Made2Manage Supply Chain Management
Don’t just manage; optimize your supply chain.
Don’t just manage; optimize your supply chain.
Supply chain management is defined as planning and scheduling the flow of material through one or more organizations over time to satisfy end-customer demand. Whether you’re a small or midsize manufacturer, your enterprise is a supply chain and your own supply chain is a link in broader chains that include your customers and suppliers.
With Made2Manage Supply Chain Management (M2M SCM), you can more effectively manage your supply chain by synchronizing the demand for your products with your production capabilities, optimizing your resource usage and maximizing your throughput so there are less disruptions and fewer fires to put out.
M2M SCM offers flexible forecasting, planning and scheduling tools that will maximize your unique production environment. You can execute any or all of these tools in any combination of finite/infinite planning and scheduling, depending on your unique environment.
Whether you are a repetitive, make-to-order, engineer-to-order or mixed-mode manufacturer, the M2M SCM application suite can meet your specific needs. For example, if you are repetitive manufacturer with a relatively simple, lean shop floor, you may just need advanced (finite) planning tools to generate a capacity-based daily build plan. If you operate in a more complex environment, perhaps as a make-to-order and/or engineer-to-order shop, you can employ a combination of planning and advanced (finite) scheduling tools to streamline production. Finally, if you are a mixed-mode company with complex shop floor operations, you can take advantage of both finite planning and finite scheduling tools to drive more product through your plant.
To help you synchronize your entire operation, M2M SCM employs a memory resident application server known as the M2M Synchronizer Foundation. The M2M Synchronizer Foundation simultaneously shares data from the back office (M2M ERP) and the M2M SCM planning and scheduling applications, so you have the real-time information you need to make the best possible production decisions for your operation. The improvements in overall throughput and synchronization will raise your customer service levels, lower your costs, and increase your profits.
What if you could accurately forecast demand to ensure the sufficient supply of components? Since customer expectations, vendor delivery dates, and lengthy production schedules can exceed your necessary lead times, you have to anticipate demand and take proactive steps to allocate capacity, purchase materials and manage your inventory. The reality is that you need to build product and/or BOM-level parts ahead of incoming demand.
Making the right decisions on what to build requires a good forecast. Many small and midsize manufacturers rely on historical performance and trends to make future demand assumptions. However, storing, analyzing and reporting meaningful data can be complex and time consuming, so key decisions are often made based on “gut instinct” alone.
Manufacturing planners or senior managers in make-to-stock, mixed mode and make-toorder environments can use the M2M Demand Forecasting tool to make better decisions about medium-term production plans, long-term capacity plans, purchasing relationships and inventory management. M2M Demand Forecasting takes advantage of the historical sales data within M2M ERP and a powerful statistical forecasting engine to help you generate quick and accurate forecasts for finished goods, key sub-assemblies, and parts.
To help you gain greater visibility into future demand for sold parts or stock raw materials, you can use the automatic forecasting feature to make quick projections and select the best method of meeting demand based on the powerful statistical calculations provided. You also can forecast at the lowest part level desired and create an unlimited number of calculations or history revisions. Forecasts can be quickly generated for thousands of parts or across multiple facilities. In addition, you can simulate changes in sales, production and demand, and see their impacts on forecasts, budget targets, and other areas of the company.
To help you build the right jobs at the right time, you need to quickly schedule and sequence all the activities in your work centers so you can meet your due dates. M2M Advanced Scheduling helps small and midsize make-to-order, make-to-stock and mixed-mode manufacturers like you meet your targeted delivery dates.
The highly automated M2M Advanced Scheduling application shares a common real-time database with M2M ERP for superior coordination. As a result, it draws up-to-the-minute information from the M2M ERP back office. In turn, purchasing, order entry and other M2M ERP functions have real-time visibility over shop floor schedules and can be adjusted accordingly.
M2M Advanced Scheduling combines Theory of Constraints methodology and powerful optimization technology to achieve maximum shop floor throughput. Using a drum-buffer-rope scheduling approach, M2M Advanced Scheduling helps identify your shop’s critically constrained resource, exploit that resource, buffer and protect it, and keep it running by subordinating other resource schedules to that bottleneck. In addition, you have the option of constraining schedules based on additional resources in the bottleneck work center, any number of secondary work centers, and/or the availability of any kind of purchased material.
M2M Advanced Scheduling features state-of-the-art scheduling algorithms, previously available only to the largest and most advanced manufacturers. Its memory-based processing provides superior performance while minimizing late jobs and maximizing throughput. You can also rely on M2M Advanced Scheduling to help you determine precise need dates for purchase materials.
Your scheduling staff will enjoy the easy-to-use, drag-and-drop Gantt chart facility for viewing and editing schedules. The Gantt chart tools (i.e., Schedule Board) seamlessly link work center views with job order views and easily pegs individual job tasks to their related sales order or other top-level demand. You can edit by dragging and dropping, including moving tasks to alternate machines or work centers. Furthermore, scheduling and rescheduling runs can be completed rapidly - generally in five minutes or less.
What if you could always determine the most profitable production plan, particularly when total demand exceeds total capacity? What if you could easily determine which products to build, how many to build and when you should build them? To drive more profit through your shop floor, you need a reliable plan. With the M2M Advanced Planning application, you can avoid the guesswork and create a more effective, more automated production plan.
If you are a company with capacity constraints, significant make-to-stock manufacturing, seasonal demand, and/or long lead times, M2M Advanced Planning can help you respond to demand changes by generating feasible jobs based on available capacity and materials.
During times when total demand outpaces your capacity, M2M Advanced Planning uses Theory of Constraints methodology and mathematical algorithms to help you synchronize critical business processes that can impact your targeted delivery dates and determine the most profitable production plan. With M2M Advanced Planning, you have the visibility to evaluate different, sometimes competing, demand opportunities and then build a plan that delivers the most revenue for your company.
Through a shared database, real-time information flows freely between the M2M ERP back office and the M2M Advanced Planning application. Your material requirements, sales orders, and safety stock levels are balanced against job due dates based on existing capacity and material constraints.
You can keep your sales order commitments in line with your production capacity by using the embedded Capable to Promise (CTP) feature within the M2M ERP sales order screen. With the CTP button, you can quickly and accurately determine whether you have the available capacity and materials to meet your customers’ requested delivery dates. The CTP application can also determine the earliest realistic promise date and offer alternate delivery options when requested dates cannot be met.
Planners can leverage the M2M Advanced Planning interactive screens to compare supply with demand or capacity with load and easily relate these two views. Planning personnel can also see the maximum supply that can be added within current capacity and material availability and make informed job trade-offs on fully loaded resources.
Procurement functions affect job costs, sales order costs, inventory and accounts payable. Made2Manage provides the tools you need to understand where your procurement requirements are coming from, the ability to plan for those requirements, and assistance to execute and monitor your supply plan in a cost-effective manner.
Made2Manage collects purchasing demand from throughout your organization in its master purchasing queue. The master purchasing queue’s single window shows you all sources of supply and demand with time phasing. You can look at the whole queue or filter it to see just what’s important to you. Once you know what drives your purchasing requirements, you can decide what, how much, from whom and when material is needed to meet demand. Made2Manage gives you just the information you need to make good decisions.
The material availability report tells you where the demand came from, which purchase order was used to supply the demand, and the vendor’s promise date. The date-sensitive purchasing queue report helps you act on items that need attention. With the purchase order variance report, you can analyze vendors on cost, delivery and quantity variances.
Executing the procurement plan often starts with a request for quotation (RFQ) from one or several vendors. After you enter an RFQ, a single command recreates the same information for other vendors. The system stores prices returned from the vendor for use and later analysis.
By clicking a single button in the master purchasing queue, you can assign vendors and modify required dates and/or quantities. The system creates the purchase order and returns with options for you to view, print or approve.
Material requirements planning (MRP) solves a common problem - not having the right parts at the right time. Made2Manage Planning calculates net material requirements, then helps you plan jobs and purchase orders to meet those requirements.
MRP lets you store demand forecasts and master schedules for finished goods and spare or service parts. Based on forecast, sales order or Master Production Schedule (MPS) demand, MRP can quickly net demands for hundreds or thousands of parts with multi-level BOMs. Action messages then help you identify exceptions and modify your supply plans accordingly.
MRP projects future net demand and inventory for stock parts, whether made or bought. It also incorporates stock part demand emanating from non-stock (i.e., make-to-order) sales orders, so that your material planners get the whole picture. MRP preserves pegging relationships throughout the BOM hierarchy, even when lower-level demands are aggregated. As a result, your material planners can make informed trade-offs and react more quickly to meet customer requirements. MRP also provides item-specific order policies to reduce the amount of time spent adjusting production or purchasing quantities for inexpensive items.
MRP is a time-honored tool for calculating net supply requirements in make-to-stock or other environments with significant part volume and BOM complexity. Like all traditional MRP tools, Made2Manage Planning does not consider capacity when it recommends supply plan changes. For best results, MRP should be used in conjunction with Advanced Planning which considers capacity and material requirements simultaneously.
Made2Manage shipping and receiving functions enable you to easily manage all activity associated with the receipt of materials and returned goods and the shipping of finished goods and subcontract work. Through the Made2Manage add and carry function, you can quickly create multiple shippers and receivers without the need to re-key information from the original sales order or purchase order.
Shippers can be created for customers or vendors and also can be designated as returned material or sub-contract work. If you are managing a high volume of shipments on a daily basis, the Made2Manage Auto Shipping feature can be used to create a checklist of items/orders available to be shipped. Once all the items for shipment are identified, you can hit a button and create all the necessary shippers in one step.
The process of shipping feeds the invoicing queue for accounts receivable and updates inventory and job costing immediately. The system can automatically post general ledger transactions upon confirmation of the shipper. In addition, an automatic link for information related to a shipper will pull up the appropriate sales order, job order or purchase order.
You can also ship using the added security of a bill of lading to file claims in case of theft or damage to a shipment. Bills of lading also indicate whether your shipments contain hazardous material. Made2Manage also interfaces seamlessly with UPS WorldShip - a shipping software application for your high-volume shipping needs.
By routing outbound material through the shipping process, you create a complete audit trail for all products leaving your company. Items that require a lot control or a serial number can quickly be entered at the time of shipment. The system also lets you enter custom messages or pull in standard messages for printing internal or customer-specific shipping instructions.
The receiving function records vendor receipts and customer returns to your company. Similar to shipping, the tracking of all inbound receipts also creates a complete audit trail. The posting of a receipt automatically transfers costs to WIP or inventory and appears in the queue for accounts payable. Any items that were purchased for a job order are automatically received to that job upon confirmation of the receiver. Miscellaneous receipts accommodate deliveries that do not have purchase orders associated with them.