1. MRP Comp aris on White Paper: Microso f t D ynamics AX, Netsuite, Odoo & SA P Business One August 2016
2. 2 Introduction A manufacturer looking to upgrade their management software from a legacy system or implement an ERP software for the first time is faced with a multitude of choices. Each part of the manufacturing process is covered by its own software. For example, a manufacturer might run MRP software to plan production, MES to manage the shop floor, CMMS to manage maintenance, QMS for quality control, and WMS to track inventory. Most ERP systems on the market cover several of these functional areas, but few truly do everything out of the box . Most rely on third-party add-ons and integrations to provide complete coverage. This is particularly common for operations outside the core manufacturing workflow, such as maintenance, PLM, and quality management. Choosing the Right Software Whether you are outgrowing e n t ry -le v el software or replacing a leg ac y syste m, choosing an ERP that is a goo d fi t for your company can have a strong impact on your future gro w t h and profitability. There is tre me ndous p ressure to get an ERP implem entation right the first tim e be c ause the cost is so high. Imple me n t ation requires a great deal of time and inp ut from employees across your o rga n iza t ion, furthermore licensing and co nsulting f ees can be significant. De s pi t e these high stakes, most d ecis io n makers selecting and im ple me n t ing ERP software will not do so more th an a few times in their car e e r . The purchasing relationship is t herefore tilted in favor of the vendo r , with many v e ndors requiring hours of qualif ication before revealing crucia l det ails such as features and p ric ing . When d ealing with ve ndors, it is the refore essential to a c c ura t ely and c om ple t ely c ommunicate th e n eed s of yo ur organization to avoid finding out 6 months into implementatio n t ha t t he project isn’t feasible o r that an unexpected and expensive cu s t om d evelo pment is required. Cloud or On-Premises? In recent years there has been a trend in business software towards a software as a service (SaaS ) model. Most major business software vendors, ERP or otherwise, have begun offering their locally installed products in a cloud-hosted version to provide additional flexibility. When deploying a cloud- based software, there is no need for a local server or other network hardware , as d ata is managed and processed on a secure off-site server . D epending on the size of the deployment, this can significantly reduce the initial cost of a system. This can make a cloud solution a better choice for small and medium size businesses with less capital.
3. 3 As data security concerns gro w , many organizations must make the decision on how they would like to store their data. Due to the initial overhead and high maintenance costs of a secure locally hosted software solution, many businesses are now considering cloud-based SaaS providers as a low cost/high security option for their operational software needs. Third-Party I ntegrations and Add-Ons While most features missing from an ERP can be added through an add-on or third-party integration, doing so increases the cost and complexity of a solution . It requires a higher level of expertise during implementation and can create instability in performance and compatibility issues during upgrades. It is therefore advisable to select a software that covers all of your core business functions out of the box, only relying on add-ons when absolutely necessary. For this reason, the trend among manufacturing software solutions has been to incorporate more and more features into the core package. Each software included in this document covers several of the most important functional aspects of a manufacturing business. Each new version of these software solutions , too, has seen the inclusion of new features which widen their functional breadth. Automated Data C ollection on the Shop Floor An important benefit conferred by modern manufacturing software is a high level of control over the phys- ical production process via automated data collection. Automated data collection has a number of advan- tages over traditional manual monitoring and time-tracking. It takes no additional labor to collect accurate data that is free of human error and provides an unparalleled granularity of insight into the production pr ocess. The opportunities for process improvement are profoundly valuable for workflow optimization, saving time and labor costs. So f tware Compared in this Document T he four softwar e sol utions compar ed in this document wer e chosen because they represent a reasonable sample of the mid-market manuf acturing solutions availabl e toda y .
4. 4 Comparing MRP So f tware O f fers M ic roso f t D ynamics AX M icrosoft Dynamics AX is the mo s t fe ature-rich of the of five pr oducts in the Microsoft Dynamic s ER P line. AX was originally rel eased as a collaboration betwe en IBM and Daamgard Data ( as IBM A xatpa ) in 1998 before bein g ac qu ir ed by Microsoft in 2002 and re -b randed under its current name. “ MICROSOFT’S ERP SOLUTION ” AX is designed for mid-to-enterprise size busi - nesses operating across multiple locations, coun - tries, or currencies. Dynamics AX has particular strengths in manufacturing and distribution. It is commonly deployed by companies with revenue greater than $50 million annually, though smaller implementations are also possible. It is commonly used by discrete manufacturers, though it is also deployed by process manufacturers and in the retail industry. AX is offered both in the cloud and as an on-premises installation, sold exclusively by value-added resellers. For this comparison, we chose the latest release, AX 2012 R3, in the on-premises configuration. 19,000 companies 30 countries 25 languages 12,000 usergroup members
5. 5 NetSuite NetSuite was founded in 1998 as NetLedger, a cloud-hosted accounting software. It has since grown into a full-spectrum suite of business software applications. True to its name, NetSuite is available exclusively through the cloud. “ THE WORLD’S NUMBER ONE CLOUD BUSINESS MANAGEMENT SUITE ” Ne t S uite employs a m odu lar structure, w ith ea ch deployment comprised of a sele ction of its co re modules o r “apps ” . Net S u ite offers p reconfigured “ s uites” of apps t o ma t c h th e n eeds o f di ff erent ma rket seg me nts. Apps are a lso sold a la carte, ranging in pr ice from $199 t o $499 each. Some modules exist as basic and ad v an ced versions. In our comp arison, we used th e more advanced modules w h en available. 30,000 customers 160 countries 4,500 employees 312 apps in SuiteApp
6. 6 Odoo Odoo is an open- source suite of business apps. It is built on a modular structure in which each app covers one business function and each app is installed as needed. Odoo is available to be installed on-premises as well as in the cloud. Odoo recently released a new version of its manufacturing app suite, adding quality, maintenance, PLM, and expanded MRP and MES functionality. In this document, we will compare the on-premises configuration of the latest release, version 10. 1,300 developers 730 partners 2+ million users 120+ countries “ GROW YOUR BUSINESS ” Support and implementation services for the on- premises edition are sold by Odoo certified partners, while support for the SaaS is provided by Odoo itself. The on-premises edition has thousands of community-developed modules which add or modify functions, allowing a high degree of flexibility. The SaaS only allows the installation of the three-dozen modules officially supported by Odoo Inc.
7. 7 SAP Business One SAP, born from the ashes of the Xerox business computing division, is the venerable purveyor of enterprise software, primarily selling built-to-suit solutions for large enterprises. In 2002, SAP made its first foray into the SME market segment with the purchase of what is now SAP Business One (SBO). SBO is the lowest cost ERP offering from SAP, designed to be deployed quickly and with minimal customization. 650,000 users 190 countries 50,000 customers “ THE BEST RUN BUSINESSES RUN SAP ” B us iness One is d e signed to cov e r every b usiness software need o f s mall to mid - sized b usinesses, f r om C RM to Manufacturing d e p loyed e it her in the c loud o ur o n -premises. SBO is best suited to li ght manufacturing as i t lacks advance d p lanning and shop f lo or control f e atures when deployed o ut-of- the-box. There is a large communi ty of value-added r e sellers, many of which have devel oped their own modules to add th e missing feature s needed for more complex manu f acturing processes. 670 partn ers worldwide
8. Features Comparison Inventory Management General Multi-Warehouse 1 S torage Locations (Bins) Bin Replenishment Mobile Device Support Multi-Company Multi-Currency Multi-Language Automatic ASN (Advanced Shipping Notice) Package Management / Cartoning Freight Carrier Integration Manage Consignee Stocks EDI (Electronic Data Interchange) 2 3 4 Products Non-Stocked Inventory 5 Multiple Variants Multiple Units of Measure Inter-class UoM Conversion 6 Variant Matrix Odoo Enterprise V10 MS Dyn AX SAP B1 Net S uite Net S uite supports multiple companies, but only one warehouse per company. EDI is available through third-party software. Physical products for which we don’t manage the inventory level. Conversion of base and secondary UoM ( i.e. Volume to Mass ) . Sometimes called secondary units of measure. 1 2-4 5 6 8
9. Tracking product l ots/ serials from pr oduction to sales order to delivery or der. Odoo can read QR codes, but third-party software is required to print them. Available through third-party add - ons. SBO can accept bar codes as input in any field, but there is no barcode scanning interface. Sometimes call ed push/ pull rul es. 1 2 3-5 6-11 12 Inventory Management Traceability Lots / Serial Number s Up / Do wn T raceability 360° Traceability 1 Expiration Dates Cycle Counting Reporting Inventory Forecasts Inventory Valuations ABC Analysis Barcode Support QR Code Support 2 RFID Support 3 4 5 Lots / Serial N umbers 6 Receptions 7 Picking 8 Internal Moves 9 Delivery Orders 10 Inventory Adjustments 11 Routing FIFO / LIFO Customizable Routes 12 Putaway Strategies Wave Picking Batch Picking Zone Picking Cluster Picking Cross-Docking Putaway Location By Size, Weight, & Capacity Odoo Enterprise V10 MS Dyn AX SAP B1 Net S uite 9
10. Supply Chain Features Vendor Data Management Vendor Pricelist Management Inbound Quality Control Dropshipping Purchases Purchase Requests Purchase Orders Purchase Approval Workflow Request for Quotations Contracts / Purchase Agreements Automated Procurements Minimum Stock Rules 1 Make-to-Order Master Production Schedule 2 Sometimes called order points. MRP Wizard may be used to automate procurement. 1 2 Odoo Enterprise V10 MS Dyn AX SAP B1 Net S uite 10
11. Manufacturing Master Data Multi-Level BoM Byproducts / Coproducts Routings Subassemblies One BoM for Multiple Product Variants BoM versions Multiple BoM / Routing 1 Planning Demand Forecasting MRP I Scheduler MRP II Scheduler 2 Master Production Schedule 3 Gantt Chart Scheduling w/ Drag & Drop Kanban Planning Production Calendar Infinite Capacity Scheduling Finite Capacity Scheduling Available to Promise Multiple Scheduling Plans Delivery Date Calculation (Backwards Scheduling) Production Order Splitting/ Merging Operations Manufacturing / Production Orders Job Tracking Work Orders / Operations Automated Time Tracking Disassembly Orders Subcontract Manufacturing Rework / Repair Scrap 4 Disposal Strategies Kits Edit Individual Production BoMs Ability to create multiple BoMs or routings for a single product. Ability to schedule work orders based on workcenter capacity and availability. MRP Wizard performs a similar function. Constant Scrap Only. 1 2 3 4 Odoo Enterprise V10 MS Dyn AX SAP B1 Net S uite 11
12. Manufacturing Costing Perpetual Inventory Valuation 1 Periodic Inventory Valuation 2 Standard Price FIFO Landed Costs 3 Actual Production Labor Production Order Costing 4 Shop Floor Control Shop Floor Terminals 5 Production Activities Non-Produciton Activities 6 7 Time Tracking Messages on Work Orders Barcode Support Equipment / Machine Management Work Instructions on Work Orders Maintenance Requests from Shop Floor Terminal Human Resources Schedule Management Touchscreen Attendance Timesheets Breaks Overtime Vacation / Injury Reporting and Forecasting Overall Equipment Efficiency Work Time Demand F orecast Maintenance KPIs Production Costs Analysis Up/Downstream Traceability Analytic Accounting CSV Export 8 Dynamic Pivot Tables 9 Dashboards Save Custom Reports Odoo Enterprise V10 MS Dyn AX SAP B1 Net S uite Inventory moves affect stock levels only. As a “miscellaneous” charge on the purchase order. Planned labor included as line item on the BoM. No special interface exists for shop floor use. Workers could view production orders from a standard SAP interface on the shop floor. T asks like cleanup or setup which do not directly contribute to production. Could be configured as production orders. Conversion from ASCII or HTML and manual manipulation required. Using MS Excel Connector. 1-2 3 4 5 6 7 8 9 12
13. Maintenance Scheduling and Request Handling Schedule Preventive Maintenance Maintenance Kanban Maintenance Calendar Shop Floor Integration Multiple T eams / Sites Asset Management Subcontract Repair Job Tracking Parts Management Inventory Management Purchasing Integration Rotating Asset Location Equipment Serial Numbers Equipment Maintenance History Dealer Portal Odoo Enterprise V10 MS Dyn AX SAP B1 Net S uite 13
14. QMS Quality Control At Reception In-Process Before Delivery Inventory Quarentine 1 Quality Checks Quality Control Plan Pass/Fail Checks Measurement Checks Quality Alerts / Nonconformance Documents Print Nonconformance Documents Corrective Actions ISO9001 Tools Documentation Management Customer Satisfaction Surveys Customer Complaints Management Traceability of Operations Resources Management Reports Nonconformance Costs 2 Odoo Enterprise V10 MS Dyn AX SAP B1 Net S uite Requires using a custom routing. Mostly included as part of the OEE report. 1 2 14
15. Product Lifecycle Management Features Engineering Change Orders (ECOs) BoM Version Management Routing Version Management MRP Integration Centralized BoM Management ECO Management Approval Workflows BoM Version Difference Viewer Bulk BoM Updates Notification Mechanism Project eMail Gateway ECO Costing Third-Party CAD Integrations AutoCAD SolidWorks Autodesk Odoo Enterprise V10 MS Dyn AX SAP B1 Net S uite 15
16. 16 Notes on Usability Usabilit y , especially in enterprise software, is an often-overlooked but critically important aspect to consider during the purchasing process. Usability affects the efficiency of users working within the system, the ease with which the software can be implemented, and can reduce the costs associated with user errors. Additionall y , users who spend most of their working day using the system will appreciate software that is easy to use. This is especially true for shop floor control systems, as workers there may be in a loud envi- ronment, moving quickl y , wearing PPE, or otherwise not optimally situated to use a traditional computer interface with a keyboard and mouse. The special design considerations of a shop space or production line must be taken into consideration for any interface used there. We have selected screenshots of analogous menus within each software to demonstrate the visual elements and interface options for each software in this comparison. While it is difficult to assess soft- ware usability with a static image, a rough comparison can be made. Th is additional information can only aid your analysis.
17. 17 Dashboard - Microsoft Dynamics AX List of Vendors - Microsoft Dynamics AX
18. 18 D a shboard - Net S uite Project Planning - Netsuite
19. 19 BoM - Odoo Production Scheduling - Odoo
20. 20 BoM - SAP Business One Product Master Data - SAP Business One
21. Usability UI Full Web Interface 1 2 Responsive Mobile UI Android Native App iOS Native App Market Place App Store / Add-ons 3 4 Subjective Ratings Ease of Use Navigation and Search Data Entry Mobile App Reports Flexibility 21 1-2 3-4 Partial web portal. Add-ons available through value-added resellers. Odoo Enterprise V10 MS Dyn AX SAP B1 Net S uite Based on one review. Average of entire MS Dynamics product line. 5 6 User Satisfaction Ratings on g2Crowd 4.4/5 4.1/5 3.8/5 3.5/5 Ratings on GetApp 5/5 5/5 1 n/a 4.1/5 Ratings on Capterra 5/5 4.5/5 2 n/a 4.5/5 Brand Exposure Odoo Enterprise V10 MS Dyn AX SAP B1 Net S uite
22. Pricing & Conditions Pricing 1 $25 / user / month $2,000 - $6,000 / user $2,975 / user perpetual + 18% per year $4,499 / month + $99 / user / month 2 Contract Duration Monthly / Annual Perpetual Annual Negotiable Five Year Cost ( 50 Users ) $75,000 $100,000- $300,000 $282,625 $566,940 3 Free Trial 4 5 6 New Version Upgrades Included Update Service Included Cloud Offer Available Licensing costs only. Support, customization, and hardware not included. For “manufacturing suite, 11-1,000 users”. Includes hardware and upgrades. Cost of hardware is included in SaaS price. Via Odoo Online free trial. Some VARs provide free trial cloud servers. 1 2 3 4 5-6 Pricing & Conditions 22 Odoo Enterprise V10 MS Dyn AX SAP B1 Net S uite Conclusions Many factors must be considered when choosing a manufacturing software such as t he complexity of the production workflow, the degree to which demand fluctuates, the lead times of production and procurement, the size of the organization, the growth rate of the business, the stock-keeping needs, or the complexity of the support operations in a plant. The list, as they say, goes on. You must make the decision based on your own superlative knowledge of your business while working closely with whichever vendor you choose. This document was prepared by Odoo Inc. We made every effort to provide an objective analysis. If you feel that we have made a mistake or omitted important information, please contact firstname.lastname@example.org and we will make the necessary corrections.
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