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COMM 220

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COMM 220
i) Why is material master one of the most complex types of data in an ERP system?
This type of data is used frequently since materials are purchased, produced, sold and planned. They are transferred numerous times from departments to warehouses to suppliers; therefore it is complex to track of all the processes. ii) Provide some examples of data typically included in a material master for GBI case.
Most of GBI’s materials consist of bike parts since they are in the bicycle production business. Some examples include: chain, aluminium frame, brakes, bolts, etc. iii) What are material types?
Material types in SAP represent certain features of the materials in the system. Materials are grouped together so they can be distinguished from one another which are important for internal control. iv) Identify the four common material types in SAP ERP and provide an example of each for GBI case.
Raw materials: carbon composite material
Semi finished goods: carbon composite wheel/frame
Finished goods: touring bike
Trading goods: elbow/knee pads
v) Discuss the three types of data in an enterprise system and how they are related using GBI case.
An enterprise system consists of three types of data: organizational data, master data and transaction data.
• Organizational data is the information about the structure of an enterprise; some examples include warehouses, divisions, distribution channels, etc. These data are crucial to any organization since it helps management assign tasks and overall responsibilities. GBI’s headquarters is located in Dallas, however GBI Europe is in Heidelberg, and this is the information about the physical locations which can be found in the organizational data.

• Master data is usually fixed and is used frequently; the data is shared among different divisions. Customer, vendor and material data are the most common types. GBI has a master data that stores information about customers and suppliers’ contact information and also accurate



Bibliography: http://smallbusiness.chron.com/difference-between-functional-vs-business-process-orientation-25941.html

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