ERP 101 : Shop Floor – See how scheduling the Shop Floor through ERP controls Labor and Machines
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The document outlines the ERP 101 Webinar Series by David Bush, focusing on various topics related to ERP systems in manufacturing, including capacity planning, shop floor management, and engineering processes. It emphasizes the importance of accurate data in managing resources, scheduling, and fulfilling customer demands through work orders and routings. The series also covers the integration of procurement, order entry, and manufacturing accounting within the ERP framework.
ERP 101 : Shop Floor – See how scheduling the Shop Floor through ERP controls Labor and Machines
- 1. ERP 101 Shop Floor Control David Bush Senior Manufacturing Consultant, Rootstock
- 3. The ERP 101 Webinar Series Date Topic Aug 2, 2016 An Introduction to ERP for Manufacturing Aug 16, 2016 Engineering – Learn how to create Part Master Records and Bills of Material Aug 30, 2016 Engineering – Learn how Change Orders and/or Revisions ensures that ERP system data is accurate and up-to-date Oct 11, 2016 Shop Floor – Explore how ERP is used to create and maintain Work Centers, Routings and Procedures Nov 1, 2016 Shop Floor – See how scheduling the Shop Floor through ERP controls Labor and Machines Nov 29, 2016 Procurement – Link your Vendors and Purchased Parts via ERP TBA MRP – Step though an overview of this vital ERP subset TBA Sales – See how you can link your Customers and Products via ERP TBA Manufacturing Accounting – An overview using standard cost TBA Manufacturing Accounting – An overview using weighted cost
- 4. Meet Our Speakers David Bush Senior Manufacturing Consultant, Rootstock • 30+ years of manufacturing and MRP/ERP systems experience • Previously at General Microcircuits, Consona Corporation, Relevant Business Systems, Inc
- 5. The ERP 101 Series Until Now • ERP controls the material supplies required to meet customer demands – Engineering, Inventory, Purchasing and Product Masters – Bill of Material calls out specific demands by product – Revision and/or ECO’s make sure demands are based on current configurations • ERP also controls demands on capacity – Shop Floor setup defines work centers, processes, machines and people, all required to move product through manufacturing Let’s take a closer look at what we covered in our last session….
- 6. A Quick Recap of the Last Episode Our last webinar focused on building the shop floor database. • Routings like BOMS, but bill of resources instead of material • Used to plan required time, not parts • Provide quantity of time needed for single assembly, including setup, run and machine times • ERP uses this information for capacity planning, similar to how MRP calculates material needs . But why do we need Capacity Planning?
- 7. Why You Need Capacity Planning Over-scheduled resources • Why does this matter? Creates bottleneck and required work will not be done. • Knowledge of this issue allows scheduler to balance work load. Under-scheduled resources • Why does this matter? Cost, availability. • Allows scheduler to make most use of resources to even the load. ERP Shop Floor Capacity tools allow the scheduler to quickly balance the load.
- 8. Lets Revisit the Handlebar Assembly • Pulling Material • 1 person, 1 hr, Stores WC • Machining stem for reflector assy. • .1 hr, 1 person, Machining WC • Assembly of parts. • .5 hrs, 1 person, Assembly WC • Inspection • .15 hrs, 1 person, Inspection WC
- 9. How Is This Modeled in ERP? Think about how ERP helps us plan material • Accurate bills of material provide quantities – Quantity of component to build 1 parent – Additional quantity needed to cover scrap, setup, EOQ, etc. Apply same logic to building the item • How much time is required at each work center? • Is that time absolute, or modified by other factors? • Consider breaks, lunch, other down-time • Planned or unplanned work center maintenance Time to see real-life example of Capacity Planning tools as evidence of how this works
- 10. Defining a Work Center 1. Length of day determines overall capacity for this work center for 1 operator. 2. Capacity is defined in hours for labor and/or machines, times number of operators. So, two operators would indicate a capacity of 16 hours in this example. 3. Hours can be modified by factor so scheduling does not over-schedule. Now let’s see how the work center is used in the routing for the Handlebar assembly.
- 11. Routing Master for Handlebar Assembly • Time to build one parent is defined: – Setup, Run, Machine, for each operation. • Consider similarities between routing and bom. – BOM handles material needs to build 1 parent – Routings handle time needs to build 1 parent – Both use factors to ‘adjust’ the demands Foundation for capacity planning in place, but how are work center demands planned?
- 12. Work Order for Handlebar Assembly A Work Order is created to provide: 1. Quantity of parent item to be built. This is used by Capacity Planning as a multiplier. 2. Due date used to determine when operations need to be completed, so, when is the actual demand on each work center? Now let’s look at the scheduling tool itself
- 13. Running Capacity Planning • Choose Work Orders to be Scheduled (procedure varies by ERP system) • Run or ‘Process’ Work Order Scheduling to create demand on each work center specified in the Routing for quantity defined on the work order. Once the work orders are scheduled, how does the planner see the results and make any changes that may be required?
- 14. Capacity Planning Workbench • Rootstock provides a very detailed workbench that not only displays the current schedule by work center/work order, but also allows the planner to reschedule as needed • Quickly find ‘problem’ areas • Color-coded format • Drag and drop provides quick re-scheduling to smooth out the load so that customer due dates can be met. We have taken a very high look at the planning tools, but, hopefully, this has demonstrated how ERP both collects data and then uses it to help plan the shop floor.
- 15. Where Do We Go From Here? We’ve covered Bills of Material and Routings, but what else does the ERP system touch? • Work Orders. – Typically created by MRP, work orders are SUPPLIES of manufactured items (subassemblies and final assemblies) needed to satisfy customer requirements. – Work Orders provide MRP and Capacity planning ‘demands’ on the system for materials and shop floor capacity. • Order Entry – Feeds the ‘demand’ side of ERP – Maintains customers, products, orders, etc. • Purchasing – Provides the ‘supply’ side of ERP for purchased parts – Maintains vendors, purchased items and orders • And much more…..
- 17. The ERP 101 Webinar Series Date Topic Aug 2, 2016 An Introduction to ERP for Manufacturing Aug 16, 2016 Engineering – Learn how to create Part Master Records and Bills of Material Aug 30, 2016 Engineering – Learn how Change Orders and/or Revisions ensures that ERP system data is accurate and up-to-date Oct 11, 2016 Shop Floor – Explore how ERP is used to create and maintain Work Centers, Routings and Procedures Nov 1, 2016 Shop Floor – See how scheduling the Shop Floor through ERP controls Labor and Machines Nov 29, 2016 Procurement – Link your Vendors and Purchased Parts via ERP TBA MRP – Step though an overview of this vital ERP subset TBA Sales – See how you can link your Customers and Products via ERP TBA Manufacturing Accounting – An overview using standard cost TBA Manufacturing Accounting – An overview using weighted cost Sign Up Now
Editor's Notes
- #3: INTRO SCRIPT: Good Morning everyone, and welcome to today's webinar sponsored by Rootstock Software Our last topic was “Shop Floor – Explore how ERP is used to create and maintain Work Centers, Routings and Procedures.” This is the fifth webinar in our ERP101 webinar series. Our topic today is “Shop Floor – See how scheduling the Shop Floor through ERP controls Labor and Machines.” Moving on to some housekeeping. Before we get started, I’d like to go over a few items so you know how to participate in today’s event. We've taken a screen shot of an example of the Attendee interface. You should see something that looks like this on your own computer desktop in the upper-right corner. You’re listening-in using your computer's speaker system by default. If you prefer to join over the phone, just select “Telephone” in the Audio pane and the dial-in information will be displayed. All attendees will be on mute throughout the presentation. You’ll have the opportunity to submit text questions to today’s presenter by typing your questions into the Questions pane of the control panel. You may send in your questions at any time during the presentation; we will collect these and address them during the Q&A session at the end of today’s presentation.
- #4: Now we’ll take a look at our upcoming schedule. Today we will be covering “Shop Floor – See how scheduling the Shop Floor through ERP controls Labor and Machines.” The next webinar in the ERP 101 Webinar Series by Rootstock Software is scheduled for November 29th and will cover the topic “Procurement – Link your Vendors and Purchased Parts via ERP.” Future webinar dates are to be announced.
- #5: ABOUT PRESENTER : I would now like to introduce our Presenter, David Bush, Senior Manufacturing Consultant at Rootstock Software. David Bush has 30+ years of manufacturing and MRP/ERP systems experience. David was previously at General Microcircuits, Consona Corporation, and Relevant Business Systems. David will now introduce us to our ERP 101 webinar “Shop Floor – See how scheduling the Shop Floor through ERP controls Labor and Machines.” Hi David…
- #11: This slide is used right after slide 23 (Let’s look at the Capacity Panning tools…..’
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- #17: Q&A SCRIPT: Thank you David, that was impressive! Before we go to your questions, just a quick reminder this webinar will be posted on our website at www.rootstock.com. And of course after the webinar if you have any further inquiries, please email us at marketing@rootstock.com. We’ll now answer questions submitted during today’s presentation as well as take any new questions – And just a reminder, you can still submit questions through the Questions pane in your attendee control panel. Our first question today is….. 1. You mentioned using a 'factor' to consider down time on a work center. Why not just put in a single number of hours that are actually available and forget the math? 2. How does ERP handle run time that is for the entire work order amount instead of for each piece, like, for example, heat treating? 3. Should packaging and shipping time be included in the routing?
- #18: Before we end today’s webinar, I’d like to present a brief look ahead at the upcoming topics in our ERP 101 Webinar series. Today we covered “Shop Floor – See how scheduling the Shop Floor through ERP controls Labor and Machines.” The next webinar in the ERP 101 Webinar Series by Rootstock Software is scheduled for November 29th and will cover the topic “Procurement – Link your Vendors and Purchased Parts via ERP.” Future webinar dates are to be announced. Thank you for joining us today. We look forward to seeing you at our next webinar. Today’s webinar is now over.