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Product Modules...Sewing Sewing Thread Requirement This sub-module allows colour wise count wise sewing thread cones procurement requirement to sew a given order on a given line layout

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Page 1: Product Modules...Sewing Sewing Thread Requirement This sub-module allows colour wise count wise sewing thread cones procurement requirement to sew a given order on a given line layout

P r o d u c t M o d u l e s

www.algorithm.com.pk

[Pvt.] Limited

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[Pvt.] Limited

Sub Modules Brief Description Of The Features

The module handles knitwear apparel, woven apparel, sportswear, leather garments and hometextile products. Users can work on styles, orders, and automatic generation of trims, accessories,fabric procurement requirements based on order quantity. There are 3 components of Merchandising,each with their specific roles:Styles Capturing:This component captures product specifications of woven apparel, knitwear apparel, home textile,sweaters, sportswear or leather garments. By making use of images, sketches, international colourstandards, size charts, placement instructions, database of trims, accessories and fabrics includingembroidery and print designs. The end result is creation of a new style into the library.Order Capturing:This component imports styles from style database and bunches them together into a single order.An order may contain a single or several styles. Additional order specifications such as shipment,garment assortments, packing assortments, carton and poly-bags, tickets and hangtags are alsocaptured at this stage. Changes in colour-set, size-set, measurements, fabrics, embellishments or trimsetc. may also be done in an order.Gross generation and order release:To avoid costly procurement mistakes and production errors, this component of merchandisingenables version control and review of order specifications including consumptions. A power userperforms this review. After assurance of desired accuracy, the order specifications are released forprocurement and production functions. The system also automatically generates fabric, trims andaccessories requirements.

MERCHANDISING

The module is a data entry interface that captures the specifications of all typesof woven, knitwear & leather garments as well as home textile products. Allknown specifications of products including size-sets, size-charts, colours,assortments, fabric details, trims and accessories specifications, embroidery andprinting specifications can be maintained in a product library in this module.

Style Capturing

The module creates orders against styles in the library. Multiple styles can becreated within an order. Any type of changes in styles can be performed withinthe specific order, while keeping the original style intact. Additionally, the garmentassortments, packing assortments, packing accessories and shipmentspecifications are also captured while creating an order.

Order Capturing

To avoid costly procurement mistakes and production errors, this module enablesversion control and review of order specifications including consumptions of rawmaterials in each product. A power user performs this review. After assuranceof desired accuracy, the order specifications are released for procurement andproduction functions. The system also automatically generates fabric, trims andaccessories requirements.

G r o s sGeneration &Release

The apparel products keep changing from order to order in terms of fabrics, embellishments,manufacturing specifications, washing and styling specifications. Consequently, manufacturing lead-time requirements, capacity requirements and manufacturing sequence (routing) also remainsproduct specific. The purpose of this module is to create product engineering and manufacturingspecifications of each product and supply this product engineering data as an input to accurateplanning. Some key value determinants in this module are:The Garment Engineering (Sewing) sub-module determines the optimum sewing layouts, dailyproduction targets, number of required operators and their recommended piece rates.The Garment Engineering (Finishing & Packing) sub-module determines the optimum finishing packinglayout, the daily finishing and packing targets, the required number of human resources and theirrecommended piece rates.The thread consumption sub-module determines the overall thread requirement within a style. It alsodetermines the minimum number of thread cones required to for the sewing layout. The greater ofthe two values is sent to Materials Management module for thread procurement.The embroidery and printing sub-module enables the industrial engineers a compilation of data for

PRE PRODUCTION PLANNING

* AVAILABLE ONLY IN ALGO ERP Release P-3

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Sub Modules Brief Description Of The Features

printing and embroidery processes and the raw materials requirements therein. The exercise isrepeated for each separate print or embroidery motif in the style.The washing and garment finishing sub-module enables washing batch recipe and washing program,washing lead time, and a balanced finishing layout to be created. The exercise is repeated for eachstyle.Finally, the BOM Editor sub-module fixes the logical sequence of required manufacturing operations.It determines which operation needs which materials with exact consumptions. The final outcomeof this sub-module is a Bill of Material (BOM), which is passed on to the Production Planning Module.

CAD-CAMThe sub-module enables GGT or any similar pattern making, grading and markermaking software to be integrated with the P-3 for the purpose of calculation ofcorrect fabric procurement requirements. Each apparel and home textile producthas a different fabric requirement, this modules caters for i t .

G a r m e n tE n g i n e e r i n gSewing

Sewing ThreadRequ i rement

This sub-module allows colour wise count wise sewing thread cones procurementrequirement to sew a given order on a given line layout in a given product orderquantity.

G a r m e n tE n g i n e e r i n gFinishing & Packing

This module enables industrial engineers to create a finishing and packing layout,which determines the correct number of finishing and packing resources requiredto match the load arriving from upstream processes.

P r i n t i n gE n g i n e e r i n g

This module enables industrial engineers to create a printing process layout,which determines the correct number of printing resources, printing lead-timeand raw materials required for fabric printing. The process is repeated for eachnew fabric print design.

E m b r o i d e r yEng ineer ing

This module enables industrial engineers to create an embroidery process layout,which determines the correct number of machines, embroidery lead-time,embroidery thread and raw materials required. The process is repeated for eachnew embroidery design.

Wet ProcessingE n g i n e e r i n g

This module enables industrial engineers to create a particular washing processsetup, which determines the wash recipe, batch process time and correct dyesand chemicals requirements for washing. The process is repeated for each newtype of washing.

Dry ProcessingE n g i n e e r i n g

This module enables industrial engineers to create a garment dry processes layoutto cater from rubbing, sandblasting, tearing, moustache making etc. This determinesthe correct number of resources and lead-time required to carry out the dry processesin an order. The process is repeated for each new type of order.

BOM EditorThis sub-module provides the Industrial engineers with an ability to perform afinal review and verification of Bill of Material (BOM) elements such as consumptionsand sequence of operations. Before the MRP execution in production planning.

PRODUCTION PLANNINGApparel industry deals with a planning challenge that involves materials, processes, resources andlead-times that differ with each style. The demand is cyclic with high seasonal peaks followed bytroughs of inactivity. While the bottom line remains quick and timely shipment with quality. Thinmargins do not allow room for errors.The Planning challenge is multi-tiered and complex. At Management tier confirming an ordershipment date is a risky business in case the plant is already booked out while running a plant undercapacity is even more so.For the master scheduler the most important challenge is how to set valid and realistic productiontargets for the order commitments already made by the Management. There is high priority to runan efficient plant with neither excess capacity nor bottlenecks.For MRP controllers, the challenge lies in creating detailed plans for an order by breaking it up into

* AVAILABLE ONLY IN ALGO ERP Release P-3

This module enables industrial engineers to create a balanced sewing layout,expected worker wages and sewing costs as well as the daily production targets.The calculations are based on time and motion data on sewing operations andthe characteristics of sewing machines.

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Sub Modules Brief Description Of The Features

M a s t e rS c h e d u l i n g(RCCP)

several individual jobs. They need assurances that resources chosen for the jobs will have availablecapacity and the procurement will not fail in securing all raw materials in time and in correct quantity.At finite scheduler level, valid day-to-day schedule for all the work centers must be created, refined,readjusted and constantly monitored against actual performance. The schedules must be integratedto achieve high throughput and low work in process inventory.The P-3 Production Planning Module is a comprehensive, one of its kind and an effective planningsolution that completely meets all the above computational challenges faced by a large manufacturingenterprise.

This sub-module allows the Business Unit Manager to quickly arrive at an ordershipment date confirmation decision while negotiating with buyers. The toolalso creates a valid and realistic Master Production Schedule (MPS). The sub-module uses the rough-cut capacity planning technique (RCCP).

M a t e r i a lR e q u i r e m e n tPlanning (MRP)

This sub-module creates both production plans as well as material procurementplans automatically by using standard MRP II logic, using the final style BOMfrom Pre-Production Planning, the inventory information from MaterialsManagement and the procurement and processing lead time information. Itc reates deta i led manufactur ing and procurement ta rgets .

C a p a c i t yR e q u i r e m e n tPlanning (CRP)

This sub-module validates the production plans created by the MRP by comparingloads and capacities of all work centers. The module also suggests automaticrouting choices to the planners in case work centers selected are overloaded.

Finite SchedulerCutting

This sub-module serves the planners in making valid day-to-day productionschedules for cutting work center. Based on the availability of capacity, finishedfabric and production markers. The module also provides a real time progressstatus within the cutting work center.

Finite SchedulerSewing

This sub-module serves the planners in making valid day-to-day productionschedules for sewing work center. Based on the availability of capacity, cutgarments, trims and accessories and sewing machine availability constraints.The module also provides a real time progress status within the sewing workcenter.

PRODUCTION ACTIVITY CONTROL [ PAC ]With this module, production managers can launch orders in cutting, sewing, finishing and packingdepartments after assuring themselves with the availability of style wise materials. It also authorizesissuance of raw materials in controlled quantity to work centers. It also monitors the work completed,the work in progress and the rejections during the manufacturing processes till arrival of the productinto the finished goods stores. A perpetual inventory view of finished goods is also maintained in thesystem.The system provides routing choices to the production managers in which they select and assignthe production jobs to appropriate in-house departments or sub-contractors on the basis of theircapabilities. The system also preserves the integrity of customer supplied product specifications byproviding version controlled and up to date product specifications to all the work centers in needto know basis. This avoids errors and mistakes during processing.The system also serves as the only reporting tool for production. It replaces dozens of, often conflicting,Excel or FoxPro or other manually compiled reports by user-friendly on-demand reporting interfaces.These reports with their drill down capabilities offer the management the necessary flexibility to viewwhatever level of detail they wish to. Exceptions such as delays, material failures, excessive rejectionsetc are also available for viewing. Finally, the module provides key costing inputs to by sending theactual style wise fabrics and tr ims consumption data to the costing module.

Marker MakingPAC

The sub-module enables GGT or any similar pattern making, grading and markermaking software to be integrated with the P-3 for the purpose of calculationof correct fabric issuance requirements for cutting based on actual fabricshrinkage, shade grades, fabric availability and cutting requirements within anorder.

Sub Modules Brief Description Of The Features

* AVAILABLE ONLY IN ALGO ERP Release P-3

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Sub Modules Brief Description Of The Features

This module allows view of the cutting assortments of an order and the statusof fabrics availability in the stock. It has the ability to automatically raise stylewise fabric issue requisitions, containing the exact quantity authorized. It alsotakes work-completed reports from the work center after each cut and maintainsthe work in process reports.

Cut t i ng PAC

This module acts as a feeding store and a sewing launch pad, where eachstyle’s cuts and trims are received from stores in authorized quantity. Embroideredand printed garment parts are sent to and received from the embroidery andprinting resources. Once the assembly is completed, it is issued to the sewingfloor. Perpetual inventory reports on assembled garments are maintained alongwith issuance records.

G a r m e n tAssembly PAC

This module allows view of the cutting assortments of an order and the statusof fabrics availability in the stock. It has the ability to automatically raise stylewise fabric issue requisitions, containing the exact quantity authorized. It alsotakes work-completed reports from the work center after each cut and maintainsthe work in process reports.

Embroidery PAC

This module allows view of the cutting assortments of an order and the statusof fabrics availability in the stock. It has the ability to automatically raise stylewise fabric issue requisitions, containing the exact quantity authorized. It alsotakes work-completed reports from the work center after each cut and maintainsthe work in process reports.

Pr in t ing PAC

This module allows view of the sewing specifications, sketches and trims andaccessories specifications of an order and the status of garment assembly’savailability in the stock. It also has the ability to automatically raise style wisegarment assembly requisitions. It also takes work-completed reports from thework center and maintains the work in process and rejections and reworksreports.

S e w i n g P A C

This module allows view of the washing specifications, base and batch recipe,dyes and chemicals issuance authorizations in an order. It takes work-completedreports from the laundry and maintains the work in process and rejections andreworks reports.

Wet ProcessingPAC

This module allows view of the dry process specifications and process layout.It takes work-completed reports from the dry process department and maintainsthe work in process and rejections and reworks reports.

Dry ProcessingPAC

This module allows view of the finishing specifications, accessories to be usedin finishing, of an order and the status of orders that have been sewn and areavailable for finishing. It also has the ability to automatically raise style wisegarment finishing materials requisitions. It also takes work-completed reportsfrom the work center and maintains the work in process and rejections andreworks reports.

G a r m e n tFinishing PAC

This module allows view of the packing assortments carton and polybagspecifications of an order and the status of orders that have been sewn andfinished by far and are available for packing. It also has the ability to automaticallyraise style wise garment packing materials requisitions. It also takes completepacked cartons reports and transfers them to the finished garment stores.

Packing PAC

Goods after being packed into shipment cartons are dealt with by this module.With the help of bar-coded cartons, this module maintains a perpetual recordof finished goods inventory along with its valuation, checking in, checking outinto the storage locations with reports that are kept style wise, carton wise,colour and size wise.

Finished GoodsI n v e n t o r yManagement

The module offers very quick and disciplined procurement for trims and accessories. The quantityis determined automatically by using two separate methods the Gross method and the MRP. Theend-user has no discretion in changing any of the procurement quantity. Manual effort, humanerrors or corrupt practices in procurement can thus be averted. In fact, the MM module aloneensures a payback period of P-3 with in a year.

MATERIALS MANAGEMENT

* AVAILABLE ONLY IN ALGO ERP Release P-3

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Another feature is P-3’s ability to accurately aggregate an item quantity across styles. Thus a singlepurchase order can cover the procurement requirements of an item in all the current styles. This hasan effect of dramatically reducing the number of purchase orders required. Apart from speedyprocurement, another major advantage is the enhanced bargaining power with vendors througha large PO.The MM also handles procurement of consumable materials whose requirement is not dependenton the order quantity. These include spares parts, dyes and chemicals, office supplies and miscellaneousitems.While receiving, the system disaggregates the item quantity style wise, ensuring that the items areonly received style wise. The arrival status of all materials required in a style is also maintained. Thecontrolled issuance functionality ensures that only the authorized quantity net of wastage allowancecan be issued to the departments. This creates a tight discipline in consumption.Other inventory management activities such as goods transfer, goods inspection, return-to-supplierand inventory valuation functionalities are also available. The entire inventory management sub-module is fully integrated with the G/L , Accounts payables and costing module. The module alsocomes with several inventory reports.

T r i m s &A c c e s s o r i e sProcurement

This module automatically creates requisitions of trims and accessories. Therequisitions can be aggregated across styles and orders thus consolidating theprocurement requirements of common materials and creation of very largepurchase orders. The module also provides PO processing, release and monitoringability and has several reports on style/order wise raw material availability status.

T r i m s &Accessor iesI n v e n t o r yManagement

This module performs trims and accessories goods receipt function and incominginspections for quality control purposes. The module also provides for storagein quarantine and subsequently at permanent storage locations. Other Inventorymanagement functions such as authorized issuances to the work centers, leftovermaterials receipts, stock transfers, return to vendors, stock counts and perpetualstock valuation.

C o n s u m a b l eM a t e r i a l sP rocurement

This module provides the capability to procure independent demand materialssuch as dyes and chemicals, spares, office supplies and general-purpose stores.

C o n s u m a b l eM a t e r i a l sI n v e n t o r yManagement

The module also provides for perpetual inventory valuation of consumable andindependent demand items. Issuance of independent demand items andinventory linkages with the G/L are handled here.

FABRICAT ION

Sub Modules Brief Description Of The Features

Finished fabric is the costliest single element within apparel and home textile product manufacturing,sometimes accounting for up to 50-60% of the product cost. Correct determination of finished fabricrequirements and then control of the follow up activities like yarn procurement, yarn dyeing, circularknitting, flat-bed knitting, dyeing and fabric finishing right till controlled issuance is critical for stayingcompetitive as a manufacturer.The P-3 offers quick and disciplined development and procurement denims, finished shell fabrics,linings, leather, flat-knit fabric trims, greige fabrics and dyed yarns and simple yarns. Another featureis P-3’s MRP, which converts finished fabric requirements into dyeing, knitting and yarn procurementrequirements.The results are very cost effective. The finished fabric development targets are converted automaticallyinto Greige manufacturing or procurement targets and consequently into yarn procurement targets.Any of these three forms wherever available in stocks are netted from the gross requirements, thusensuring procurement of only those elements that are over and above what is already lying in thestock. This results in high savings and low wastages.The requirement calculation process is coupled with CAD/CAM it avoids human. The P-3 also ensuresthat during issuances of yarn for Greige manufacturing, issuance of Greige for dyeing and issuanceof finished fabric for cutting. The issuance quantity is always dependent on the parent item quantity.Over issuances, abuses, losses and errors are therefore completely avoided.

* AVAILABLE ONLY IN ALGO ERP Release P-3

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Sub Modules Brief Description Of The Features

D e m a n dM a n a g e m e n t

The MRP logic also ensures that unforeseen losses of finished fabric, exceptional losses of Greigefabric etc. are immediately converted into fresh re-procurement requirements. Conversely revisedfabric consumption results in reduction of these requirements. In fact, the fabrication module aloneensures a payback period of P-3 in less than 1 year.

This sub-module is responsible for consolidating various sources of finished fabricdemand such as customer orders for garments, garment sampling requirements,finished fabric export requirements, third party commercial order requirementsfor finished fabric etc. After consolidating all these requirements according totime-phased priorities the module creates internal orders for finished fabrics inthe finished fabric “ Master Production Schedule” (MPS).

F a b r i cR e q u i r e m e n tPlanning (MRP)

This is a completely dependent demand fabric procurement requirementplanning system that only procures yarns, Greige and finished fabrics accordingto the end garment product requirements. by using the MRP logic of time-phased Master Inventory records that convert finished fabric requirements intoprocurement requisitions of Yarn, Greige and dyed and finished fabrics.

Finished FabricProcess ing /P r o c u r e m e n t

The module enables finished fabrics to be either procured or made in-house byraising purchase orders for purchasing finished fabric or work orders for dyeingor processing jobs. The module is completely dependent demand and theprocurement quantity is constrained around Greige fabric stocks and dyed tomatch constraints.

Finished FabricI n v e n t o r yManagement

The module is responsible for maintenance of the finished fabric stocks, theirreceipt, inspection, grading and issuance for cutting. The module is linked tothe G/L.

G r e i g eManufacturing /P r o c u r e m e n t

The module enables Greige fabrics to be either procured or made in-house byraising purchase orders for purchasing Greige fabric or work orders for knittingor weaving jobs. The module is completely dependent demand and theprocurement quantity is constrained around yarn stocks.

Greige FabricI n v e n t o r yManagement

The module is responsible for maintenance of the Greige fabric stocks, theirreceipt, inspection and issuance for dyeing processing. The module is linked tothe G/L.

Yarn Procurement The module enables all kinds of yarns to be either procured either as independentdemand stocks or as dependent demand stocks for knitting or weaving jobs.

Yarn InventoryManagement

The module is responsible for maintenance of the yarn stocks, their receipt,inspection and issuance for knitting or weaving. The module is linked to the G/L.

FINANCIALSThe Financials Module is the back bone of an ERP. Integrated with all other modules, FI provides theanswers to the following management objectives:To fulf i l l diverse information needs of management and regulatory authorit ies.To effectively manage the business’'92 working capital requirements.To effectively manage the exchange risk.Cost planning and Cost Control of operations to improve the fiscal discipline and to reduce thenon-value adding cost.Budgeting and resource allocation.To evaluate order profitability Real time inventory valuation.To obtain resultant benefits of an automated and integrated system.This means delegating repetitive and routine work to the ERP system as far as possible. Traditionalfinance activities such as preparing cash flows and cash budgets, calculating depreciation,generating reports on outstanding purchases, deliveries, payments, receivables etc., preparing bankreconci l iat ion statements and banks reports , updat ing vendors’ '92 accountsafter every t ransact ion, handl ing payrol l and wages payment etc. can bedelegated to the system, which will improve productivity, save cost and time and reduce errors.

* AVAILABLE ONLY IN ALGO ERP Release P-3

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Sub Modules Brief Description Of The Features

G e n e r a lLedger

It provides all the necessary functionality to define a chart of accounts, createvarious vouchers and record all basic accounting transactions. The trial balanceremains available on demand with several kinds of financial reports available.

Fixed AssetsManagement

The sub-module provides all the necessary functionality to maintain all fixedassets including leased assets, define their depreciation and perpetually maintaina real time fixed assets register.

T r e a s u r yManagement

This sub-module keeps the record of all cash and bank transactions with dailybank reconciliation.

A c c o u n t sPayable

This module maintains all the vendors payable data and is completely integratedwith goods receipt functionality in the materials management and fabricationmodules. The sub-modules also provides for cheque printing facility.

A c c o u n t sReceivable

Integrated with cash and bank and export documentation module, this sub-modules maintains a l l the records of accounts receivables.

ORDER COSTING & BUDGETINGThe costing module provides a very quick and an accurate way to calculate the initial cost of asingle style, create the order budget and to track and record its actual costs during production.For initial style cost, standard margins can be added to arrive at the bid price for the buyers. Themargins can be altered to arrive at a negotiated price in multiple currencies. Typical links forcalculating automated costing include trims and accessories costs from Materials Managementmodule, finished, yarn and Greige fabric costs from the Fabrication module, direct labour fromproduction management module, and overheads est imates f rom the setups.There are several setup data available for building up the costing elements of a style. Access toestablish costing parameters in the master data is limited to concerned persons only. These personskeep updating their part of the costing parameters continuously. This database is than accessedby the system to quickly create the cost of a single style.Upon creation of an order and as a sequel to initial costing, the module creates an order budget;which is the total expected expense in terms of fabrics, trims and accessories, embroidery, printingand washing as well as the direct labour and over heads components along with the gross profitmargin expected in the order. This budget is approved by the management and serves as the basisfor financing activities.As the production of the order progresses, the module keeps recording the actual consumptionsof the materials, the actual hours of work done by the departments and the overheads absorbedin each cost center. The end result of this activity is creation of the actual order cost.

Initial Costing

This module creates an initial cost all apparel products automatically, basedon the standard costing data already built into the system as well as theconsumptions and product specifications supplied by the merchandisers. Materialcosts, direct labour costs and overheads form the basis of this automatic costing.Human intervention has been kept to bare minimum.

Order Costing &Budgeting

Based on the order cost and the order quantity, the system creates a budgetfor the entire order under different heads of materials and labour. A separatebudget for fabrication, a separate budget for embroidery, printing, trims andaccessories procurement, washing etc. is created including the expected grossprofit within the order.

Actual OrderCosting

This module provides for standard as well as actual costs along and varianceanalysis for each order. The MRP II also provides for time-phased operationscash flows based on order price, order receivables date and time phased orderexpenses due to procurement targets and wage payables.

* AVAILABLE ONLY IN ALGO ERP Release P-3

Sub Modules Brief Description Of The Features