The core management philosophy is to achieve effective management of the entire supply chain, mainly reflected in the following three aspects:
Reflects the right resources to manage the entire supply chain thinking
In the era of knowledge economy on its own resources of the enterprise can not effectively compete in the market, but also must operate in the process of interested parties such as suppliers, manufacturing plants, distribution networks, customers, into a tight supply chain, in order to effective arrangements for corporate production, supply, and marketing activity, society as a whole to meet the enterprises to take advantage of all market resources quickly and efficiently to the needs of production and operation, with a view to further improve efficiency and gain a competitive advantage in the market. In other words, the modern enterprise competition is not a single enterprise with a single inter-firm competition, but an enterprise supply chain and other enterprise supply chain competition. ERP system implementation of the entire enterprise supply chain management, adapted to market competition, enterprises in the era of knowledge economy needs.
Reflects the lean manufacturing, concurrent engineering and agile manufacturing ideas
ERP system supports mixed-type mode of production management, its management thought manifested in two aspects: one is "Lean Production LP (Lean Production)" idea, which is from the Massachusetts Institute of Technology (MIT) proposed a kinds of business strategic system. The enterprise is organized according to high-volume production to customers, sales agents, suppliers, cooperative units into production systems, businesses with their sales agents, customer and supplier relationships are no longer simply a business relationship, but the benefit-sharing partnership, the partnership formed a company's supply chain, which means that the core idea of lean production. The second is "agile manufacturing (Agile Manufacturing)" thinking. When the market changes, corporate event of a specific market and product demand, the basic business partners may not be able to meet the new product development, production requirements, then, companies will organize a specific component suppliers and sales channels in the short-term or one-time supply chain, forming a "virtual factory" to supply and cooperative unit as an integral part of the enterprise, the use of "simultaneous engineering (SE)", organization of production, with the shortest possible time to bring new products to market and keep product quality, diversity and flexibility, which means "agile manufacturing" the core idea.
Reflects the advance planning to control ideas and things
ERP system in the planning system include: master production scheduling, material requirements planning, capacity planning, procurement planning, sales execution plan, profit plan, financial budget and human resources plans, functions and value of those plans have been fully integrated into the control functions throughout the supply chain system.
On the other hand, ERP system, through the definition of transaction (Transaction) related to accounting courses and accounting methods so that the transaction took place at the same time automatically generate accounting entries to ensure that the capital flow and logistics of simultaneous recording and data consistency . According to financial resources in order to achieve the status quo, can be traced the origin of funds, and further back-related business activities have taken place and changed the funding information lags behind the status of material information is easy to realize something in the control and real-time decision-making.
In addition, the plan, transaction processing, control and decision-making functions throughout the supply chain business processes to achieve, requiring business process in every process to maximize the potential of each person's work and sense of responsibility, between the processes and procedures stressed that the spirit of cooperation between people in order to give full play to each organism's subjective initiative and potential. Achieve enterprise management from the "lofty style" organizational structure to the "flat" organizational changes to improve business-to-market dynamics change in response speed.
In short, with the rapid development of IT technology and applications, ERP system to put many of the advanced management ideas into a reality that can be applied to implement the computer software system. |
