Business Process Overview IE 450 Enterprise Perspective of Manufacturing System.
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Transcript of Business Process Overview IE 450 Enterprise Perspective of Manufacturing System.
SAP America, Inc.SAP America, Inc.
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Business ProcessBusiness Process Overview Overview
IE 450 Enterprise Perspective IE 450 Enterprise Perspective of Manufacturing Systemof Manufacturing System
SAP America, Inc.SAP America, Inc.
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Business Processes FunctionalityBusiness Processes Functionality
Financial / Management Financial / Management Accounting and ReportingAccounting and Reporting
ProcurementProcurement
Manufacturing Planning Manufacturing Planning & Execution& Execution
Customer Order Customer Order ManagementManagement
SAP America, Inc.SAP America, Inc.
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SalesSales
ProductionProduction
PurchasingPurchasing
Sales Sales orderorder
SOPSOP MPSMPS MRPMRPPlannedPlannedorderorder
Produc-Produc-tiontionorderorder
DeliveryDelivery CustomerCustomerBillingBilling
ShopShopfloorfloorcontrolcontrol
Requi-Requi-sitionsition
VendorVendorselectionselection
PurchasePurchase order order
GoodsGoodsreceiptreceipt
Invoice Invoice verifi-verifi-cationcation
Financial controllingFinancial controlling
Resource controllingResource controlling
Logistics controllingLogistics controlling Sales, Production, Purchasing, WarehouseSales, Production, Purchasing, Warehouse
CustomerCustomerOrderOrder CustomerCustomer
PaymentPayment
Vendor Vendor PaymentPayment
InventoryInventorySourcingSourcing
Presales Presales ActivityActivity
Business Processes FunctionalityBusiness Processes Functionality
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Business Processes FunctionalityBusiness Processes Functionality
Manufacturing Manufacturing Planning & ExecutionPlanning & Execution
SAP America, Inc.SAP America, Inc.
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Bill Of Material Processing (BOMP)
Few products are a single component
Lead times for the components vary
A BOMP “explodes” out the requirements for a final product
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Example - A car
One Explorer
5 tires Firestone ATX size 270-r60-16
20 lug nuts
4 Crome-alloy wheels
1 steel wheel
1 left front fender
1 right front fender
….
SAP America, Inc.SAP America, Inc.
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Business Process Overview
Fore-casting
Sales & OperPlanning
MPS MRPOrder
Settlement
CostingInventory
ManufacturingExecution
Capacity
Production Master Data
Manufacturing PlanningManufacturing Planning& Execution& Execution
Reporting and Analysis
Demand
Mangmnt
SAP America, Inc.SAP America, Inc.
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Business Processes FunctionalityBusiness Processes Functionality
ProcurementProcurement
SAP America, Inc.SAP America, Inc.
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Business Process OverviewBusiness Process Overview
Requirement Requirement for Goods / for Goods /
ServicesServices
Requirement Requirement for Goods / for Goods /
ServicesServices
PurchasePurchase
OrderOrder
PurchasePurchase
OrderOrder
GoodsGoods
ReceiptReceipt
GoodsGoods
ReceiptReceipt
InvoiceInvoice
VerificationVerification
InvoiceInvoice
VerificationVerification
VendorVendor
PaymentPayment
VendorVendor
PaymentPayment
Planning, Reporting and AnalysisPlanning, Reporting and AnalysisPlanning, Reporting and AnalysisPlanning, Reporting and Analysis
ProcurementProcurement
SAP America, Inc.SAP America, Inc.
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Business Processes FunctionalityBusiness Processes Functionality
Manufacturing Planning Manufacturing Planning & Execution& Execution
ProcurementProcurement
Customer Order Customer Order ManagementManagementFinancial / Management Financial / Management
Accounting and ReportingAccounting and Reporting
SAP America, Inc.SAP America, Inc.
RR
Business Processes FunctionalityBusiness Processes Functionality
CustomerCustomerOrderOrder
Customer Order Customer Order ManagementManagement
SAP America, Inc.SAP America, Inc.
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Business Process OverviewBusiness Process Overview
Customer Order Customer Order ManagementManagement
Inventory Inventory SourcingSourcing
Inventory Inventory SourcingSourcing DeliveryDeliveryDeliveryDelivery BillingBillingBillingBilling Customer Customer
PaymentPayment
Customer Customer PaymentPayment
Sales Order Sales Order ProcessingProcessing
Sales Order Sales Order ProcessingProcessing
Pre-Sales Pre-Sales ActivitiesActivities
Pre-Sales Pre-Sales ActivitiesActivities
Planning, Reporting and AnalysisPlanning, Reporting and AnalysisPlanning, Reporting and AnalysisPlanning, Reporting and Analysis
SAP America, Inc.SAP America, Inc.
RR
Business Processes FunctionalityBusiness Processes Functionality
Financial / Management Financial / Management Accounting and ReportingAccounting and Reporting
SAP America, Inc.SAP America, Inc.
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Business Process OverviewBusiness Process Overview
Financial / Management Financial / Management Accounting and ReportingAccounting and Reporting
Reporting &
Analysis
Reporting &
Analysis
Overview
Overview
StructureStructure&&
OrganizationOrganization
Planning & ForecastingPlanning & Forecasting
DailyDailyActivitiesActivities
PeriodicPeriodicProcessingProcessing
FOUNDATIONFOUNDATION BUSINESS PROCESSBUSINESS PROCESS
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A document that specifies the material and quantity requested by a particular customer
System Walkthrough
Sales Order:Sales Order:
CustomerCustomerOrderOrder
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System Walkthrough
A statement of “the anticipated build schedule” and the impact on our material and capacity requirements plan
Master Production Scheduling (MPS):Master Production Scheduling (MPS):
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A planning system of gross to net calculation of the material plan
System Walkthrough
Material Requirements Planning (MRP):Material Requirements Planning (MRP):
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A documented request for purchase goods or services
Can be created manually or automatically during the MRP process
System Walkthrough
Purchasing Requisition:Purchasing Requisition:
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A binding contract with a vendor to supplyA binding contract with a vendor to supplycertain materials or services based on certain certain materials or services based on certain terms and conditionsterms and conditions
System WalkthroughSystem Walkthrough
Purchase Orders:Purchase Orders:
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The recording of the movement of materials into the warehouse
System Walkthrough
Goods Receipt:Goods Receipt:
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The process of receiving the vendor invoice, comparing it with the purchase order and goods receipts, and recording the corresponding liability to the vendor
System Walkthrough
Invoice Receipt and Verification:Invoice Receipt and Verification:
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Payment processing reduces the liability to a vendor and a company’s cash balance, records discounts taken, and disburses payment
System Walkthrough
Vendor Payment:Vendor Payment:
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The conversion of the order proposal generated by MRP
System Walkthrough
Planned Order Processing:Planned Order Processing:
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The authorization for the shop floor to produce a material
System Walkthrough
Production Order:Production Order:
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The process to issue material from the warehouse to a production order
System Walkthrough
Goods Issue:Goods Issue:
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The process of recording the customer’s payment, increasing the customer’s available credit, reducing receivables, and recording cash discounts given
System Walkthrough
Payment Processing:Payment Processing:
CustomerCustomerOrderOrder
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The recording of actual results from production
System Walkthrough
Completion Confirmation of the Completion Confirmation of the Production Order:Production Order:
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System Walkthrough
The goods receipt of the quantity of the material produced into the warehouse
Production Order Receipt:Production Order Receipt:
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System Walkthrough
The transfer of the ownership of the goods byThe transfer of the ownership of the goods by::
Creating a delivery documentCreating a delivery document
Picking the goods for shipmentPicking the goods for shipment
Physically transferring the goods to the customerPhysically transferring the goods to the customer
Financially recording the goods issueFinancially recording the goods issue
CustomerCustomerOrderOrder
Customer Delivery:Customer Delivery:
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System Walkthrough
The process of billing and invoicing the customer for goods delivered
Customer Billing:Customer Billing:
CustomerCustomerOrderOrder
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System Walkthrough
A flexible set of tools used to analyze financial and management performance
Financial / ManagementFinancial / ManagementAccounting and Reporting:Accounting and Reporting:
SAP America, Inc.SAP America, Inc.
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Business Processes FunctionalityBusiness Processes Functionality
Manufacturing Planning Manufacturing Planning & Execution& Execution
ProcurementProcurement
Customer Order Customer Order ManagementManagementFinancial / Management Financial / Management
Accounting and ReportingAccounting and Reporting