SlideShare a Scribd company logo
Company
LOGO
www.company.com
Enterprise Resource Planning
‫المـوارد‬ ‫تخـطيط‬ ‫نـظم‬
‫ألتغيير‬ ‫اداة‬
‫د‬.‫غنـام‬ ‫عـادل‬ ‫مهندس‬
‫االداريه‬ ‫و‬ ‫الصنـاعيه‬ ‫االستشارات‬ ‫مجموعـه‬
Company
LOGO
www.company.com
 Deliver on time
 Competitive Cost
 Visibility- Now , not after days/weeks/months
- What’s wrong?
- Where?
- When ?
- Why ?
Company
LOGO
www.company.com
Company
LOGO
www.company.com
‫المتابعة‬ ‫و‬ ‫للتخطيـط‬ ‫عملى‬ ‫أسلوب‬
Company
LOGO
www.company.com
Professionalism
ERP Education
Company
LOGO
www.company.com
?
Company
LOGO
www.company.com
‫المغطـاه‬ ‫العمل‬ ‫عنـاصر‬ ‫هى‬ ‫مـا‬
Company
LOGO
www.company.com
Planning and Control
‫مختلف؟‬ ‫اسلوب‬ ‫لمـاذا‬ ERP
One-To-One
Company
LOGO
www.company.com
Planning and Control
‫مختلف؟‬ ‫اسلوب‬ ‫لمـاذا‬ ERP
With ERP-
High Speed
Enterprise
High way
Company
LOGO
www.company.com
Today ERP Systems
Focus on deliverables
Company
LOGO
www.company.com
Today and Future
Approach-Not only
Information flow
• Create a Process workflow and Manage it at all
Business levels ( ISO 19439:2006 Enterprise integration --
Framework for enterprise modeling)
ERP
System
Company
LOGO
www.company.com
‫مع‬ ‫يتعـامل‬ ‫أنه‬ ‫نطمئن‬ ‫كيف‬
‫المصريه‬ ‫الصناعه‬ ‫مشاكل‬
International IT Focus
1950’S - 1960’S STOCK REPLENISHMENT
RE-ORDER POINT RULES, EOQ’S, Financial Reportng
1960’S - 1970’S MRP - MATERIAL REQUIREMENTS
PLANNING
1980’S CLOSED LOOP MAP( MRP-1)
1980’S - 1990’S MRP-II MANUFACTURING RESOURCE PLANNING
JUST-IN-TIME ( Lean manufacturing)
COMPUTER INTEGRATED
MANUFACTURING
1990’s-Now E R P, Integrated Business Solutions ( CRM, SRM, TSCM
E.Business)
Company
LOGO
www.company.com
‫مصن‬ ‫خمسين‬ ‫على‬ ‫دراستنا‬ ‫نتائج‬‫ع‬
‫الفترة‬ ‫خالل‬2003-2007
0
1
2
3
4
5
6
7
8
9
10
Late delivery Poor capacity
planning
Poor job design
and
performance
measurements
Poor packaging Poor collection
of receivables
Lot of idle time
30 Known Problems can be handled by ERP
Averageweight
Serie
Managers
collaboration in
planning and control
Company
LOGO
www.company.com
Objective
• What is an ERP System:
• A Reporting System-70’s?
• A Central DB System-80’s?
• A Workflow organizer-90’s ?
Third Millennium
• IT IS A SYSTEM TO CREATE
REAL_LIFE END-TO END
PLANS THAT CAN BE TRUSTED
AND CONTROLLED at all
business levels
Company
LOGO
www.company.com
The Master ERP
Model
Sales and
Operation
planning
Master
Production
Schedule
Material
Requirement
Planning
Production
Activities
Control and
Purchasing
Planning
Execution
Feedback to Planning
Top Management
Planner
Scheduler
End-To-EndPlans
WITHIN CONSTRAINTS
• COST
•CAPACITY ( MACHINES + LABOUR + Cash)
•COMPETITIVE CUSTOMER WAITING TIME
•QUALITY
WHATTODO?
Q&TIME
Operation Staff
Company
LOGO
www.company.com
The Master ERP
Model
Sales and
Operation
planning
Master
Production
Schedule
Material
Requirement
Planning
Production
Activities
Control and
Purchasing
Planning
Execution
Feedback to Planning
Top Management
? Profitability target
Planner
?RCCP
=Sales and operation
plan
Scheduler
?CRP
=MPS
Sales and operation plan
MPS
Confirm
Release
WOs,POs,SDOs
Company
LOGO
www.company.com
The Master ERP
Model
Sales and
Operation
planning
Master
Production
Schedule
Material
Requirement
Planning
Production
Activities
Control and
Purchasing
Planning
Execution
Feedback to Planning
Sales and operation plan
MPS
Confirm
Release
WOs,POs,SDOs
Resource Req.
Planning:Can we make
300 desk/month
For next 4Qs?
RCCP: Can we
Assemble 50
Desks on week
15?
CRP; What is the
start and finish of
Each order and
Sub order?
Realistic
Realistic
Realistic
Multi level
MPS
items
Planning
BOM
Operation
BOM
Company
LOGO
www.company.com
MRP Full Exploration
MPSRCCP
WO
And Pos
For Level
zero
WO
And Pos
For Level
one
WO
And Pos
For Level
two
CRP
Sales and FCST of all MPS items
MRP
Exploration
Company
LOGO
www.company.com
The New Planning
Structure and Its
Implementation Timing
• Sales and Operation planning ( Monthly): this is a uniform
number of steps , using data generated from the ERP system, in
an End-Of-Month management meeting to do the next actions:
– Review the quarter forecast of Product families in terms New and
Backlog values and update it according to the market situation and
resources constraints. The ERP system will help through providing
information (aggregate ) about the Year-to-date sales vs. last forecast.
The idea is to continuously monitor the forecast accuracy at this high
management level. The ERP system will also provide information
(aggregate) about Year-to-date capacities and material used vs. last
forecast . The objective of this planning activity , can be only fulfilled
through the availability of a reliable consumption feedback system that
covers : sales, capacity , material, and net cash flow.
– Identify problems , whether capacity or material or budget, for the next
forecast period ( which is three months ). Potential alternatives will be
discussed and decision taken in the End-of-Month meeting
– Agree on the Master Schedule constraints , which is the next lower
step in the ERP management model . The master schedule is not the
forecast. One of the inputs to the master schedule is the forecast over
the Planning-Horizon
Company
LOGO
www.company.com
Master-Production-
Scheduling ( Continuous ):
The agreed Forecast and the constraints on the master-schedule , are the
main inputs for
this step. Other inputs are committed delivery orders, current
inventories of finished goods, available capacities ( taking preventive
maintenance stoppage into consideration) , and any restrictions on the
quantities
of the finished goods that should be available for sales( available-to-
Promise, ATP).
The resulting MPS represent the Demand-side which the capacity and
material
( supply-side) should meet .
These inputs should be continuously supplied to the system , so that the
Rough-cut-capacity-planning RCCP can identify potential capacity
problems.
The web will be used to continuously supply these data to the central ERP .
The ERP system should thus be web-enabled to serve the remote sales
branches and distributors
Company
LOGO
www.company.com
Material Requirement
Planning MRP( daily)
The MRP is the actual scheduler of all operation
activities. With an up to date MPS , an MRP run at the end
of the day( recommended evening), will produce all
required executing orders for the next planning period:
New purchase orders, updated purchase orders, new
manufacturing orders, updated manufacturing orders and
the corresponding packing material orders, and
distribution orders to the branches-wharehouses and the
corresponding finished goods inventory pick-orders. The
quantities of other required bulk manufacturing material ,
to serve the planned manufacturing orders will be
estimated using the standard BOM modified by the waist
factors.

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Quick erp education

  • 1. Company LOGO www.company.com Enterprise Resource Planning ‫المـوارد‬ ‫تخـطيط‬ ‫نـظم‬ ‫ألتغيير‬ ‫اداة‬ ‫د‬.‫غنـام‬ ‫عـادل‬ ‫مهندس‬ ‫االداريه‬ ‫و‬ ‫الصنـاعيه‬ ‫االستشارات‬ ‫مجموعـه‬
  • 2. Company LOGO www.company.com  Deliver on time  Competitive Cost  Visibility- Now , not after days/weeks/months - What’s wrong? - Where? - When ? - Why ?
  • 8. Company LOGO www.company.com Planning and Control ‫مختلف؟‬ ‫اسلوب‬ ‫لمـاذا‬ ERP One-To-One
  • 9. Company LOGO www.company.com Planning and Control ‫مختلف؟‬ ‫اسلوب‬ ‫لمـاذا‬ ERP With ERP- High Speed Enterprise High way
  • 11. Company LOGO www.company.com Today and Future Approach-Not only Information flow • Create a Process workflow and Manage it at all Business levels ( ISO 19439:2006 Enterprise integration -- Framework for enterprise modeling) ERP System
  • 12. Company LOGO www.company.com ‫مع‬ ‫يتعـامل‬ ‫أنه‬ ‫نطمئن‬ ‫كيف‬ ‫المصريه‬ ‫الصناعه‬ ‫مشاكل‬ International IT Focus 1950’S - 1960’S STOCK REPLENISHMENT RE-ORDER POINT RULES, EOQ’S, Financial Reportng 1960’S - 1970’S MRP - MATERIAL REQUIREMENTS PLANNING 1980’S CLOSED LOOP MAP( MRP-1) 1980’S - 1990’S MRP-II MANUFACTURING RESOURCE PLANNING JUST-IN-TIME ( Lean manufacturing) COMPUTER INTEGRATED MANUFACTURING 1990’s-Now E R P, Integrated Business Solutions ( CRM, SRM, TSCM E.Business)
  • 13. Company LOGO www.company.com ‫مصن‬ ‫خمسين‬ ‫على‬ ‫دراستنا‬ ‫نتائج‬‫ع‬ ‫الفترة‬ ‫خالل‬2003-2007 0 1 2 3 4 5 6 7 8 9 10 Late delivery Poor capacity planning Poor job design and performance measurements Poor packaging Poor collection of receivables Lot of idle time 30 Known Problems can be handled by ERP Averageweight Serie Managers collaboration in planning and control
  • 14. Company LOGO www.company.com Objective • What is an ERP System: • A Reporting System-70’s? • A Central DB System-80’s? • A Workflow organizer-90’s ? Third Millennium • IT IS A SYSTEM TO CREATE REAL_LIFE END-TO END PLANS THAT CAN BE TRUSTED AND CONTROLLED at all business levels
  • 15. Company LOGO www.company.com The Master ERP Model Sales and Operation planning Master Production Schedule Material Requirement Planning Production Activities Control and Purchasing Planning Execution Feedback to Planning Top Management Planner Scheduler End-To-EndPlans WITHIN CONSTRAINTS • COST •CAPACITY ( MACHINES + LABOUR + Cash) •COMPETITIVE CUSTOMER WAITING TIME •QUALITY WHATTODO? Q&TIME Operation Staff
  • 16. Company LOGO www.company.com The Master ERP Model Sales and Operation planning Master Production Schedule Material Requirement Planning Production Activities Control and Purchasing Planning Execution Feedback to Planning Top Management ? Profitability target Planner ?RCCP =Sales and operation plan Scheduler ?CRP =MPS Sales and operation plan MPS Confirm Release WOs,POs,SDOs
  • 17. Company LOGO www.company.com The Master ERP Model Sales and Operation planning Master Production Schedule Material Requirement Planning Production Activities Control and Purchasing Planning Execution Feedback to Planning Sales and operation plan MPS Confirm Release WOs,POs,SDOs Resource Req. Planning:Can we make 300 desk/month For next 4Qs? RCCP: Can we Assemble 50 Desks on week 15? CRP; What is the start and finish of Each order and Sub order? Realistic Realistic Realistic Multi level MPS items Planning BOM Operation BOM
  • 18. Company LOGO www.company.com MRP Full Exploration MPSRCCP WO And Pos For Level zero WO And Pos For Level one WO And Pos For Level two CRP Sales and FCST of all MPS items MRP Exploration
  • 19. Company LOGO www.company.com The New Planning Structure and Its Implementation Timing • Sales and Operation planning ( Monthly): this is a uniform number of steps , using data generated from the ERP system, in an End-Of-Month management meeting to do the next actions: – Review the quarter forecast of Product families in terms New and Backlog values and update it according to the market situation and resources constraints. The ERP system will help through providing information (aggregate ) about the Year-to-date sales vs. last forecast. The idea is to continuously monitor the forecast accuracy at this high management level. The ERP system will also provide information (aggregate) about Year-to-date capacities and material used vs. last forecast . The objective of this planning activity , can be only fulfilled through the availability of a reliable consumption feedback system that covers : sales, capacity , material, and net cash flow. – Identify problems , whether capacity or material or budget, for the next forecast period ( which is three months ). Potential alternatives will be discussed and decision taken in the End-of-Month meeting – Agree on the Master Schedule constraints , which is the next lower step in the ERP management model . The master schedule is not the forecast. One of the inputs to the master schedule is the forecast over the Planning-Horizon
  • 20. Company LOGO www.company.com Master-Production- Scheduling ( Continuous ): The agreed Forecast and the constraints on the master-schedule , are the main inputs for this step. Other inputs are committed delivery orders, current inventories of finished goods, available capacities ( taking preventive maintenance stoppage into consideration) , and any restrictions on the quantities of the finished goods that should be available for sales( available-to- Promise, ATP). The resulting MPS represent the Demand-side which the capacity and material ( supply-side) should meet . These inputs should be continuously supplied to the system , so that the Rough-cut-capacity-planning RCCP can identify potential capacity problems. The web will be used to continuously supply these data to the central ERP . The ERP system should thus be web-enabled to serve the remote sales branches and distributors
  • 21. Company LOGO www.company.com Material Requirement Planning MRP( daily) The MRP is the actual scheduler of all operation activities. With an up to date MPS , an MRP run at the end of the day( recommended evening), will produce all required executing orders for the next planning period: New purchase orders, updated purchase orders, new manufacturing orders, updated manufacturing orders and the corresponding packing material orders, and distribution orders to the branches-wharehouses and the corresponding finished goods inventory pick-orders. The quantities of other required bulk manufacturing material , to serve the planned manufacturing orders will be estimated using the standard BOM modified by the waist factors.