Core Business Processes in Enterprise Planning

2011 ◽  
pp. 168-193
Author(s):  
Victor Portougal
Keyword(s):  
Inventory Management ◽  
Management System ◽  
Business Processes ◽  
Planning System ◽  
Bottom Level ◽  
Core Business ◽  
Inventory Management System ◽  
Make To Order ◽  
Make To Stock

It was pointed out in Chapter VII that before implementation of an ERP systemin EA Cakes Ltd., it was necessary to completely reengineer the productionplanning process. To change the strategy from make-to-order to make-to-stock involves not only the company’s decision to invest money in accumulationand keeping stocks of finished goods. It requires a complete redesign of itsproduction planning system, because:•There is no forecasting for MTO, it is driven by customers’ orders, so aforecasting system had to be designed and implemented.•An inventory management system for finished goods had to be developed.•Under MTS, it is vital that the planning system preserves continuity; theplans produced by each level should be detailed plans of the top level.Also, there must be feedback continuity: feedback of the top levels is anaggregation of bottom level feedback — for more detail see McNair andVangermeersch (1998).

ERP Implementation for Production Planning at EA Cakes Ltd.

2011 ◽  
pp. 407-418 ◽  
Author(s):  
Victor Portougal
Keyword(s):  
Production Planning ◽  
Business Processes ◽  
Computer Support ◽  
Planning System ◽  
Prototype System ◽  
New Production ◽  
Erp System ◽  
Make To Order ◽  
Make To Stock ◽  
Planning Staff

This case details the implementation of the Systems Applications & Products (SAP) Production Planning module at EA Cakes Ltd. The market forced the company to change its sales and production strategy from “make-to-order” to “make-to-stock.” The decision to change the strategy involved not only the company’s decision to invest much more money in accumulation and keeping stocks of finished goods, it required a complete redesign of its production planning system, which was an integral part of an ERP system that used SAP software. A team of IT specialists and production planning personnel was formed for designing computer support for the new production planning system business processes. There was no consensus in the design group. IT specialists were sure that existing SAP software could provide adequate computer support. The production planning staff had doubts that SAP modules are relevant to their business processes. They argued that poor fit between the business processes implicit in the software and the business processes of EA Cakes will result in failure. To resolve the problem, the management invited a consulting company. The consultants suggested quickly designing a rough prototype system. Analyzing this system would help the working group to reach a consensus. Apart from giving adequate computer support to the new production planning system, the SAP implementation had to solve several implementation problems identified by consultants. The question is: can a standard software system like SAP give adequate computer support to an individually designed business management system?

scholarly journals Integrated Inventory Management Control Framework

2020 ◽  
pp. 147-157 ◽  
Author(s):  
H.R. Ganesh ◽  
P. S. Aithal ◽  
P. Kirubadevi
Keyword(s):  
Decision Making ◽  
Inventory Management ◽  
Performance Indicators ◽  
Management System ◽  
Management Control ◽  
Inventory Management System ◽  
Control Framework ◽  
Brick And Mortar ◽  
And Control ◽  
New Framework

The concept of minimum display quantity (MDQ) is unavoidable in brick-and-mortar retailing format owing to which, retailers need to ensure a minimum level of inventory displayed at each store irrespective of the revenue or inventory turns generated by a particular store. It is observed that majority of bricks-and-mortar retailers in India assume;(a) existing inventory management system is ideal to their store, (b) software solutions record accurate inventory movement, (c) involving store management team in inventory related decision making is risky/biased and most importantly (d) loss of sale due to stockouts is inevitable. Such assumptions and widely followed practice have created a predisposition and mindset in store managers and they believe that their store delivers revenue and profit to the best of its potential with the inventory which is made available to them through existing inventory management system and we cannot avoid a number of instances consumers are unsatisfied due to stockout situations. In this research, we have analysed the existing decision-making process and control systems related to inventory management of a select retailer, attempted to design a new framework and applied the same through an experiment to evaluate the change in (a) overall store profitability and (b) inventory related key performance indicators.

Methodics to Create Effective Inventory Management System in a Company

2014 ◽  
Vol 708 ◽  
pp. 245-250 ◽  
Author(s):  
Martin Hart ◽  
Miroslav Musil ◽  
Pavel Taraba
Keyword(s):  
Supply Chains ◽  
Inventory Management ◽  
Management System ◽  
Logistics Management ◽  
Management Systems ◽  
Global Markets ◽  
Industrial Companies ◽  
Inventory Management System ◽  
Business Conditions ◽  
A Company

Pursuant to the statistics data of Eurostat, the economy of European Union is slowly recovering from year lasting recession. The gross domestic product volume increased in 2nd quarter of the year 2013 by 0.3%. The industrial companies in EU are nevertheless facing still increasing competitiveness as the European and global markets are developing under current business conditions. To be successful within the frame of current supply chains the companies must have well-developed logistics management systems to effectively treat with flows streaming in their inner or outer supply chains. One of the main elements of company logistics management systems is inventory management subsystem to plan, to manage and to control particular stock items. In the paper it is briefly described the methodics to design effective inventory management system whether in industrial or service company.

Sign in / Sign up

Export Citation Format

Share Document