Leveraging Enterprise Material Transfer in QAD

Posted on: July 12, 2021 | By: Chloe Cope | QAD Financials, QAD Manufacturing, QAD Business Process, QAD Distribution

In this fast-paced, largely computerized world, breaches of cybersecurity can have serious impacts on businesses.

Automating intercompany material transfers and transactions both increases efficiency and reduces manual errors. The benefits of such automation include:

  • Increased efficiency due to automation of processes
  • Reduced user errors
  • Immediate data synchronization between business units
  • Elimination of double entries
  • Real-time updates of order status

The advantages of automation are easy to realize when using QAD’s Enterprise Material Transfer Workbench (EMT), a simple Excel based tool that systemizes the transfer of sales orders, purchase orders, and other materials. In this blog, we will walk through the EMT process, from the initial sales order to the final shipment of a product.

  1. Once the Primary Business Unit (PBU) receives and confirms a sales order (SO), a purchase order (PO) is automatically created by the EMT system
    • The SO, an initial order from a customer, is represented by 850 in the image above
    • The PO refers to the purchase the PBU needs to make from their suppliers for materials and production of the final product
  2. The PO is exported to the Secondary Business Unit (SBU), which then sends a PO acknowledgment (855) back to the PBU. All information exchanges are done via EDI Ecommerce, making the EMT process fully automates.
  3. If there is a change in the initial PO by the customer, the PBU sends an updated PO to (860) the SBU
  4. Once this is received at the SBU, it sends back a PO change acknowledgment (865)
  5. Once the inventory has been picked / the product has been produced at the SBU, it is shipped back to the customer in one of two ways:
    1. DirectShip
      • The product is shipped directly from the SBU to the customer 
    2.  TransShip
        • The product is shipped from the SBU back to PBU, who then ships it to the customer

Next Steps

If you are interested in learning more about Enterprise Material Transfers and/or maximizing your use of QAD software, contact us here to find out how we can help you grow your business. You can also email us at info@loganconsulting.com or call (312) 345-8810.



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