by balancing ordering and carrying costs.
This document defines inventory and discusses inventory control. It defines inventory as raw materials, work in progress, and finished goods. Inventory control aims to maintain optimal inventory levels for smooth operations. Inventories are classified and objectives of inventory control include avoiding over/under investment and providing the right goods at the right time. Operating objectives focus on availability, minimizing waste, and customer service, while financial objectives focus on costs. Inventory management aims to balance ordering costs, carrying costs, and stockout costs.
This document discusses inventory management. It defines inventory as raw materials, work-in-process goods, and finished goods ready for sale. It notes that inventory is an important asset for businesses as it represents a primary source of revenue. The document outlines the functions of inventory, including meeting anticipated demand and guarding against stock-outs. It also discusses inventory costs like ordering costs, holding costs, and stockout costs. Finally, it introduces the concept of economic order quantity, which is the order size that minimizes total inventory costs.
Manufacturing planning & control (mpc) systemYash Dave
The document discusses manufacturing planning and control systems (MPC) and master production scheduling (MPS). Some key points:
- MPC systems help formulate plans to meet business objectives and identify resource gaps. They facilitate feedback across suppliers and scheduling.
- An MPS is a time-phased statement of how resources will be used to meet production commitments over the planning horizon. It tends to have a short time horizon and show details like bills of materials.
- MRP was developed to address limitations of traditional inventory models like economic order quantities. It incorporates bill of material information and dependent demand to improve inventory accuracy and reduce stockouts.
The document discusses different types of inventory including raw materials, work-in-progress, finished goods, transit inventory, buffer inventory, decoupling inventory, and MRO goods inventory. It explains the purpose of each type of inventory, such as maintaining production flow, protecting against uncertainties, and anticipating future demand. The document also covers reasons for holding inventory like facilitating uninterrupted production and independent sales activities for manufacturers, and de-linking procurement from sales for trading firms.
This document summarizes an operation management project on ABC analysis conducted by students for their management department. ABC analysis involves categorizing inventory items into A, B, and C categories based on their value and consumption. Category A items account for 10-25% of total items but 70-80% of total value, making them the most important to control tightly. Category B items are less important than A but more than C, while Category C items are marginally important. The analysis identifies vital few high-value items to prioritize for better inventory management and cost savings. Implementing ABC analysis' recommendations would improve the company's inventory policy and management situation.
Basic Concept of Inventory Control, Safety StockRaja Adapa
This document discusses inventory control and safety stock. It defines inventory control as the systematic control over procurement, storage, and usage of materials to maintain an even flow while avoiding excessive investment. The goals of inventory control are to achieve maximum turnover and maintain a balance between high and low inventory levels. Safety stock, or buffer stock, refers to extra inventory maintained to mitigate risks of stockouts due to supply and demand uncertainties. The document provides examples of different inventory control systems and explains how to calculate economic order quantity, reorder level, and safety stock using a numerical example.
This document discusses inventory management. It defines inventory as materials obtained in advance of need that are held until used or sold. There are different types of inventories like raw materials, work in progress, spare parts, and finished goods. Inventory valuation involves determining inventory quantities and assigning values. Holding inventory incurs costs like storage, ordering, shortages. The objectives of inventory control are to ensure smooth operations while minimizing costs and risks through techniques like determining economic order quantities and stock levels.
1) Inventory management involves maintaining optimal stock levels to meet production demands on time and at competitive prices. It aims to utilize resources efficiently while avoiding production interruptions.
2) Inventory is categorized based on the production stage - raw materials, work in process, finished goods. Special considerations are given to critical spare parts.
3) Factors like long lead times, seasonal demand, and material cost fluctuations influence inventory levels. Selective controls like A-B-C analysis prioritize high-value, critical items for close monitoring.
MRP is a system used for planning and scheduling time-phased materials requirements for production operations. If the delivery schedule for end products is known, the requirements for lower-level work-in-process items and raw materials can be planned through simple arithmetic calculations. MRP is an inventory control system that releases manufacturing and purchase orders at the right time to support the master schedule and control work-in-process and raw material inventories through timely order placement, but it does not include capacity planning.
Materials management involves planning and coordinating all activities related to materials, from procurement to conversion into finished goods. The key objectives are to obtain the right materials, in the right quantity and quality, from the right sources, at the right time and price. This helps reduce costs and ensures smooth production operations. Effective inventory management is also important to minimize investment in inventory while avoiding stockouts and excess capacity.
MRP-2 is an evolution of MRP that incorporates additional planning elements such as finances, sales, and integrated resource planning. MRP-2 uses a common database to integrate various business functions and allow for simulation of production schedules based on demand forecasts, inventory levels, bills of materials, and resource constraints. This provides benefits like improved scheduling, inventory control, and information flow. While MRP-2 enables more holistic planning than MRP-1, it also requires more complex implementation and recalculation if unexpected changes occur.
The document discusses inventory management principles including definitions, objectives, costs, and models. It summarizes key concepts like ABC analysis which categorizes inventory items into A, B, and C groups based on their value and usage. Group A items account for 20% of items but 80% of cost, requiring close control, while Group C items are less important with loose control. The document also covers economic order quantity and interval models to determine optimal reorder amounts and times.
Material management is a scientific technique, concerned with Planning, Organizing & Control of flow of materials, from their initial purchase to destination.
Inventory generally refers to the materials in stock. It is also called the idle resource of an enterprise. Inventories represent those items, which are either stocked for sale or they are in the process of manufacturing or they are in the form of materials, which are yet to be utilized.
- Inventory constitutes a significant part of current assets for many companies, often around 60% of current assets. Effective inventory management is important to avoid unnecessary costs and ensure profitability.
- There are different types of inventory including raw materials, work in progress, and finished goods. The objectives of inventory management are to maintain optimal inventory levels for smooth operations while minimizing costs.
- An optimum inventory level balances ordering costs, carrying costs, and stock-out costs. Both over-investment and under-investment in inventory can be dangerous for a company. Effective inventory management tracks inventory levels and determines when and how much to order.
This document discusses various methods of inventory control, including ABC analysis, VED analysis, FSN classification, SDE classification, HML classification, economic order quantity, lead time method, buffer stock, and SOS classification. It defines each method and explains how inventory items are categorized and classified in order to determine appropriate inventory levels and control strategies. The overall goal of inventory control is to maintain an optimal level of inventory to meet demand while minimizing costs.
Material and capacity requirements planning (mrp and crp) part 2Dr. Mahmoud Al-Naimi
Lectures on Production Planning and Control for B.Sc. Students - Industrial Engineering Branch -Department of Production Engineering and Metallurgy- University of Technology - Baghdad -Iraq
El documento describe el Capacity Resource Planning (CRP), que es una herramienta de gestión para planificar los recursos necesarios (máquinas y personal) para completar una serie de trabajos asignados a un centro de producción. El CRP permite tomar decisiones a largo, medio y corto plazo sobre la capacidad productiva, como subcontratar trabajos, comprar nuevas máquinas o ampliar el personal. El objetivo del CRP es planificar la producción para asegurar la disponibilidad de productos con inventarios mínimos y optimizar el uso de la capacidad.
This document discusses material management in healthcare. It defines material management and lists its basic functions which include effective purchasing, inventory control, and distribution systems. The goals of material management are to have the right materials in the needed quantities and quality at the lowest possible price. Key aspects covered include demand forecasting, procurement, receipt and inspection of materials, storage, and issue and use of materials. Effective material management is important for delivering quality healthcare services on budget.
This document discusses inventory control and various inventory management techniques. It defines inventory as materials kept in stock, including raw materials, components, work-in-process, and finished goods. It then describes different types of inventories and introduces key inventory terms like lead time, holding costs, ordering costs, and shortage costs. The document outlines techniques for effective inventory management including ABC analysis, VED analysis, economic order quantity modeling, first-in first-out, and last-in first-out costing methods. The goal of inventory control and analysis is to maintain optimal inventory levels to minimize costs.
Inventory management involves controlling the ordering, storage, and use of components and finished goods. It represents a major investment for businesses. [1] Techniques for effective inventory management include determining stock levels like reordering levels and minimum/maximum amounts based on consumption rates and lead times. [2] Safety stocks are amounts held above requirements to prevent stock-outs during lead times. [3] Economic order quantity models determine optimal order sizes by balancing ordering and carrying costs.
This document defines inventory and discusses inventory control. It defines inventory as raw materials, work in progress, and finished goods. Inventory control aims to maintain optimal inventory levels for smooth operations. Inventories are classified and objectives of inventory control include avoiding over/under investment and providing the right goods at the right time. Operating objectives focus on availability, minimizing waste, and customer service, while financial objectives focus on costs. Inventory management aims to balance ordering costs, carrying costs, and stockout costs.
This document discusses inventory management. It defines inventory as raw materials, work-in-process goods, and finished goods ready for sale. It notes that inventory is an important asset for businesses as it represents a primary source of revenue. The document outlines the functions of inventory, including meeting anticipated demand and guarding against stock-outs. It also discusses inventory costs like ordering costs, holding costs, and stockout costs. Finally, it introduces the concept of economic order quantity, which is the order size that minimizes total inventory costs.
Manufacturing planning & control (mpc) systemYash Dave
The document discusses manufacturing planning and control systems (MPC) and master production scheduling (MPS). Some key points:
- MPC systems help formulate plans to meet business objectives and identify resource gaps. They facilitate feedback across suppliers and scheduling.
- An MPS is a time-phased statement of how resources will be used to meet production commitments over the planning horizon. It tends to have a short time horizon and show details like bills of materials.
- MRP was developed to address limitations of traditional inventory models like economic order quantities. It incorporates bill of material information and dependent demand to improve inventory accuracy and reduce stockouts.
The document discusses different types of inventory including raw materials, work-in-progress, finished goods, transit inventory, buffer inventory, decoupling inventory, and MRO goods inventory. It explains the purpose of each type of inventory, such as maintaining production flow, protecting against uncertainties, and anticipating future demand. The document also covers reasons for holding inventory like facilitating uninterrupted production and independent sales activities for manufacturers, and de-linking procurement from sales for trading firms.
This document summarizes an operation management project on ABC analysis conducted by students for their management department. ABC analysis involves categorizing inventory items into A, B, and C categories based on their value and consumption. Category A items account for 10-25% of total items but 70-80% of total value, making them the most important to control tightly. Category B items are less important than A but more than C, while Category C items are marginally important. The analysis identifies vital few high-value items to prioritize for better inventory management and cost savings. Implementing ABC analysis' recommendations would improve the company's inventory policy and management situation.
Basic Concept of Inventory Control, Safety StockRaja Adapa
This document discusses inventory control and safety stock. It defines inventory control as the systematic control over procurement, storage, and usage of materials to maintain an even flow while avoiding excessive investment. The goals of inventory control are to achieve maximum turnover and maintain a balance between high and low inventory levels. Safety stock, or buffer stock, refers to extra inventory maintained to mitigate risks of stockouts due to supply and demand uncertainties. The document provides examples of different inventory control systems and explains how to calculate economic order quantity, reorder level, and safety stock using a numerical example.
This document discusses inventory management. It defines inventory as materials obtained in advance of need that are held until used or sold. There are different types of inventories like raw materials, work in progress, spare parts, and finished goods. Inventory valuation involves determining inventory quantities and assigning values. Holding inventory incurs costs like storage, ordering, shortages. The objectives of inventory control are to ensure smooth operations while minimizing costs and risks through techniques like determining economic order quantities and stock levels.
1) Inventory management involves maintaining optimal stock levels to meet production demands on time and at competitive prices. It aims to utilize resources efficiently while avoiding production interruptions.
2) Inventory is categorized based on the production stage - raw materials, work in process, finished goods. Special considerations are given to critical spare parts.
3) Factors like long lead times, seasonal demand, and material cost fluctuations influence inventory levels. Selective controls like A-B-C analysis prioritize high-value, critical items for close monitoring.
MRP is a system used for planning and scheduling time-phased materials requirements for production operations. If the delivery schedule for end products is known, the requirements for lower-level work-in-process items and raw materials can be planned through simple arithmetic calculations. MRP is an inventory control system that releases manufacturing and purchase orders at the right time to support the master schedule and control work-in-process and raw material inventories through timely order placement, but it does not include capacity planning.
Materials management involves planning and coordinating all activities related to materials, from procurement to conversion into finished goods. The key objectives are to obtain the right materials, in the right quantity and quality, from the right sources, at the right time and price. This helps reduce costs and ensures smooth production operations. Effective inventory management is also important to minimize investment in inventory while avoiding stockouts and excess capacity.
MRP-2 is an evolution of MRP that incorporates additional planning elements such as finances, sales, and integrated resource planning. MRP-2 uses a common database to integrate various business functions and allow for simulation of production schedules based on demand forecasts, inventory levels, bills of materials, and resource constraints. This provides benefits like improved scheduling, inventory control, and information flow. While MRP-2 enables more holistic planning than MRP-1, it also requires more complex implementation and recalculation if unexpected changes occur.
The document discusses inventory management principles including definitions, objectives, costs, and models. It summarizes key concepts like ABC analysis which categorizes inventory items into A, B, and C groups based on their value and usage. Group A items account for 20% of items but 80% of cost, requiring close control, while Group C items are less important with loose control. The document also covers economic order quantity and interval models to determine optimal reorder amounts and times.
Material management is a scientific technique, concerned with Planning, Organizing & Control of flow of materials, from their initial purchase to destination.
Inventory generally refers to the materials in stock. It is also called the idle resource of an enterprise. Inventories represent those items, which are either stocked for sale or they are in the process of manufacturing or they are in the form of materials, which are yet to be utilized.
- Inventory constitutes a significant part of current assets for many companies, often around 60% of current assets. Effective inventory management is important to avoid unnecessary costs and ensure profitability.
- There are different types of inventory including raw materials, work in progress, and finished goods. The objectives of inventory management are to maintain optimal inventory levels for smooth operations while minimizing costs.
- An optimum inventory level balances ordering costs, carrying costs, and stock-out costs. Both over-investment and under-investment in inventory can be dangerous for a company. Effective inventory management tracks inventory levels and determines when and how much to order.
This document discusses various methods of inventory control, including ABC analysis, VED analysis, FSN classification, SDE classification, HML classification, economic order quantity, lead time method, buffer stock, and SOS classification. It defines each method and explains how inventory items are categorized and classified in order to determine appropriate inventory levels and control strategies. The overall goal of inventory control is to maintain an optimal level of inventory to meet demand while minimizing costs.
Material and capacity requirements planning (mrp and crp) part 2Dr. Mahmoud Al-Naimi
Lectures on Production Planning and Control for B.Sc. Students - Industrial Engineering Branch -Department of Production Engineering and Metallurgy- University of Technology - Baghdad -Iraq
El documento describe el Capacity Resource Planning (CRP), que es una herramienta de gestión para planificar los recursos necesarios (máquinas y personal) para completar una serie de trabajos asignados a un centro de producción. El CRP permite tomar decisiones a largo, medio y corto plazo sobre la capacidad productiva, como subcontratar trabajos, comprar nuevas máquinas o ampliar el personal. El objetivo del CRP es planificar la producción para asegurar la disponibilidad de productos con inventarios mínimos y optimizar el uso de la capacidad.
Capacity Requirements Planning (CRP) is a technique to project resource needs for workstations. It takes inputs like planned orders and outputs a load profile for each work center. The load profile compares released orders to work center capacity to identify underloads and overloads. CRP helps determine timing of capacity expansion using strategies like capacity lead, lag, or average. It also provides information to adjust capacity through methods like adding shifts or outsourcing work. The goal is to balance load and capacity to prevent bottlenecks.
This document discusses C-reactive protein (CRP) and its role in myocardial infarction. CRP is an acute phase protein that increases during inflammation and is a marker of tissue damage. Elevated CRP is associated with a higher risk of cardiovascular events like myocardial infarction. The document outlines several methods for measuring CRP concentration, with ELISA and immunofluorescence being more sensitive techniques. It establishes CRP levels that correspond to low, moderate, and high risk of cardiovascular problems. CRP is presented as a useful prognostic indicator for myocardial infarction and inflammation's role in atherosclerosis.
El documento describe diferentes tipos de cartas, incluyendo cartas de agradecimiento, despido, solicitud, felicitación, recomendación, presentación e invitación. A pesar del auge de la comunicación electrónica, la esencia de una carta sigue residiendo en su contenido y forma de expresión, que nunca podrá ser sustituida por un ordenador.
William Aldair Chicaiza Pila está completando un curso de nivelación de carrera en la Universidad de las Fuerzas Armadas. En el documento, él describe su autoconocimiento, incluyendo sus valores, intereses, éxitos y fracasos. También establece su misión, visión, objetivos y metas personales para el futuro, así como sus fortalezas y debilidades. Finalmente, se compromete a seguir esforzándose para cumplir sus sueños de convertirse en un ingeniero reconocido.
Este documento discute vários medos que as pessoas podem ter, como medo de convidar outras pessoas, medo de ouvir não, e medo de julgamento. Ele encoraja as pessoas a não deixarem o medo determinar seu futuro e fornece estratégias para atingir metas, incluindo atividade, disciplina, ajustes, paciência e persistência. Finalmente, explica a técnica SMART para definir objetivos de forma específica, mensurável, alcançável, realista e com prazo definido.
This document provides an overview of commonly used features in PowerPoint. It demonstrates how to add and format slides, apply themes, vary text formatting, insert images from clipart or files, add animated and timed text, apply slide transitions and sounds, use shapes and diagrams, embed videos, add action buttons for navigation, and link to web content and email addresses. The goal is to serve as both a user guide and example presentation to learn PowerPoint features.
El documento describe la misión y visión del SENA, que consiste en ofrecer formación profesional integral a los trabajadores colombianos para contribuir al desarrollo social, económico y tecnológico del país. El SENA busca ser reconocido en 2018 por su efectividad, sus aportes al empleo y la productividad que impacten positivamente el desarrollo regional.
El documento describe la misión y visión del SENA, que es encargado de ofrecer formación profesional integral a los trabajadores colombianos para contribuir al desarrollo social, económico y tecnológico del país. La visión del SENA es ser reconocido en 2018 por su efectividad, sus aportes al empleo y la productividad que impacten positivamente el desarrollo regional.
El documento presenta la información de 8 integrantes de un grupo de administración financiera. Describe conceptos clave como el ciclo de conversión de efectivo, inventarios, cuentas por cobrar y cuentas por pagar, así como fuentes de financiamiento internas y externas para el pasivo corriente de una empresa.
The document discusses the benefits of exercise for mental health. Regular physical activity can help reduce anxiety and depression and improve mood and cognitive functioning. Exercise causes chemical changes in the brain that may help protect against mental illness and improve symptoms.
Major Shaukat Yab Khan has over 24 years of experience in the Pakistan Army working with the Remount Veterinary and Farms Corp. He has held various leadership positions involving the administration and management of military units, farms, and veterinary hospitals. He has extensive experience in wildlife management, security dog handling, equine management, and meat inspection. Major Khan holds degrees in Microbiology and Veterinary Science.
World Vision Pakistan implements several disaster risk reduction and early warning projects in Muzaffargarh, including the Community Resilience Project from 2013-2014. This project aimed to increase community resilience through mainstreaming DRR across development programs, forming disaster management committees in 10 villages, conducting hazard assessments, installing early warning systems, and training volunteers and children. Challenges included limited funding, staffing issues, and the complex security situation. Lessons indicated a need for longer-term strategies, mainstreaming DRR into other sectors, and strengthening coordination between organizations and the government.
Aggregate planning is an intermediate production plan that spans 2-18 months to determine resource procurement quantities and timing to minimize total costs. It considers inputs like workforce, facilities, demand forecasts, and costs. Strategies include proactively altering demand, reactively altering capacity, or using both. The master production schedule converts the aggregate plan into a schedule of individual products over a shorter time period like weeks. It lists products, completion dates, and quantities including firm orders, forecasts, and spare parts. Aggregate planning and the MPS differ in their timeframes, with aggregate planning using months and MPS using weeks.
Argus Patient Screen Tab Training - Katalyst HLSKatalyst HLS
This document provides instructions for entering patient information, medical history, and laboratory data into the ARGUS patient screening system. It describes how to enter initials only for patient name, date of birth using hyphens for missing parts, and age manually if date of birth is partial. Relevant medical history, including conditions, historical drugs, and family history should be included. Laboratory results should be entered in the coded field if abnormal and relevant to events, and normal tests or those not codable go in the free text field. Dates and details like units should be included.
Pharmacovigilance in USA and Europe_Katalyst HLSKatalyst HLS
Introduction to Drug Safety & Pharmacovigilance in USA and Europe for Pharmaceuticals, Bio-Pharmaceuticals, Medical Devices, Cosmeceuticals and Foods.
Contact:
"Katalyst Healthcares & Life Sciences"
South Plainfield, NJ, USA
info@KatalystHLS.com
Este documento describe diferentes modalidades de producción y herramientas de planificación y control. Distingue entre fábricas, que producen con stocks, y talleres, que producen a pedido. Presenta conceptos como planeamiento, programación y control de la producción. Describe herramientas como el Plan Maestro de Producción, el Gráfico de Gantt y los sistemas MRP y JIT para la planificación de recursos.
MRP, MRP2 and ERP system in supply chainSaad Munami
Material Requirement Planning (MRP),
Manufacturing Resource Planning (MRP 2),
Enterprise resource planning (ERP)
Systems in SCM
Definations with explaination
MRP-I and MRP-II are production planning and inventory control systems. MRP-I focuses on material requirements and ensures required materials are available for production. MRP-II is a more integrated system that uses a unified database to plan and update all manufacturing activities including materials, finance, and human resources. It provides a master production schedule and coordinates machine and labor availability with component arrival. Both systems aim to maintain low inventory levels while ensuring materials and products are available as needed.
MRP II is an evolution of MRP that incorporates additional business functions like finance, accounting and human resources planning. It addresses both operational planning at the unit level as well as financial planning. MRP II systems integrate various modules like MRP, CRP, SFC etc. and use a common database to facilitate information sharing across functions. This helps achieve better coordination between different departments and improved control over resources like materials, labor and machines to efficiently meet production schedules. While MRP II provides several benefits, it also has some limitations like high implementation costs and difficulty in handling unexpected changes. Future developments involve further integration using ERP systems.
This is our first post in the series explaining the concepts surrounding MRP system.
MRP is a term that can be understood in many ways. We’ll try to shed some light on the history and relevance of the term and the characteristics of the MRP systems.
(Funnily, the answer to “What is MRP?” depends on the age of the respondent. Read on, and you’ll understand why.)
http://manufacturing-software-blog.mrpeasy.com/blog/2017/09/25/mrp/
MRP and planning topics in Dynamics NAV are discussed, including:
- MRP converts a master production schedule into detailed material requirements. MRP II extends MRP to include capacities.
- Dynamics NAV allows batch-oriented manufacturing with flexibility. Master data includes BOMs, routings, and capacities.
- Planning includes MPS, MRP, forecasting and demand. MPS plans for direct demand while MRP plans dependent demand.
- The planning worksheet allows running calculate plan and viewing/acting on suggestions like purchase/production orders.
ERP stands for Enterprise Resource Planning. It is a software that integrates all departments and functions of a business into a single system to manage resources. ERP aims to enter a customer order once and have it automatically synchronize resources like materials, employees, machines required to fulfill the order. ERP has evolved over 40 years from inventory management techniques to integrated systems that manage all resources including finances. Major ERP providers include SAP, Oracle, Microsoft Dynamics and Infor. ERP provides advantages like lower costs, reduced errors and improved coordination across the business.
MRP, MRP II, and ERP systems are all used for inventory management and production planning but differ in scope. MRP focuses on scheduling materials for production. MRP II adds additional business functions like finance and HR. ERP is the most comprehensive, integrating all core business functions across an entire organization for real-time visibility and collaboration between departments. It offers automation, a single database, common interface, and integration of critical functions. Facility location and layout are also important considerations for production planning. Location selection involves choosing a country, region, and site based on operating factors. Layout refers to the internal configuration of a facility to optimize material and work flow.
On Specifying An Information Management Tool To Support Manufacturing Process...Mohamed Ali El Hani
This document summarizes a case study on specifying an information management tool to support manufacturing process planning engineers in the aerospace industry. The study documents the manufacturing process planning process through a business map and IDEF0 activity model. It identifies 80 activities and 50 deliverables in the process planning process. The study aims to analyze the information needs of process planning engineers in order to specify the requirements for a dashboard tool to help them efficiently develop manufacturing process plans from product definitions. The analysis identifies a need for a dashboard tool to address the challenges of process planning engineers needing to access reliable information across multiple existing tools like PLM, MPM and ERP systems.
This document discusses material requirements planning (MRP), manufacturing resource planning (MRP II), and enterprise resource planning (ERP). It provides an overview of each system and how they evolved from MRP to better integrate planning across functions. A team is listed that includes members from roll numbers 5, 11, 14, 29, and 38.
Manufacturing resource planning (MRP II) is a method for effectively planning all resources in a manufacturing company, including operational, financial, and human resources. It addresses planning, scheduling, and answering "what-if" questions through integration and simulation capabilities. MRP II evolved from material requirements planning in the 1980s to encompass more than just materials planning. It integrates functions like production scheduling, inventory management, purchasing, and cost accounting to allow for information sharing across different departments and improved control, scheduling, and benefits.
MRP II is a method for effectively planning all resources in a manufacturing company using integrated software systems. It addresses operational and financial planning as well as simulation capabilities. Key elements include the master production schedule, bill of materials, production resources, and integrated auxiliary systems for business planning, engineering, sales analysis, and accounting. MRP II provides benefits like better inventory control, scheduling, and cash flow through integrated planning of materials, capacity, and finances across the organization.
This document discusses the evolution of MRP-type systems from Material Requirements Planning (MRP) to the latest generation, Enterprise Resource Planning Extended (ERP II). It describes the five stages of evolution: 1) MRP, 2) Closed-loop MRP, 3) Manufacturing Resource Planning (MRP II), 4) Enterprise Resource Planning (ERP), and 5) ERP II. Each stage built on the previous one by adding new capabilities and integrating additional business functions and resources across the enterprise. The goal was to develop comprehensive systems for integrated planning and control of all resources across manufacturing organizations.
The document traces the evolution of enterprise resource planning (ERP) systems from the 1960s to the present. It discusses early inventory management systems and the development of materials requirements planning (MRP) in the 1970s. MRP evolved into manufacturing resource planning (MRP II) in the 1980s which integrated additional business functions. In the 1990s, MRP II became known as ERP as it covered more of a company's business enterprise. The document outlines continued trends like expanded ERP capabilities and the emergence of ERP II systems to enable greater inter-organizational collaboration. Next generation ERP is shifting to cloud-based systems that provide real-time access to data across organizations.
Material Requirement Planning (MRP) is a software-based production planning system used to manage manufacturing processes and inventory. It involves forecasting demand, creating a master production schedule, bills of materials, and using an inventory status file to determine net material requirements. The system generates reports and orders to meet requirements while maintaining low inventory levels. Distribution Requirements Planning (DRP) applies MRP principles to distribution by linking customer demand and forecasts to inventory replenishment plans across multiple warehouse locations in the supply chain.
well,
This presentation gives very breif insight into SAP basics for noobs or dummies as i may call them (like me)
nevertheless i presume this is not an elegant presentation ....
Mrp vs. erp which solution is right for you?MRPeasy
MRP vs. ERP: Which Solution is Right for You? Each software solution is distinctive, and it does matter which one you choose. Here are some things to consider.
This document discusses recent trends in inventory control, including just-in-time (JIT) systems, material requirements planning (MRP I), manufacturing resource planning (MRP II), and enterprise resource planning (ERP) systems. JIT aims to reduce inventory costs by receiving goods only as needed. MRP I focuses on manufacturing materials while MRP II adds production planning and tracking. ERP integrates all business departments, making workflow tracking easier across an organization. The trends aim to maximize inventory use and minimize costs through accurate forecasting and coordination of production and resources.
How to Build a Module in Odoo 17 Using the Scaffold MethodCeline George
Odoo provides an option for creating a module by using a single line command. By using this command the user can make a whole structure of a module. It is very easy for a beginner to make a module. There is no need to make each file manually. This slide will show how to create a module using the scaffold method.
Macroeconomics- Movie Location
This will be used as part of your Personal Professional Portfolio once graded.
Objective:
Prepare a presentation or a paper using research, basic comparative analysis, data organization and application of economic information. You will make an informed assessment of an economic climate outside of the United States to accomplish an entertainment industry objective.
This presentation was provided by Steph Pollock of The American Psychological Association’s Journals Program, and Damita Snow, of The American Society of Civil Engineers (ASCE), for the initial session of NISO's 2024 Training Series "DEIA in the Scholarly Landscape." Session One: 'Setting Expectations: a DEIA Primer,' was held June 6, 2024.
Exploiting Artificial Intelligence for Empowering Researchers and Faculty, In...Dr. Vinod Kumar Kanvaria
Exploiting Artificial Intelligence for Empowering Researchers and Faculty,
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at Integral University, Lucknow, 06.06.2024
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This presentation includes basic of PCOS their pathology and treatment and also Ayurveda correlation of PCOS and Ayurvedic line of treatment mentioned in classics.
Thinking of getting a dog? Be aware that breeds like Pit Bulls, Rottweilers, and German Shepherds can be loyal and dangerous. Proper training and socialization are crucial to preventing aggressive behaviors. Ensure safety by understanding their needs and always supervising interactions. Stay safe, and enjoy your furry friends!
How to Manage Your Lost Opportunities in Odoo 17 CRMCeline George
Odoo 17 CRM allows us to track why we lose sales opportunities with "Lost Reasons." This helps analyze our sales process and identify areas for improvement. Here's how to configure lost reasons in Odoo 17 CRM
How to Add Chatter in the odoo 17 ERP ModuleCeline George
In Odoo, the chatter is like a chat tool that helps you work together on records. You can leave notes and track things, making it easier to talk with your team and partners. Inside chatter, all communication history, activity, and changes will be displayed.
How to Fix the Import Error in the Odoo 17Celine George
An import error occurs when a program fails to import a module or library, disrupting its execution. In languages like Python, this issue arises when the specified module cannot be found or accessed, hindering the program's functionality. Resolving import errors is crucial for maintaining smooth software operation and uninterrupted development processes.
ISO/IEC 27001, ISO/IEC 42001, and GDPR: Best Practices for Implementation and...PECB
Denis is a dynamic and results-driven Chief Information Officer (CIO) with a distinguished career spanning information systems analysis and technical project management. With a proven track record of spearheading the design and delivery of cutting-edge Information Management solutions, he has consistently elevated business operations, streamlined reporting functions, and maximized process efficiency.
Certified as an ISO/IEC 27001: Information Security Management Systems (ISMS) Lead Implementer, Data Protection Officer, and Cyber Risks Analyst, Denis brings a heightened focus on data security, privacy, and cyber resilience to every endeavor.
His expertise extends across a diverse spectrum of reporting, database, and web development applications, underpinned by an exceptional grasp of data storage and virtualization technologies. His proficiency in application testing, database administration, and data cleansing ensures seamless execution of complex projects.
What sets Denis apart is his comprehensive understanding of Business and Systems Analysis technologies, honed through involvement in all phases of the Software Development Lifecycle (SDLC). From meticulous requirements gathering to precise analysis, innovative design, rigorous development, thorough testing, and successful implementation, he has consistently delivered exceptional results.
Throughout his career, he has taken on multifaceted roles, from leading technical project management teams to owning solutions that drive operational excellence. His conscientious and proactive approach is unwavering, whether he is working independently or collaboratively within a team. His ability to connect with colleagues on a personal level underscores his commitment to fostering a harmonious and productive workplace environment.
Date: May 29, 2024
Tags: Information Security, ISO/IEC 27001, ISO/IEC 42001, Artificial Intelligence, GDPR
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2. Conclusion
Manufacturing Resource Planning (MRP II)
Benefits of MRP II
Disadvantages of MRP II
Conclusion
Enterprise Resource Planning (ERP)
Advantages of ERP
ERP Selection
How do we start for ERP
ERP involves
Drawbacks of ERP
Conclusion
INTRODUCTION
SUPPLY CHAINMANGEMENT:
Supplychainmanagementisthe flowof goodsandservicesbetweenentitieswhichincludesthe storage
and movementof rawmaterial,work-in-processinventoryandfinishgoodsfrompoint of origintopoint
of consumption tosatisfycustomersatminimumcost.
Manuallymanagingsupplychainefficientlyandeffectivelyisbecome very complex andtime consuming
task because the dataof suppliers,customers,raw materials,work-in-processandfinishgoodisinhuge
amountwhencompanylike P&Gor Unileverhas100 of productsso we couldimagine how difficultit
wouldbe forthemto manage data of all the inventoryaswell asto recorddata of customersand
supplierssomovingfrommanual workto software’slikeMRP,MRP2 and ERP can helpstreamline their
process.
ADVANTAGES OF USING SOFTWARE:
Aftermovingtowardsthese software’s ithelpsto:
3. Avoidscostlyhumanerrors
If the companymanuallytracksthe entire inventoryandforecastitthenthe riskof errorin thismethod
ishigh.Imagine if the companyhave orderof only100 customerswitheachorderhave 10 different
inventoriesthe riskerroristoohigh andif the wronginventoryisdispatchedtothe customerthenitwill
obviouslyimpactoncustomersatisfaction,increase costof companyand order fulfillmentperformance.
Intelligentmanagementofrealtimebusiness
Movingtowardspowerful software meansthe operationstaff canforecast andmanage inventory or
eventheycanmanage whole supplychainatone place.If the demandincreasessoftware make iteasy
to manage time scalesandmake it easyto adjustanykindof procurement,productionanddistribution
process.
Avoid unnecessaryoverstocking
Software makesiteasyto manage inventorywithminimumleadtime,itisdifficulttomanually recheck
all inventoriesandforecasthowmuchamount of material isrequiredandhow muchis alreadyin the
stock,But withthe helpof software itbecome verymucheasyto maintainrecordof everyinventory
whichhelpstoavoidunnecessaryoverstocking.
Managelogistics
IntegratedSoftware helpstomonitorinventory atone place eitheritiscomingfromsupplieroritisto
delivertocustomerorshiftingtowarehouse.Soithelpstocontrollingplannedandactual stock
transfersfromsupplierortransfertocustomersor warehouse.
Reducepaperwork.
Movingfrom paperworkto software ensuredyouthatall transactions are enteredinone system,coded
up correctlyandwill give completerecordwheneverrequire.Soit minimizes paperwork,time andcost.
MATERIAL REQUIREMENT PLANNING (MRP):
Material requirementplanning(MRP) isacomputerbasedsoftware helptoassistmanagertoensure
enoughproductsare available fordeliverytocustomerand material isavailable forproductionandto
minimize stockinwarehouse italsohelpsinscheduling andplacingorderfordependentitems.
Dependentitemsare the componentsof finishgoodssuchasdifferentraw materialsanddifferent
componentpartsuse to make finishgood,like:tomake motorcar dependentitemsare wheels,seat,
engine,steal etc.
4. MRP managementsystemwasfirstevolvedaround1940’s and 1950’s. Inthe 1960s, JosephOrlicky
studiedthe TOYOTA ManufacturingProgram and givesthe conceptof MRP (Material Requirement
Planning).Black&Deckerin1964 was the firstcompanyto use MRP. Theyuse mainframe computerto
detonate informationfrombill of materialforfinishgoods intopurchasingplanandproductionfor
components.
MRP worksto developrequirementforraw material andfinishgoods,fromaproductionplan tofinish
goods. MRP startedwiththe schedule forfinishgoodswhichafterwardsconvertedinthe scheduled
requirementforthe subassemblies,the raw materials andthe componentpartsusedto make final
productswithinthe establishschedule.MRPbasicallydesignedtogive answertothree questions,what
isneeded?Whenitisneededandinwhatquantityitisneeded?
ImplementingandusingMRPcan helpmanagerto know how muchcapacity isneededtoallocate
productiontime.ButMRP for small businessisverycostlyandtime consumingtoimplementwhichmay
put themoutof range.In additionthe informationthatcomesoutfromMRP is as onlygoodas it posted
intoit.So companymust maintainaccurate bill of numbersandinventoryif they wanttoobtain
maximumpotentialbenefitsfromMRP.
MRP PROCESSING:
For supplychainprocess, MRPsystemuse informationcalledmasterschedule,material billsand
inventoryrecordfiles,anMRP systemcalculate the netrequirementforsubassemblies,component
parts and raw material foreachperiod. Inorderto compute the netrequirement,MRPcompute itas:
Gross material Requirement – Inventory on hand + Safety stock
Although workingbackwardfromproductionscheduletofinishgoodisseemtobe a simple processbut
it isactuallyan extremelycomplicated especially whenone material isusedinmanufacturingof number
of differentproducts. Frequentlychanginginorderquantity,size orproductionschedule isnotsimple
process.ButMRP made it easywhenone hasto track numberof material schedules thenitmanifests
the powerof computersoftware.
5. ADVANTAGES OF MRP:
Helpsto minimizeinventorylevel.
Increase inventoryturnover.
Track material requirements.
Identifiesshortage ininventoryitems.
Helpsto track raw material,work-in-processandfinishgoods.
Helpsto planthe procurementschedule.
Determinesthe mosteconomical lotsizesfororder.
Computesquantitiesrequiredforsafetystock.
Calculate bill of material (BOM) andassembliesrequired.
On time delivery.
Customerservice andresponsiveness.
DRAWBACKS OF MRP:
Withthe above advantages,MRPalsohave several problems:
1) MRP onlygive accurate outputif accurate inputisprovidedtoit.If any of businesshasnot
maintainedaccurate recordsof inventoryorif failedto update all relevantchangesinBOM(bills
of material),itwillnotbe able toreceive accurate outputfromMRP systemwhichmaycause
seriousproblems. Theycouldencounteraproblemof missingparts,scheduledelays,excessive
orderquantitiesormissed deliverydates.Soif anybusinesswantsMRPtofunctioneffectively
and provide usefulinformationtheymusthave anaccurate masterschedule,currentinventory
levelsandgoodleadstime estimateswhichisobviouslynotaneasywork.
6. 2) AnotherdrawbackpossiblyencounteredwithMRPiscostly,time consuminganddifficultto
implement. ManybusinesseswhentryingtoimplementMRPface resistance fromemployees.
Because whenthe employee ishabitualof doingmanual workitbecome difficult forthemto
switchtowardsnewsoftware whichisnotan easyto use.
So to implementMRPthe mainworkof companyisto give trainingand educationtoall key
personnel anditisimportanttoidentifyatthe initial stage whose workwill be affectedbynewMRP
system. Therefore the MRPwasthe firststepto enhance the supplychainprocesswhichleadsto
the efficiencyandeffectivenessof the business.
MANUFACTURING RESOURCE PLANNING (MRP2):
The technologyof MRP expendedin1980 to create new approachcalledManufacturingresource
planningorMRP2. Inmanufacturingresource planning(MRP2) the validproductionschedule proved
itself tobe so successful thatorganizationknowsthatresourcescouldbe better controlledand planned
withvalidschedules.In the bookof ProductionPlanningandcontrollingwriterGordonMintynoted
that: “By the improvementincashflowprojections,personal managementprojectionsandcustomer
deliverycommitmentsthe mainareasaffectedweremarketing,personnel andfinance”.
Withmaster productionschedule MRP2facilitates the improvementof detailedproductionschedule
usedformachine and laborcapacity,provide schedulewhenthe productionistorunaccording to the
arrival of materials.Itprovidesthe dataforthe cost of productionincludinglabortime,material used
and machine time,alsoMRP2providesfinal productionnumberstofinance andaccountingdepartment.
MRP-2 or Manufacturingresource planningistoobeyondfromMRP1. WhenMRP stoppedreceivingthe
dock,MRP2 includesthe flowof value all the waytothe shippingdockthroughthe manufacturing
facilitywhere the productisfirstpackagedandthendispatchedtothe final customer.The streamvalue
includes Machine capacityscheduling,planning,analysismodules, demandforecastingandquality
trackingtools.MRP2 come up withsome toolsfortrackinglaborcontributionmargin,employee
attendance.
MRP2 maintainstrackof functionsandspecificcharacteristicsof the entire organization.Example
includes,butitis notjust limitedto,the following:
Productspecification
Quality control
Productdesign
Quality assurance
Ordermanagement
Shopfloorcontrol
Inventory
Purchasing
7. Costcalculation
Generalaccounting
Costreporting
Taxcalculation
Cashflow
Taxpayment
Manufacturingresource planning(MRP2) helpsbusinesstostandardize theirprocesses byproviding
themmechanizedmethodsfordifferentareasof the business.Standardizationprovideseasilyrepeated
processand a platformwhichhelpstoimprove those processes.ImplementingMRP2by the company
for the firsttime isgenerallyhavingproblemsincontrollingthe increasingtransactionsin
manufacturing,purchasing associatedwiththe growth.MRP2enablesemployeestodomore inthose
businessareasandhave bettervisibilityof the informationfortheirjobs. MRP2allows beingmore
competitivetothe companybyimprovinginthe wayworksget done.
BENEFITS OF MANUFACTURING RESOURCE PLANNING (MRP2):
8. Bettercontrol of Inventories
Productive relationshipwith
Betterqualityandalsocontrol quality
Improve designcontrol
Improve cashflowthroughfastdelivery
Accurate inventoryrecords
Reducedworkingcapital forinventories
DISADVANTAGES OF MRP2:
Once implemented MRP2itwill require accurate information.Errorswill resultinautomatedplanning
processif the informationisusedinpoorqualityineitherthe bill of materialmodule orthe inventory
area. To manufacture orpurchase the planningpartuse averagesforlengthof time (leadtime),andon
purchase orderor manufacturedquantitiesthatisgenerallypurchase onworkorder(lotsizes). If the
actual lotsizesproducedorpurchasedandleadtimesfluctuatesconsistentlythenthe software will not
be able to produce plansthat matchwithcurrent scenario.Lackof understandingandpoorinformation
of thenimpacton average leadtimesandlotsizescancause executionfailure andcostly
reimplementation.
Conclusion:
It islongtime that MRP2 isintroducedinindustryandbusiness.Forproperunderstanding of the
applicationaspectsstaff mustbe fullytrained andforachievingbenefitsfromMRP2commitmentfor
implementationispre-requisite.Mostof the companiesinthe worldhavingMRP2 are implementing
(Enterprise Resource Planning) ERP gainmaximumproductive resultswithhighlyeffective software.
ENTERPRISE RESOURCE PLANNING (ERP):
ERP isthe solutionthataddressesthe enterprise needstakingthe processview of anorganizationto
meetthe organizational goalstightlyintegratingall functionsof an enterprise.
Enterprise resource planningisbusinessmanagementsoftware integratesall the internalandexternal
information,intosingle complete solution,whichisusedbythe organization.AnERPsolutionincludes
for the organizationthe practical systemwhichtheyuse fortheirbusinesstomanage the basic
commercial functions,suchas,inventory,management,planning,manufacturing,purchasing,
accounting,humanresources,finance,sales,servicesandmarketingetc.the purpose of ERP isto drive
the informationflowbetweenall internal business andmanage connectionwithoutsidestakeholders.
Enterprise resource planning(ERP) runona varietyof networkconfigurationsandcomputerhardware
includingclient/serveri.e.“onpremises”or hostedi.e. “cloudbased”
TypicallyERPsolutionuse acommondatabase,regardlessof the configuration,toholdinformationfrom
the differentbusinessfunctionsthat’seasilyavailableinsome formoranotherby differentusers.
Organizationsuse ERPto manage the solution’smulti-model applicationwithinageneral information
systemisone of the mostimportantERP benefitsover“pointsolution”of thiskindof system.
9. ADVANTAGES OF
ENTERPRISE RESOURCE PLANNING SYSTEM (ERP):
ERP systemhasreducedthe operational costsincurredinmanuallytrackingaswell asmakesiteasyto
track workflowacrossdifferent departmentsand alsoreducedduplicatingdatausingdifferentand
individualsystem.Followingare the advantagesof implementingEnterpriseResource Management
(ERP) system.
CoherentandAutomaticworkflow fromone departmentorfunction toanotherto ensure
smoothtransition andcompletionof processes.
Complete visibility(especially forseniormanagementpersonnel) of all the importantprocesses
across differentdepartmentsof the organization.
Since single integratedsoftware is operatingbyall departments soERPhelpthemto avoid
maintainingorbuyingtheirownsoftware systems.
A single andunifiedsystemtoanalyze the numbers,statistics andstatusetc.inreal-time across
all the departments.
ERP systemsprovide advancede-commerce integrationwhichcanhandle web-basedorder
trackingand processing.
ERP systemcouldalsobe extendedtoprovideBusinessintelligence functionalities.
In an ERP systemthere are variousmoduleslike Accounts,Finance,HumanResource
Management,Marketing,Sales,Manufacturing,WarehouseManagement,SupplyChain,Project
Management,CRMetc.
10. On the back endsingle database isimplementedtostore all the informationrequiredbythe
ERP systemwhichalsoenablescentralizedstorage of all enterprise data.
ERP systemenablesfasterandbettercollaborationaroundall the departments.
Centralizedsecuritypoliciescanbe appliedtoERPto make it more secure moreoverall the
transactionsmade throughERP systemscanbe tracked.
As ERP isa modularsoftware system, soitispossible toimplementeithermanymodulesorfew
modelsbasedonthe requirementof anorganization.The moduleswillbe implementedthe
integrationbetweenvariousdepartmentswillbe better.
Throughan (ApplicationProgrammingInterface) APIitispossible tointegrateothersystems(for
example likebar-code reader) tothe ERP.
ERP make it easierforinventorytracking,revenuetracking,salesforecasting, ordertackingand
relatedactivities.
ERP systemhelpsformanaginggloballydispersedenterprisecompanies
ERP SELECTION:
Checkwhetherall functional characteristicof the businessare covered
Checkwhetherall the latestITtrendsare covered.
Checkwhetherall the business processes andfunctionsare fullyintegrated.
Checkwhetherthe vendorhasimplementingandcustomizingcapabilities.
Checkyour investmentcapabilityand ROI.
HOW DO WE START FOR ERP:
Ensure that youhave enoughfinancial funds
Ensure the managementisbehindyou
Identifycore projectteam,specialist,projectmanagerandanalystfromall financial areas.
Make an implementationplan.
Evaluate andselectERP Package.
Presentplanto the concerned committee of managementforsanction.
Presentplantoemployeesgroupforfeedback.
ERP INVOLVES:
BusinessandoperationAnalysis
BusinessprocessRe-engineering
Projectplanning
Installationandconfiguration
Restructure of organization
(BRPaimedto helporganizationfundamentally tothinkagain how they coulddotheirworkin
orderto considerably cutoperational costs,improve customerservice,andbecome worldclass
competitor)
Businessrequirementmappingto software
Projectteamtraining
11. Systemmodificationandinterfaces
Module configuration
Customdocumentation
Data conversion
Conference roompilot
End usertraining
Production
Acceptance testing
Postimplementationauditsupport.
DRAWBACKS OF ERP:
The cost of implementingERP software,planning,configuration, customization, testingetc.isveryhigh.
It takes1-3 yearsto getERP implementedandgetcompletedandfullyfunctioned.
Too much customizationslow downthe projectanditwill be difficulttoupgrade itwhile toolittle
customizationmaynotintegrate the businessprocesswithERPsystem.
The return oninvestmentmaynotbe realizedimmediatelyafterimplementingERP& itis notan easy
task to measure the same.
There may be additional indirect costslike upgradingthe WAN links,new ITinfrastructureetc.
For successful implementationof ERPsoftware the participationof usersisveryimportant.So,simple
userinterface andexhaustive usertrainingmightbe critical.Butitisgenerallydifficulttouse or learn
ERP system.
It isalwaysdifficulttomigrate fromotherstandalone software’stointegratedERPsystemandthe
migrationof all the existingdatatonewERP systems.
In decentralizedorganizationsERPimplementationisdifficulttoachieve withdisparate business
processesandsystems.
ERP systemwhenonce implementeditcannotbe furtherupgradedorcustomizedasitbecomesasingle
vendorlock-in.
CONCLUSION:
An ERP benefitdoesn’tjustleadtoincrease SCMcompetencies;more soin the case of managerial,
strategicand operational ERPbenefits.
It isbelievedthat80% of respondentwhobefore developingSCMsystem, developedanERPsystemare
receivingmore positiveresult.