Author

Jagan Vidyala Freelance Consultant and Corporate Trainer ORACLE SCM/MFG/ASCP/EAM Suites
10 Yrs of experience in IT consulting in addition to 18 Yrs of domain experience in Manufacturing, Inventory, Global procurement, Sales & Marketing and Turnkey Project execution. jvidyala@gmail.com +91-91774-77013

Enterprise Resource Planning

ERP is a software system that is often referred as the backbone for the entire business. These systems have lots of brains (process logic), muscle (business transactions), and heart (business policy). The software communicates (as a nervous system) across business functions.

Enterprise Resource Planning

ERP systems attempts to replicate business structure, processes, policies, and procedures. You cant just install the program on a computer and start business operation immediately. Determine the basic nature of the business and compare with the software functionality, by carefully setting configuration parameters achieve a system that meets 90-100% of business needs.

Enterprise Resource Planning

Configuration of an ERP system is tricky because many of the parameters interact with each other, one need to understand how the software works before actually have a chance to use it.

Enterprise Resource Planning

The Oracle ERP systems have functionality to support industry standard and best practices. The recommendations of American Productions and Inventory Control Society (APICS) is well supported by Oracle software. Oracle Applications Release 10.7 was the first version of Oracle ERP to be accepted as Y2K-compliant.

Enterprise Resource Planning

ERP systems are implemented by companies for many tangible, intangible, and strategic reasons.
Companies dont even try to calculate ROI on ERP systems because there are so many intangible and strategic benefits.

Enterprise Business Suites (EBS)

Supply Chain
Manufacturing Financial

CRM HRMS

Oracle Apps Manufacturing & Distribution

Supply Chain - Modules

Inventory (INV)

Purchasing (PO) Order Mgmt (OM)

Oracle Apps Manufacturing & Distribution

Supply Chain - Modules

Inventory (INV):
Inventory is a physical resource that a

firm holds in stock with the intent of selling it or transforming it into a more valuable state.

Purchasing (PO): Purchasing is to buy and receive goods and services to meet the needs of business and customers.

Oracle Apps Manufacturing & Distribution

Supply Chain - Modules

Order Mgmt (OM):

Order management is cornerstone of the customer fulfillment and customer service process. OM is the primary source of demand for goods and services.

Oracle Apps Manufacturing & Distribution ERP Implementation

Major Cycles

P2P: Procure To Pay Cycle

O2C: Order to Cash Cycle

Oracle Apps Manufacturing & Distribution

Integration between Modules

RECEIVABLE CUSTOMER

SUPPLIER

PAYABLES

ORDER MGMT

PURCHASING

GENERAL LEDGER

INVENTORY

WARE HOUSE MGMT

MS / MRP

BILL OF MATERIAL

WORK IN PROGRESS

QUALITY MGMT

Oracle Apps Manufacturing & Distribution

Oracle Application Features

In addition to applications, four major topics adds many features and capabilities to the Oracle ERP system
Workflow Multi-Org System Administration Applications of the vendor in the co-operative Applications initiative

Oracle Apps Manufacturing & Distribution Workflow

A workflow is a set of business rules that can: Create accounting based on your requirements

Route business documents internally for approval

Initiate an outbound and inbound messages Generate and send notifications to home page Generate and send email to an email client

Oracle Apps Manufacturing & Distribution

Multi-Organization

Multi-Org is a server-side enhancement that enables multiple business units in an enterprise to use a single installation while keeping transaction data separate and secure. Support multiple business units even if they use different ledgers Secure access to data on a single instance by line of business Define different organization model Sell and ship from different legal entities Procure and receive from different legal entities Produce reports across entities/within a single entity

Oracle Apps Manufacturing & Distribution System Administration

Oracles Function and Data Security mechanisms constitute the base layers of the security system, and contain the traditional SA capabilities. Orgs can, add more layers to the system depending on the flexibility. These Security limit the scope of OUM to basic SA by granting access to specific menus and to the data accessed from within those menus. Describe the layers of access control in Security Define Function Security Use Menu and Function Security to modify responsibility Define Data Security Set Profile Options Define Standard Request Submission

Oracle AppsBusiness Intelligence Daily Manufacturing & Distribution

Daily Business Intelligence is an integrated reporting and analysis application that enables senior managers and executives to see relevant, accurate, and timely information using self-service dashboards.

Multi-Org Concept
BUSINESS GROUP

OPERATING UNIT

INVENTORY ORG

Multi-Org Concept
BUSINESS GROUP

OPERATING UNIT

OPERATING UNIT

OPERATING UNIT

INVENTORY ORG

INVENTORY ORG

INVENTORY ORG

Oracle Apps Manufacturing & Distribution

Business Entity
TATA Enterprise

LEDGER

LE1 TATA Hotels WEST OU1 EAST OU2

LE2 TATA Autos

LE3 TATA Steels

TATA CHE LE4 / OU6 PLANT8

TATA OU3

WEST OU4

EAST OU5

INV 1

INV 2

INV 3

PLANT 4

INV 5

INV 6

INV 7

Multi-Org
US Business Group
US Operations Ledger UK Business Group UK Operations Ledger

Western Division Legal Entity

Eastern Operations Legal Entity Operating Unit Inventory Org Southwest Region Operating Unit

UK Division Legal Entity

Northwest Region Operation Unit

UK Sales Office Operating Unit

Plant 1 Inventory Org

Plant 2 Inventory Org

Plant 3 Inventory Org

UK Plant Inventory Org

Oracle Apps Manufacturing & Distribution

Financials - Modules

General Ledger (GL) Account Payables (AP)

Account Receivables (AR)

Fixed Assets (FA) Cash Management (CM)

Oracle Apps Manufacturing & Distribution

4 Cs of Ledger

Chart of Account - COA Calendar Currency Accounting Conventions (IAS/IFRS)

IAS International Accounting Standards IFRS International Financial Reporting Standards

ERP Advantages & Benefits

Reduce the amount invested in inventory. Improve worker productivity. Reduce processing cost per business transaction. Reduce the time to perform a financial close and prepare statements. Reduce procurement costs. Install systems with vendor-supported maintenance. Improve the scalability of business systems to support future growth. Upgrade systems to support globalized transactions.

ERP Advantages & Benefits

Accuracy in reporting business Info. Replace legacy systems and install new or improved business processes. Integrate and standardize processes among business units and trading partners in supply chain. Improve system performance, reliability, and fault tolerance. Improve Order management,
customer service and on-time delivery.