Standard in QAD Adaptive ERP
From demand to shipment,one supply chain flow
Walk through the supply chain functions that come standard in QAD Adaptive ERP, in workflow order. Planning, purchasing, inventory, sales and shipping use the same item, BOM and inventory data, so a change in one step carries straight into the next.
Problems on the floor
Four things supply chain teams tell us most often
A supply chain run on spreadsheets and phone calls is the first thing to wobble when people change or volumes grow. Each of the four problems has a function that solves it.
“We get delivery schedules in Excel and key them into the system again.”
Errors and omissions creep in during re-entry, and problems surface only after shipment.
Solved by
- EDI eCommerce
- Customer Schedules
“Material requirements are calculated in a planner's spreadsheet.”
The calculation takes so long that order changes are followed late, and the method changes whenever the planner changes.
Solved by
- MRP
- MPS
“We have to phone around to learn supplier delivery dates.”
Supply delays are not visible in advance and come to light only after production is disrupted.
Solved by
- Supplier Schedules
- Supplier performance
“Book inventory doesn't match what's in the warehouse.”
When inventory figures are wrong, the requirement calculations and delivery promises based on them go wrong too.
Solved by
- Inventory control
- Lot tracing
- Cycle counting
These statements summarize situations we often hear in the field. They are not quotes from any specific customer.
Function map
Supply chain functions connected inside one ERP
The top band shows the order in which work flows. Below it, four function groups handle the flow, and the integration functions bring in data from customers, suppliers and the shop floor. All functions share one data model.
Read in this order: the eight workflow steps, then the four function groups and three integration functions below them, then the shared data model at the bottom.
- 1Demand forecast
- 2Sales orders
- 3Production plan
- 4Material requirements
- 5Purchase orders
- 6Receiving · inspection
- 7Production · inventory
- 8Shipping · revenue
Planning stepsExecution steps
QAD Adaptive ERP supply chain modules
- Planning
- MRP
- MPS
- DRP
- CRP
- Demand forecasting
- Kanban
- Purchasing · sourcing
- Purchase orders
- Requisitions
- Supplier Schedules
- Inventory · warehouse
- Inventory control
- Lot/Serial
- Locations
- Cycle counting
- Sales · shipping
- Sales orders
- Pricing
- Customer Schedules
- Loading · shipping
Integration functions
- EDI eCommerceElectronic documents exchanged with customers and suppliers
- Barcode · RF collectionShop floor results entered on the spot
- Logistics AccountingFreight and customs costs carried into cost
Single data modelEvery function shares the item, BOM and inventory masters. Change a record once and every function sees the change.
Supply Chain Planning (DSCP), Global Trade Compliance (GTC) and Quality Management (QM) are separate QAD products outside this map. See the adoption scope
Module tour
Follow the actual flow of materials
Planning leads to purchasing, purchasing to inventory, and inventory to shipping. The integration functions feed data into all four steps.
Planning, purchasing, inventory, and sales and shipping follow in order, and integration supplies data to all four steps.
- 1PlanningDecide what to make, when and how much.
- 2PurchasingSource the materials the plan needs from suppliers.
- 3InventoryKeep received materials and finished products accurate.
- 4Sales & shippingConnect orders to shipping and revenue recognition.
1 · Planning
The system calculates material requirements, not people
When sales orders and forecasts come in, the master production schedule (MPS) decides what to make and when. Material requirements planning (MRP) then works out the materials and timing needed from the BOM and on-hand inventory.
Run the recalculation as a nightly batch, and orders changed during the day show up in the next morning's plan. Distribution requirements planning (DRP) handles replenishment between sites and warehouses.
Kanban · Items in repetitive production are replenished by consumption signals instead of calculation. When a signal comes, a set quantity is refilled.
Sales orders and forecasts feed the MPS. CRP checks the load, and MRP takes the BOM and on-hand inventory to create planned orders and purchase suggestions. DRP handles replenishment between sites.
- Sales ordersConfirmed customer orders
- Demand forecastForecast based on past results
- MPSMaster production schedule
Check the work center load before confirming
- CRPWork center load check
- MRPMaterial requirements planning
- BOM · on-hand inventoryShares the item masters
- Planned orders · purchase suggestionsLead into purchase orders in the purchasing step
- DRPReplenishment plans by site and warehouse
MPS, MRP and DRP: what's the difference?
The three plans use the same item, BOM and inventory masters. Only the question they answer differs.
| Aspect | MPSMaster production schedule | MRPMaterial requirements planning | DRPDistribution requirements planning |
|---|---|---|---|
| Scope | End products and key items | All materials and components | Inventory by site and warehouse |
| Question it answers | What to make, and how much | What is needed, and when | How much to send to which warehouse |
| Main inputs | Sales orders and forecasts | MPS, BOM and on-hand inventory | Site demand and transfer lead times |
| Output | Firm production schedule | Planned orders and purchase suggestions | Transfer plans between warehouses |
| Typical cycle | Weekly review | Nightly batch recalculation | Weekly review |
What you lose with spreadsheets is consistency more than speed. In the ERP, when one inventory record changes, the production plan and the purchase suggestions are recalculated on the same basis.
2 · Purchasing
Track everything from order to invoice in one purchase order
Purchase suggestions from MRP and department requisitions become purchase orders. Receiving and supplier invoice processing stay in the history of the same order.
For items under a price contract, Supplier Schedules send delivery schedules to suppliers. Delivery results build up as supplier performance. Supplier consignment inventory is booked as a purchase when it is used, not when it is received.
Korean internal approval procedures are hard to cover with QAD standard functions alone. Orcait adds electronic approval and purchase requisition screens through custom OrCore development. Sharing delivery information with suppliers can extend to Supplier Portal, an Orcait SaaS product.
MRP purchase suggestions, requisitions and blanket orders lead to purchase orders and Supplier Schedules, then through receiving to invoicing and supplier performance. Supplier consignment inventory is booked as a purchase when used.
- MRP purchase suggestionsCome from the planning step
- RequisitionsDepartment requests and approval
- Blanket ordersPrice contracts and scheduled releases
- Purchase ordersOne order keeps the full history from order to invoice
- Supplier SchedulesDelivery schedules split into firm and forecast periods
- ReceivingUpdates inventory on receipt
- Supplier consignmentBooked as a purchase when used
- InvoicingSupplier invoice processing
- Supplier performanceOn-time delivery and receipt quality
3 · Inventory
Plans are only as right as your inventory
Inventory accuracy is the foundation of every supply chain calculation. If on-hand inventory is wrong, you can trust neither the MRP results built on it nor the delivery dates you promise customers.
That is why we recommend fixing inventory first when you set the adoption order.
Read from bottom to top. MRP and production planning rest on inventory accuracy, and delivery promises rest on them.
- Inventory accuracyQuantity and status by site, warehouse and location
- MRP · production planningCalculates net requirements after on-hand inventory
- Delivery promisesATP and shipping schedules
Inventory control
Manages quantity and inventory status by site, warehouse and location.
Lot · serial tracing
Follows the history forward and backward, from raw material receipt to shipment.
Transfers
Records moves between warehouses and sites and changes of inventory status.
Cycle counting
Sets count cycles by item class and keeps a history of adjustments.
Inventory valuation
Applies valuation methods such as standard cost and moving average and analyzes cost variances.
Planning parameters
Sets safety stock, reorder points and order quantities by item and site.
In industries with strict traceability requirements, such as automotive, medical devices and food, lot and serial records are the evidence for audits and claims.
4 · Sales & shipping
From order to revenue without a break
Regular sales orders and Customer Schedules converge on the same shipping process, and the loading workbench issues shipping documents in one step.
Shipped quantities become revenue right away. Customer consignment inventory becomes revenue when the customer uses it.
Automotive parts suppliers run on Customer Schedules instead of regular sales orders. The OEM's delivery schedule is the order, and its firm and forecast periods are updated regularly.
Order management and Customer Schedules converge on picking and shipping. The loading workbench issues the shipping documents. Regular shipments are recognized as revenue, and customer consignment inventory is recognized when the customer uses it.
- Order managementQuotes, ATP and customer pricing
- Customer SchedulesTake the customer's delivery schedules in as orders
- Picking · shippingInventory relief in the same step
- Loading workbenchIssues shipping documents in batches by container and shipper
- Revenue recognitionFor regular shipments
- Customer consignmentBooked as revenue when the customer uses it
5 · Integration
Data from partners and the shop floor arrives directly
Data received through EDI and barcodes reaches the planning, purchasing, inventory and sales steps without anyone keying it in again.
Data received by EDI eCommerce, barcode and RF collection and Logistics Accounting flows automatically into the planning, purchasing, inventory, and sales and shipping steps.
- EDI eCommerceElectronic documents with customers and suppliers
- Barcode · RF collectionShop floor results
- Logistics AccountingLogistics costs
Reflected in each step on arrival, with no re-entry
EDI eCommerce
Processes electronic documents exchanged with customers and suppliers in standard formats.
- International standard formats such as ODETTE, VDA, ANSI X12 and EDIFACT
- Receives delivery schedules and sends ASNs and invoices
- Mapping by trading partner and reprocessing of failed messages
Data collection
Shop floor results are not keyed in again at the office.
- Receipts and issues with barcode and RF terminals
- Label printing and label formats by trading partner
- Entry of counts, transfers and production results
Logistics Accounting
Carries logistics costs into item cost.
- Freight, insurance and customs costs
- Cost allocation by item and variance analysis
- Freight bill reconciliation
With Action Center and workflows, delayed, exceeded and unapproved items appear directly on the screen of the person in charge. Interfaces to systems outside QAD are built through custom OrCore development.
Automotive supplier scenario
From delivery schedule to revenue in five steps
This example assumes the work of an automotive parts supplier. All five steps run inside Adaptive ERP, so nobody copies data by hand between them.
Example A hypothetical workflow for illustration.
Receive the OEM's delivery schedule by EDI, explode it with Customer Schedules, calculate requirements with MRP and MPS, pass schedules to Tier 2 suppliers with Supplier Schedules, then ship from the shipping workbench and confirm revenue.
- 01 ReceiveEDI eCommerceReceives the OEM's delivery schedules automatically.
- 02 ExplodeCustomer SchedulesApplies the firm and forecast periods separately.
- 03 CalculateMRP · MPSCalculates the production schedule and material requirements.
- 04 Pass to suppliersSupplier SchedulesThe received schedule flows on as delivery schedules for Tier 2 suppliers.
- 05 Ship · invoiceShipping workbenchSends labels and ASNs, then confirms revenue.
Supported standards
EDI eCommerce handles international standard formats such as ODETTE, VDA, ANSI X12 and EDIFACT. We confirm the formats each OEM needs together in the As-Is assessment.
Sequenced, high-frequency delivery
Standard functions handle JIS and JIT sequenced delivery and small, frequent shipments.
Adoption scope
Start with the standard scope and expand when you need to
Every function on this page is part of QAD Adaptive ERP. The three products below are separate QAD products and are not in the standard scope.
- Separate productSupply Chain Planning (DSCP)Advanced demand forecasting and supply scenario simulation
- Separate productGlobal Trade Compliance (GTC)Import and export compliance and trade document management
- Separate productQuality Management (QM)A dedicated quality management product
FAQ
Common questions before adopting supply chain functions
How do MPS, MRP and DRP differ?
The three plans use the same item, BOM and inventory masters. They answer different questions. MPS answers what to make and how much, MRP answers what is needed and when, and DRP answers how much to send to which warehouse.
Our inventory doesn't match the books. Where should we start?
Inventory accuracy is the foundation of supply chain calculations. If on-hand inventory is wrong, you can trust neither the MRP results nor the delivery dates you promise customers. That is why we recommend fixing inventory first when you set the adoption order. Cycle counting by item class and lot and serial tracing help with this.
Can we move material requirement calculations from spreadsheets to the ERP?
Yes. When sales orders and forecasts come in, the MPS decides what to make and when, and MRP works out the materials and timing needed from the BOM and on-hand inventory. Run the recalculation as a nightly batch, and orders changed during the day show up in the next morning's plan.
How are customer delivery schedules handled?
Automotive parts suppliers run on Customer Schedules instead of regular sales orders. The OEM's delivery schedule is the order, and its firm and forecast periods are updated regularly. The received schedules drive the requirement calculation in MRP and MPS and flow on through Supplier Schedules to the delivery schedules of Tier 2 suppliers.
Are products such as Supply Chain Planning (DSCP) part of the standard scope?
No. Every function on this page is part of QAD Adaptive ERP. Supply Chain Planning (DSCP), Global Trade Compliance (GTC) and Quality Management (QM) are separate QAD products and are not in the standard scope.