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Unit 4: Logistics 1
Unit 4Logistics
Dr. Supakorn Kungpisdan
Unit 4: Logistics 2
Key Operational Activities
Secondary activities include Quality Management, Plant Maintenance, Customer Service, and Warehouse Management
Unit 4: Logistics 3
Enhancing Processes with mySAP Business Suite
mySAP SCM, CRM, SRM do not replace mySAP ERP, but offers additional and optimized functionalities
Unit 4: Logistics 4
Sales Order Management
Pre-sales
Check stock & confirm delivery date
Issue goods delivery note
Transportation planning
Warehouse Management System
Issue invoice Create sales order
Unit 4: Logistics 5
Sales Order
During the sales order creation, the system can carry out the following functions:
Monitoring sales transaction Checking for availability Transferring requirements to material requirements planning
(MRP) Scheduling delivery Calculating pricing and taxes Checking credit limits Creating printed or electronically transmitted documents
Unit 4: Logistics 6
Sales Order (cont’d)
• The process may be completely automated or require some manual processing• Resulting data includes shipping dates, confirmed quantities, prices, and discounts
Unit 4: Logistics 7
Delivery and Goods Issue
Deadline monitoring for reference documents due for shipment
Creating and processing outbound deliveries Packing deliveries Information support for transportation planning Supporting foreign trade documents Printing and transmitting shipping documents Processing goods issue Deliveries currently in process Activities that are still to be carried out Identifying possible bottlenecks
Unit 4: Logistics 8
Outbound Delivery
Central object of the goods issue process Support picking, packing, transportation, and
goods issue
Unit 4: Logistics 9
Picking the Delivery
Involve taking goods from a storage location and staging the goods in a picking area where the goods will be prepared for shipping
Picking can be carried out: Automatically (during outbound delivery creation) Routinely (at certain times) Manually (via an employee request)
Unit 4: Logistics 10
Goods Issue Posting
The data required for goods issue posting is copied from the outbound delivery into the goods issue document
Cannot be changed manually; have to change the outbound delivery Functions
Warehouse stock of the material is reduced by the delivery quantity Value changes are posted to the balance sheet account in inventory
accounting Requirements are reduced by the delivery quantity The serial number status is updated Goods issue posting is automatically recorded in the document flow Stock determination is executed for the vendor’s consignment stock A worklist for the proof of delivery is generated
Unit 4: Logistics 11
Good Issue Posting (cont’d)
Can post goods issues in the following ways: Automatically (during outbound delivery creation) Routinely (at certain times) Manually (via an employee request)
Unit 4: Logistics 12
Billing
Creation of invoices based on deliveries or services Issue of credit and debit memos (ใบลด/เพิ่��มหนี้� ) and pro
forma invoices Canceling billing transactions Comprehensive pricing functions Issue rebates Transfer billing data to financial accounting
Unit 4: Logistics 13
Billing (cont’d)
Unit 4: Logistics 14
Document Flow
The flow of data from one document into another reduces manual activity and makes problem resolution easier
Unit 4: Logistics 15
Customer Relationship Management
Making the customer the focus of a company and its business processes
Create and build upon long-term relationships with customers
Unit 4: Logistics 16
CRM Examples
Know customer preferences e.g. previous enquiries, previous purchases Customer background e.g. birthday, workplace, hobbies
Send newsletter or direct mails about a new launch Remind customer about the next dental check Place follow-up call to potential customers after the first
call made Etc.
Unit 4: Logistics 17
CRM (cont’d)
Unit 4: Logistics 18
Traditional Direct Sales
One salesperson has knowledge about his/her customers and contact info.
Unit 4: Logistics 19
Direct Sales Using mySAP CRM
One salesperson has knowledge about ALL customers and contact info
Unit 4: Logistics 20
Integration
Unit 4: Logistics 21
Production
SAP combines information from a variety of business processes (inc planning, cost accounting, Human Capital Management, material mgt, warehouse mgt, plant mgt, and quality mgt)
With mySAP ERP, businesses can share manufacturing information across the enterprise and supply network to coordinate production processes and promote cooperation
SAP offers full integration between its project planning, material requirements planning (MRP), and shop floor control system modules
Unit 4: Logistics 22
Production
+material
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Unit 4: Logistics 23
Production Planning
Based on forecast values and requirements from the Sales Information System and cost/profit analysis
Requirement quantities and dates for finished products
Master Production Scheduling- Ensure planning stability
Detailed planning and schedule
Unit 4: Logistics 24
Production Order
•Central data object in shop floor control and manufacturing execution •Contain all data relevant to production objectives, material components, required resources, and costs• A normal production order covers the demand for a single material or product
Unit 4: Logistics 25
Order Confirmation and Goods Receipt
Deliver feedback to sales order processing and shop floor planning Collect important data e.g. quantities produced, scrap, production
times, and completion dates Confirmed labor can be transferred to mySAP ERP Human Capital
Mgt
Unit 4: Logistics 26
Settlement
Clear the differences between the actual costs and the planned costs
Integration between Production and Management Accounting in mySAP ERP