MIS

PEPSICO

By:Siddharth SehgalBatch-2006-10

MANUFACTURING SECTOR

• Manufacturing is the use of machines, tools and labor to produce goods for use or sale. The term may refer to a range of human activity, from handicraft to high tech, but is most commonly applied to industrial production, in which raw materials are transformed into finished goods on a large scale. Such finished goods may be used for manufacturing other, more complex products, such as aircraft, household appliances or automobiles, or sold to wholesalers, who in turn sell them to retailers, who then sell them to end users – the "consumers"

MANUFACTURING SECTOR • Major business functions can be distinctly identified as Sales,

Marketing, Manufacturing, Finance, Accounting, and Human resources.

• Managers basically perform the functions of decision making, planning and controlling

• As a result MIS for each of these functional areas are developed.

 

Pepsi Co.

• PepsiCo, Incorporated is a Fortune 500, American global corporation headquartered in Purchase, Harrison, New York, with interests in the manufacturing, marketing and distribution of grain-based snack foods, beverages, and other products.

• PepsiCo was formed in 1965 with the merger of the Pepsi-Cola Company and Frito-Lay.

• The company's snack-food products include Fritos, Doritos, and Tostitos corn chips; Lay's and Ruffles potato chips; Cheetos cheese-flavored snacks; Rold Gold pretzels; and Cracker Jack candy-coated popcorn.

• Pepsi Co is a world leader in snacks, food, beverages, with revenues of more than $49 billion.

• Offers product choices to meet a broad variety of need and preference- from fun-for-you items to product choices that contribute to healthier lifestyles.

Hierarchal model of organization

STRATEGIC PLANNING

MANAGEMENT CONTROL

OPERATION CONTROL

Transaction Processing System

• Two types of TPS:– Batch processing

A system whereby business transactions are accumulated over a period of time and prepared for processing as a single unit or batch

– On-line transaction processing (OLTP)

A system whereby each transaction is processed immediately, without the delay of accumulating transactions into a batch

OLTP System

• Pepsico. Information system uses OLTP for recording the various transactions made in a day.

• It facilitates marketing planning, pricing, promotion and distribution.

• Such planning can only be possible if the company information system is possessing adequate and relevant information.

Data Processing Activities Common to TPSs

• A transaction processing cycle

• Data collection• Data editing• Data correction• Data manipulation• Data storage• Document production

OLTP…

• OLTP records all the transactions made and by manipulating all data documents are produced.

• Database is maintained by using information extracted from documents produced.

MIS in Pepsi CO.

• The microcomputers are linked to pepsi’s central computer system daily to update inventory information system.

• Transactions• Such as customers orders, purchase orders, receipts,

time cards, invoices, and payroll checks

Data base

• Database is a collection of data organized to serve many application efficiently by centralizing the data and minimizing redundant data.

• Rather than storing data in separate file for each application, data are stored physically to appear to users as being stored in only one location. A single database services multiple applications.

• Database is maintained By using Office Automation System.(word processing , Excel Sheets..etc.)

Management System

Management Information Systems that support the goals of the organization

• Financial management • Human resources management • Materials management • Production management • Marketing management

Production Management system in Pepsi Co.

The objective of production management function

• To provide manufacturing services to the organization

• To manufacture products of a certain specified quality

• To produce in a stipulated time

• Fuller utilization of the manufacturing capacity

• Maximum uptime of plant and equipments.

 

 

PMS..

• The objective of production management function is , to provide manufacturing services to the organization. This involves the manufacture of products of a certain specified quality and within certain cost in a stipulated time fulfilling the promises given to the customer.

• The Production management function is supported by other function, viz., Production planning and control, Industrial engineering, Maintenance and quality control.

Pepsi Manufacturing..

• Raw Materials required

PEPSI

Flavors

Soda Sugar

Water

Process flow..

Water Clarification

Filtration

Sterilization

De chlorination

Process

Mixing of Ingredients

Quality Control

Carbonating the Beverage

Filling

Packaging

Application of MIS in Pepsi Co

Application of TPS in Manufacturing

• Production Schedule

• Process Planning Sheet

• Job Card

• Quality assurance Rating Form

• Material Requirement

• Buyer Order

• Material Usage Standards

Water Clarification

• Litres of Water Processed

• Water testing forms-containing information about ph, taste, smell etc.

• Attendance record of workers

Mixing of Ingredients

• Test forms for flavors, syrup etc.

• Amount of sugar supplied

Filling and Packaging

• Hourly production/process

• Individual production

• No. of bottles filled

• Performance Record

• No. of Bottles issued

• Stock Register

Quality Control

• Quality Assurance Rating Form

ApplicationsAccounting• Total no. of bottles produced with respect to time period

• Raw material requirement and its usage

• Use of Power, fuel and consumables

• Machines and facilities utilization

• Labour Hours

Application

Query• Status on availability of materials(water, soda, chlorine,

flavors etc.)

• Standard information on machine, tools, specifications(water tank, sterilization tank etc).

• Information on skills and capacities of workers

• Information on products and processes

Importance of MIS in manufacturing Sector

• An integrated system of man and machine for providing the information to support the operations, the management, and the decision making function in the organization.

• MIS makes great use of computer hardware, software, the internet and other office equipments to collect, transmit and renew the useful information for the enterprises, which will increase the efficiency of the work.

Application of MIS

Decision Analysis• Make• Use of alternative process• Rescheduling and loading of jobs• Selection of production facilities• Selection of alternative maintenance policies

Application Of MIS

Control• Excessive product rejection on account of material

• Utilization of water correctly

• Backlog of number of orders and failure to meet promised delivery date.

Reports• Raw material( such as CO2 contents)

• Production/day

• Machine breakdown

• Product Description Sheet

• Packing Instructions

• Job Card

Application of DSS in Pepsi Co.

• A good TPS is a ground of Well functioning DSS and that’s what the company efficiently exploits.

• Its well managed DSS enables the senior management to make correct decisions.

• The analysis through DSS helps to make decisions such as alternate job assignments and machines, effective use of raw materials and man power.

Application of ESS in Pepsi Co.

• Executive Support System (ESS) is a reporting tool (software) that allows to turn organization's data into useful summarized reports.

• These reports are generally used by executive level managers for quick access to reports coming from all company levels and departments such as billing, cost accounting , staffing, scheduling, production and more.

• Pepsi co has developed a flexile and generic Executive support system.

Application of ESS in Pepsi Co.

• Distribute production and distributor related data from central ERP systems to mobile workforce

• Software process model used in pepsico’s ESS is waterfall model.

• Technologies used are Java JSDK 2.0, Microsoft Visual Basic, Oracle 9i, MySQL, Windows 2007, Windows XP, RedHat Linux 6.2

• Pepsi has realized significant cost and operational benefits from the system.

Customer Relationship Management System

• By Excellent use of information system, pepsico has come up with a very strong CRM.

• This system helps company in improving sales, marketing, and customer service in business.

• PepsiCo uses CRM applications to determine profitable customers, uncover potential sales opportunity, provide enterprise with up- to- date customer information.