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June 17, 2024
Data Considerations for Implementing Supply Chain ERP Software
By Daniel Wang
June 17th | 2 min read
Considering implementing supply chain ERP software? When it comes to big price tag investments such as an ERP, it is important for businesses to ensure their foundation is well established. In other words, their data should be streamlined, and data processes must be properly mapped out. Learn how to ensure data integrity and streamline operations with Daniel Wang in article below.
Can an ERP Handle my Data?
Implementing an ERP is a pivotal moment for any organization. When done correctly, it streamlines operations, slashes redundant documentation, and integrates processes. However, this is difficult to get right. The efficacy of supply chain ERP software is heavily dependent on the quality and integrity of the data it processes. Ensuring data integrity is crucial to avoid delays, significant cleanup, and other unforeseen headaches. It is much easier to scrub the data during implementation than attempting to untangle errors after go-live. Before diving headfirst into an implementation, it’s important to assess where your data stands across four key aspects: completeness, structure, flow, and access.
-
Completeness
Data completeness is fundamental to streamlining operations – all master data points need to be collected and updated to meet requirements from upstream, immediate, and downstream processes. Failure to do so may result in missing key visibility and additional effort to manage inconsistent data points across multiple entries. When evaluating data completeness, ask yourself the following:
- Data Collection
- Are my methods comprehensive and automated?
- Are there redundant hand-key steps?
- Have users been carefully trained?
- Validation
- Have I set up mechanisms to identify and correct missing data?
- Are there flags for incomplete entries?
- Are users able to submit incomplete data?
- Audits
- Do I have regular audits to verify key data is being collected?
- Are these organized into separate master datasets?
- How are these datasets being regularly maintained?
-
Structure
Data structure is crucial for the smooth operation of an ERP system. Data needs to be recorded consistently to enable leverage multiple use-cases. By establishing a consistent structure and setting up strong guardrails, you can protect the integrity of master datasets and avoid data fragmentation. When evaluating your data structure, consider the following:
- Standardization
- Does the data recorded follow a clear and consistent standard? (ex. SKU number)
- Do all entries in this field record the same type of information?
- Are my methods comprehensive and automated?
- Enforcement
- Is data being validated against existing standards before it’s saved?
- Do we leverage secondary datasets outside the system? (ex. paper-based ledgers)
- Does the data recorded follow a clear and consistent standard? (ex. SKU number)
- Normalization
- Is my data organized in in clearly defined master datasets?
- Are master datasets being continuously updated?
- Is my data stored and linked in all required formats? (ex. internal SKU number vs vendor number)
- Is data being validated against existing standards before it’s saved?
-
Flow
To capture efficiency gains from an ERP, data must correctly flow to appropriate documents and dashboards. Poor flow generates redundant capture processes, increasing the chances of hand key errors. By carefully routing captured data during process mapping, you can significantly reduce unnecessary labor. When mapping out your data flows, consider the following:
- Source
- Is existing information being pulled from a master dataset?
- Will new data be captured at the endpoint?
- If new information is captured, how will that be updated in the appropriate master dataset?
- Destination
- Who is the intended end-user at the destination?
- Will the end-user be able to overwrite the existing dataset?
- How will the information be used?
- Format & Type
- Does my data need to be transformed before arriving at the destination?
- If my data is transformed, should the transformation be recorded in a master dataset?
- How much data needs to be transmitted at once?
- How often will data need to be transferred?
-
Access
Controlling and providing access is crucial for maintaining data integrity and protecting efficiency gains. Failure to set permissions appropriately can lead to unintended data manipulation, suboptimal decisions, and security breaches. To protect your newly defined processes, you will need to consider the following:
- Access
- Are our permissions consistent across roles and functions?
- Can employees able to easily access all necessary information?
- Are employees able to access information at the right time?
- Controls
- Do we have strong mechanisms to authenticate users?
- Is our authorization process clearly defined?
- Do we regularly review permissions & access across all roles & functions?
- Traceability
- Do we log changes to access?
- Can we monitor user-driven changes to master data?
- How long are our activity logs stored for?
Data integrity is the cornerstone of effective ERP implementation. To capture efficiency gains, your data needs to be complete, structured for multi-faceted use cases, flow to the right endpoints, and be accessible to the right functional owners. In the journey towards supply chain digital transformation, maintaining data integrity is not just a preparatory step—it’s a strategic imperative.
Does this apply to you and your business? Find out more by reaching out to the LIDD team today.
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Amazon Hires 10,000 Robots
Amazon is doubling down on KIVA robots with a plan to deploy 10,000 units. But does this massive inv...
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Infrastructure: Supply Chain’s Missing Link
If you google the term “supply chain”, you’ll find dozens of definitions that say the same thing: th...
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Canada Post and the Value of Delivery Operations
The Canadian federal government's decision to eliminate door-to-door deliveries, even in urban areas...
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Dock Area – Door Design and Trailer Interaction
Explore the latest advancements in dock door design and trailer interaction to streamline distributi...
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Capital Wasteland
One of our clients needs 200,000 sq.ft in a specific corner of the United States. This week, the sea...
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Supply Chain Traceability: Lessons from E.Coli Outbreaks in BC
The recent e. Coli outbreak linked to raw milk cheese emphasizes the urgent need for effective suppl...
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Low Level Order Pickers
Improve warehouse picking efficiency with low-level order pickers. Learn how to maximize your wareho...
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Low Level Order Pickers
By Steve Zerter July 31, 2013 | 4 min read A distribution facility has reached the point wher...
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The Vicious Circle of Picker Congestion
By Charles Fallon January 25, 2013 | 2 min read SKU proliferation in food distribution has ge...
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3 Aspects within Management’s Control that Affect Productivity
By David Beaudet December 17, 2012| 3 min read When looking at the factors that affect produc...
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The Truth About Drive-in Racks in a Non-manufacturing Environment
The most important thing to consider before increasing storage capacity is whether or not you should...
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Ketchup in the Cooler – How to Know When You’ve Got One SKU Too Many
By Charles Fallon November 6th, 2012 | 2 min read Optimize Your Distribution Center: The SKU Rationa...
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Five Distribution Center Functions in Five Short Stories
By Charles Fallon November 6, 2012 | 4 min read 1. Receiving The DC manager of a Texas...
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How Pick Lines Affect Distribution Performance
By David Beaudet October 25, 2012 | 2 min read Talking about pick lines and their impact on d...
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How Pick Lines Affect Distribution Performance
Good consultants understand that decisions are rarely black and white, rather, they exist in shades...
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Three Dimensions of DC Capacity
By Charles Fallon October 15, 2012 | 2 min read In logistics, few things are more fundamental...
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Bad Barcodes Lose Sales
Earlier this week, a routine trip to Staples turned into a lesson on the importance of barcodes in r...
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Modeling Service Logistics
Learn how to effectively integrate services into your distribution network. Discover strategies for...
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eCommerce Piece Picking Operations: Optimizing High-Volume Distribution
Managing high-volume piece picking operations can be complex due to the need for efficient stocking,...