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    ERP in Apparel Industry

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    Preeti Singh
    This document discusses ERP systems in the apparel industry. It provides an overview of what ERP is and its key functions like production management, material management, sales and distribution, finance and controlling. It then discusses the critical needs of the apparel industry and how ERP addresses issues like excess inventory, complex manufacturing operations, and changing customer demands. The document outlines how ERP helps different functions like product development, merchandising, sales order processing, planning, production, purchase and inventory management. It also discusses benefits, constraints, causes of failure and examples of ERP implementation in Indian retailers like Pantaloon and Lifestyle.

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    Attribution Non-Commercial (BY-NC)
    Download as PPTX, PDF, TXT or read online from Scribd

    ERP in Apparel Industry

    Uploaded by

    Preeti Singh
    231 views17 pages
    This document discusses ERP systems in the apparel industry. It provides an overview of what ERP is and its key functions like production management, material management, sales and distribution, finance and controlling. It then discusses the critical needs of the apparel industry and how ERP addresses issues like excess inventory, complex manufacturing operations, and changing customer demands. The document outlines how ERP helps different functions like product development, merchandising, sales order processing, planning, production, purchase and inventory management. It also discusses benefits, constraints, causes of failure and examples of ERP implementation in Indian retailers like Pantaloon and Lifestyle.

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    This document discusses ERP systems in the apparel industry. It provides an overview of what ERP is and its key functions like production management, material management, sales and distribution, finance and controlling. It then discusses the critical needs of the apparel industry and how ERP addresses issues like excess inventory, complex manufacturing operations, and changing customer demands. The document outlines how ERP helps different functions like product development, merchandising, sales order processing, planning, production, purchase and inventory management. It also discusses benefits, constraints, causes of failure and examples of ERP implementation in Indian retailers like Pantaloon and Lifestyle.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as PPTX, PDF, TXT or read online from Scribd
    Download as pptx, pdf, or txt
    231 views17 pages

    ERP in Apparel Industry

    Uploaded by

    Preeti Singh
    This document discusses ERP systems in the apparel industry. It provides an overview of what ERP is and its key functions like production management, material management, sales and distribution, finance and controlling. It then discusses the critical needs of the apparel industry and how ERP addresses issues like excess inventory, complex manufacturing operations, and changing customer demands. The document outlines how ERP helps different functions like product development, merchandising, sales order processing, planning, production, purchase and inventory management. It also discusses benefits, constraints, causes of failure and examples of ERP implementation in Indian retailers like Pantaloon and Lifestyle.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as PPTX, PDF, TXT or read online from Scribd
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    You are on page 1of 17

    Pavithra Ganeshan FT13153 Prashant Mishra FT13155 Puneet Rastogi FT13157

    Pragya Jain FT13154 Preeti Singh FT13156

    Contents
    ERP Introduction What is ERP ?

    ERP in Apparel Industry oCriticalities of Apparel Industry oNecessity of ERP in Apparel Industry oHow it actually works oBenefits of ERP in Apparel Industry oChallenges of ERP in Apparel Industry oExamples of ERP implementation in Retail India oFuture trends for Retail outlets

    What is ERP ?
    - ERP is a tool to integrate all Enterprise wide resources on single platform for optimizing their usage with better planning. - A solution which integrates all Departments and functions across a company into a computer system that can serve all those different departments particular needs. - Software solution that addresses the enterprise needs taking the process view of an Organization to meet the Organizational goals tightly integrating all functions of an enterprise. - A system which makes sure that there is a proper communication flow between the departments and they share the required information on a common platform to be used by everyone.

    Integration of Functions
    Enterprise Resource Planning
    Production Management

    Material Management

    Sales & Ditribution

    Production Planning

    Costing

    Quality Management

    Finance & Controlling

    HR/Payroll

    Work flow in an ERP system

    Criticalities in Apparel Industry

    Some more issues with Apparel Industry?


    Excess/redundant inventory or Stock shortages/out of stock Intense market competition required real time data for customers Complex Manufacturing Operations Greater customer bargaining power due to a vast number of available options. Limited competitive edge due to no barrier to entry Reducing Profit margins Ever changing demand of customers Shrinking lead times needs a very flexible manufacturing and distribution channel

    How does ERP help my business ????

    ERP in Apparel Industry by function


    Product Development Merchandising Sales order Processing Planning
    Serves as a database for all the styles Gives greater power to the customers

    Merchandiser can prepare an online BOM based on size and color dependency Automatic calculation of product pricing based on the cost of the raw materials

    When a customer order is received over mail, the sales department punch in the order in the system and generates a Sales order document

    Once sales order is confirmed, automatic confirmation goes to planning department. The order data gets queued in planning dept.

    Production Purchase Inventory

    Provision to track the units in each stage of production Production demand for each color and size was created in planning

    If the material is already in stock, it will not raise a requisition Passes through multiple levels of approvals before converting to purchase orders.

    Linked to POS counters, so whenever the stock falls below min. level, replenishment orders are raised Tracking of rejected pieces from suppliers at any point of time

    Finance

    Whenever Purchase orders are raised, A/P are automatically updated. Automatic calculation and posting of taxes in corresponding ledgers.

    Benefits of ERP
    Retail Specific Components Segment Specific expandability option Support for the Store System Configuration and Scalability Phased Implementation Support Support for advanced functionality Workflow Automation and enterprise process management Technology and Application Integration

    ERP Constraints
    Re-engineering of business processes to fit the "industry standard" prescribed by the ERP system may lead to a loss of competitive advantage. ERP systems can be very expensive. Rigid or difficult to adapt to the specific workflow & business processes

    It has to be done in Phased manner.

    Resistance in sharing sensitive internal information between departments can reduce the effectiveness of ERP

    ERP once implemented is the lifeline of the business and downtime costs are very high & impact the business critically

    Causes of ERP Failure


    Underestimation of Complexity of planning, development and training

    Failure to involve affected employees in planning and development

    Trying to do too much fast in the conversion process

    Insufficient training of tasks required by the ERP system

    Overreliance on ERP vendor for assistance

    ERP implementation in Indian Retail


    Pantaloon

    Lifestyle Replaced Legacy systems with newer solutions Implemented by ADI Services Business Process re-engineering was made to suit the changes. ERP connected: Manufacturing unit Dyeing unit Warehouse (Inventory management) Sales team Administrative teams (Accounts and HR)

    Solution : SAP retail solution Implemented by : SAP team with the help of Novasoft, Singapore Number of users : Around 1,200 Time taken : About six months Cost of implementation : About $10 million Implemented in three phases Phase one: Blueprinting Second phase: Development of SAP platform Third phase: Deployment

    Future trend of IT in Retail


    Mobile POS as a customer Service Opportunity

    Integrated Customer Loyalty Management


    Online Retail
    Speak live Chat live Broadcast Live Mail Live Answer Live Be Social

    Retail management Solution

    Thanks

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