Samenvatting ERP 3e jaar KMO

ERP & Quality Control
What is ERP?

ERP: enterprise resource planning

 Computer software used within organisations to support all processes in the
company.

Supply chain analytics

 Make it possible for companies to collect, asses and respond to the data
generated by their supply chain. They can make quick adjustments en long-
term strategy changes that will provide a competitive advantage

3 departments:

1. SD – Sales & distribution = sales department
2. MM – Materials Management = Purchase department
3. PP – Production Planning = Production department

Scheme
Very important to understand

Practical problems
 Right communication
 Waiting time Solution: ERP software
 …



 E – enterprise – for companies
 R – resource – people + materials
 P – planning – plan the sequence better

How works ERP
1. Contract in computer
2. Automatic search in stock
3. Automatic calculation delivery date
4. Automatic order parts
5. Automatic start of production
6. Automatic stock keeping

, Sales
department




Purchase Logistic
department s


ER
P
Production Bookkeeping
department department




HR
department




Implications

 SOD = Segregation of duties
o Everybody has his own responsibility in the ERP system so we need to
make sure that not everybody can access an other department.
 Master Data Management
o Having a person responsible for MDM
 No double entries
 Understand significance of every field
 Correct sequence of entrance
 A lot of data in 1 database
o Opportunities for analysis
o Big data
o Online analytical processing tools (OLAP)

,Sales & Operations Planning
S & OP = sales and operations planning, plan what we will have to sell

 Think about how many we have to have in stock
 How many should we produce upfront
 We do that calculation out of the system
 Think about what is going to happen in the future

Phase 1 of the S&OP: forecasting
 Try to make a forecast of future sales
 Different ways:
o Put real sales in the system & extrapolate for the future
o Own forecasting on basis of research
 Who?
o Marketeer: develop new customers, markets and products, allow the
existing ones to grow. A dreamer, one with big ideas.
o Demand planner: create realistic and achievable demand, in such wat
that the rest of the logistical and production can get organised in time.
He carries the responsibility of delivering a forecast in numbers.

Forecast accurate?
 Forecasts are always wrong

Forecasting in ERP/SAP
Forecast models

 Trend
 Seasonal
 Trend an seasonal
 Constant

Selecting a model

 Automatically
 Manually

, Forecasting = Roll up process

F.ex.: if a bakery have to make a
forecast of how many breads he
will sell per week. This is why he
will start from the number he sells
today (500 brown breads, 300
white breads …) and he will roll it
up, not going to keep calculating
in terms of breads but in terms of
kg. We want a big number of what
we think we would sell.

From SKU (stock keeping unit)
level to a forecast on product
group level.



Phase 2 of S&OP: Demand Planning
Its only in the second phase we want to force down. Just knowing that we need 500kg
breads next week is not enough, how many brown? How many whites? …

From product group level back to SKU level




Central concept in the second phase: Come to a number on SKU-level =
independent demand. The demand of the market.

Independent demand: the demand of the market for the product or services of a
company.