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ERP Enterprise Resource Planning Supply Chain SupplyChain

 

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In order to create your company's high-level system requirements profile, please answer the following questions with a Yes or No. This list of questions will allow your team to focus on what are the key functional areas that will be required in your software and highlight the areas that require more analysis. The answers to the questions should reflect what you want and need for the future and not just replicate what you have now.

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1 Will multiple divisions/companies/sites be supported?
The enterprise system will support multiple divisions, sites or companies from a single executable copy of the software and data files.
Yes
No
2 Will multiple manufacturing plants be supported?
A multiple plant or focus factory environment places special demands on a system. For example allowing the separation and/or consolidation of manufacturing and inventory information.
Yes
No
3 Will the multiple manufacturing plants be integrated?
Integrated multiple plants may place demand on each other at various stages of the manufacturing process - either shared or dependent production. Items may be manufactured for another plant.
Yes
No
4 Are you a Distributor?
A business that does not do manufacturing but purchases and resells products. Usually maintains a finished goods inventory.
Yes
No
5 Are you a Distributor with light manufacturing?
Primary business is distribution of finished goods but with some light manufacturing operations. These may include: Painting, assembly, special packaging, etc. May require MPS, BOM, routing, and/or SFC requirements.
Yes
No
6 Do you sell and invoice in multiple currencies?
Impacts requirements for purchasing and accounts payable.
Yes
No
7 Do you buy and pay in multiple currencies?
Impacts requirements for purchasing and accounts payable.
Yes
No
8 Do you engineer-to-order (E-T-O)?
Products where customer's specifications require unique engineering design or significant customization. Results in unique set of item numbers, BOM's, and routings.
Yes
No
9 Do you make-to-order (M-T-O)?
Produce finished goods once the order has been received from the customer, as opposed to picking standard products off the shelf. The final product is usually a combination of standard items and items custom designed to meet the requirements of the customer.
Yes
No
10 Do you make-to-stock (M-T-S)?
Product that is shipped from finished goods, "off the shelf", upon receipt of a Customer order. The master production schedule and final assembly schedule are at the finished goods level.
Yes
No
11 Do you configure-to-order (C-T-O/A-T-O)?
Assemble customized products from predefined "features" and "options" through a final assembly process or manufacture per defined configuration table or rules to the customer's order requirements?
Yes
No
12 Do you manufacture in a job shop environment?
An environment which uses shop orders, lots, batches, and routings to control production in which manufacturing resources are organized by functional work centers, such as drilling, forging, turning, etc. - intermittent production.
Yes
No
13 Are you a process manufacturer?
A manufacturer that adds value by mixing, separating, forming and/or performing chemical reactions. Produces with minimal interruptions (continuous) in any one production run or between production runs (batch) of products which exhibit characteristics such as liquids, fibers, powders, or gasses.
Yes
No
14 Are you a repetitive manufacturer?
A form of manufacturing where various items with similar routings are made across the same process whenever production occurs without shop orders. Products may be made in separate batches or continuously and is not a function of speed or volume.
Yes
No
15 Are you a food or pharmaceutical manufacturer/distributor?
Lot control, product dating, or traceability of product or material usually a requirement for food and drug manufacturers.
Yes
No
16 Are you implementing Customer Order Processing?
Includes taking and entering customer orders and providing order and customer status information.
Yes
No
17 Are you implementing Sales Forecasting? Yes
No
18 Are you implementing Master Production Scheduling?
The anticipated build schedule for those items assigned to a master scheduler that drives MRP.
Yes
No
19 Are you implementing Rough-Cut Capacity Planning?
The process of converting the production plan and/or the MPS into capacity needs for key resources e.g. labor, machines, supplier's capacity, storage space, money, etc.
Yes
No
20 Are you implementing Capacity Requirements Planning?
CRP is the function of establishing, measuring, and adjusting limits or levels of capacity.
Yes
No
21 Are you implementing Inventory Management?
This includes the identification, tracking, and status of inventory.
Yes
No
22 Are you implementing Material Requirements Planning?
MRP is a set of techniques that uses bill of material, inventory data, and the MPS to calculate requirements for materials.
Yes
No
23 Are you implementing Purchasing and Receiving? Yes
No
24 Are you implementing Shop Floor Control?
A system for utilizing data from the shop floor to maintain and communicate status on shop orders and work centers.
Yes
No
25 Are you implementing Cost Accounting?
Product costing.
Yes
No
26 Are you a Project or Contract driven manufacturing business?
Generally a requirement for DOD prime contractor, capital equipment manufacturer (ETO), or field project/service business. Requires project management capability, including: project/job costing and accounting, budgeting, cost estimating, progress billing, ETC, task management, WBS, revenue by project, and resource tacking.
Yes
No
27 Are you implementing Bills of Material, Formulas, or Recipes? Yes
No
28 Are you implementing Operations and Routings? Yes
No
29 Are you implementing General Ledger and Budgeting? Yes
No
30 Are you implementing Accounts Payable? Yes
No
31 Are you implementing Accounts Receivable? Yes
No
32 Are you implementing Payroll? Yes
No
33 Are you implementing Human Resources? Yes
No
34 Are you implementing Fixed Assets? Yes
No
35 Do you use discrete shop orders?
A discrete shop order is opened for the manufacture of a specific quantity, and then closed upon completion.
Yes
No
36 Do you repair your products after sale?
Company has an after sale repair facility for shipped products, and its inventory is expected to be under the control of the enterprise system.
Yes
No
37 Do you support aftermarket sales of service/repair parts?
Those modules, components, items and elements that are planned to be used without modification to replace an original part during the performance of maintenance.
Yes
No
38 Do you require lot number control and traceability?
Assignment of unique numbers to each instance of receipt and carrying that number throughout subsequent manufacturing processes so that, in review of an end item, each lot has end item traceability to the raw materials utilized.
Yes
No
39 Do you require serial number control and traceability?
A serial number is required on the product. This is used for either governmental reporting, or to track product warranty.
Yes
No
40 Do you require engineering change control?
Engineering change control includes ECN creation, approval control, tracking, and history of BOM and operation changes.
Yes
No
41 Are you implementing a standard cost system?
A cost system that uses cost units determined before production. Standards are compared to actual costs and variances are calculated.
Yes
No
42 Are you implementing an actual cost system?
A cost system that collects actual costs as they are applied to production, and allocates indirect costs based upon their specific costs and achieved volume. This is not collecting actual vs. standard. No standard is used.
Yes
No
43 Are customer quotations created?
Estimating and quotations developed for customer RFQ's.
Yes
No
44 Do you subcontract production?
Whenever a production operation is performed outside of the control of the manufacturing system. This includes sending production work outside to another manufacturer.
Yes
No
45 Do you have co-products and by-products?
Co-products are saleable products resulting from the manufacture of another product. By-products are an end item product as the result of a manufacturing process with minimal potential revenue (or a cost of disposal).
Yes
No
46 Do you use blanket orders for purchases?
A term commitment to a supplier for certain goods or services over a specified term at predetermined prices against which short-term releases are generated to satisfy requirements.
Yes
No
47 Do you store, use, or sell items by potency or grade?
Potency is the concentration of a material, e.g. 52% solution of HCL. Grade is the sub-labeling of items to identify its particular specification make up and separate this lot from others produced.
Yes
No
48 Are your materials or products shelf life sensitive?
Material would have date code and require tracking/traceability.
Yes
No
49 Do you backflush inventory/resources?
Backflushing is an approach where items and/or resources are consumed by relieving them at standard from on-hand or available inventory by exploding the BOM at a point in the manufacturing process.
Yes
No
50 Do you backflush direct labor?
Relieving labor at standard.
Yes
No
51 Will you implement bar code technology?
Bar codes may be on shop paper, shipping documents, inventory information, labels, etc.
Yes
No
52 Do you require a CAD/CAM system interface with the enterprise system? Yes
No
53 Do you require a Warehouse Management system?
Provide control over Warehouse operations: receipt, storage, work planning, inventory, replenishment, order picking, truck loading and shipping.
Yes
No



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