Summary of "ERP: Start with Internal Integration"

**ERP: Enterprise Resource Planning

 

**The core of ERP: internal integration and external integration, break down the four walls of the enterprise, expand the scope of information integration to the upstream and downstream of the enterprise, and is a system for information exchange between various departments within the enterprise and with external partners.

 

**Internal integration: realize the integration of product development, core business and data collection

**External integration: realize the integration of enterprises and all partners in the supply and demand chain

 

**The application of ERP system must revolve around the business process and establish a global concept

 

**Draw a flow chart and visualize the flow chart before you can start to improve

 

**The principle of information integration: the only source of information

   The realization of information integration is for the real-time sharing of information

 

**Conditions for information integration: information must be standardized, information flow must be standardized

   Information specification usually refers to the name of the data, the code and definition must be unambiguous and consistent

 

**The process is both flexible and standardized. The process can be adjusted reasonably. Once adjusted, it is standardized again.

 

**MRP: Material Requirements Planning

   Goal: neither overstock nor shortage

           Arrange the order time according to the time required for the material and the delivery time

   Main idea:

  • Standardized management
  • demand and supply balance
  • priority plan

 

**MRPII: Manufacturing Resource Planning

   Goal: Solve the financial and manufacturing disconnect

   Financial accounting: providing financial information to the outside of the business

   Managerial Accounting: Providing Financial Information to Businesses

 

**ERP: No enterprise can survive independently. It must rely on upstream and downstream. At this time, only the information within the enterprise is not enough. It is necessary to expand the scope of information integration to all upstream and downstream of the enterprise.

 

 **Collaborative Commerce: enabling information sharing across the supply chain

 

**Independent requirements: not related to other materials

  Related demand: a component of a product, each time a product is planned to be produced, this material will generate a demand

 

**MRP has 4 questions to answer

   1. What to produce?

   2. What to use?

   3. What is there already?

   4. What else is missing? when to order



 

 

 **The essence of Lean Manufacturing: Carefully observe every aspect of the entire business process, starting with product design and engineering, and ending with the end user. Give full play to human creativity, constantly focus on the improvement of value-added processes, and strengthen collaborative communication with partners

    It includes several aspects:

     1. Embody the concept of value-added chain

     2. Improve the ability to respond quickly

     3. Emphasize partnership

     4. To meet customer needs as the premise

 

**The core of just-in-time production system JIT is to eliminate all ineffective labor and waste, and only produce on demand when the next process needs it

 

**The ERP system is only 60% successful when it is launched. In the future, it is necessary to learn to use the data provided by the system to make correct decisions, reform unreasonable processes, and see benefits only when it is 100% successful.

 

**Principles of project management in the implementation of ERP

    ERP projects generally have 4 cycles:

 

 

    

 Conflict arises between users and implementers, mainly because the project definition is not taken seriously

 

A project definition usually contains the following basics:

(1) Goal, scope, progress: 3 items affect each other, and the goal should be specific and feasible

(2) Responsibilities of both parties

(3) Clear communication system

(4) Workload

(5) Training plan

(6) Implementation method

(7) Risk estimation

(8) Completion time and delivery conditions

 

**Project management adopts the work subdivision structure method, subdivides each work into sub-projects or sub-projects, stages, steps, and clearly defines the content and steps of the work       

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