BUSINESS-The activities of individuals or groups that are involved in developing, producing

and distributing the goods and services. It uses resources to produce goods and services.

PRODUCTION PROCESS

MANAGEMENT

PRODUCT AND SERVICES

Receive the order

Clerk enters

Finished goods/inventory

Customer Schedules for production planning

Manufacturing

Production with Purchase deptplant maintenance for raw

material

ORDER INVENTORY

MATERIAL MGMT

PROD

UCT

PLAN

Yes

SALES AND DISTRIBUTION FINANCE/INVOICE

No

Tells entire operation Contains business rules to manage the entire

supply chain process Doesn’t limit to a single manufacturing method like make-to-stock, make-to-order SOME SUB-SYSTEM:

o Quality managemento Cost managemento Material and capacity planning

Management of human resources and human capital

Maintain a complete employee databaseo Ex: Attendance, salary details

Advanced HR module integrated with knowledge management to expertise emp SOME SUB-SYSTEM:

o Personnel managemento Organizational managemento Payroll Accounting

Level of stock Activities-identifying inventory requirements, setting targets, monitoring item usages. Optimizes all purchasing process Main modules- pre-purchasing

activities, purchasing, invoice verification, etc.

Evolution of MRPII to ERP, developed software for production planning Optimizes the utilization of manufacturing capacity, components, using historical production

Provides technical, business reports and various presentation options.

Uses:o To reduce duration & cost occurred due to damageo To recognize week points in technical system

This don’t directly interact with data or processes of other modules.

Fulfills the following functionso Quality planningo Quality inspectiono Quality control

Procurement of required raw materials.

Identifies theo Potential supplierso Negotiating priceo Purchase order to customer

Integrated with inventory control and production planning

Develop the long-term customer relationships

Gain of marketing success Supports marketing analytics, e-mail marketing, etc.

Revenue from sales is life-blood Processes- order placement, order scheduling, shipping & invoicing Integrated with e-commerce websites

Increased efficiency in this is the key factor to ensure that companies retain a competitive edge, profit, customer service.

Sales related to:o Sales querieso Sales orderso Delivery/shipmento Invoicing