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Inventory Control for Alternative Materials

On 21/09/2013, in Management, by rain

With the rapid development of the global economy, manufacturing industry is facingdouble competition pressure both at home and abroad. In the fierce competitiveenvironment, reducing the inventory cost is always one of the important goals in themanufacturing enterprises. On the one hand, hoding too much inventory will cause stocksluggish and increase inventory holding cost; on the other hand, holding too little inventoryresults in delivery delay and decrease the level of customer service. Therefore, efficientinventory control methods have been paid more and more attention by enterprises. Thecombined use of information technology and the inventory control method is an importantway for enterprises to achieve the goal of inventory control.In the electronic manufacture, the alternative materials include the alternative rawmaterials and the alternative semi-finish goods, this paper will focus on the alternaive rawmaterials’ inventory control. For the P’s company as an electronic manufacture, thealternative materials are complicated and universal; and there are some problems of thematerials’ requirement calculation in MRP module of the SAP system, that is the MRPresults of the substitute material groups will lead to inflated demand and sluggish inventory.Base on the analysis of this situation, this paper will try to find some solutions to theproblems, then propose some feasible solutions for the inventory control, the majorcontributions are as follows:(1) Improvement of the MRP system process. With the interaction of the MRP systemand the BPR, then analyze the MRP process and find some problems of them, after that putforward the improvement methods and excution steps for them. First, simplify the oldMRP system process; then integrate with the new MRP system and the external systemsand the SAP system; finally optimizate the MRP calculation process. Base on the BPR, theimprovement of the MRP process can be as a solution to achieve the goal of inventorycontrol for the alteractive materials.(2) Optimization of the inventory control method. Analyze the key elements of theMRP method, and then optimize the two key elements of them including the classifacitonof materials and the setting of alternative materials with purchase priority and purchaseproportion. Firstly, according to the combined use of ABC classification and the criticalvalue analysis method, the matierals can be classified managed; Then base on the enropy weight TOPSIS method,the same group of alternative materials, the priority of them canbe indentified, and the reasonal procurement ratio of them can be set with purchasing rule.After the optimization, it can reduce the hoding cost of material inventory for theenterprise, and it can be as another solution to achieve the goal of inventory cost control.(3) Development and realization of the MRP system. According to the aboveimprovement, then develop the MRP system for the inventory control of the alternativematerial for the enterprise, finally it is proved to be effective and feasible atfter P’spractice.

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The Research of SR Logistics Company’s ERP System Construction and Implementation Based on BPR

On 10/09/2013, in Management, by rain

The professional third-party logistics of production provides resources integration,efficiency and quality service, and it is growing with the continuous development of themanufacturing production, but problems followed by complex business processes, chaoticmanagement and operating inefficiencies. To enhance the management level of thethird-party production logistics companies, the introduction of the ERP system isimperative, however, experience has shown that many ERP projects implementation failed,and it can not succeed without BPR. BPR integrated into the implementation of the ERPsystem ensure the success of the ERP project has a strong practical significance.This article take SR logistics company as the research object, firstly, this paperanalyzes the theory and applied research of ERP and BPR at home and abroad. Tosummarize their concepts and features, and focuse on the relationship between them.Necessity and methods of analysis of the ERP implementation BPR carried out. Secondly,starting from the point of view of the SR logistics company, to component ERP systembased on the implementation of the expected target, the system main modules andfunctions. As the precondition, the problems of the original business process analysis anddesign to the implementation of ERP project. The successful implementation of theprocess emphasized through the establishment of the preparatory and advocacy trainingwork, especially the BPR in the overall conduct of the enterprise, in order to protect theproject. Finally, through the comprehensive evaluations, the paper assessed the effect ofERP implementation of the SR logistics company quantitatively. And summarizes the ERPimplementation experience of enlightenment. This study provide the same type ofthird-party production logistics company to promote the implementation of the ERPsystem, and provides a method of BPR and ERP integration, This is conducive to themanagement of information technology to enhance the level.

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Study on Design Change Management Procedure by BPR

On 10/09/2013, in Economics papers, by rain

Jiangling Motor Co., Ltd (JMC) is a holding subsidiary company of JianglingMotor Company Group (JMCG) and it was set up in Nov.1993. It appeared in AStock Market in Dec1993and B Stock Market in1995, and made cooperationrelationship with strategic partner Ford Motor Company. Along with the fast growingof JMC and deep-cooperation with Ford, especially the Product Develop System andQuality Management System was introduced from Ford, the current organizationstructure of JMC and the Design Change Management Procedure (DCMP) don’t meetthe requirement of the JMC anymore. So, it needs to use the BPR theory to redesignthe organization of JMC&revise the DCMP now. How to design the organization andassign the responsibility of LVT (Local Vehicle Team), and how to revise the DCMPassociated are the emphasis of this article.The business process reengineering was theorized by the America MichaelHammer and Jame Champy. It helps company make great improvements of businessin terms of cost, quality, service and speed, by using state-of-the-art manufacturingtechnology, information technology and modern management tools, maximizing thefunctional integration of technical and management functions of integration,establishing a new process organization structure to replace the traditional functionalorganization structure, stressing the business processes for the transformation of theobject&the center and the customer’s need&satisfaction as the goal, andfundamentally rethinking&radically redesigning the existing business processes.The former design change management procedure was running under theconditions: no united management organization with high efficiency, no team workwith cross-multiple departments, low level on work electronization, networking&informatization, which lead to a slow transmission of work flow, the lead-time of adesign change getting longer, bad information communication among departments. Itwill affect the Product Develop Team to focus their energy on the forward modeldevelopment and also the Quality Improvement Team to solve issues on the currentmodel more professionally.To solve all those issues that JMC faced in that time, JMC had set up a neworganization called LVT in Apr2008, based on the successful experiences that Ford have achieved. The responsibility of LVT was assigned and the DCMP was revisedsynchronously to meet the JMC requirement.The role and responsibilities for LVT are: leading place in continuous qualityimprovement, leading development of Special Vehicle Order (SVO) vehicle, leadingOngoing Product Development (OPD), leading Total Value Management (TVM)through design optimization&cost reduction etc. The LVT is consist of ProductManagement Team (PMT) engineer, Vehicle Function Group (VFG) engineer,Engineering Change Coordinator (ECC), manufacturing process engineer, FunctionBuild (FB) engineer, quality analysis engineer, TVM engineer etc. By the way, theLVT has connection with other departments in JMC and bridge to Ford globalengineering team such as Ford PVT, Ford APA VFG and REC. The DCMP wasrevised according to the role and responsibility of the LVT. Some segments of theformer DCMP has been optimized and integrated to fit the changes.BPR is a continual process and eternal topic. Every company should applyBusiness Process Reengineering as guidance to reform its organization structure andoptimize its procedures anytime and anywhere, because the customer, the competitionand the environment they face are changing all the time.After the process of BPR, the new organization structure LVT and DCMP arerunning inside JMC. Some achievements in continuous quality improvements, OPD,SVO vehicle developments and TVM has been made and commended by the JMCmanagement.It’s expected that JMC will apply and develop BPR in every fields to make thedevelopment and growth of JMC bigger and stronger.

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Case Study of MI Group Financial Management Based on ERP System

On 06/09/2013, in Management, by rain

With the rising tide of the economic globalization, more and more enterprises prone to merge with other entities to enhance core competitiveness. A great number of companies implement ERP (Enterprise Resource Planning) system due to below reasons:Financial management, the core of enterprise management, has to be updated and upgraded along with application of new ERP system and new challenge of dynamic economic environment. The traditional financial management mode is no longer adapted to development of enterprise managements and is gradually phasing out. There is an urgent request for the company to build a new financial management mode which is more functional and effective to the management team. Hence the integrated financial management mode based on ERP system mergesDover group is consists of a plurality of manufacturing corporations, it merges M group and I group and set up a new company called MI Group. In the beginning, the MI group faces a series of problems due to change of organization. For example:how to effectively capture reliable financial information, how to monitor subsidiary through finance function. The essay illustrates the way MI group solve these problems by application of the integrated information system.This paper has five sections:introduction; literature review, research on the integrated financial management model; case analysis of MI group and summary. It demonstrates how MI group reduces the risk of operation, control cost, improve the company’s management level through ERP. The management restructuring project which MI is going to work on can benefit from integrated financial management mode. MI group has shed light on competitive advantage of EFR tool and it’s an epitome for other corporation to learn from.

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The Innovation Based on Process Reengineering of Textile Enterprises in Post-Crisis Era

On 03/09/2013, in Agriculture, by rain

The theories of economic cycle were taken attention by people since the industrial revolution, and they are always the hot topics by economists. In the middle of the nineteenth century, people started to explore capitalist economic crisis and the recession. After200years of development, western economists put forward nearly a hundred kinds of theory. The American economist J.A.Joseph Alois Schumpeter’s innovation economic cycle theory with its rich “innovation” connotation, economic cycle theory, economic growth theory and the entrepreneurship theory highlights out in many theories.The world economy suffered the most severe damage by the outbreak of the financial crisis in2008since the great depression in last century. Economists focus on economic cycle theory again, and Schumpeters innovation theory is worth us to study again-through the diffusion, innovation stimulation large-scale investment, and it cause business expansion; when investment opportunities disappear, economic into a recession. The aggregation and dispersion of the innovation activities cause the economic cycle.This paper explores the relationship between the world textile technology innovation activities and the economic cycle in the view of Schumpeter’s innovation theory, as well as the characteristic and regularity in their development. The paper also summarized the textile innovation activities of China in30years since the reform and opening-up policy started. Based on the survey of innovation activities of151home textile enterprises in Yangtze river delta region, and combined with the management innovation activities of wuxi No.1cotton mill, suggestions were put forward to break the current predicament and dissolve the crisis for Chinese textile enterprise. First of all, the paper summarized the innovation theory and the economic cycle theory, for it is meaningful to explain the Schumpeter’s innovation theory how to influence the development of the textile industry.Secondly, the paper using historical analysis from the macro level to summarize the representative technology progress of the world textile industry and the development of economic cycle, and trying to explain the non-negligible inner link between the textile industry innovation and the economic cycle.Finally, the paper discussed30years development of the Chinese textile industry. Combined with the innovation survey of the textile enterprises in Yangtze river delta region and the management innovation activities of wuxi No.1cotton mill, the paper put forward suggestions for the next round of the economic development.

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Study on BPI of the SG Group’s Aluminum Electrolytic Capacitor Plant

On 30/08/2013, in Management, by rain

Since the21st century,the process management is more and more critical for theenterprise. Excellent processes become the watershed between the successfulenterprise and other competitors. Facing the constantly changing and increasinglyfierce market environment and challenges, enterprises which establish a competitivesystem of business process can achieve competitive advantage in increasing marketcompetitiveness.BPR is referred to as “the third management revolution” after “scientific management” and TQM. Once BPR was put forward, it got the attention of the experts and many well-known enterprises. However, the practice of BPR is not ideal. There is about70%of the process reengineering which does not achieve expected goals. Some evencan be said to be the complete failure. After the failures, people begin to realize that itis not realistic to abandon the past traditional management theory. On the basis of BPR, the concept of BPI is proposed by some scholars of management.Any management knowledge and management theory comes from practice andbe enriched on the basis of practice. In order to effectively improve the success rate ofthe enterprise in BPI, improve the shortcomings in practice and sum up experience,we must put theory into practice. Only in this way, the enterprise is able tocontinuously improve the level of BPI, and enhance its strength and competitiveness.In this paper, the business process of the SG Group’s aluminum electrolytic capacitorplant is used as the research object. Firstly, the paper introduces the BPR and BPItheory, and then it combs the aluminum electrolytic capacitor plant’s existing businessprocesses in detail, evaluating the operating results of existing business processesfrom the cost, efficiency, customer satisfaction, quality of business process,finding out the problems in the existing process and make targeted analysis. Based onthe analysis of existing business process, the paper ascertains the goals of BPI,building a BPI model, proposing the aluminum electrolytic capacitor plant’s BPIscheme. Finally the paper introduces the system dynamics simulation to evaluate the effect of BPI and putting forward the safeguards of BPI scheme’s implement. Fromthe simulation results of BPI scheme, the BPI of the SG Group’s aluminumelectrolytic capacitor plant achieves satisfactory results.

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BRP and Information System Optimization for a Logistics Company

On 29/08/2013, in Management, by rain

Since entering the new century, the logistics industry, driven by globalization and information technology has made rapid development. In many cities and regions in the world, modern logistics has become a major industry and even pillar industries. In recent years, with the Chinese economy’s rapid development, the logistics industry is gradually moving towards the road of the socially, scalely, and informationize. The operation of the business logistics system is not only the material flow, but also information flow. A business process reengineering which meets the information age’s requirements, and create the information platform which perfect suits the new business processes will be the key to win. Some foreign advanced logistics information systems have showed a significant role for improving logistics efficiency. In China logistics process has just started, along with the process of information technology, business process reengineering of the enterprise must also be doing at the same time, new business brings new information flow, and the new flow of information determines the new logistics information system. It has showed very good results in companies that have done business process reengineering and built information system, overall, the logistics information process is severely affected by the constraints of the business process.N Transport Logistics Company is a modern logistics company doing business of road transportation, the transport of hazardous chemicals, large transport, warehousing, logistics and distribution. After2002, the company built up the information systems such as company information platforms, the modern logistics information system and the GPS dispatch system, to achieve the integration of corporate information resources, but there also showed some problems, such as failed to meet the integrated operation of the process by means of information, market reaction is slow, short of network, poor internal convergence, unbalance development of departments, which ended in information blocking. As a result, a logistics information system design based on process reengineering is particularly important.The author had a internship in N logistics company, with the basis of the study of logistics information system, through my own internship experience, and communicating with the operating workers with specific positions as well as based on the the N company’s existing logistics information system analysis to understand N company’s business processes and logistics information system usage, to understand their business processes and existing information systems analysis, we found the problem, and from the two aspects of the business processes and information systems to optimize. Problems for information technology companies, in terms of logistics information system needs analysis, and finally I use virtual data factory pattern and RBAC rights management technology to optimize the three aspects of the information system architecture, information systems, modules and information systems function. Finally, with the technology of cloud computing services, I put forward the idea of information systems, cloud computing services, with the use of IBM’s service-oriented SOA modeling their business processes into a service group, to enable it to cloud computing concept of mutual paste together, the N logistics information system by now distributed network-based way to the cloud-based conversion to propose the idea.

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Analysis and Research of Logistics Information System Based on WEB

On 07/12/2012, in Management, by rain

【Abstract】 Studying and discussing modern logistics management, supply chain management and business reengineering and other relevant theories and methods, combining closely the concrete situations of the TAioYang Construction Mechanism Corporation, China YITUO Group Corporation Limited, aiming at the problems in logistics system, this paper applies the modern science management theories and methods and IT information technology to improve its c system. To begin with, we recombine it from the respects such as the organization and business procedure, integrate and standardize the enterprise’s logistics procedure, use modern information technologies such as Web technology based on Intranet and build logistics management information system on the basis ofWeb.This paper, on the basis of system investigation and demand analyses cooperating with business procedure transformation, designs systematic software function. The overall function of the system has covered each taehe of the supply chain, from suppliers outside the enterprise to every logistics tache inside the enterprise: purchase, storage and production. At the same time, in order to manage logistics better, the control system still designs functions, such as management, control aid decision.The system has ten major function subsystems in common: SupplierManagement subsystem, Purchase Management subsystem, Storage Management subsystem, Logistics Centre Control subsystem, Production Management subsystem, Cost Accounting Management subsystem, Manager Information subsystem, Code Management subsystem and Information Issue subsystem, Client and Client Relation subsystem. Especially in plan control and ration management, we adopt online operation, purchase operation summary statement, workshop process track and other methods, guarantee logistics centre can control the management and supervision of whole logistics. The purpose is to control product cost, raise the efficiency, strengthen every tache of logistics management and make the enterprises more vigorous.

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Logistics Project Design of Enterprise H

On 04/12/2012, in Management, by rain

【Abstract】 In the increasingly competed market , logistics, as the third profit resource, is emphasized by more enterprises. The H. corp. is not exception. The writer has been practiced in HT. corp. , which is a third-party-logistics enterprise and design logistics project and operate for H. corp. . The writer has taker part in designing the logistics program.Be aimed at the present and questions of logistics in enterprise H, this article puts forward that takes the purchase sales and stock as core process, takes BPR as theory foundation, takes building a logistics system of low cost efficiency as target and it study and reengineering the logistics business process of enterprise H. This article emphatically carries on deep investigation on the success keys of enterprise logistics, BPR and BPR for enterprise morden logistics. In a word, the article carries out the whole plan and deep study about logistics of enterprise H.It is very significant to the study of logistics BPR for enterprise, metallurgy enterprise, a purchase model is established and the chaotic neural network is applied to the model to obtain an optimized purchase strategy. Results show that, with this optimized strategy, a considerable amount of capotal has been saved.

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Application and Research of the EAI Based of BPR and Virtual Component Technology

On 27/11/2012, in Management, by rain

【Abstract】 Nowadays Enterprise Application Integration (EAI) is one of the most important problems in the development of enterprise informationization. Many large IT enterprises have put forward the solutions to related business enterprises, and EAI is now becoming the hot spot. This thesis treats the application of current enterprise in the condition of the electronic commerce as the research object, and firstly analyzes the necessity of the EAI and expatiates the advantage of Business Process Reengineering(BPR) and the combination of BPR and EAI. Then analyzes the structure of EAI system and virtual component. This paper also expatiates the realized module of integration in data layer, business layer and presentation layer, and probes into the questions of data exchange, component encapsulation, the integration with the old application system.The research in this thesis is leaded by BPR, and this thesis brings up the new idea about EAI, “setting up complete enterprise business flow oriented integration system with the foundation of enterprise business flow, with the core of the virtual component technique “, by means of the knowledge of management science, computer software technique and the experience of practical development. At the same time, the paper puts forwards a new strategy of manufacturing industry business enterprise informationization: pulling enterprise information flow, logistics, capital flow and value flow by business flow, realizing business oriented efficient application integration, providing the foundation of the development of electronic commerce for enterprises.This paper also analyzes and designed the system of Enterprise Information Portal (EIP), which is a typical manufacturing industry EAI platform, and meanwhile analyzes the business process and application system in detail and realizes the data layer integration and business layer integration by means of J2EE and CORBA.

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