TABLE OF CONTENTS Data accuracy is an enabler for the enterprise resource planning (ERP) system to work properly and achieve planned results. Class A ERP has very high standards for data excellence. These data elements include inventory record accuracy, bill of material accuracy, item master inputs such as lead time and standards, and depending on the system and application routing records. Probably the easiest and yet least robust in many businesses is inventory balance record accuracy.
When organizations discuss inventory balances, the usual reference point is the overall total count of on-hand inventory for a certain item number. In Class A ERP, the reference point is a bit more involved. In Class A, the definition of inventory accuracy includes not only the counts, but also the locations of those counts. If there is a total count of one hundred of a certain item "ABC123" and there are thirty pieces in location A, thirty pieces in location B, and forty pieces in location C, the accuracy is in knowing exactly how many are in each location. In many applications, inventory in one location, while usable in a pinch, is not used very efficiently because of the need to move it first, maybe to another line. In yet other businesses, the picking sequence within the warehouse software is only efficient when the locations are known to the system and balances are accurate. This cannot be achieved without good data integrity at the location balance level. Be reminded that it...
