Dimensions. Philosophy

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1 Philosophy

2 Index Why an attribute-driven ERP system? The basics: product definition & characteristics Tracking & Tracing Sales Production typologies. Example: Flat Steel Making Transformation Multi-level Transformation Production Typologies. Manufacturing

3 Index (2) Planning Valuation Control End-to-End Solution

4 Why an attribute-driven ERP system?

5 Basic Problem SKU Environment Inventory Item : BULB On Hand : 3 pieces Dimensional Environment Inventory Item : Metal On Hand : 100 ton???

6 Solutions SKU Environment: Identify each sheet size with an item code 600 X 500 Item: Item: Item: HR x500 HR x600 HR x X X 800 Dimensional Environment: One item code; Size control by IDno Item : HR 1010 IDno 1012 : L= 600; W= 500 IDno 1013 : L= 800; W= 600 IDno 1014 : L= 1000; W= 800

7 Solutions SKU Environment: Identify each bar size with an item code 600 X 50 Item: Item: Item: MP x50 MP x60 MP x X X 80 Dimensional Environment: One item code; Size control by IDno Item : MP 1010 (Cr40Mo12) IDno 1012 : L= 600; W= 50 IDno 1013 : L= 800; W= 60 IDno 1014 : L= 1000; W= 80

8 Consequences of SKU Driven ERP Explosion of item codes Most items codes are created on a one time customer request Only a few items do really bear stock Poor inventory overview High risk for duplicate item codes High risk that production or purchase orders are created while alternatives are available MRP will give improper advises (focused on item code) Conflict between inventory and financial unit Issuing a new item code for each new appearance is cumbersome and time consuming

9 The basics: product definition & characteristics

10 Product Identification Item 1:x Characteristics Grade Width Length Thickness Etc. 1:z Standard Product 1:y Characteristic Sets Grade : Width : Length : Thickness : 1 1

11 Product Identification Item Grade Width Thickness Weight IDno # IDno # IDno # IDno #

12 Product Identification: Data Structure Item HR 1010 Length 60 Specs Width Thickn. Surface Quality 20 1/32 Polished A IDno

13 Product Identification: Data Structure Item HR 1010 Specs Length Width Thickn. Surface Quality... : Specs that enable on-line Sorting and Querying of the Inventory Screen

14 Product Identification: Data Structure Item HR 1010 Specs Length Width Thickn. Surface Quality /32 Polished A SS 1/32 [Smalll Sheet, gauge= 1/32] Dimset: Pre-defines Values of Specs Template for Order Entry Label for Inventory Displays

15 Product Identification: Product Hierarchy

16 Product Identification Inventory View Options: Indexes by item Multi level aggregation Conversion to any unit Direct query management Possibility to link images Direct link to planned transactions Direct link to historical transactions

17 Product Identification Example: Inventory Presentation

18 Product Identification Example: Inventory Presentation

19 Product Identification Example: Inventory Presentation

20 Characteristics By characteristic the user can specify: Category (information, design, measure) Type (alphanumeric, integer, double, number of decimals, date, etc.) Business functions active (purchase, sales, production, etc.) Tolerances (absolute, relative, exact, etc.) Transformable yes/no Multiple lingual descriptions and predefined choices

21 Data by IDno Object IDno Item Warehouse / Location Characteristics (SPECs) Purchase / Production Order Supplier Purchase / Production Price Receipt Date Supplier IDno and Main IDno Cost Components Image Text Planned Transactions Historical Transactions IDno IDno : 555 Item Warehouse Location Char: Grade Char: Thickness Char: Width Char: Inn Diam. : A402 : MMP : L1-H23-2 : A : 1.0 mm : mm : 300 mm Weight : kg Purchase Order : Supplier : Mill LTD Receipt Date :

22 Identification Methods IDno Non Discrete 1 IDno = 1 unique piece IDno IDno Discrete 1 IDno = x (approx.) identical pieces IDno

23 Tracking & Tracing

24 Tracking and Tracing Historical Transactions Planned Transactions

25 Tracking Transaction Information Item code Warehouse Planned Characteristics On Order / Alloc. Info Order number Supplier / Customer Purch. / Prod. / Sales Price Receipt / Delivery Date Descriptions Remarks Text Planned Transactions

26 Tracing Historical Transactions Transaction Information Item code Warehouse / Location Actual Characteristics Quantity Received/Delivered Order number Supplier / Customer Purch. / Prod. / Sales Price Receipt / Delivery Date Descriptions Remarks Text

27 Tracing Graphic traceability with link to session: sales order; production order; transformation order; purchase order; Idno data.

28 Sales

29 Order Entry What is important: Order entry based on characteristics Inventory, planned receipts and demands visible and sorted by characteristics Possibility to: Sell from inventory (on hand and planned receipts) Slot demand automatically in production Block Purchase / Produce on demand Possibility to merge demands to Inventory available Planned receipts Sales and purchase prices based on characteristics

30 Order Entry

31 Price Control Item Base Price From/To date To Quantity Quantity Unit Surcharges by: Base Price Characteristics Discounts by: Base Price Characteristics From/To Date To Quantity Quantity Unit Derived Spec Amount, Percentage, Formula From/To Date Base Price and/or Spec Quantity Unit Derived Spec Amount, Percentage, Formula

32 Production typologies Example: Flat Steel Making

33 Production Typologies Manufacturing (SFC) Final product is made up of other products BOM / Formula driven Transformation (TRO) Transformation of characteristics Relationship between input / output material is often order-specific

34 Production Typologies Iron Making, Steel Making, Slab Casting, Hot Rolling Process Raw Iron Manufacturing Process Process Process Steel Slabs Hot Rolled Coils Transformation

35 Production Typologies Iron Making Raw Process Raw Iron

36 Production Typologies Iron Making Iron Ore IDno Cast #1 Limestone PROCESS IDno Cast #2 Coal IDno Cast #3

37 Production Typologies Steel Making, Iron Casting, Hot Rolling Process Process Process Raw Iron Steel Slabs Hot Rolled Coils

38 Production Typologies Steel Making, Iron Casting, Hot Rolling IDno PROCESS IDno

39 Production Typologies Cold Rolling Process Hot Rolled Coil Cold Rolled Coil

40 Production Typologies Cold Rolling IDno PROCESS IDno

41 Production Typologies Slitting & Cutting Slit Coil Process Master Coil Slit Coil Process Slit Coil Sheet

42 Production Typologies Slitting & Cutting IDno Sales Demand IDno PROCESS IDno Sales Demand IDno Inventory

43 Production typologies Transformation

44 Transformation Slitting Jumbo Roll Slit- Scissors Scissors Bar Scrap Slit Roll mm 600 mm 300 mm 100 mm Process

45 Transformation Slitting Inventory Coil #1 Inventory Coil #2 Inventory Coil # mm m 920 m m Demand #10 - Width 400 mm Thickness 1 mm Total Length m Demand #11 - Width 200 mm Thickness 1 mm Total Length m Demand #12 - Width 300 mm Thickness 1 mm Total Length m Process

46 Transformation Slitting Inventory Coil #1 Inventory Coil #2 Inventory Coil #3 Inventory Coil #1

47 Converting / Packaging Sheet Cutting Knife 1200 mm 1200 mm 1200 mm 1000 mm Process

48 Transformation Cut to Length Inventory Coil #1 Inventory Coil #2 Inventory Coil #3 250 sheets 300 m 210 sheets 252 m 140 sheets 210 m mm Demand: 600 Sheets of 1000 x 1200 x 1 mm Process

49 Production typologies Multi-level Transformation

50 Logistical Process Example MPS or Block- Scheduling Master Coils Slit Plan Demand driven multi level TRO Slit Coil Sheets SLS Optimized TRO Sales Order 1 Sales Order 2 Sales Order 3

51 Production Typologies Multi Level Transformation! "#$ Master Coil Slit Coil Sheet

52 Production Typologies Multi Level Transformation Sales Order Entry Inventory No Inventory Demand

53 Production Typologies Multi Level Transformation Production Orders Generation Main TRO Inventory Demand Process Process

54 Production Typologies Multi Level Transformation Production Order Execution Main TRO Inventory Demand Process Process

55 Transformation (TRO) Traceability Process Process

56 Production typologies Manufacturing

57 Manufacturing Example Inheritance (1) Sales Production order BOX SHEET Grade, Finish, Thickness Length, Width, Height Quantity Grade, Finish Length, Width, Thickness Cutting, Bending, Welding The Length and Width are inherited via a formula The Grade, Finish and Thickness are directly inherited

58 Manufacturing Example Inheritance (2)

59 Manufacturing Example Inheritance (2) Demand Product : A401 Width : 1000 mm Length : 5000 m Color : Red Product Width Length : A401 : 1000 mm : 5000 m 20 KG

60 Manufacturing Example Inheritance (2) Demand Product Width Length Color : A401 : 1000 mm : 5000 m : Red 5300 m Product Width Length : A401 : 1000 mm : 5000 m 5300 m KG kg

61 Manufacturing Support to Engineering

62 Manufacturing Support to Material Planning

63 Planning

64 Production planning board

65 Valuation Control

66 Valuation Control Purchase Purchase price Purchase price difference After receipt goods IDno Purchase price difference After receipt invoice

67 Valuation Control Production Base Material Value (Actual) PROCESS Actual Product Value Value (Estimated or Actual) Added Value (Fixed or Actual) Added Value

68 Valuation Control Value Distribution - Example Sales Demand Sales Demand PROCESS Inventory Sales Demand Inventory Value inheritance from in going IDnos to outgoing IDnos Value distribution for added and costs on primary unit

69 Valuation Control Production Scrap Processing Direct Process (as stock transaction) Total Value to output IDno s Total Value direct into Finance Scrap To Scrap IDno (fixed value) Value difference to output IDno s Value difference direct into Finance

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