ERPsummary

1/41ITC/HuafeiWelcome!Specialformanufacturingindustry2/41What?&Know-how!3/41ERPisWhat?What'sthebosscaresofmostlyWhat'sthetrouble?ERPcandowhatforus?HowtoimplementanERPsystemERPbasicsERPdevelopingtrend4/41ERPrevolutionaryreformofenterprisemanagementWhenweimplementERPincorporation,wearenotonlyrunningasoftwaresystem,butarevolutionaryreformofenterprisemanagement.5/41iswhatHumanMoneyMaterialTimePlanExecution/ControlReview/AnalysisForecastResourcemanagementsystem6/41⊙Human⊙Machine⊙Material⊙Time⊙MoneyHuafeiTargetOptimizing7/418/41--Inouralwaysboringmanagement.Allfortheirfault!Idonotcareoftheothers’matterIonlycareaboutmyownEnoughinventory,deposittoomuchOrstillinlack!Largeorders,butlowerprofit/income!Continuousreport,butslowimprovement!Worksohard,butlowperformancealways!Allsupermanrecruited!,butlowperformance!Oftencannotmeetdemandintime!Cashisoftennegative,CFOexhausted!WrongDATA!9/41Weallworksohard,whycan’twedobetter?☆limitationofinformationtransferring:speed,direction,interactivity,…☆limitationofdatacorrectness:Garbagein,Garbageout.☆limitationoffunctionalorganizationmatrix☆toocomplexprocess:operation,calculation,approval,…☆notwell-integrated:fornoavailablemethod,toomuchmanagementcostifintegrated-runningmanually10/41Everyoperation,everyperson,everyorganization’sdevotiontothecompanyResourceoptimizationEffectiveresourceusageminimizedcost,maximizedprofitBusinessintegrationcontrolinERPonbusinessprocedures,linkallmodulesrunningtogetherandchainthem.Scientificmanagementstandardized,digitalized,simplified11/41Costcontrol/analysisoneverytransactionPerformanceanalysisforeachbusinessprocessLowercostmeansmuchearningBetterservicewithquickerresponsemeansmoreincomeMucheffectiveplan&executionmeansshorterdeliveryBetterQC/feedbackforQualityimprovement12/41ThefamousITresearchconstitute–BenchmarkingPartners‘sconclusiononERPimplementationresult:indicatorMeasurableresultindicatorMeasurableresultManufacturingcostdecreasedby11-24%Purchasecostdecreasedby17.5-20%Cashavailableincreasedby13-24%ARdecreasedby6-7%Employeeheadcountdecreasedby33-44%Deliverydelayratedecreasedby3-9%Inventorycapitaldecreasedby40-48%Close-offtimecycleshortenedby13-20%Incomeorprofitincreasedby18-22%Produceperformanceincreasedby23-32%Salesfeedecreasedby8-11%Orderprocessingcycletimedecreasedby18-32%Productqualifiedyieldincreasedby3.5%ERPimplementationresult13/4114/41Getuserrequirement&expectationMatchingitintoERPStimulate&runitinERPMaintenance,tuning,improvingUser+consultantconsultantUser+consultantITadministrator15/41SoftwareimplementationlifecycleProjectscheduleSoftwareConsultingExecutionAdministration&maintenanceSystemassessmentDeliverableFunctionpointcheck&reviewReportPerformanceBusinessmanagementimprovementUserrequirementcollectionBPRImplementationdesignBasicdatapreparationSoftwareinstallationInitializationTrialrunning(new-oldsystemconvertion)Administration/maintenance/tuningTraining16/41SalesPurchaseInventoryMPS/MRPHR/PayrollWIPTPMQAARAPCostGLAssetsBudget18/41SOrderA3000MPSA3100WIPA1000InvA4000TubeA1000SafeQty:200Over(+)800PorderTubeA3100Rcv3000ShippingA1000Cost:3100+1500A/P3100A/R6000Profit:1400IQA3000A:60%X:30%Y:10%Knowcost/profitanytimeanyoperation!!!$$$$$$$MarketingforecastBudgetcontrolTargetTPMQAHR/Payroll19/41SCMDemandforecastingIntercompanytradeProcurementmanagementPartnerself-servicewebsitesPerformancemonitoringElectronicinformationexchange20/41Scientificforecast=differentmethodologyforforecasting&forecastingreview/adjustPricingpolicy&promotion:setcontrolonorderpriceQuotation:bettercommunicationwithcustomer,orderlossanalysisContractreview:checkcost/profitbeforeformalorderplacedSalesorder:orderstatusundercontrolShipping:feedbacktoSOandlinktoinventoryAnalysis:Orderachievement,Delayanalysis,Performance:$SOamt/person,$income/person,sum,…21/41Distribution[DRP]Multi-sitewarehousemanagementInventorymanagementwithdimensionsOrderhandlingwithtradeagreements22/41ProductNO.SOMPSWIPNoGoodIntoStockShippedScheduledDateScheduledQtyDelayRatexxxx3200013000200020009000300006/01/031200075%9days220003000400015000300006/05/032000094%5daysWIP5000Order32000MPS35000NG:6000IntoINV24000Shipped6000Inventory36000Cost$60000Profit:$12000ProductNO.SOOrderpriceStdcostGrossprofitActualcostCellcostNetProfitxxxx3200021.516000600001.8812000CellCost$1.88Knowcost/profitanytime!!!$$$$$$$23/41BudgetcontrolonpurchaseProcurementpricecontrolpolicyQuotation:pricecomparisonandtraceforcostdownPurchaseorder:orderstatusundercontrolReceiving:feedbacktoPOandlinktoinventoryAnalysis:Orderachievement,Delayanalysis,Performance:$POamt/person,$costdown/person,…24/41ProcurementmanagementChaintracingofmaterialstatus:SO:A2500WO:A2300Date:7.5Date:7.1InventoryA:500MMPO:Tube1700x1:850x2:3400…Date:6.24Onway:Tube500X1:300x2:1000…Date:6.26Received:Tube600X1:300x2:1000…Date:6.26WIP:A200ShopfloororderIssueAllocationKnowcost/profitanytime!!!$$$$$$$25/41IteminformationInventorystatuscontrolTransactionprocessLotcontrolCountprocessCost/riskcontrol/analysisIssuecontrolValueanalysis,ABC