ArmaninoLLP Welcomes You To Today’s Webinar: Manufacturing Excellence through Bookings, Billings and Backlog Analysis The presentation will begin in a few moments
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About the Presenter(s)
Jeff Russell, Director, Consulting Jeff has implemented Microsoft Dynamics AX and CRM for 20+ engagements in semiconductor, electronic device, medical device, pharmaceutical and outsourced technology manufacturing environments. His professional experience ranges from manufacturing engineering, supply chain management, intellectual property, contracts law and negotiation - bringing a unique array of expertise.
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About the Presenter(s)
Geoffrey Wayong, Director, Consulting Geoffrey has broad experience in all aspects of enterprise application development, system integrations and business intelligence within ERP and CRM systems. Geoffrey has managed Microsoft Dynamics GP/AX and CRM implementations as well as the Microsoft Dynamics development team at Armanino. He currently manages Armanino's high-performing Business Intelligence technical team.
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Presentation Overview
• What is BBB? • Value of BBB • BBB KPIs
• Implementing BBB Analysis • Demo of BBB Analysis
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What is BBB?
• Bookings • Billings • Backlog
• Cancellations • Returns
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BBB Business Process Flow
Bookings
New Customer Order
Backlog Billings
Fulfill from Inventory?
Yes
Inventory
No
Procurement and/ or Production
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Commit dates & Confirm sales order
Pick, Pack, Ship
Invoice
Values of BBB Analysis
• Indicators of business health • Integrated view between different departments • Leading indicator of operational efficiencies
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BBB Analysis
• Different perspectives to drive business decision-making o Booking o Backlog o Billing
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Values of BBB Analysis Backlog
Bookings Business implications Increased bookings
• Do we need to hire more operations staff?
than normal Insufficient inventory or delayed production causing shipment delays
Decreased bookings than normal Improved supply chain and/or fulfillment efficiencies 11 © ArmaninoLLP | armaninoLLP.com
• Should we be working with different suppliers?
• Maybe we should revisit sales and marketing strategies? • Great work, but is it sustainable?
Values of BBB Analysis Bookings
Backlog Business implications
Reduction in cancellations
than normal
Increased sales
Improved performance of fulfillment vs. customer request dates
Increased margins
Increased cancellations
than normal
Decreased sales
Decreased margins
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Decreased performance of fulfillment vs. customer request dates
• Is it time to revise forecasts or budget (i.e. is the growth sustainable)? • Are existing promotions, rebates, or discounts too high? • How can we better on-time and asrequested delivery?
A Comprehensive View Billings
Bookings
Backlog Business implications
Increased bookings trending
Backlog has decreased as orders are fulfilled
Decreased bookings trending
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Backlog has increased as orders are not yet shippable
• Should remaining backlog be adjusted to ship differently?
• Are there any geographical trends for downward sales? • Can we negotiate for expedites in our supply chain?
BBB Some Common KPIs
• Book to Bill Ratio • Backlog to Book Ratio • Trends
• Average Selling Price • Backlog aging (by requested date or scheduled date)
• Top X By Customer, Channel/Market, Product
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Implementing BBB Analysis
• Understanding of BBB analysis can be used • Building an integrated BBB data • Availability of accurate data
• Leveraging the right tool
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ArmaninoLLP Certified Public Accountants & Consultants Jeff Russell
phone: 408.386.8985
Geoffrey Wayong
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email:
[email protected]
phone: 925.790.2888
email:
[email protected]
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