ORDER MANAGEMENT USING

ERPNext
Guided by
Prof.R.VIMALA ,Assistant Professor

Presented by
BHAVADHARANI S
923320104006
Government College of Engineering,
Bodinayakkanur
 OBJECTIVES
Order Accuracy
 Ensure accurate entry of customer orders to prevent errors in product selection,
quantity, and pricing.
Timely Order Processing
 Efficiently process orders within defined timelines to meet customer expectations
and minimize delays
Inventory Management
 Maintain optimal inventory levels to prevent stockouts and overstock situations,
ensuring timely fulfillment of orders
Customer Satisfaction
 Enhance customer satisfaction by meeting or exceeding delivery expectations,
providing accurate information, and addressing customer inquiries promptly.
 INTRODUCTION
 ERP stands for Enterprise Resource Planning. ERP systems are the kind of software tools which are
used to manage the data of an enterprise.
 ERP system helps different organizations to deal with different departments of an enterprise.
Different departments like receiving, inventory management, customer order management,
production planning, shipping, accounting other business functions.
 Basically, it is the practice of consolidating an enterprise’s planning, its manufacturing, its sales
and marketing efforts into one management system.
 It combines all databases across different departments into a single database which can be easily
accessible to all employees of that enterprise. It helps in automation of the tasks involved in
performing a business process.
 Before an ERP system, there are different databases of different departments which they managed
by their own. The employees of one department does not know about anything about other
department.
 EXISTING WORKS
In ERP, order management involves several key modules and functionalities. Here are some of the existing works and
features related to order management in ERP.
Sales Order Management:
 ERP Next allows users to create and manage sales orders efficiently. This includes capturing customer details, specifying
products/services, and setting pricing and discounts.
Quotation Management:
 Quotations can be generated within ERPNext, providing a way to communicate pricing and terms to customers before
converting them into sales orders.
Inventory Integration:
ERP integrates with inventory management to ensure that stock levels are updated in real-time. This integration helps
prevent over-selling or stockouts and maintains accurate inventory records.
Workflow Automation:
 ERPNext offers workflow automation, allowing businesses to streamline order processing. This includes automated
notifications, order status updates, and triggers for various actions based on predefined conditions.
Customer and Item Master Data:
 The system provides a centralized repository for customer information and item details. This centralized data
management contributes to accuracy and consistency in order processing.
Delivery Note and Invoicing:
 ERPNext supports the creation of delivery notes to record the shipment of goods and facilitates the generation of
invoices based on sales orders or delivery notes.
Sales Analytics and Reporting:
 The system includes features for sales analytics and reporting, allowing users to track sales performance, analyze
trends, and make data-driven decisions.
User Permissions and Access Control:
 ERPNext provides robust user permissions and access control features. This ensures that only authorized personnel
have access to sensitive order-related information.
Customization and Extensions:
 ERPNext's open-source nature allows businesses to customize the system to suit their specific order management
needs. Extensions and additional features can be developed as per requirements.
 PROPOSED WORK
Order management module in ERP, it's crucial to align your proposal with the specific needs and requirements
of your organization or users. Here's a generic outline for a proposed work on order management in ERP.
Bulk Order Processing:
 Introduce batch processing capabilities for orders, allowing users to efficiently manage bulk orders, updates,
and status changes. This feature is particularly beneficial for businesses dealing with high transaction
volumes.
Improved Sales Analytics and Reporting:
 Expand the analytics and reporting functionalities to provide deeper insights into sales performance, order
trends, and customer behavior. This will support data-driven decision-making processes
Integration with Other Systems:
 Integrate the Order Management ERP with other existing systems within the organization, such as CRM,
financial management, and e-commerce platforms. This ensures seamless data flow and consistency across
various processes.
 ARCHITECTURAL
DIAGRAM
 SYSTEM REQUIREMENTS
HARDWARE COMPONENTS
 • 4 GB RAM (minimum)
 • 80 GB HDD
 • Quad Core processor
SOFTWARE SPECIFICATION
 OPERATING SYSTEM : Windows 10 and above
 LANGUAGES : Python, SQL ,JS
 SOFTWARE : VScode, PyCharm ,Frappe
 SERVER : Local Database (Maria DB)
 WEBSITE HOSTING : AWS , AZURE
Selling
 Selling is the communication that happens with the customer
prior to and during the sale. You might be managing all the
communication yourself or you may have a small team of
salespeople to handle this. ERP helps you track the
communication leading up to the sale by keeping all your
documents in an organized and searchable manner

Buying
 If your business involves physical goods, buying is one of your
core business activities. Your suppliers are as important as your
MODULES
customers, and they must be provided with accurate
information.
 Buying the right quantities in right amounts can affect your cash
flow and profitability positively. ERP contains a set of
transactions that will make your buying process as efficient and
seamless as possible.
 Stock
 Maintain details of your products and warehouses.
 Track receipt, transfer and delivery of the products.
 Optimize stock levels by providing real-time information via
reports.
 Provide valuation of each product.
Accounts
Accounting operations consists of 3 main transactions:
Sales Invoice: The bills that you raise to your Customers for the
products or services you provide.
Purchase Invoice: Bills that your Suppliers give you for their
products or services.
Journal Entries: For accounting entries, like payments, credit and
other types.
 METHODOLOGY
Selling Module:
Lead and Opportunity Management:
 Lead Capture: Identify potential customers and capture their information.
 Opportunity Creation: Convert qualified leads into opportunities, managing potential
sales.
Quotation and Sales Order Processing:
 Quotation Generation: Create professional quotations with product details and pricing.
 Sales Order Conversion: Convert accepted quotations into sales orders for order
fulfillment.
Customer Relationship Management (CRM):
 Customer Communication: Track communication with customers to maintain healthy
relationships.
 Feedback and Follow-ups: Gather feedback and schedule follow-ups to enhance customer
satisfaction.
Invoicing and Payment Management:
 Invoice Generation: Create invoices for delivered products or services.
 Payment Tracking: Track payments against invoices and manage accounts receivable.
Buying Module:

Supplier and Purchase Order Management:

 Supplier Management: Maintain supplier information and relationships.
 Purchase Order Creation: Generate purchase orders for acquiring goods or services.
Supplier Quotation and Purchase Invoice:
 Supplier Quotation Comparison: Compare and select supplier quotations for cost-
effective purchasing.
 Purchase Invoice Processing: Receive and process supplier invoices for payment.
Material Request and Requisition:
 Material Request: Initiate material requests based on inventory needs.
 Purchase Requisition: Create purchase requisitions for required materials.
Purchase Receipt and Payment:
 Goods Receipt: Receive and inspect purchased goods against purchase orders.
 Payment Processing: Manage payments to suppliers based on agreed terms.
Stock Module:

Inventory Management:
 Stock Levels: Monitor and manage real-time stock levels.
 Stock Valuation: Track the value of inventory based on accounting methods.
Warehouse Operations:
 Picking and Packing: Efficiently pick and pack items for shipping.
 Stock Transfers: Transfer stock between warehouses as needed.
Batch and Serial Number Tracking:
 Batch Management: Track batches of products for quality control.
 Serial Number Tracking: Monitor individual serial numbers for traceability.
Stock Adjustment and Reconciliation:
 Stock Adjustments: Adjust stock levels due to damages, losses, or other reasons.
 Reconciliation: Regularly reconcile physical stock with system records.
Accounts Module:

Chart of Accounts:
 Account Setup: Define and structure the chart of accounts.
 Account Classification: Classify accounts based on assets, liabilities, income, and expenses.
Journal Entries and Vouchers:
 Transaction Recording: Record financial transactions using journal entries.
 Voucher Creation: Create vouchers for various financial activities.
Financial Reports:
 Balance Sheet and Profit & Loss: Generate standard financial reports for analysis.
 Cash Flow Analysis: Track and analyze cash flow within the organization.
Bank and Cash Management:
 Bank Reconciliation: Reconcile bank statements with system records.
 Cash Handling: Record and manage cash transactions for accuracy.
CONCLUSION

 ERP Order Management aims to streamline and optimize the entire order
lifecycle, from creation to fulfillment. The system provides tools for
efficient inventory management, order processing, and reporting,
ultimately contributing to improved customer satisfaction and business
performance