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UNIVERSITY OF THE WEST INDIES
INDIVIDUAL PROJECT:APPLICATIONOFCOMPUTERSAT
ANGOSTURALIMITED
COURSE: COMPUTER APPLICATIONS INMANUFACTURING COURSE CODE: MENG 6301Jevon Adams
11/21/2011
ID NO: 05701164 TELEPHONE NO: 351-4868
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Contents
List of Figures ......................................................................................................................................... 4
Background............................................................................................................................................. 5
Summary of the Rum Distillation Process. ............................................................................................... 6
Steps in the distillation process ................................................................................................................ 7
1.Molasses .......................................................................................................................................... 7
2.Yeast ................................................................................................................................................ 7
3.Molasses .......................................................................................................................................... 7
4. Yeast Germination, Propagation & Growth ...................................................................................... 8
5.Yeast (Fermentation0 ....................................................................................................................... 9
6.Distillation ........................................................................................................................................ 9
Use of Software ..................................................................................................................................... 10
Application of Software......................................................................................................................... 11
Financial ............................................................................................................................................ 11
Accounting and financial close statements ........................ .......................... .......................... ......... 11
SAP Invoice Management .............................................................................................................. 11
Travel Management ....................................................................................................................... 12
SAP ERP HCM (Human Capital Management) ........................ .......................... .......................... ......... 13
Core HR and Payroll Processes ....................................................................................................... 13
Employee administration ............................................................................................................... 13
Organizational management .......................................................................................................... 13
Global employee management ...................................................................................................... 13
Benefits management .................................................................................................................... 13
Time and attendance ..................................................................................................................... 13
Payroll and legal reporting ............................................................................................................. 14
HCM processes and forms ............................................................................................................. 14
Core HR and Payroll analytics and measurement ........................................................................... 14
Talent Management ...................................................................................................................... 14
Competency management ............................................................................................................. 15
Recruitment................................................................................................................................... 15
Employee performance management ............................................................................................ 15
Talent assessment and review ....................................................................................................... 15
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Employee development ................................................................................................................. 15
Enterprise learning management ................................................................................................... 16
Succession management ................................................................................................................ 16
Compensation management .......................................................................................................... 16
Talent management analytics ........................................................................................................ 16
Workforce Analytics ....................................................................................................................... 17
Workforce planning ....................................................................................................................... 17
Workforce cost planning and simulation ........................................................................................ 17
Workforce benchmarking .............................................................................................................. 17
Core HR and Payroll analytics and measurement ........................................................................... 18
Talent management analytics and measurement ........................... .......................... ...................... 18
Strategic alignment ........................................................................................................................ 18
SAP ERP Operations ........................................................................................................................... 19
Procurement and Logistics Execution ............................................................................................. 19
Procurement ................................................................................................................................. 19
Inventory and warehouse management ........................ .......................... ......................... .............. 19
Inbound and outbound logistics ..................................................................................................... 19
Transportation management ......................................................................................................... 20
Product Development and Manufacturing ..................................................................................... 20
Production planning ...................................................................................................................... 20
Manufacturing execution ............................................................................................................... 20
Product development .................................................................................................................... 21
Life-cycle data management .......................................................................................................... 21
Sales and Services .......................................................................................................................... 21
Sales order management ............................................................................................................... 21
Aftermarket sales and service ........................................................................................................ 21
Professional-service delivery .......................................................................................................... 22
Benefits and Limitations ........................................................................................................................ 23
ERP advantages and disadvantages .................................................................................................... 23
Advantages .................................................................................................................................... 23
Disadvantages ............................................................................................................................... 23
Best Practices ........................................................................................................................................ 24
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Recommendations ................................................................................................................................ 25
Bibliography .......................................................................................................................................... 26
List of Figures
Figure 1 Rum Distillation process. ............................................................................................................ 6
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Background
In the year 1824, Dr. Johann Gottlieb Benjamin Siegert finally arrived at a unique blend
of herbs which he called Amargo Aromatico or aromatic bitters. This was after four years of
trial and error, researching and analyzing the qualities of tropical herbs and plants. Dr. Siegert
hoped to use the bitters to bring relief to his patients, his small circle of family and friends, but
these events were to prove otherwise. From this genesis, an international industry was soon to
rise.
In 1830, Dr. Siegert exported his unique aromatic bitters to England and Trinidad. By
1850, he had resigned his commission in the Venezuelan army, to concentrate on the
manufacture of his bitters, since by then demand had leapt ahead of supply. By the time Dr.
Siegert died in 1870, his reputation and that of his Angostura aromatic bitters were
internationally established.
From this the organisation was able to branch out and start to create other types of
products that have since become known internationally. A summary of the rum distillation
process is shown fig 1. (THE HISTORY OF ANGOSTURA AROMATIC BITTERS , 2009)
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Summary of the Rum Distillation Process.
Dilute Sulphuric Acid
Molasses
Water
Figure 1 Rum Distillation process.
(SUMMARY OF RUM MANUFACTURER AT TRINIDAD DISTILLERS LIMITED , 2009)
MixingMash
Germ Propagation Growth
Nutrients, Air
Fermentation
Balance
Tank
Distillation
CO2
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Steps in the distillation process
1.Molasses
Molasses is a by-product from the sugarcane industry. It is the slurry that remains after most ofthe recoverable sugars have been extracted from the crushed cane. Generally, it is composed of
70-80% w/w solids and 20-30% w/w water. Of particular interest to the distillery is its
fermentable sugar content which typically amounts to 35-55% w/w (sucrose, glucose, and
fructose); this is what the yeast feed on during fermentation.
2.Yeast
This is a uni-cellular organism of the Saccharomyces Cerevisae family. Aerobic conditions
promote propagation and growth of the yeast, while anaerobic conditions result in alcohol
fermentationthe basis of the rum industry. Yeast, being living organisms, requires a controlled
environment with the right amounts of vitamins, minerals and nitrogen. All of these are present
in sufficient quantities in the molasses, except for the nitrogen, which must be supplied as
Ammonium Sulphate (NH4)2SO4.
3.Molasses
The molasses is dissolved in water in the ratio of approximately 1:3. We add a small amount
sulphuric acid to reduce the pH to control bacterial infections. It also has the effect of assisting
by reducing the amount of non-sugar dissolved solids that can be harmful to both fermentation
and distillation. The resulting mixture called mash is about 1213% sugar.
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4. Yeast Germination, Propagation & Growth
4.3 Germination (Growth of new yeast cells):
Clarified mash of specific gravity 1.0501.060 is sent to a germinator, along ammonium
sulphate. This mixture is sterilised using low-pressure steam before the yeast culture is added.
This culture is either obtained as 2-6L lab grown cultures or retained contents of the propagator.
Germination proceeds for approximately 12 hours before the contents of the vessel are
transferred to the propagator. During this time filtered air is injected into the vessel to maintain
circulation and aerated conditions.
4.3 Propagation (Increase in the number of yeast cells):
Contents of the germinator are added to the sterilised contents of the propagator (Yeast
feed, mash and ammonium sulphate). Propagation continues for 18 hours, before being
transferred to the growing tanks. Aerobic conditions are maintained in the vessel by the addition
of filtered air to the propagator. This, as well as the water circulation through the external water
jacket, maintains the temperature at 30-32C.
4.3 Yeast Growth (Increase in the size of the yeast cells):
Mash + (NH4)2SO4 + Propagated culture Growing Tanks
The culture is allowed to grow for 24 hours. Injected air and circulation through the wash
cooler maintain the growing temperature at 30 + 2C. Antifoam (food grade) is also added
during the growing process, before the contents are transferred to the designated fermenters.
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5.Yeast (Fermentation0
Propagated Yeast Culture + Mash (s.g. ~1.096) + Nutrients Wash (8-10% alcohol)
Alcohol is formed according to the following equation:
C6H12O6 + Yeast 2 C2H5OH + Heat
100 lb 51.11 lb + 48.89 lb + 17,000 BTU
Fermentation is completed within 36-48 hours and the temperature is maintained by
recirculation through a cooler. A pH of 4.2 - 4.5 and a temperature of 32-35C are considered to
be optimum for alcohol production. The above equation also shows that carbon dioxide is
produced.
6.Distillation
The purpose of distillation is to obtain the alcohol from the fermented wash (8-10% w/w alcohol
composition) and ultimately refine it to produce the spirits that will be used to make the rum. The
fermented wash contains not only alcohol but also many by-products that as a group are called
congeners. These congeners are vital to the taste and aroma of rum.
The first column is the Wash Stripper or Beer Column; it removes water and residual
solids from the wash stream. The product from this column is heavy rum steam (80-85%
ethanol by vol). This is our first product. It contains all the congeners from the fermentation. It is
very flavorful and aromatic and it is inevitably aged. To make light, the heavy rum is then sent to
the Purifier (Hydro selector) Column. Here the water added changes the vapor/liquid equilibrium
so that the light components separate easily from the alcohol. The head goes to the alcohol
recovery column, while the bottoms feed the Rectifier Column; this stream is typically 12%
alcohol. The rectifier concentrates the alcohol to be separated; a stream close to the top of the
column is sent for final rectification, the bottoms are recycled to the purifier and the other cuts
are sent to the Alcohol Recovery Column. This Recovery Column recovers the alcohol from all
the by-product streams from the other columns. (SUMMARY OF RUM MANUFACTURER AT
TRINIDAD DISTILLERS LIMITED , 2009)
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Use of Software
This company consists of a distillery and a bottling plant. There are elements of process
and manufacturing engineering that are aided by the use of computer aided programs. For this
report I would like to examine the aspects of SAP ERP (Enterprise Resource Planning). The
function of the program is to provide an avenue for users to collect and compile data from the
separate modules to provide the company with a holistic view of the current state of the
organization.
This program consists of several modules including:
Utilities for marketing and sales, Product design and development, Production and inventory control, Human resources, Finance and accounting.
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Application of Software
The software is broken down into three modules:
Financial
Human Capital management Operations
. The uses are as follows:
Financial
Accounting and financial close statements Invoice Management Travel management
Accounting and financial close statements
The financial module has the ability to determine quantities such as accounts payable and
receivables, fixed assets and other sub-ledgers into a comprehensive general ledger. There are
tools for contract, project, product, profit centre, profitability, and cost centre accounting. The
program also carries out valuation, reconciliation, closing automation and reporting tools,
including master data governance. (SAP )
SAP Invoice Management
SAP Invoice Management helps to fully automate the invoice cycle, resulting in
significant workforce efficiency improvements, as well as improved visibility into cash
requirements and optimized supplier discount utilization. The SAP Bank Communication
Management application further streamlines the payment process and improves compliance.
(SAP). Productivity, cash flow and vendor relations are enhanced while streamlining the
accounts payable operations. The result is an increase productivity and performance by
minimizing manual accounts payable processes through integration and automation.Improvements in cash management can be seen by shortening closing cycles by having
streamlined payment processes. The process of creating, managing, monitoring, and routing
purchase orders and invoices for accounts payable personnel and suppliers are optimized and
simplified.
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Travel Management
The SAP Travel Management application helps integrate these financial processes
facilitating faster reconciliation and payments with reduced errors, and better cash management.
The entire travel management process is simplified and travel policy compliance is increased for
greater cost savings. Productivity is increased by reducing administrative tasks for travellers and
managers and extending travel expense management functions to mobile devices. (SAP)
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SAP ERP HCM (Human Capital Management)
Core HR and Payroll Processes
SAP ERP Human Capital Management (SAP ERP HCM) can be used to streamline and
automate administrative HR tasks and reduce related time and costs. At the same time, you canstandardize and consolidate all workforce-related core processes and data onto a single platform,
while adhering to local regulations and laws. It also provides a single, accurate source of
employee data that is available in real time throughout your organization. (SAP)
Employee administration
Routine processes related to personnel and employee information management can be
automated and accelerated. It undertakes the use of a centralized database that enables employees
and management to access up-to-date, concise, and consistent information to promote the
formulation of HR- and business-related decisions. (SAP)
Organizational management
Organizational structure and policy information can be managed and assimilated in way
to give the user a clear picture of the current company scenario. (SAP)
Global employee management
It details all processes involved in the relocation of employees internationally, from the
planning and preparation of global assignments to personnel administration and payroll for
global employees. (SAP)
Benefits management
It illustrates various plan definitions. There it makes it easier to tailor benefit offers to
individual employees. (SAP)
Time and attendance
The software can aid in the facilitation of effective time-management strategies. The
program can provide accurate tracking, monitoring, record keeping, and evaluation of time data.
(SAP)
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Payroll and legal reporting
It has the ability to manage complex payroll processes. It contains data capable of
supporting current legal regulations in 49 countries worldwide, ensuring compliance with
regulatory requirements for reporting purposes. The program also takes into considerationimportant factors such as national currency, multiple languages, collective agreements, and
reporting. (SAP)
HCM processes and forms
It reduces the need for paper-intensive and time-consuming employee-related processes,
such as hiring, termination, organizational reassignment, and maternity leave. Accelerate data
entry with Adobe interactive forms. Handle routine workforce processes quickly with flexible
workflow templates. Define processes through flexible support of business roles, such as affected
employee, affected managers, and HR professionals. (SAP)
Core HR and Payroll analytics and measurement
It helps to measure and analyze typical core HR processes, such as payroll, employee
administration, time management, and benefits. And in so doing can analyze organizational
structures, relationships, and attributes of jobs and positions. (SAP)
Talent Management
Integrated talent management processes can help aid HR in quickly finding the best
people for your business, effectively develop and leverage their talent, align their efforts with
your corporate objectives, and retain your top performers. (SAP)
SAP ERP HCM offers talent management functionality that can be fully integrated with
other HCM and business processes to help you more effectively manage your talent. This cross-
process integration provides you with an overall view of the distribution of talent worldwide,
while enabling all talent-related practices to speak a common language. Cross-process
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integration also ensures data integrity that minimizes your integration costs and increases
stability and simplicity of your talent management software.
Competency management
Identification and optimization of the skills and competencies needed to successfully align your
workforce with your business strategy can be formulated. A competency catalog leveraged by all
talent management processes can be created. It is hence easier to define key competencies along
your job architecture and therefore cultivate talent pools accordingly. (SAP)
Recruitment
The recruiting process and build up is accelerated, streamlined and sourced from a
qualified, global pool of internal and external talent. Comprehensive reporting and tracking of
applicants and candidates can be executed. The result is that recruiting and sourcing costs
decrease and probabilities of improved employee retention increase. The program can act as a
collaboration platform to link to job boards, recruiting-service providers, and internal systems.
(SAP)
Employee performance management
Team and individual goals can align with corporate goals and strategies. It makes it easier
to standardize employee reviews and appraisals. (SAP)
Talent assessment and review
Effective talent-review meetings can be accommodated to support your management
team in calibrating the performance and potential of your talent. It therefore makes it easier to
effectively review and calibrate the current highest-potential employees and groom them to step
into key roles. (SAP)
Employee development
Both short- and long-term development plans for employees can be used to track and
monitor subsequent progress. Profile match-ups against positions can be done to determine skill
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and knowledge which in turn can be tied directly to training plans to address the individual
development need. (SAP)
Enterprise learning management
It can provide users with an interactive experience that integrates Web-based, virtual, and
classroom training. Structure, deliver, and track knowledge transfer, and tailor learning content
to individual learning styles and needs. Training impacts can be planned, tracked, and measured
in order to align learning strategies with the respective corporate objectives. (SAP)
Succession management
It can aid the user in making better and faster decisions about talent pipeline and
successor rankings using the SAP Talent Visualization application by Nakisa. Identify and track
high-potential employees and implement development plans to ensure that they are prepared to
assume future leadership roles. Identify specific key positions and target specific employees as
potential successors. (SAP)
Compensation management
Implement innovative reward strategies, such as performance- and competency-based
pay, variable pay plans, and long-term incentives reward programs. Analyze and compare
compensation packages using internal and external salary data to ensure competitiveness in the
marketplace. (SAP)
Talent management analytics
It can give users the ability to analyze employee skills and qualifications. The efficiency
and effectiveness of recruiting processes and learning programs can be evaluated. It can assess
how well succession programs prepare employees to assume key positions.The progress of
aligning employee goals with corporate goals. Analyze the cost-effectiveness of employee
compensation programs (SAP)
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Workforce Analytics
SAP ERP gives users reporting and analysis options that provide real-time insight into
the workforce. It can identify trends at an early stage and aid in making make well-informeddecisions, enabling the user to manage human capital more effectively, predict human-capital
investment demands, and track workforce costs and the ROI associated with HR projects. (SAP)
SAP ERP provides the user with over 600 HCM predefined reports and 90 key
performance indicators (KPIs) to help the organization to identify issues and opportunities
related to your employees (SAP)
Workforce planning
It makes current workforce trends and planned future needs easier to understand by using
workforce demographic data. It uses predefined reports to analyze headcount development,
turnover rates, and workforce composition. The results of this analysis can be directly easier to
understand into headcount planning, budgeting, and key talent processes, such as recruiting and
learning. (SAP)
Workforce cost planning and simulation
Support HR professionals in all workforce cost-planning tasks, and empower HR
executives to develop effective strategies. Provide access to a broad range of workforce-related
data to support accurate planning, facilitate simulated planning scenarios, and enable continuous
monitoring of actual performance relative to plan. (SAP)
Workforce benchmarking
Standard workforce processes can be analyzed and. It makes comparisons with
measurements with external benchmarks and internal operating thresholds. (SAP)
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Core HR and Payroll analytics and measurement
Typical core HR processes can be analyzed, such as payroll, employee administration,
time management, and benefits. Analyze organizational structures, relationships, and attributes
of jobs and positions. (SAP)
Talent management analytics and measurement
Employee skills and qualifications can be assessed. It can evaluate the efficiency of your
recruiting processes and measure the effectiveness of your learning programs. It can assess how
well your succession programs prepare your employees to assume key positions, and helps to
ensure continuity of operations. It can monitor the progress of aligning employee goals with
corporate goals, and can therefore analyze the cost-effectiveness of employee compensation
programs (SAP)
Strategic alignment
It can aid employee teams who work toward common objectives, regardless of location.
It employs the use of a balanced scorecard framework to ensure that all business activities are in
line with the strategic goals of your organization. Predefined workforce scorecards can be
integrated into department and individual management-by-objective (MBO) documents to align
employee goals with corporate strategy. (SAP)
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SAP ERP Operations
Procurement and Logistics Execution
Procurement processes can be automated and streamlined to identify, realize, and sustain
cost savings for all spend categories. (SAP ERP)
Procurement
It can perform the complete procure-to-pay process, including requisitioning, purchase-
order management, and invoice verification. It can also manage catalogue content and enable
employee self-service procurement of material and services. (SAP ERP)
Inventory and warehouse management
It can record and track the quantity and value of all materials, perform physical inventory,
and optimize all warehouse resources. Planning, entering, and document warehouse-internal
stock movements by managing goods receipts, goods issues, storage, picking and packing,
physical stock transfers, and transfer postings. Workload planning can be managed, and wave
picking, order consolidation, radio frequency, barcode scanning, handling-unit management,
cross-docking, and real-time monitoring of all activities can be done as well. (SAP ERP)
Inbound and outbound logistics
It can record and document the movement of incoming and outgoing physical goods,
including logistics involving multiple manufacturers and customers. It supports inbound
processing with capabilities to monitor the receipt of goods, tracking external demand, handling
advanced shipping notifications, and managing in-yard activities. It can also carry the operation
outbound processes, including posting goods issues, monitoring delivery and distribution
activities, and documenting proof of delivery. (SAP ERP)
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Transportation management
Creating and executing optimized transportation plans and monitoring shipments to
deliver products on time and on budget is made easier. Flexible options can be applied for
consolidating deliveries and orders into shipments, including rule-based automation, manual
consolidation, and collaborative order combination through the Internet
Product Development and Manufacturing
It makes streamlining of the entire manufacturing process easier from planning and
scheduling, to sequencing and execution, to analysis by improving efficiency along the value
chain. As a result, it is possible to lower costs, deliver higher-quality products, and boost
margins. (SAP)
Production planning
It supports a wide variety of basic strategies for production planning and execution. It can
help the user to optimally plan, schedule, and sequence production on the factory floor to deliver
promised orders. (SAP)
Manufacturing execution
It promotes the capture of actual production information from the shop floor, providing visibility
and transparency across all shop-floor processes. Production plans can be formulated by
managing production processes and deploying workers and other resources on the shop floor.
The program can document, monitor, and dispatch inventory during the entire production life
cycle. (SAP)
SAP ERP can also help you accelerate time to market by centralizing the product
development and innovation process, improve productivity through efficient collaborative
processes, and ensure compliance with new regulations and industry standards through support
of these processes: (SAP)
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Product development
Integrate people and information in a single, streamlined new product development and
introduction (NPDI) process. This would consist of product definition, requirements gathering,
product development, supplier sourcing and product ramp-up. Inter-enterprise productdevelopment is promoted, and this could include the sourcing of complex components. (SAP)
Life-cycle data management
Centralize document management, change and configuration management from
invention to phase-out. Discrete industries can handle bills of materials and routings, and process
industries can perform recipe management. Manage and deliver a wide range of product
information to ensure immediate access to up-to-date data as the basis for production planning
and execution activities. Integrate with CAD systems, geographic information systems (GIS),
and many other systems. (SAP)
Sales and Services
The user would be able to reduce operational costs by simplifying and automating the
entire order-to-cash cycle, increase sales by encouraging the use of profitable sales and
interaction channels, and ensure high customer satisfaction by delivering accurate, on-time
information to customers. (SAP)
Sales order management
The program can cut down times of the complete sales order management process, including
handling inquiries, quotations, order generation and processing, as well as contract and billing-cycle
management can be carried out easier. The use the e-commerce platform in SAP ERP Operations can help
to rapidly turn the Internet into a profitable sales and interaction channel. Effective incentive programs,
including sales and brokerage commissions, profit sharing, and bonuses can be developed. (SAP)
Aftermarket sales and service
The basic requirements for customer support, such as the management of installations, service
contracts, warranties, service requests, and orders can recorded and arranged in an easily accessible
manner. Aspects of service-order processing within the service organization, from responding to the
customer's initial inquiry to confirmation and billing can be more effectively managed. (SAP)
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Professional-service delivery
All aspects of service delivery, including tracking activities, recording time spent on services can
be monitored, therefore making it easier to analyze profitability. (SAP)
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Best Practices
Enterprise resource planning (ERP) systems integrate internal and external management
information across an entire organization, embracing finance/accounting, manufacturing, salesand service. Their purpose is to facilitate the flow of information between all business functions
inside the boundaries of the organization and manage the connections to outside stakeholders.
This type of tool has the ability to enhance the transfer of information throughout the
organization. Such examples of the data types are as follows:
General Ledgers - Quantities such as accounts payable and receivables, fixedassets, sales are organized in a logical format for the user to interpret in the best
manner possible to make the appropriate decisions.
Centralized databases for employee reference Increases the efficiency ofcommunication across various branches of the organization
Purchase orders The creation, referencing and storage of purchasedocumentation makes the ordering and procurement process move seamlessly
Bills of materials and routings Costs for product parts and production routingschedules are recorded and arranged in easy to interpret formats.
Reduces the need for paper-based and tedious employee-related processes, suchas hiring, termination, organizational reassignment, and maternity leave
These types of documentation when not managed efficiently can seriously hinder the
flow of operations of an organization. Therefore it is imperative that the appropriate information
be readily available to the user. This makes responding to certain variations in internal andexternal demands quicker and more accurate. The organization would be more likely to respond
to stimuli in real time there by increasing versatility and awareness which are two very
significant factors of success.
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Recommendations
Some of the best practices that would be most suited to this type of organisational environment
would be to implement the use of centralised databases and computer generated bill of materials androuting schedules. This is the case as a result of lack of a companywide communication system in place.
Data such as purchase orders, product design specifications, potential demand variations must made
available throughout the organization. This could only help to increase companywide awareness to ensure
that all employees have an idea of the necessary steps required to adjust to the ever changing economic
climate.
Bill of materials and routing schedules are normally generated and stored manually on paper.
This has proved to be tedious, cumbersome and risky due to the fact that storage of data requires space
and cataloguing of documents can prove difficult. There is a risk of some data being lost or destroyed.
When the availability of information is vital to an organisations success, this simply cannot be allowed to
occur. Therefore it would be advised to keep digitally rendered data on storage drives for easier access
and referral. The risk of data loss is dramatically reduced and space becomes less of an issue. With these
stated suggestions put into practice, the probability of increased efficiency and productivity in the various
facets of the organizational process is certainly guaranteed.
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