erp oracle 11thaug

8/3/2019 ERP Oracle 11thAug

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Marketing

Oracle ERP


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History

Founded in August 1977 by Larry Ellison, Bob Miner, Ed

Oates and Bruce ScottInitially called Systems Development Lab or SDL

1978 SDL was renamed Relational Software Inc( RSI)to market their new database

RDBMS created in 1977 available with the launch ofOracle version 2 in 1979

Name changed to Oracle Systems Corporation in 1982

Released Oracle version 3 in 1983 and version 4 in

1984 as a result of huge demandReleased 8 more versions from 1985 to 2007

Released tuning tools along with the versions to finetune performance


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Introduction

Oracle ERP software is designed on Oracle App framework

Oracle Financials is the best of all its packagesHuman resource management package is slowly gainingpopularity

Company hires expert consultants to inform buyers about theproduct

Efficient and helpful customer support

Annual revenue of $10.9 bn (USD)

Oracle nearly doubled the size of its application businessthrough the acquisition of PeopleSoft (and JD Edwards

which was acquired by PeopleSoft)Offers its database, tools, and application products, alongwith related consulting, education, and support services inmore than 145 countries around the world


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Oracle ERP- Pros and Cons

Pros Cons

Availability of many modules HRMS,finance, production, supply chain,customer relationship

Expensive modules

Can choose any number and anycombination of modules

Modules from different vendors resultin decreased efficiency

Easy to use Oracle UIs Unattractive UIs

Integration of web-enabled features inERP applications

Connection with other databases isnot possible

Security of databaseCan adopt changes in legal standardsfast

Exceptional reports

Gives a higher RoI


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OracleERPProducts

Oracle 9iRAC

PeopleSoft

Oracle E-Business

Suite

JDEdwards

World

JDEdwards

EnterpriseOne


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RETAIL SECTOR


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Retail ERP

ERP is implemented heavily in large retail chains

These packages help in facilitating the optimizationand administration of the internal businessprocesses

ERP packages are now a differentiating strategies

for most enterprises they act as competitive toolslarge retail chains

An ERP software function through informationsharing among different

They comprise of function-specific components andcan interact with accounts section, order entry,distribution, POS, etc.


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Challenges in Retail Sector

2 major challenges areSurvival in the Long run

Profitability

Other challenges include:Market competition: understanding the market demandcan help improve profitability

Margins in this sector are low, inefficiencies/ wastagescan lead to losses. Enterprise wide monitoring can helpimprove the profitability in the long runRegulatory pressures exist in the system, thus visibilityneed to be present at every level (in terms of reliableinformation, accessible data, etc.)Continuous monitoring is required in the retail sectorIn order to address the above problems, and to bring aboutvisibility, efficiency and proper communication within theenterprise, ERP packages can be implemented


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Enterprise Application problems in retail

Integration of the various business functions thereneeds to be synchronization among different business

activities that are involved in a retail business. Programmedsoftware are implemented by large retail chains to addressthis problemThe retail chains that have implemented software packagesneeded some degree of customization to fully integrate their

business processesOther major problems include:

High maintenance costs (costly legacy information systems)Outdated architectureLimited scope (legacy systems fall short of the requirements of retail

sector)Integration and scalability problemsIncreased business risk owing to the old and new system (whichcan cause failure)


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Advantages of ERP in retail

Primary

Retail specific componentsSegment specific expandabilityoption

Support for store system

Secondary

Scalability & ConfigurationPhased implementation support

Support for advanced functionality

Workflow automation

Technology and application

integration

Success of an ERP package in retail depends on theIT skills, workforces experience, the training they

have undergone to make effective and efficient

utilization of information systemTraining forms the crux of retail ERP, cutting down ontraining costs may yield disastrous outputs, thusbudget should be allocated to meet the training needs

in ERP retail implementation


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SWOT Retail ERP

Strengths

Integrates all the systems,processes

Provides the enterpriseview of how the work isflowing

Streamlines businessprocesses

Increases visibility Competitive pricing

Weaknesses

Training forms the crux ofthe system

Security concerns exist,incase the team is notefficient

Cost & time involved Legacy systems

Opportunities

Booming organized retailsector

Competition has been

growing, ERP can be adifferentiator

Improves efficiency in thesystem and helps inimproving margins andprofitability

Threats

Complexity of the system,ERP success cannot bepredicted during

implementation Profitability becomes aconcern if training costsexceed the revenues

Customization is costlyaffair, thus retail chainsprefer to rely on legacysystems


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Major components of ERP Retail


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SCOPE

Sales and operation planningBuffer resource strategyMaterial and Capacity requirementsDistribution

Logistics


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Modules in Oracle Retail ERP

Sales and distribution

Materials managementQuality management

Warehouse management

Customer relations managementFinancial accounting

Human resources


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Sales and Operations Planning Process

Aggregatedemand plan

Financialplan

Supplyplan

Detaileddemand plan

Marketing

Sales

Execution

Master supplyscheduling

Detailed materialsplanning

Supplierscheduling

Execution

Inventorybacklog


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Materials management: Demand planning and SupplyplanningIssues in inventory management

How to cope with demand variability?

Relationship between service and inventory levels

Impact of lead time and its variability on inventory levels

What is an effective inventory policy?

How to use supply contracts?

Approaches to forecasting


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Demand planning and Supply planning

Oracles ERP package is capable of per-item stock

monitoring.Oracles demand estimation is made by the modulecalled "Demantra".

Basically, this module uses the Bayesian approach.

The Bayesian estimation approach is based oncombining the historic sales data with planned salesdata.

Estimation can be made even when no historic data

is available. This is done by using the previouslyplanned sales data and the data obtained duringsales


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Distribution

Warehousing

Fixed location storage

Random location storage

Zone management storage

Out and Back Picking Route collection picking system Zone picking system

Three strategies for picking inventory

Lot tracking

Transportation

Distribution Requirements planning

Material handling

Order administration


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Cross docking


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Cross docking

Cross docking can cut

35 to 45 cents off avendors total cost of

60 to 70 cents per caseto deliver products to a

supermarket chainTo

outboundtrucks

Tooutbound

trucks

Tooutbound

trucks

Inbound

trucks


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Steps in Cross Docking

Merchandise cartons that need to be cross dockedare pre-packaged by the vendor for a specific store

Merchandise arrives; Merchandise is received andchecked

UPC (Universal Product Code) labels on the cartonindicate the store to which it is to be sent; the vendormay also affix price tags on each item in the carton

Since the merchandise is ready for sale, it is placedon the conveyor system

The conveyor system routes it from the unloadingdock at which it was received to the loading dock forthe truck going to the specific store


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Statistical process control charts

PDCA cycle

Quality Planning

Quality Control

Evaluating performance,

Comparing performance with goals

Taking action on the difference

Quality Improvement

Quality management

ACT PLAN

CHECK DO


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Suppliers relationship management

Highly integrated

Efficient Help Desk

Up-to-date database management

Billing and Invoice

Purchasing and discounts

Planning and scheduling shipping

Maintaining relationshipsOrder placing and tracking

Information system


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Financial accounting

Financial accounting

ControllingAsset management


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Human resource management

Personnel Admin

Time management

Incentive wages

Payroll

Benefits

Planning

RecruitmentTravel expenses

Information system


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Challenges

Choice of solutionScalabilityVendor managementFunctionalityReliable service and support

Implementation process

Knowledge of applicationExperience in implementationReliable support

Internal Change ManagementPeople

ProcessTechnology

Commitment of the Organization


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Challenges in the Implementation Process

Which processes are most important now and why?

Does this system meet our needs or go beyond them? Who will be the change champion(s)?

Who are the stakeholders?

What is the business culture at our company and what areits strengths?

What subcultures do we have and what are their strengths?

How can we apply those strengths to business change?

What cultural attributes are weak or will interfere with thechange?

What will be the toughest changes, and how will weaddress them?

Who will be responsible for change management?


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Benefits of implementing Oracle ERP for Retail

End-to-End Supply Chain Management

Centralized BuyingSolves critical business problems

New IT infrastructure

Implements best retail industry practices

Makes exception reporting information readilyavailable

Perpetual inventory, data integrity, supply chain

visibilityContinuous improvement of productivity

Yields higher customer satisfaction over time


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E-business opportunities in Retail sector

Reduce facility costs

Reduce inventory costsDynamic pricing

Supply chain visibility


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Product strength factors

The products market share Market experience/Knowledge

The products stage of development ormaturity

Quality Control

Range of products of a particular type Product development skill

Product adaptability to a customerdemand Company image

Production costs Level of additional service andpersonnel

Relationship management Additional product features

Skills Production capacity


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Market attractiveness factors

Market size Socio-cultural considerations

Market growth/maturity Political-legal considerationsCompetitive structure & entry/exitbarriers

Other company specified factors

Macro-economic factors

Customer attractiveness factors

Contribution to profit/margins Long term prospects of relationship

Contribution to company technologydevelopment

Relationship specific investments

Closeness of customer relationship Financial stability/reliability ofcustomer/payment history

Potential effect of this relationship ondevelopment of others

Other company specified factors


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Technology strength factors

Category of technologies-basic,distinctive, external, internal

Customers supported

Company standing in this technology Strategic technology areas of which itis a consultant

Technology life-cycle position Other user specified factors

Products supported


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PRODUCT STRENGTH

MARKET

AT

TRACTIVENESS

Product positioning

ORACLE


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CUSTOMERATTRACTIVENESS

MARKET

AT

TRACTIVENESS

Customer positioning

ORACLE


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CUSTOMERATTRACTIVENESS

TE

CHNOLOG

Y

ST

RENGTH

Technology positioning matrix

ORACLE


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CASE AAFES

Oracle ERP in Retail

C AAFES t il t t


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Case: AAFES, retail management system

AAFES retail management system made use of Oracle retail

suite to manage its RMSReasons for choosing Oracle Retail Suite

The processes that were outdated were updated by Oracle retail suite

Oracle had advanced retail analytics

There were improvements in supply chainProcess issue resolution

Oracle retail suite reacted well to the shifts in retail

Features of retail management system: Oracle Retail SuiteThis retail system managed suppliers and items by locations

It made use of centralized system to monitor the inventory levels andmeet the daily demand

This enterprise solution was successful in integrating key members insupply chain the suppliers, the buyers, and retail locations

Why AAFES needed to optimize its Integrated


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Why AAFES needed to optimize its IntegratedSupply Chain?

How did Oracles RMS help AAFES bring about


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How did Oracle s RMS help AAFES bring about

new organizational changes?

It addressed the business process changesNew Business Process couldChange the way targets were met, and business was accomplished ondaily basis

Accomplish new replenishment methods

Achieve new item management setupAdopt a new Point of Sales (PoS)

Strike new deals

It was all about having the right product, at the right place, at the righttime!

Helped structure the teamHelped incorporate systems changes

Helped centralize buying

1 N S t Ch th t b ht i


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1. New System Changes that were brought in

Warehouse replenishment was achieved in all the main stores where itwas activated

Auto RMS helped in stores replenishment where the stores wereactivated using POG (Plan-O-Grams)

POG determined the stock assortment, i.e., when the stores activated theirreplenishment

The pilot phase began in 2009, in 2 of their stores

The main aim of AAFES was to grow their business, for this they wantedtheir new systems, new processes and new teams have everyoneworking together in the same direction!

Business

2 T St t


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2. Team Structure

Business

Buyer

Planner

Pricing

Forecaster

Replenisher

Allocator

3 New system changes


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3. New system changes

The old systems were phased out, and those which were not phased out were fed from theRMS

Store ordering of old system was decommissioned

Key business changes:Suppliers could notify buyers or sellers of new items and their costs

No contracts for old system procedures

All items were replenished in RMS

Stores automatically generate Vendor Order number (VON)

Line items were received at stores for all retail merchandise

Line item details sent systematically to Walker systemsVisibility of Store inventory increased after implementing RMS

New Process: Item data management

Merchandise Support Team (MST)

Global Data Synchronization (GDS)

New Item Induction form

Item Approval ProcessGDS Item Induction

Electronic

Item Data Entry Experts

Merchandise Support Team

The new item setup process is more detailed, thus it was time consuming but the time spent

on proper item setup yielded greater benefit to AAFES in the lifecycle of the item

4 Centralized Buying


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4. Centralized Buying

Centralized buying brought about dynamic changes the way AAFES replenished. Some ofthe methods used for replenishing are:

Just in Time (JIT) ReplenishmentProactive Assortment Planning

Offshore replenishment

Mass Allocations

Thus Lower inventory investments helped reduce costs

Centralized buying could impact

Buyers: to determine the item or store relationships, regarding the funds and space, departmentalmargins

Planners, Allocators and replenishers: plan and procure

Pricing groups: help develop strategies, in clearances, competition, and margins

Stores: to perform top line sales, expense-control, manage perpetual inventory

Reducing inventory storage and handling costs, improves customer fill rates and AAFES

supplies goods that customers actually want

AAFES Benefits after implementing Oracle Retail Suite:


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AAFES Benefits after implementing Oracle Retail Suite:

Provided End-to-End Supply Chain Management

Could incorporate Centralized Buying

Could solvecritical business problems

Helped build a new IT infrastructurefor AAFES

It implements best retail industry practices

Exception reporting information is made available readily

Bring about: Data Inventory, Perpetual inventory, and Supply Chainvisibility

Could incorporate continuous improvements in productivity

This resulted in better customer satisfaction over time

It brought about Supply Chain Optimization helped adjusting inventorylevels, forecasting improved and replenishments were managed byexception

Helped in pricing competitively centralized pricing increased visibility

Impact on Retail Operations


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Impact on Retail Operations

Increase in sales revenue was reported by AAFES

post implementationVisibility improved

Inventory reduced predominantly

Markdown reductions were possibleBetter in-stock position on fast moving items

Centralized pricing improved the reaction time tocompetitors prices


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Oracle MarketersBanking ERP

Need of ERP for Banks


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Need of ERP for Banks

The entire market has started to globalize

Multi Geographical presence

Need to develop a sustainable business model

For developing competencies

Reduce cost and improve performance by

business consolidation

Major ERP functions in Banking


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Cash management Banknotes and coins

Currency issuing

Movements and vaults

Sorting and withdrawal

Provisioning

Teller Operations

Counters

Interbank Transfers Numbered expressions

Withdrawals and payments

Foreign currencies



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Position Management

Compensation

Automatic Teller Machines

Journals and Containment

Accounting Translations

Technical architecture

Security

User Friendliness

Open source software Professional Services

Knowledge Transfer

Source code

Quality Assurance

Oracles Core Competencies


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Oracle s Core Competencies

Worlds top 20 banks use OracleWe provide cost efficiency and help them in creating

value for customer

We provide broadest solution for the banks to optimize

their performance

We provide customized solutions

We provide advanced technology and integrated

functionalities

Oracles Key Functionalities in Banking Sector


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Oracle s Key Functionalities in Banking Sector

We offer a package of sales, marketing and core bakingfunctions

Other common features are integration with the existing

systems

Risk performance management solutions are also

offered by us

We offer worlds best financial solution for FSI

Design service oriented architecture for specific banking

models

Oracles Marketing Strategy


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Oracle s Marketing Strategy

We focus mainly on direct marketing to obtainmaximum ROI

We develop products with less lead time and our

strategy is push marketing

We constantly advertise our new products for mass

awareness

Before any project we do resource analysis and then

push the product

Oracles Marketing Strategy


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Oracle s Marketing Strategy

Every client is treated on an individual and treatedaccordingly with separate marketing teams

Marketing teams also calculate the entire budget

We have a in house marketing team

Oracle Challenges


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Oracle Challenges

BusinessGrowth andCross Sell

toConsumers

CompliancePricing asper MarketOpportunity

Oracles Possible Solutions to Challenges


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Oracle s Possible Solutions to Challenges

Increasing GrowthEmpower employees with customer data and insight

Develop end to end business process

Train employees for better customer satisfaction

Design services to support high value customers

Develop Advanced Technologies

One single customer base for multiple channelsCustomize technologies as per the customers requirements

Oracles Possible Solutions to Challenges


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Oracle s Possible Solutions to Challenges

Solutions Offered

DeliveryMechanismRiskManagementChannelManagement

Customer

dataManagement


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ORACLE TAKE ON CHALLENGES

Tailoring according to bank specific needs


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Tailoring according to bank specific needs

Streamlined business processes

IT structures less complex

User Friendliness Flexible and allow quick adjustments in business processes of

supporting operations

Easy integration of new functions and processes without harmingunderlying technology or previous investments

Personalized data, tools, and solution accessible anywhere at any time

Oracle exclusive key functionality


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Oracle exclusive key functionality

Multi-channel sales, service, marketing, and transaction

solution pre integrated with core banking

Open-standards core banking solution

enabling new products, relationship pricing, and consolidation ofexisting systems

Complete end-to-end risk and performance managementsolution

extending into business operations and anti-money laundering

Only service-oriented architecture with a banking-specificdata model and process library

Why do all world's top 20 banks run Oracle


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Why do all world s top 20 banks run Oracle

Banks around the world rely on Oracle

To help streamline business processes

Meet increasing regulatory compliance demands

Improve cost efficiency while providing greater value tocustomers

Combined strengths of Oracle Financial Services,Oracle E-Business Suite, Siebel, and PeopleSoft

Provides the broadest functionality for banks toeffectively grow business and optimize performance

Oracle Banking Products


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Oracle Banking Products

complete banking product suite for retail, consumer,corporate, investment and asset management, and investorservicingOracle FLEXCUBE

reduce risk and increase productivity throughout theconsumer-lending cycleOracle Daybreak

delivers a suite of analytical applications for multi-jurisdictional Basel II compliance and risk management

Oracle FinancialServices

comprehensive solution for anti-money laundering,

detecting risk, and enhancing customer relationships.

Oracle Financial

Services BehaviorDetection Platform

offers a unique blend of business consulting, applicationmanagement, and technology consulting services acrossbusiness areas to global financial institutions.

Oracle FinancialServices Consulting

ORACLE FLEXICUBE


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ORACLE FLEXICUBE

Comprehensive solution to support retail, corporate, and

investment banking

Offers world-class functionality coupled with regional flavors of

banking to stay ahead of competition

Success in supporting new business models such as Islamic

banking, direct banking, and microfinance

Supports regulatory requirements for Basel II and Anti-Money

Laundering provisions through a highly secure data

management system

can easily integrate with third-party solutions at your bank

ORACLE Mantas


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ORACLE Mantas

Anti Money Laundering solution provides automated, comprehensive,

and consistent surveillance of all accounts and customers

Enables financial institutions, banks, brokerage firms, and insurance

companies etc to monitor customer transactions on a daily basis

Using historical data it provides a holistic view of all transactions

Enables financial institutions to comply with federal and international

regulatory mandates by providing an enhanced level of internal controls

and governance

Uses sophisticated pattern recognition techniques to identify suspicious

behaviour

Oracle Mantas (AML)benefits for banks


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( )

Eliminates need for multiple point solutions from multiple

software vendors

Identify potential money laundering activities and

achieve quicker time-to-compliance

Improve reputation with regulators, resulting in less

frequent and shorter audits

Save time, reduce staff costs and efficiently manage riskby isolating unusual behaviors

Possible Solution : ACE


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ACE Accounting Center for ExcellenceCost center that facilitates accounting and

financial activities in an organization

Streamlines different functions mainly

accounting

Helps in maintaining Global reporting standards

Global accounting policies are established

Why choose Oracle to implement ACE?


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y p

Oracle R12 best facilitates the ACESingle responsibility can be associated with

multiple Operating Units

This will enable users to work across several

OUs

Enables data segregation as per OUs to

enhance the security

Why choose Oracle to implement ACE?


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SLA

LedgerSets

DefiningAccess

Sets

LegalEntities

Customerand Supplier

A/C OracleR12

y p


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GETTING INTO THE BANKING SEGMENTS

TRANSFORMING YOUR BANK


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Quick implementation Ensures integration for both customers and banks

Packaged approach (SOA)

Address ever-expanding requirements

Design sophisticated products faster than competitors to capture marketopportunity

Customer-focused approach

Enable to design, configure, test, and roll out product changes deploy new features and functions faster than required for traditional custom

solutions

Provide wide range of pre-built, feature-rich functionalmodules,

To deliver comprehensive products and services to their customers

CRM

RETAIL BANKING : KEY FUNCTIONALITY


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Capability to create new products rapidly

Easy integration with legacy back-office systems

Support for multiple delivery channels

Improved customer service with higher cross-sell

ratesReal-time processing and centralized maintenance

Reduced operating costs

Efficient business intelligence, decision support, andreporting facility

RETAIL BANKING : Benefits


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Oracle tailored products

handling higher volumesintense competition

increased customer expectations

reduced marginsby equipping them with solutions to extendtheir customer reach, improve profitability, and increase levels

of serviceRegulatory Requirement

Anti Money Laundering (AML)

BASEL II

SOXService-oriented architecture (SOA)

reduce technology and operational costs

co-exist with existing legacy systems

KEY OFFERINGS FOR RETAIL BANKING


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BUSINESS DRIVERS PRODUCTS

Improve Customer Service Siebel CRM :Branch Sales and Service

Branch TellerContact CenterServices Customer Order Management

Stay Ahead of the Competition andReduce Operating Costs

Oracle FLEXCUBE:Core Banking

Lending and LeasingDirect BankingMicrofinanceOracle Financial Messaging Solutions

Address Regulatory Requirements Oracle Financial Services:Retail Credit Risk

Basel IIAnti Money LaunderingKnow Your CustomerEconomic Capital Advanced

Transform Processes and Standardize

and Leverage Industry Best Practices

Oracle Industry Reference Model for

Banking

PRIVATE BANKING : KEY FUNCTIONALITY


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Serve as trustworthy advisers to high net-worth customers

Create consolidated, unified portfolios with innovative and

differentiated services

Transform the customer into an active member

Involvement portfolio management team

Collaborate with customers

to develop holistic, personalized investment strategies based on

sophisticated asset management and risk assessment

Profile individual customers and recommend financial plans

PRIVATE BANKING : Benefits


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Service their high net-worth customers through superior CRM

Dynamic asset allocation

Comprehensive, easy-to-access portfolio analyse

Offer expert and customized investment advice to all their customers

Self-directed and adviser-driven wealth management solutions to their

customers

Help private bankers and wealth managers develop integrated,

comprehensive investment strategies

Automated administrative facilities, the solutions give customers direct

access to their portfolios, while allowing for sophisticated asset management

and allocation

KEY OFFERINGS FOR RETAIL BANKING


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Improve Regulatory Compliance Oracle Financial Services:Retail Credit RiskMarket RiskAsset Liability ManagementKnow Your CustomerAnti Money Laundering

Deliver Superior Customer Service Oracle FLEXCUBE:Private Banking

Increase Your Share of High Net-Worthand Mass Affluent Markets

Oracle FLEXCUBE:Private Banking

Achieve Efficient Trade Management Oracle FLEXCUBE:Private Banking

Transform Processes and Standardizeand Leverage Industry Best Practices

Oracle Industry Reference Model forBanking

CORPORATE BANKING: KEY FUNCTIONALITY


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A scalable, flexible and secure transaction processing platform for

your corporate banking operations

A multi-currency, multi-branch system

An online, real-time system, enabled for straight-through processing

and online tracking of exposures

Credit-risk analytics for effective risk measurement and control

across the enterprise

CORPORATE BANKING: BENEFITS


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Local payments and collections

manage local currency funds transfer

SWIFT-certified solutions enabling corporate-to-bank connectivity

Effective risk measurement and control

organizations manage balance-sheet risk

Control across the enterprise

Achieve greater insight into your risk exposure

Redesign processes quickly and efficiently

Optimize, measure, and audit enterprise-wide processes

Bring about greater transparency in processes, policies, and

workflow

KEY OFFERINGS FOR CORPORATE BANKING


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Improve Regulatory Compliance Oracle Financial Services:Retail Credit RiskMarket RiskBasel IIEconomic Capital Advanced

Provide Better Customer Service Oracle CRM On Demand

Oracle Self-ServiceOracle Self-Service E-BillingOracle Revenue Management andBilling for Banking

Reduce Operational Costs Oracle FLEXCUBE Universal BankingOracle Lease ManagementOracle Financial Messaging Solutions

Transform Processes and Standardizeand Leverage Industry Best Practices

Oracle Industry Reference Model forBanking


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MANUFACTURING SECTOR

E-Business Suite(EBS 12)


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Powered by Manufacturing Execution System(MES)

designed to give you better control and lower operatingcosts

allowing you to simplify compliance processes

increase performance for lean, global operations

develop and execute enterprise-wide plans

improve product innovation

new features were added to deepen the functionality inprocess industries like

food and beverage,chemicals,

pharmaceuticals and biotech,

metals and natural resources

Oracle ERP in process manufacturing


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EBS 12

StreamlineCompliance,

IncreaseCompetitiveness

Better ManageGlobal

Operations

Execute HolisticPlanning and

LogisticStrategies

Improve ProductInnovation andDifferentiation

Streamline Compliance, Increase Competitiveness


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Increased competition and changing markets

continuous pressure to efficiently deliver high qualityproducts, maintain margins

Oracle Manufacturing Execution System(MES)for Process Manufacturing

no need for third-party MES system requiringexpensive integration

deliver high quality products

improve efficiency

maintain marginsmeet regulatory compliance

critical manufacturing deviations tracking

Better Manage Global Operations


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Need of integrated, global view of customers, suppliersand operations to make accurate, timely decisions

EBS 12 uses unified data model

gives both process and discrete manufacturing companies anenterprise-wide view

enables decision-makers to quickly respond to changes inproduction, supply and customer demand

Oracle Enterprise Asset Management

maximize efficiency and availability of assets

By integrating

production and maintenance planning

purchasing

project management functionality

Execute Holistic Planning and Logistic Strategies


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Challenges - supply chain complexities including

self life limitations, product customizations andregulatory surveillance

Solutions offered are new, industry-specificenhancements to oracle advanced supply chain

planningSequence-dependent setups

Shelf life and support for complex process routing

Will help in optimizing production and logistics

Execute Holistic Planning and Logistic Strategies


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New distribution planning capabilities (oracle

advanced supply chain planning) includes:Support for fair share allocationMultiple inventory policies

Circular sourcing

Ship method selectionGlobal forecasting with local allocation of supply

Will help in maximizing shop floor efficiency andthroughput while minimizing cost

Improve Product Innovation and Differentiation


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The least cost formulation module helps in

optimizing material usage and costThis module recognizes

The best ingredients based on the attributes of thematerials

The constraints defined by the customersAlso provide optimization of cost and other technicalquality parameter


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Process manufacturers are quipped:

Speed product innovation with oracle product lifecyclemanagement

Idea management

Item introduction to workflow

Lifecycle management

Oracles Manufacturing Execution system (MES)for Discrete manufacturing


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for sc ete a u actu g

Challenges: Increase in demand for made-to-order,

customized productsMES is integrated with oracles ERP and

manufacturing applications which helps them toadapt to unpredictable changes in demands

Two main advantages:Increased functionality

Improved shop efficiency through improved visibility


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This is deployed directly on the shop floor without

complex and costly integrationOffered with low-to-medium complexityenvironments increasing shop floor visibility

Has ability to reduce manual activities and lowers

total cost of ownership

Also allows shop floor personnel to efficiently andeffectively execute, record and monitor activities

Oracle ERP in discrete manufacturing


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EBS 12

EnhancedShop Floor

Visibilityand Control

ReducedTactical,manual

Processes

Reduced Tactical manual Processes


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It has new workbench with a simplified, easy-to-use

interface for shop floor operationsDelivers critical information needs to complete daily tasksStreamlines transactions to significantly reduce tacticaland manual activities on the shop floor

activities can be performed with direct access torelevant information

Minimizes system interaction time and improvesproductivity and efficiency

This allows to go paperless, while clock in/clock outfeature captures actual time

Enhanced Shop Floor Visibility and Control


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enable users to maintain greater control over

manufacturing activitiesproactively resolve issues that prevent workprogress

allows supervisors to easily assign alternative

resources

allows anticipating capacity resource shortages forproactive staffing changes

supervisor dashboard for real-time views of theactivities on the shop floor


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Case Study

Maruti Case study


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14653 Core Auto Car company

Manufacturers 1 million car per yearReceives 18000 consignments in a day

75 -80 percent Components Out sourced

Manufactures wide range of Cars

Business Challenges


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increased global competition that is eroding

marginsLow price customized products

removing any inefficienciesfrom the shop floor tothe extended supply chain

Managing global and local suppliers

Managing distribution network

Increased number of resource and time constraints

Managing Product life cycle

Oracle solution


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Maruti has built its IT infrastructure on Oracle

database and technologies includingOracle Real Application Clusters,Oracle Fusion Middleware Application Server

Weblogic

Oracle E-Business Suite and added HyperionEnterprise to further

Modules:

Dealer Management system

Spare Parts Tracker

Intelligent Shop Floor

Benefits


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Runs with 0.9 days Inventory

Direct Interface with Customer touch pointsAvailability of customer information across thedealer network

Standardization helped in Tight Process control

Automated workflow

Decrease in no of vendors

Single Database and visibility across the

organization

Hindustan Copper Limited Case Study


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Indian public-sector company engaged in themining, smelting, refining and manufacturing ofvarious copper products such as continuous castcopper rod, copper cathodes and copper wire bars

Indias largest state-owned producer of copper

network of seven sales offices located at Kolkata,Mumbai, Delhi, Indore, Chennai, Hyderabad andBangalore

Business Situation


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Low level of computerization

data was scattered across multiple locations

Processes and accounting policies were notstandardized across the company

Extensive paperwork with ad-hoc systems delayeddecision making and decreased business efficiency

Oracle Solution


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Oracle Apps E-Business suite R12

TCS as its partnerdevelop a unique integrated mining solution withinthe Oracle applications framework for the company

Modules: Financials, Costing/SLA, Purchasing,Order Management and Advanced Pricing,Inventory Management and HR Management

Customizations for Indian statutory and public

sector requirements

Benefits


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Replacement of disparate systems with anadvanced enterprise resource planning system,which helped in integration of flows, improvedoperational efficiency, better visibility and fasterdecision making

Robust and highly reliable data infrastructure withOracle Database

Increased boardroom to shop floor visibility andreduction in processing time

Standardized business processes across differentunits and streamlined business workflow

Benefits (Contd..)


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Lowered implementation and operational cost

Simplified employee management through theestablishment of an integrated HR system

Integrated financial information enabling efficientdecision making

Synchronized financial closing across all units

Change management in public sector environmentto align existing processes of Oracle applications

Integrated procurement and inventory managementsystem, enabling staff to track stock levels in realtime and optimize resource usage


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Thank You

erp oracle 11thaug

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