We will integrate all business function of a hypothetical company in one application, resulting a single window for communication with the entire enterprise. Lets take an example of a cola company (my favourite – you will have minimum two cola cases during the course). For simplicity purpose lets assume the company only produces one drink – LMN (the nimbu pani).
To produce the same what is that you need, to start with the raw material for example – we will require lets say 200 ml water, ½ lemon, and two spoon of sugar (I know this is not enough – take its as an example only). We will also require an empty bottle, label for the same and a cap. Then comes packaging – may be a crate to hold 24 bottles.
Now think of running the plant for 3 shifts, assuming you would like to take the advantage of the plant and machinery already installed – to maximise your profit. You will require human resource, now we have to plan for the no. of people required for each job multiply that by 3 shifts, should we pay for overtime or should we employ more people to run the plant. Please do remember that there is always the option for outsourcing. You can understand that, only to produce lemon water you will be required to maintain staff records to calculate the wages, overtime and always weigh your option against outsourcing. Here we will integrate human resource management with your manufacturing process, which will do the resource handling, recruitment, salary, welfare and lots of the other functions.
Now let’s come to your stock location, you should plan your manufacturing according to your stock condition, so your store house’s physical location should be optimised – small area you will have problem, vast area – is wastage of real estate and your capital as well. Now – stock can be in different locations, different cities, different countries, think of Boeing or Airbus – think of their size, no. of raw materials required and the dispersed stock location. I hope you are able to visualise if we can give an integrated application which can give exact quantity of materials available at any given point of time – that will have a tremendous value addition for any enterprise.
Now think about a system which will generate automated purchase order and also send the same to your suppliers depending upon the minimum stock rules that you set for a product, as far as for our example, you have decided that you will keep 1000 lemon at any given point of time, so the moment your lemon stocks becomes 999 it will send an order to your preset vendor for another 500 or a set-quantity on real time. – think the managerial implication of the same. Now there is a catch – you need 200 lemon everyday for your production and it takes 4 days to get a new stock from your vendor and if you are in West Bengal which is a Bandh loving state, your entire projection would change. – So here we will add purchase management to your system.
As far as manufacturing is concern – how do you know how much to produce? , so we will integrate your manufacturing to your sales management system. So depending upon the sales forecast – and the stocks available – you will produce the item. Now if you have a wrong forecast – lets say demand is actually more, for example for 1000 bottles – but your sales team says 800 will do, the result will be stock out, end result you go to a shop to ask for your brand, it is not there you drink some other brand, so company brand image is gone, you loose out on sales and market-share. – So can’t do stock out. In other case – you produce 1200 where as the demand was for 1000 - you will have excess stock, no place to keep, your money is stuck, more over some stock will have validity or expiry date.
Add all these chain with logistics. You are required to send material to Madhya Pradesh – from where will you send, Delhi, Kolkata or Mumbai. How do you decide, cost, labour, transport – life is going to be more complex. Think about a demand of 1200 in a region where as your truck can carry only 1000 bottles at a time, what will you do, send 1000 and another truck of 200, which will any ways take the charges for a full truck. Now – putting the incoming stocks in your storehouse, a truck has come with full load, but your store in-charge is not aware of the same – but with a integrated application, the moment purchase places an order of the same will reflect in your stock dashboard – the materials are on their way – will reach by this date.
Don’t forget to add finance with all this, one has to know, when to pay, what to pay it is your good-will that matters the most. In other case, the finance is required to collect money on-time, or it will be a bad-debt. After all you need to submit report for your legal requirements – or there will be scams.
All that and many more is what I will say is ERP. What’s in it for you, honestly you will not get ERP course at a price that we are offering. More over you will get the same course from various institutes who will kill you with boring lectures and theory – don’t worry we will not do the same. For this course laptop is compulsory, so we can install the application and utilise our time at the maximum.
As a career opportunity, if you have read this so far, you will understand this is different, this is not one particular subject, not only database or not only coding or development, its mix of all. It will surely open new ideas and paths for the serious ones – who are looking forward to work on the same.
If nothing works, think about yourself as a development guy, who knows why you are doing the work, what is the requirement for a particular module on a macro level against an engineer who is coding something – only because he was asked to do so, without having much appreciation for what the module will do.
I think this will be reasonable, for you to decide, if you require any further clarification please post a comment here, we will get back to you.
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