Production

Production

Manufacturing is a fiercely competitive business. Not only do you have to work with fluctuating customer demand and shrinking product life cycles, you also have to adapt to increasing global competition and comply with strict regulations. You’re under a significant amount of pressure to increase efficiency, differentiate products, and keep up with regulatory mandates.

The SAP Business One application can help you gain greater control over manufacturing operations by increasing visibility into the supply chain, automating key production processes, tracking compliance, and making it easier to focus on innovation and speed to market.

Besides running your core business functions such as sales and financials, SAP Business One can help you:

Focus on manufacturing efficiency

Streamline the entire manufacturing process, from production scheduling to purchasing and logistics, so you can outperform the competition.

Streamline production and planning

Manage material requirements for multilevel production processes; create manufacturing resource planning scenarios to forecast demand, and generate automatic replenishment orders to avoid production material shortages.

Optimize inventory management

Track inventory levels and stock movements in real time to minimize out-of-stock situations, increase goods availability, and reduce inventory-carrying costs.

Meet regulatory mandates

Track, manage, and report on compliance with government mandates and industry guidelines.

SAP Business One simplifies definition and management of production, assembly, sales, and template bills of materials (BOMs). You can store BOM numbers, descriptions, warehouses, and item compositions in easy steps, while recording per-item quantities, production issue methods, prices, and comments at each level. When you add a bill of materials to purchase, production, or sales orders, pricing and quantities are automatically recorded for both the product and its components. SAP Business One supports standard, special, and disassembly production orders. Bills of materials can easily be entered into production orders so that item availability, warehouse location, and issue method are automatically recorded. By storing a production due date, production scheduling can be managed using alerts management in SAP Business One.

Material requirements planning (MRP) in SAP Business One allows you to plan material requirements for complex, multilevel production processes. Using the MRP wizard in SAP Business One, you can create MRP scenarios specifying planning horizon, items, and data sources. Once defined, MRP scenarios can be saved and reused for subsequent planning phases. The MRP functionality will automatically generate production and purchase orders needed to manufacture a final product in the quantities and time specified by Costing methods, such as FIFO, moving average, and standard, are fully integrated. Inventory valuation and last purchase price per item are automatically updated after each transaction.


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