Sales orders

However, all systems have eertain things in eommon. They all, for example, require inputs and outputs to be speeified. In the ease of the CNC maehine tool maehine table, the input might be the power to the drive motor, and the outputs might be the position, veloeity and aeeeleration of the table. For the MRP system inputs would inelude sales orders and sales foreeasts (ineorporated in a master... 

Figure 12.5 depicts an abstraction of the production schedule for the sample plant, expressed by process order steps allocated to resources over the time scale. The small arrows represent the receipt and issue elements that are directly related to the process order. The large arrows represent material flows that cross the balance area (i.e., they have either a source or a target outside of the organizational unit considered, e.g., purchase orders and sales orders). 

Forecasting and sales planning Sales order management... 

Purchase Order Production Distribution Sales Order... 

Customer order schedules need to be integrated with deliveries, production orders and procurement orders. Volumes and values are already defined. Therefore, the focus is on a time schedule of orders considering production and distribution lead times. Fig. 21 illustrates the main task in value chain operations also now focused on a geographical region such as Europe. The individual schedules of sales orders and purchase orders have to be integrated with distribution and production schedules. 

Sales order management deals with order entry, order change, availability check and confirmations to the customer. Availability check as a concept and as part of Advanced Planning Systems (APS) is also summarized under the term Available-To-Promise (Kilger/Schneeweiss 2004 Pibemick 2005). The availability has to be checked against the sales plan as stable framework for the overall period and the physically available material at the specific point in time. 

Example 2 - Resource inputs and customer profitability. Firms invest resources in a customer relationship with the objective of earning a return on that investment. Consistent with this goal, Shapiro, Rangan, Moriarty, and Ross (1987) develop the price versus cost-to-serve (which includes pre-sale, order-related, distribution, and postsale service costs) framework, which links vendor investments to the returns from each customer relationship. This relationship, however, is not a simple one efforts to find a strong correlation between vendor investments in a relationship (as measured by cost-to-serve) and returns (i.e. price paid by the customer) typically fail. Shapiro, Rangan, Moriarty, and Ross (1987) interpret this as evidence that high income does not necessarily mean high cost-to-serve. And nor does low income necessarily mean low cost-to-serve. 

Purchase Order Receipt Control Sales Order Dispatch Control Inventory/Material Requirements Control Eorecast Demand Control Manage Eorecast Master Data Manage MRP Master Data Manage MPS Master Data... 

A Sales Order Processing System that contains all relevant customer and inventory details to enable a sales order of the correct characteristics to be placed against the actual stock available to fully or partially satisfy the order. The characteristics of the contract between the company and each customer may differ greatly for example, some customers may only be licensed to receive a very limited subset of the total inventory held within the system, while others may be licensed to receive everything but a few specified inventory items available from the supply chain. In both cases, the system would be expected to contain functionality that allows each type of circumstance to be correctly set up to ensure that sales orders for onward wholesale suppliers are only raised for inventory that the supplier is licensed to hold. 

Additionally, the contract to supply different licensed customers may specify different supply terms for the same inventory item. For example, a pharmacy wholesaler may only accept deliveries of orders containing inventory with at least a 12-month expiry date, while a grocery wholesaler may be willing to accept inventory with a minimum 6-month expiry date. Therefore the Sales Order Processing system would be expected to differentiate between the stock rotation dates of the inventory made available to satisfy the orders placed by each type of customer. 

The Sales Order Processing system is likely to be one of the prime sources of information used should any product recall activity become necessary. Depending on the type of Sales Order Processing System, it may have interfaces to other systems that electronically feed in sales orders to the organization and to automated or manual order picking systems. 

The distribution system may also be the initial point at which returns to the warehouse reenter the supply chain system, for example, if goods are supplied to wholesalers on a sale or return basis. Depending on the functionality and interfaces of the system, upon completion of successful deliveries, it may provide confirmation of this activity back to the Sales Order Processing System. 

Validation needs to be completed for those systems that would support any product recall activities. Regulatory authorities expect that traceability is established throughout the supply chain to facilitate the recall of an entire lot/batch of a product if this becomes necessary to minimize, among other things, any adverse impact on patient safety. Sites may have a locally developed IT solution, a centrally supported IT solution, or may have even subcontracted this activity to a third party as part of an outsourced Sales Order Processing activity. 

Inventory Reconciliation Sales Order Processing Stock Rotation Dispatch Distribution... 

A Sales Order should only be raised in favour of persons who are authorized to hold and distribute the finished inventory or medical device. 

See also information about conditions of sale ordering procedures, and links to our regional sales offices. 

The function view is used to describe the functions and their relationships in a company. These functions fulfill the objectives of the company, such as sales, order planning, product design, part manufacturing, and human resource management. The efficient and effective operation of these functions contributes to the company s success in competing in the market. 

Under pressure to manufacture a large amount of K34 in a short time to satisfy company sales orders. If unsuccessful, corporate could close the plant and move operations to Mexico. The need for a turnaround (major maintenance) on Unit 9 increases the pressure even more... 

Given what we have established earlier about quality management, it is clear that ISO 9000 will help firms achieve a quality product. For example, earlier we stated that meeting customer requirements is a basic need to provide quality. Item 3 of ISO 9001 is Sales Order Review (see Table 13.1). 

The rule designers could be more aggressive. The rules could interpret the sales order, identifying the need for more material. The rules could then print purchase orders and direct them electronically to suppliers. Then the rules could notify the sales forecasting group to review their planning assumptions. Finally, flnance might order the system to recast income statements and balance sheets to reflect the order, notify the bank of a need for more credit, and print supplier checks. 

After this was first implemented, John actually placed two video cameras in key positions on the factory floor. Then the customer really could see the manufacturing process at the Web site. This was done to help customer relations, but also because there were two places in the process where proprietary operations were done and John did not want to give tours of the actual factory floor. Nor did he want to reveal his technology by obtaining patents for the specialized operations (pre-sales information, sales transaction, mid-sale/order tracking information). 

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