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Enterprise Resource Planning
- Presented by Rinkal Hirani Session 3
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Session 3 Typical Business Functions
Functional process modules within an ERP A business process is a collection of related structural activities that produce a specific outcome for a particular customer. A business process is a recipe for achieving a commercial result. Each business process has inputs, method and outputs. The inputs are a pre-requisite that must be in place before the method can be put into practice. When the method is applied to the inputs, then certain outputs will be created. A business process can be part of a larger, encompassing process and can include other business processes that have to be included in its method. A business process can be thought of as a cookbook for running a business; "Answer the phone", "place an order", "produce an invoice" might all be examples of a Business Process.
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Marketing and Sales Function
M/S HR A/F SCM Customer Legal Requirements Sales Order Hiring needs Order Status Sales Forecasts and Sales Order Sales order data Cost /Profit Analysis Product data and Order Status
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Supply Chain Management Function
SCM HR M/S A/F Supplier Legal Requirements R/m Availability and delivery Order for new R/m and Packaging Hiring needs Product data and Order Status Prod. Plans, materials and Inventory Sales Forecasts and Sales Order Sales data and Manufacturing cost Analysis
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Accounting and Finance Function
A/F HR M/S SCM Customer Legal Requirements, Payroll and benefits exp. data Payments Invoices and Credit Memo Hiring needs and emp. Info. Cost/profit Analysis Sales data and Manufacturing cost Analysis Prod. Plans, materials and Inventory Sales order data
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Human Resources Function
HR M/S A/F SCM Legal Requirements and Job Info. Legal Requirements and Job Info. Hiring needs and emp. Info. Hiring needs and emp. Info. Legal Requirements, Payroll and benefits exp. data Hiring needs and emp. Info.
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Business Process – A Supply Chain Case
Suppliers Intra-Company Fabrication Assembly Retailers Distributors Consumers Commercial Buyers Information Flow Material Flow Features: Independent systems to manage the interaction between players in the supply chain. Great operational flexibility - Problems -forecasting uncertainty, visibility limited. Conventional Supply chain
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Supply Chain with Features: Integrated information
Suppliers Intra-Company Fabrication Assembly Retailers Distributors Consumers Commercial Buyers Information Flow Material Flow Web Order Processor ERP System Features: Integrated information System optimization possible Problems - inflexible - need a much more formal infrastructure to support the system. Supply Chain with
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Functional process modules within an ERP
Financial Module Manufacturing Module HR Module Materials Management Module Production Planning Module Plant Maintenance Module Quality Management Module Purchasing Module Marketing Module Sales and Distribution Module
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