That's why I can only add items, but if you notice, I cannot add a supplier, nor can I add a

customer because that's not part of my responsibility. So let's look at this one. So one of the
things that makes a good business application is that whatever functions or whatever task a
function is supposed to handle should be made visible. It has quick access, then it has an
organized set of what it can do. It's not very common for big business applications to have a
menu, not very common. Menu is only advisable if there are only a few sets of tasks that you
can perform in an application.

But because of ERPs and the number of tasks each function can do, it's not any more
convenient to use a menu, but rather a springboard to all the tasks that you can do there with a
set or with a category of quick access, which is the most frequent task that you do. So as
inventory, definitely, I'm in charge of the core data of items, meaning I can add, modify and
delete items that I manage. So that's why there's quick access to items if I log in as inventory.

Take note, this was made possible because the inventory user that I used was configured
initially to handle an inventory function. So if I click on an item, definitely I could see all the items
that I am managing as inventory, but I can also add new items. So ERPNext is one of the
applications that are good to emulate. Because it knows that there are a lot of individual data
that needs to be recorded for any core data or core record, it splits its form into two parts. It has
its basic form, which shows what are the necessary data that it needs for an item to be
recorded.

So by the way, if you're going to use the same server, make sure that if you are going to put in
codes into the system, start it off with your ID number, followed by whatever code it will be
using. So for example, I'll be adding a candle. And the item group for that is a product (2:59) that
I am selling. So it's going to be measured in pieces or numbers. And since it's a product that I
am selling, and if I am a made to stock company, so I would have to maintain stocks. What you
see on screen is what we call the basic form or the basic set of data needed (3:22) in order to
add an item. ERPNext uses a basic and full form mode.

So by the way, if you're going to use the same server, make sure that if you are going to put in
codes into the system, start it off with your ID number, followed by whatever code it will be
using. So for example, I'll be adding a candle. And the item group for that is a product that I am
selling. So it's going to be measured in pieces or numbers. And since it's a product that I am
selling, and if I am a made-to-stock company, so I would have to maintain stocks. What you see
on screen is what we call the basic form or the basic set of data needed in order to add an item.
ERPNext uses a basic and full form mode.

A full form mode gives you all the entire data that you can add to an item. So let's do that later.
So usually business applications will do that in order not to overwhelm the users in the encoding
of data for core. Kasi masyado marami yan. So it brings about a basic form telling you these are
the only necessary details that I need for now, but you can add some details later. So if I save it,
and refresh it, now my candle is in my items. But when I look at the item, now I'm seeing it's full
form. So there are other things that you can add to the data, like a warranty, if there is, the shelf
life of the product, if it's perishable, etc. Maraming yan. Maraming data sya. So there will always
be a basic form and a full form. Valuation rate is, in business, that's the value of the product. So
let's say that this is 100 pesos. So I just put that as my valuation rate. Then I save it. So if you
notice, since this is core data, you can create, you can update, then you can save. Simply like
that. Because it's core data.

So let's add another set of items. So I can just quickly go to this and add more items. This time
around, let's add the raw materials for the candle. So I will have the basic form. This time, it's a
raw material. But of course, paraffin wax is not in pieces but in grams.

So usually, a lot of the unit of measure has already been put in place inside ERPNext or even in
ERP, so that it will not anymore be something that the organization would maintain. So this is
what I'm saying. If you want to add more data before you save it, you can go just simply to a full
form. And you will just see what we have seen a while ago. If you have other things that you
wanted to put as part of the record of this item. So this is paraffin wax. So I can say paraffin
wax. It's in grams. Let's say the rate per gram is 10 pesos, then I can save it.

So now if I go back to items, then paraffin wax is in there. So let's just probably change the
name. Paraffin wax, let me just put my number there. So don't forget that when you're putting
codes, the name is different from a code. The codes are not editable in ProcessMaker or even
in any business applications. So if you mistakenly did not put a proper code, your only choice is
to delete that item.

So usually, that's my code. I don't use it as a name. So I can see what are the items that I am
adding or not. During my demo, it's best that you also try it out. Because if you don't, there are
things that I'm saying that you might have missed out. And if that appears in my exam last
Friday, then you will not get it.

So let me add another set of items for raw material. Paraffin wax and a wick. So it's a raw
material. So it's a number of pieces. Let me put a valuation rate that is one peso. Then that's it.
And one last raw material to produce a candle. It's the jar. And it's again a raw material. It's in
pieces also. Let me just put that as five pesos. So there.

So I have jar, wick, paraffin wax, and candle as my newly added items. So I can do that again
because I'm logged in as inventory. ERPNext as a software allows you to go to a specific task
without going back to the main menu. So it has a universal search bar that allows you to go to
any part of the records that it manages or any part of the functions that it has. So for example, if
I want to go to a specific item, I just type it there. And it will go to that specific record. Or if you
want to go to a list, so just type item list, and it will just make you go there.

So this is inventory. So can I look at a supplier list? I can, but I cannot do anything. If you notice,
there are no other tasks I can do for this core data because I'm inventory. I cannot add a
supplier. I cannot even update a supplier because supplier as core data is not my responsibility
because I am inventory.
But I can still have access to those data. So that's what items are. So another core data that is
very common inside organizations is its warehouses. Warehouses are not always the big
warehouse that we are used to. Warehouses are simply locations within the organization where
items can be moved from time to time. So we can take a look at what exactly are the
warehouses that are already there.

ERPNext will usually have all of its basic warehouse configuration in a company. So you have a
goods in transit, a finished goods. Finished goods is a warehouse where finished products are
placed. Work in progress is a warehouse where products that are in production because some
products may not be completed yet and still need to undergo other operations. So they are
temporarily stored in work in progress.

So it has finished goods, it has work in progress, it has stores. Stores is definitely where some
products are being sold. So it has a basic set. So if you notice, why are there two? Because
there are two companies in ERPNext. There's S1712 and S1712demo. So both companies will
have their own respective warehouse. But if I want to add another warehouse because I'm
inventory, so I can have another warehouse like receiving.

So it will be part of all warehouses. All warehouses. So it's part of all warehouses. That's where
definitely I can receive the goods or the items that I'm receiving from suppliers. But that's
basically it because this is a core data. You can just simply add, delete, update, and modify.

So we have a receiving area. For S12, let's put another receiving area there. We can add a new
warehouse receiving for that one. So we have items and warehouses. That will be basic for
inventory for now.

Now we can log out and see what we can add as core data for suppliers or for purchasing. So
I'll log out. I can now log in as purchasing. The password for this purchasing user is still
DLSU1234.

And what you would notice is that definitely there are different functions that I can do. So as
purchasing, if one of the things you would notice, I have access to items, but I cannot add new
ones. I can't buy something that the inventory has not cleared to ensure it will be able to
manage it.

But what I can do, if I look at my menu, is to set up my suppliers. So if you notice, there is a
function that I can add a new supplier. So in this demo, let's add three suppliers.

So candle supplier, supplies, incorporated. So again, it will have a basic form and it will have a
full form. So that one, then if I want to edit it, then I will now be given its full form.

So of course, suppliers need to have a contact. So let's add a new contact for this. Sales
representative of the company. And let's add a new data for that. Phone number. Then let's save
it.
And if you notice, it's a supplier. It's a link to the supplier, Candle Supplies Incorporated. There.
So it's saved. So if I now look at Candle Supplies, it has now a primary contact that we will get in
touch with if we are buying from this supplier.

So let's add another supplier. And again, it definitely will have its contact person. Let's create a
new contact for this new supplier. Email address. And automatically, if you notice, it's not linked.
We'll link it later.

So that's Lisa Magpantay, and she's the contact of this new supplier, Candle Materials Inc. So if
I look at the contacts, Lisa Magpantay is there. And if I go, this is another feature that ERP as a
software has. You can always go to the details of a record by using this link icon. So you'll see
that.

So I think we have all our suppliers prepared. Oh, sorry. So if I look at my suppliers, why is it
gone? There. So I have my Candle Supplies Inc. with the contact person, Mary Jane. And we
have Candle Materials and the contact person. We didn't put the primary contact here. Let's just
put it. But our primary contact is Lisa.

So that's supplier. Purchasing will definitely be able to manage the core data of who the
suppliers are that it is getting in touch with.

Now let's go to customers. So definitely it has to be sales. I'm not so sure if I have sales already
created; let me just log out and check. But I have production, so we can look into creating the
workstations.

For production, when it logs in because it was configured to only handle the function of
production, its menu definitely is different. And one of the items and the core data that it can
manage is the different workstations where the candles would have to be produced. So we can
create new workstations.

So let's say the wax melting station. Just by default, use a one job. Yeah. There's also the wick
assembly, a wick and candle assembly. Refresh it, and there it goes.

So other details, as I have already emphasized more often, there will always be the basic detail
and the full details about that.

So, so much about core data. So each function in an ERP, represented by the users of that
function, can manage its core data, only the core data that it is responsible for.

So now let's go to transactions.

So of course, before every item can be produced, there must be a bill of material. This is
something that we have already discussed in the class before. There's a bill of material that
needs to be created that will tell us how the candle will be produced. And definitely, that BOM
can only be done by production. So there's always a BOM creator or a BOM that we can use to
create one.
So when we create a BOM, we will be asked for what product this BOM will be for. So it will be
for the candle. It will be for the candle, and we will be creating the elements of the BOM, BOM
for one piece of candle. Usually, the configuration of the BOM is for every one piece of product,
what raw material will be used, what operations will be conducted, and what workstations will
these operations be conducted.

So let's put all the raw materials. Definitely, we need the paraffin wax. So we probably need one
gram of paraffin wax for every one piece of candle. We also need one piece of wick in order to
build and produce a candle. And also, we need one piece of jar in order to produce a candle.

So what you would notice is that ERPNext gets to also use whatever available data it already
has. In this case, how much each raw material is, its valuation, as we have entered it as core
data by inventory. And it uses that to also make a computation of how much the raw material will
cost in producing a candle.

So aside from that, I can also indicate what operations it will go through. For example, of
course, it has to go for, let's create a new operation. So melt paraffin wax. So what workstation
will it be done in? It will be in the wax melting station.

So melt the paraffin wax. And we can indicate how long it will take to melt it, how long, and also
how much it will cost to melt it. So for example, the hourly rate of the person in charge of melting
the paraffin wax is one peso per hour. You just put that in and save it.

Yeah. So then you can indicate how long it will usually take to melt the paraffin wax for one
candle. So let's say it takes only about two minutes. And automatically it will compute for its
operating cost. Then of course, after melting, we have to put in the wick.

So we can create a new operation for that. Assemble the candle with wick. And if I edit that
operation, I can indicate what workstation it will be held in. So it will be held in the candle with
wick assembly station. Let's put an hourly rate of 10 pesos. And we can indicate how long it will
take for one candle to be assembled.

So let's say it will take around five minutes. And again, the operating cost will be computed.
Okay. So basically, we have the raw material and the operations there. That would be enough
for a BOM.

So since BOM this time is a transaction, what you would notice in the feature is that it has no
save. So when a BOM is prepared, it will automatically go to what we call a draft state. And only
when this gets finalized, that we have a choice to submit it, and that would mean it's now a
finalized BOM.

And that's a BOM for this candle. Okay. So based on what I have mentioned in my previous
lesson, let me call on someone. Where is Amiens Arago? Hello, sir.

So we have set up the core data and the needed input to assemble or to produce a product,
which is the BOM. In the lesson last week, what is needed to instruct production to produce a
candle? What instruction or what document will give an instruction for production to produce a
product? Is it the bill of materials?

The bill of materials is not an instruction to build, to produce the candle. The bill of material is a
document telling you how to build a candle. Sir, the material request for production?

For the material request for production. So one of the things that you will see here is that
manufacturing cannot create its own material requests for production. It cannot. It has to come
from somewhere else. Can inventory do that? It can.

So let's log in as inventory. So let's log in as inventory. And one of the things that inventory can
do is to do a material request. So since this ERP software that I'm using is not yet customized to
a specific company, it's either inventory who can do a material request if it's a made-to-stock, or
sales can make a material request if it's a made-to-order.

So let's try out one transaction that can be facilitated in ERPNext, the material request. So I can
do a material request, and I can specify that this is for manufacturing or purchase or production.
And this is specifically for a candle. So I would want to require it by Saturday, and I want 1,000
pieces of that candle. And that is needed to be stored in the store, because the store would
need the 1,000 candles that the company wanted to sell.

So this is a material request specifically for production or for manufacturing. And I want it today.
Transaction is today, and it will be required by Saturday.

So if you look at it, this time around, again, this is a transaction. So when I save it, it goes to a
draft state. And only when I check it and do a final check on what my transaction is that I can
submit this material request for production.

So now I have a material request. And if you notice in the springboard of inventory, it is now
managing 14 items and it has one pending material request. Where will this go? ERPNext is
already an automated application. It knows if this is a material request for manufacturing, it will
have to go to production. And let's see if production can see it.

So if I log out and log in as production, I should be able to see that. If you know, if you look at
this, there should be a material request. Ah, not yet. Let me just. There, there's a pending for
me. Correct. So the menu that I could customize for production, hindi nakikita yung material
request. But I can easily access it kasi may universal search si ERPNext. And I can see that
there is something that needs to be manufactured and it’s still pending because I have not taken
action about it.

So in order to respond, the story is inventory issued a material request for production.
Production sees that production need to respond. So the way that the manufacturing would
respond is to create what we call a work order there. So the work order signifies that
manufacturing or production already accepted the material request for production and it will
already schedule it for production.
So alam niya yung operations? Ang problema nito may 1000 akong kailangan, hindi ko alam
kung meron akong raw material. But at this point, ang nangyari inventory issued a material
request for items to be produced. Production receives that. And in response, it says, I will now
do a work order for this. So that it's already part of what I need to produce.

So submit ko yung work order. There. So bakit kulang? So sabi niya, kulang ang work order mo
kasi hindi mo sinasabi sa natin ilalagay yung ipo produce. So of course, since work in progress,
I will do it in work in progress.

Yung target warehouse natin is the store. So may source warehouse tayong kailangan. Sa natin
kukunin yung raw material na to? So it will be in, sa natin nalang nilagay? Sa receiving na lang.
Doon lang natin kunin.

So the work order requires that you indicate, sa natin kukunin yung raw material, sa natin
ilalagay yung product pag naproduce na. So let's save it. There. So the work order has already
been created. So this one means, okay pwede nang simulan yan. Pero tingnan natin kung
masisimulan natin. Kasi meron tayong kailangan na raw material and we don’t know if those raw
materials are available. For now, let's go back to inventory.

Diba sya yung nag-issue ng material request? So sa inventory, may kita niya, meron syang
material request. Tanggalik yung filter. And the status kanina, pending. Ngayon, it's already
being handled by manufacturing. So at any point in time, in the whole process, people
performing their functions can know the status of what is happening with what they have started.
That's the power of ERPs.

Because there is a common data that it uses, it can inform every user of the application of
whatever is happening to what they have started. In this story, inventory started the request and
it tells the inventory, manufacturing already acknowledged your request and it's ready to start
the manufacturing. So it's going, it's already at manufacturing state.

So let's go back to manufacturing or production. So we have a material request that we came

from and if I look at this tab connections, I can see that there's already a work order to be able
to produce that, to produce that candle.

So yung isa, hindi pa na i-start. Ito yung latest natin ginawa. Ito draft lang to eh, so delete ko na
lang to. Hindi ko to kinontinue kanina eh. Para hindi tayo malito. Yan. So it has not started. The
question is why? So kahit i-click yung start na yan, ang tanong wala pa tayong raw material.

So hindi sya mag-start start. Hindi sya makapag-start kasi wala pa. Wala pang raw material. So
kahit anong gawin ko, i-click ko yung start ng work order, hindi sya gagana kasi wala pa. All the
raw materials are in red.

So anong gagawin ni manufacturing? So alam niya, kailangan nyo ng one thousand and if it
takes a look at it, naka-rent yung item. Ibig sabihin nun, kulang. There's not enough pieces of,
there's not enough kilograms of paraffin wax, not enough wick, not enough jar.
So kailangan tayong may gawin. May gawin si manufacturing. Let's call on, where is Charlie
Maincroft? Hello sir.

O, napa-follow mo yung story. Opposite. So production can now manufacture it. It has already a
work order to produce this candle, tung one thousand pieces. May kailangan siyang raw
material. So ang problema, kahit anong gawin niyang start, hindi mag-start.

Kasi kulang. And kahit sabihin niya, get it somewhere, diba? Kahit isave ko to, yan, and submit
that. Ang tanong, kulang. Kulang insufficient stock.

Wala akong mabibig. Kahit anong gawin kong material transfer, diba, ilipat ko yung raw material
papunta sa akin, wala ngang maililipat. Wala. So ano ang gagawin? Based on the lesson last
time. So yung kulang po yung one thousand paraffin wax po ba yan? Lahat ng raw materials,
kulang.

Lahat ng raw materials po kulang? Kulang. So kahit anong gawin kong start, hindi siyang
mag-start. Kasi kulang nga yung raw material. Kahit sabihin kong ERP next, sige mag-transfer
ka ng one thousand, papunta sa'yo para ma-start mo na. Ayaw pa rin niya kasi insufficient
stock. Insufficient ang stocks.

Walang one thousand na paraffin wax sa inventory, wala. Ano ang gagawin ni manufacturing? I
could be wrong, pero why not do a material request for purchasing the stock? So I issue a
material request for purchase. For the missing materials.

So mag-a-add ako ng material request but this time for purchase. And I need that tomorrow kasi
mag-i-start na ako ng production. So it's now a material request for purchase, I want it for
paraffin wax.

So I can get the items if you look at this, so I can get the items from somewhere. So since wala
nga ang material, so hindi ako makakuha. Ilan yung pirasong kailangan ko? One thousand?
Target warehouse receiving.

Then I can add the jar, one thousand pieces also, and put that in receiving. And another one,
the wick, one thousand pieces, kailangan ko sa receiving. Tingnan natin kung tama yung
in-order natin, makakulang kasi.

So ilan ba yung kailangan natin? Tingnan natin yung raw materials. So kailangan natin one
thousand of each required quantity, one thousand. So one thousand of each, then I will request
that. Pabibili ko siya kay purchasing.

Submit. Ayan na. So ngayon, meron akong kailangan i-produce, then since alam kong kulang,
I'm production, I requested for it to be purchased. Bumili ka ng one thousand. So sinong
makakakita nito? Si purchasing naman.
So maglalagout ako, then I will log in as purchasing, and from my menu, what I will see there is
meron akong material request na pending. Kasi merong sinubmit sa akin for purchase for one
thousand pieces of these.

So ngayon, anong gagawin ni purchasing? So kailangan niyang bithen. So for purchasing to

buy this, it has to create a purchase order to the supplier para mabiliyan. So I will create a
purchase order. So let's look at the supplier.

Create a purchase order. May supplier tayong ginawa, diba? Tignan ko muna yung suppliers ko.
Kasi may supplier na tayo, hindi niya nababasa. Ah, I get it. So wait lang ha. Baltan ko itong
group na to.

Kasi itong supplier di nakikita sa system. Baka supplier to ng ibang company. Tignan ko lang
kung nagkamali ako ng info. Demo supplier group. Ito rin. Gawin kong demo supplier group.

Ngayon. Sige. So let's now go back to the material request. Let's see now if we can create the
purchase order to the supplier.

Let's create a purchase order. Gawin ko na lang, manual akong mag-create ng purchase order.
So I will select my supplier, Candle Materials. And I say I wanted, I can get this. I can get this
from a material request. So kung material request yung sinamit sakin, it will now feed it back.

So ERP systems have that capability. So you can connect documents together by retrieving the
data from one document. So yung kwento dito, I created a purchase... Ba't ayaw niya
mag-purchase order? Dapat makita niya yung supplier. Yan. So created a new purchase order.
And I select the supplier, Candle Materials. So kailangan ko siya bukas. Ito yung items na bibilin
ko. Then yung rate that the supplier gave us to how much we can buy it.

Let's say, let's just put 10 pesos each na lang para for simplicity purposes. There. So now let's
save that purchase order kasi bibilin ako. And submit. There.

So when the purchase order is created, it's already telling that the company has ordered to the
supplier. Ang next question is, anong mangyayari dyan? Anong mangyayari? So let's trace the
entire transaction.

Nagsimula tayo, may material request for purchase, diba? Itong material request for purchase,
ginawa natin to nang, if you look at it, sa connections ng purchase order. Yung purchase order,
to receive parin and bid.

It's pending you getting it to be delivered to you. So when suppliers deliver what we ordered
from them, what we will do as a company to receive that is we will create what we call a
purchase receipt.

Kasi may tatanggapin tayo. So nag-issue ako ng purchase order sa supplier. I will wait for that
supplier to give the items to me. And when the items arrive, then that one will say, kapag may
nireceive ako na items for a supplier, that means I need to receive that.
So nireceive ko yung in order ko. That's called a purchase receipt. Then usually suppliers will
bring with them their delivery receipts that I can put here.

So hindi siya required kasi hindi naman yan part ng data ko. Part yan ang data ng supplier. But
in my case, kailangan ko ng purchase receipt to indicate, so receiving tayo, to indicate ano ang
nareceive kong items from what I have ordered. So since, let's assume na tama yung
na-delivered for now, lahat ng 1,000 items na-deliver ng supplier, then I save it. And submit that.

So at this point ng kwento, na-deliver na ng supplier yung in order nating raw material. And that
was evidenced by a purchase receipt. So let's trace it all over again. Nagsimula ito yung pagbili
natin because there's a material request for purchase. That material request for purchase
created a purchase order. That purchase order, if I look at connections, was received. Kaya
may purchase receipt. So natanggap mo na yan. Ang tanong, nasaan na siya?

So if we look at the items, so si Wick, if we look at its data dashboard, may kita mo dito, meron
na siyang 1,000 pieces kasi nareceive mo na siya. Dati ang stock level niya zero, ngayon
meron na siyang 1,000. Same thing. Yung jar natin, if you look at its data, the dashboard, zero
siya. Ngayon may 1,000 na. And it happened this January, itong buwan na to. January 21,
nangyari. So may kita mo yan sa loob ng ERP.

Then si Paraffin Wax, meron na rin siyang 1,000 pieces kasi na-deliver na siya. So balikan natin
yung kwento. So manufacturing, let's go back to manufacturing. That's where it all started. So
nung may request siya for production, ito, manufacturing request, na gumawa siya ng work
order, hindi niya ma-start yung work order kasi wala yung raw material.

Let's try it this time. Ngayon may dumating ni. So let's start it. If you notice, kulay green na yung
items. Ibig sabihin niyan, those items are available. So since yung raw materials na yan
gagamitin na ni manufacturing, magkakaroon ng tiyatawag na stock entry si manufacturing dahil
ililipat na yan sa kanya. Ililipat siya from receiving to work in progress. Kasi sisimulan na niyo
yung manufacturing gumawa ng candle. Save. Then let's submit this. There.

So now, the material transfer to manufacturing has been completed. Ibig sabihin nun, pwede na
tayong gumawa. Let's go back to our request. Request. Sorry. Yung request natin. Tingnan natin
yung nangyayari. So, trace natin. Nag-work order tayo to say na kailangan na natin siyang
gawin. And if you notice, nag-start na siya. Kasi nailipat na yung raw material papunta sa
production. So nag-start na siya. Kanina diba may start button dito?

Ngayon, it's just about finishing it. Tapusin na lang natin kung tapos na yung production. Kasi
nagsimulan na yung production. Dumating na yung raw materials eh. So, if I click on finish,
assuming tapos na. Ah, see? Di daw pwedeng tapusin. Hindi pa nga may melt yung paraffin
wax. So, let's look at that. So, mag-create tayo ng job card. Kasi sabi nung system. Paano
mong matatapos to? Hindi ka pa nga nagsisimula ng operation.

Tama naman siya, diba? Nag-start pa lang tayo. Kasi dumating yung raw materials. Pero wala
pa tayong pineperform na operations. So, in order to perform the operations, we need to issue
what we call a job card. What? Bumuha na pa ng job card? Ba't tayo bumuha? Ah, wala akong
permission to a job card. Bakit kaya? So, mag-login na muna ako sa admin ah. Wala daw
permission ako na ibigay sa purchasing to produce the job card.

So, I just log in as admin for now. Para matuloy natin yung process. So, I create a job card.
Tama ba? One thousand lang naman ah. Baka naman may job card na to. May job card na yun.
Naproduce na. So, yung job card naproduce na. So, for me to say, nagsimula na yung pag-melt
ng paraffin wax. Nagsimula na. And that job of na-complete na.

So, let's just do it very roughly. Yung lahat ng job card, kinompleto ko na. There. So, going back
to manufacturing. So, nagsimula tayo sa material request for production. Yung material request
natin, ginawa natin ng work order. Yung work order natin, ginawa natin ng Well, nagkaroon tayo
ng material request. Then, nagkaroon ng stock entry. Kasi inilipat na sa atin.

Inilipat na sa atin yung material. And nagkaroon tayo ng dalawang job card na na-completo na.
Na-completo na yung operations. So, now we can finish the entire order. And to finish it, inilipat
na natin yung natapos natin. Sa natin inilipat? If you will look at from the material request,
kailangan natin siyang ilagay sa store.

Ipapalipat natin siya sa store. Ay, di na pala kailangan yung raw material. Yung candle lang
inilipat natin. Yun ang na-produce natin.

So, we'll issue a stock entry saying, o, tapos na namin yung product, inilipat na namin sa store.
And that's it. So, now what happens? So, nagsimula yung usapan natin sa kwento, sa material
request for production. I can check the work order. Kompleto na. I can look at the job cards. All
kompleto na. And if I look at the stock entry, lahat na ilipat na papunta sa store.

Papunta na sa store yung candles. So, from the entire request, as may kita mo, the entire
request is fully manufactured na. Kompleto na. And if I look at the items, nasa store na siya. So,
yung candle, ngayon, if I look at its data, meron na siyang 1000 pieces sa store. Dati, zero siya.

So, this entire cycle of functions, itong nangyaring kwento, na may item na kailangan i-produce
as initiated by inventory. Kasi gusto niyang i-benta sa store. Nag-request ng material request for
production. Si production, nag-issue ng work order to signify gagawin na niya. And since yung
raw materials kulang, nag-request siya for purchase.

Si purchasing, nag-request ng purchase order, nag-send ng purchase order to supplier. Nung

ni-receive the purchasing, gumawa siya ng purchase receipt and tinansfer na niya sa isang
warehouse yung na-receive siya. Then, si production, to start off its work, nag-gumawa ng job
card, kinopleto yung operations to produce the candle and eventually transfer that items to the
store, which was originally what was requested.

That entire process, yung sequence na yan, is what we call inbound logistics. From the point
where a product has to be produced, something has to be bought, something was delivered,
something was eventually transferred until it reaches its final destination, which is a store, that is
called inbound logistics.
On Thursday, we'll start the day with a concept exam about what I have discussed, especially
this part of inbound logistics. Take note of that. There are a lot of transactions that happen.
There is the creation of the BOM. There's a material request for manufacturing or production.

This was responded to by having a work order. A work order cannot be started if raw materials
are not available or inadequate. That's why there can be a material request for purchase. Of
course, this material request for purchase needs to be ordered to the supplier, so there is a
purchase order. When the order is received, there is a purchase receipt.

Definitely, there must be a transfer. There's a material transfer that will transfer the goods to the
production because they requested for purchase. Then for the production to start, to go back to
its work order, the job cards have to be produced. This is for the operations to start.

When everything has been completed, the work order will be completed. For the work order to
be completed, another material transfer is needed for the finished goods to be transferred to its
final destination. The sequence of all these transactions are all forming part of what we call
inbound logistics.

Inbound logistics is a very long process ensuring that there are materials that are needed, are
produced, purchased from suppliers. That's why it's called inbound logistics. The goods that are
to be sold, so the goods that you produced and eventually gave to the customer, that's called
outbound logistics.

On Thursday, we'll see how much you can recall about this and also what I have discussed
about what are the things that an application must have. ERP as an application has a lot of
features that it puts in. It has a universal search and there's a reason why that was there. There
is also the basic form.