Enterprise Resource Planning System

(ERP)

Flowchart #7

Presented ByPresented ByMarc WagnerMarc Wagner

Tracy LiTracy Li

Clare ChungClare Chung

Denise HintzDenise Hintz

Sammy BernalSammy Bernal

Warda MianWarda Mian

Information to be captured by the system is input through online keying from the six separate departments of:

Sales

Production Planning

Engineering

Cost Accounting

Inventory

Factory Work Stations

The Information to be processed is composed of:Forecasts & Orders

Production Orders & Schedules

Product Specifications

Standard Costs & Overhead Rates

Materials Requisitions

Production Data

This information is processed through a computer system of online production information systems.

Simultaneously, the new information is entered & continually updated into the general ledger & stored online as manufacturing control specifications through a computer process.

At the same time a Computer Integrated Manufacturing Interface (CIM) is prepared from a computer process which produces instructions and schedules for the manufacturing process in which much of the manufacturing is performed and monitored by computerized equipment in part throughout the use of robotics and real time data collection on manufacturing activities.

The instructions & schedules is updated through the CIM interface as new information is input into the system.

The new information updates the production cycle database stored on magnetic disks consisting of:Bill of Materials

Operations List

Master Production Schedule

Inventory

Production Orders

Work in Progress

Database Magnetic Disks

in this particular

Production Cycle Database

are defined as

Bill of MaterialsBill of Materials

A document that specifies

Part #

Description

Quantity of Each Component used

Operations ListOperations List

also referred to as “routine sheet”, specifies

Labor

Machine Requirements

“How a product moves through the factory?”

“What is done at each step?”

“How much time each operation should take?”

Master Production Cycle Master Production Cycle

(MPS)(MPS)

“How much of each product is to be produced during the planning period?”

“When that production should occur?”

InventoryInventory

“How much Inventory we have right now?”

“How much we need to order?”

“When to order?”

“What to order?”

Production OrdersProduction Orders

A document authorizing the manufacture of a specified quantity of a particular

product of:

Operations to be performed

Quantity to be produced

Location to be delivered to

Work in ProgressWork in Progress

Indicates product status of:

Complete, ready to be delivered to its final destination or

Incomplete, in need of materials or equipment

Ultimately, the Production Cycle Database is accessed by:

Sales

Production Planning

Cost Accounting

Factory Supervisors

The Production Cycle Database is made accessible by an:

Inquiry Processing SystemInquiry Processing System

Processing user information queries by searching master files for the desired

information into an appropriate response

The Inquiry Processing System The Inquiry Processing System inquires information so new inquires information so new

information regarding:information regarding:

Forecasts & OrdersProduction Orders & Schedules

Product SpecificationsStandard Costs & Overhead Rates

Materials RequisitionsProduction Data

Initially provided by:Initially provided by:

SalesProduction Planning

EngineeringCost Accounting

InventoryFactory Work Stations

Updates the following reports:Updates the following reports:

Production Status Reports

Cost Analyses

Performance Reports

This cycle continues till all the new This cycle continues till all the new information is input and updated information is input and updated

into the database, so it can update into the database, so it can update reports which provide specific reports which provide specific

departments with the information departments with the information they need.they need.

ControlsControls

Terminals & Data Entry Employees Terminals & Data Entry Employees ControlControl

Prevent data from being misplaced or mishandled by outsiders who may be able to enter the database

• Incorporate passwords

• Personal Identification Numbers (PIN)

Data Entry C0ntrolsData Entry C0ntrols

• Field Check – Checks for the appropriate character type in a field

• Sign Check – Checks for the appropriate arithmetic sign

• Limit Check – Ensures a numerical value doesn’t exceed a predetermined value

• Range Check – Checks numerical values with lower & upper limits

• Size Check – Determine if data will fit in the assigned field

• Completeness Check – Make sure all required items are entered

• Validity Check – Compares ID Code/Account # with a similar data in the master file

• Reasonableness Test – Determines the correctness of the logical relationship between 2 data items

• Data Entry Bath Totals

Authorization ControlAuthorization Control

Keep the database as accurate and error free as possible

• Implemented by creating an “access control matrix”

• “Access Control Matrix” is a table specifying which portions of the system users are permitted to access & what actions they can perform

Data Back-up ProceduresData Back-up Procedures

Keep the data from being lost or erased

Provides “fault tolerance” through a process called “restoration”. There are two types of back-ups:

1. Incremental Backup: Saves changes since the last back-up.

2. Differential Back-up: Saves all changes since the last back-up.

Additional Controls:Additional Controls:

• Physical Inventory Counts – to keep Inventory accurate

• Firewall Protection – to protect outsiders from stealing or ruining the authentication of the data

• Write-Protection – protects against accidental writing over or erasing of data files stored on magnetic disks

Any Questions?Any Questions?

Thank you!