sales – see how you can link your customers and products via erp
TRANSCRIPT
ERP 101 Session 10Sales - Linking your Customers and Products with ERP
David BushSenior Manufacturing Consultant, Rootstock Software
The ERP 101 Webinar SeriesDate 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
Dec 13, 2016 MRP – Step through an overview of this vital ERP subsetJan 24, 2017 Work Orders – Manufacturing’s Starting PointFeb 14, 2017 Inventory – Maintaining Accurate and Reliable Data
Mar 21, 2017 Sales – Linking your Customers and Products with ERP
Apr 25, 2017 Project Control – A Vital ERP Tool for Many Manufacturers
TBA Manufacturing Accounting – An overview using weighted cost
Meet Our Speaker
David BushSenior Manufacturing Consultant, Rootstock Software• 30+ years of manufacturing and MRP/ERP
systems experience• Previously at General Microcircuits,
Consona Corporation, Relevant Business Systems, Inc.
A Quick Recap• What we have covered in our first 9 episodes:
– Built parts, subassemblies and finished product using Engineering and Bills of Material
– Shop Floor Routings define how an item is manufactured– Purchasing brings raw material and assemblies into stores– MRP – balances supplies and demands– Work Orders creating both supplies and demands– Inventory controls material to be used to satisfy various
system demands
Today we look at a another vital facet of ERP/MRP systems, sales order management
What Makes Up the Sales Order Management Segment of ERP?
• Customers• Products• Orders• Sales People• Supporting Records
₋ Reason Codes₋ Price Books₋ Customer Classes₋ FOB/Freight/Carrier Codes
Each segment contains valuable information used throughout the ERP system. Let’s look at some details
Customer Details• Customer Number identifies a specific customer or organization that purchases your products
• Customer Name is linked to the customer number, along with detailed information including:₋ Currency this customer uses₋ Their order history₋ Customer addresses
₋ Bill-to address (1 per site)₋ Ship-to addresses (multiple per site)₋ Contact Information including names, email/phone, role, etc.₋ Customer Class, used for discounts, reporting, assignments
• Accounting Data₋ Open Invoices₋ Credit limits₋ Payment history
Let’s move on to Product Details
Product Type Details
• Standard Products Defined in Engineering₋ Typically have no or few options₋ A single part number identifies the item being purchased
• Configured Products₋ Start with base item (standard product)₋ Various options chosen that define a unique item
• Engineered to Order Items₋ May be based on standard product, but engineered to specific customer requirements₋ Design phase and testing often included with order₋ Commonly used by government contractors, building contractors, etc.
• Service Items₋ Typically time and material contracts₋ May be for repair and maintenance or initial installation₋ May be engineering only, no real ‘product’ to sell
Let’s take a closer look at the Product Master Record
Product Master Record Information• Provides Product Details used for Sales Orders, Accounting, Reporting• Basic Information is held on the record header:
– Product Group (similar to cc, providing default information for this item)– Product Type (stock, configured, engineered, service, etc)– Default Sales Price (if more complicated pricing structure not used)
• Additional Information held on this Record– Order quantity rules– Lead Times for packaging, shipping, etc.– Inventory details including ship-from division and location, UOM– Product Attributes including weight, dimensions
Products and Customers come together on the Sales Order Object
Sales Order Details
• Matches Customers with Products They Wish to Purchase• Provides MRP with Specific Demands (parts/dates)• Vehicle for Required Paperwork
– BOL– Packing Slip– Invoice
• May include blanket orders, configured or engineered items, standard products, service items
• Pricing Detail, including discounts and currency
This customer’s salesperson also included… let’s look at some detail
Salesperson Details• Documents percentage for commissions and determines
when commissions are paid• May be linked to specific customers/regions/products• Includes contact information including address,
telephone, email, etc.• Often used for reporting sales data
Next we will examine how all these details come together in Rooststock, starting with the Customer Master
Rootstock Customer Master
Let’s look at some of the tab information
Customer Master Shipping Tab
“Customer Addresses” tab is next
Customer Master Address tab
Now we’ll review the Rootstock Product Master Object
Product Master Header
Let’s take a closer look at some of the tab information
Product Master Order Qty Tab
Shipping and other information is held on the Inventory tab
Product Master Inventory Tab
Now We Will Look at the Sales Order Itself
Sales Order Header Object
Let’s Review the Line Items Section
Sales Order Line Items
What have we covered today?• Sales Order management controls several vital aspects of
the ERP system:– Customers– Products– Sales Orders
• Customer Orders provide most of the ‘demand’ used by the MRP engine
• Invoicing and Accounts Receivable naturally follow order entry to complete the manufacturing circle
Where Do We Go From Here?• We have now covered the basics of:
– Manufacturing, from creating parts and bills of material to purchasing material
– Creating demand for items via sales orders – Building sub and final assemblies using routings and shop floor scheduling – Using the basic planning tool used by all ERP systems– Material Requirements Planning
• In our April 25 webinar we’ll discuss Project Control:– What IS Project Control?– Planning, maintaining and costing by project– When should project control be used, when not?
Now let’s go back to our moderator, David Cosgrove…..
The ERP 101 Webinar SeriesDate 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
Dec 13, 2016 MRP – Step through an overview of this vital ERP subsetJan 24, 2017 Work Orders – Manufacturing’s Starting PointFeb 14, 2017 Inventory - Maintaining Accurate and Reliable Data
Mar 21, 2017 Sales - Linking your Customers and Products with ERP
Apr 25, 2017 Project Control… A Vital ERP Tool for Many Manufacturers
TBA Manufacturing Accounting – An overview using weighted cost