Agus Maulana, S.Pd., M.S.Ak. - Introduction to Business Process | Pertemuan 1

Summary

This video introduces the course on Integrated Accounting Practice at UPN 'Veteran' Jakarta, focusing on business processes within companies. The lecturer explains the functional structure of companies, highlighting divisions like Finance, Accounting, and HR, and the challenges posed by the Silo Effect, where departments operate in isolation. To address this, ERP systems are presented as a solution, integrating business processes to improve coordination and performance. The video further breaks down key business processes—'Buy', 'Make', and 'Sell'—and introduces ERP modules that help manage various company functions such as material planning, inventory, asset management, and accounting.

Takeaways

• 😀 The course covers Integrated Accounting in the D3 Accounting program, focusing on understanding business processes in companies.
• 😀 Companies are structured into functional divisions such as Finance & Accounting, HRD, and Production, each responsible for specific tasks.
• 😀 The **Silo Effect** occurs when divisions lack coordination, leading to a focus on individual tasks without considering the company's overall value.
• 😀 The solution to the Silo Effect is an **Enterprise Resource Planning (ERP)** system, which integrates all business processes within a company.
• 😀 ERP systems allow businesses to manage processes like purchasing, production, and sales with a single, coordinated platform.
• 😀 The core business processes are divided into three stages: **Buy, Make, and Sell**. These represent the purchasing, production, and sales activities of a company.
• 😀 The **Buy** process includes activities like creating purchase requisitions, sending orders to vendors, receiving materials, and making payments.
• 😀 The **Make** process involves stages like production planning, managing raw materials, and storing finished goods after production.
• 😀 The **Sell** process includes creating sales orders, coordinating with warehouse and accounting for shipments, and receiving customer payments.
• 😀 ERP systems are structured into key modules that support these processes, including **Data Management**, **Material Planning**, **Inventory and Warehouse Management**, and **Financial Accounting**.
• 😀 The ERP modules also include **Human Capital Management**, **Project Management**, and **Management Accounting**, designed to streamline various functions across the company.

Q & A

What is the primary topic of the video?

The primary topic of the video is an introduction to business processes and the use of Enterprise Resource Planning (ERP) systems in organizations.

What is a functional structure in an organization?

A functional structure in an organization is where the company is divided into several divisions or departments, each responsible for specific tasks, such as finance, human resources, or production.

What problem does the 'Silo Effect' cause in organizations?

The Silo Effect leads to a lack of coordination between different divisions, causing each department to focus solely on its own tasks without considering the larger company goals, which results in inefficiency.

How does an ERP system address the Silo Effect?

An ERP system integrates all business functions within a single platform, improving coordination and performance across divisions, thereby eliminating the Silo Effect.

What are the three main business processes in an organization?

The three main business processes are 'Buy' (procurement), 'Make' (production), and 'Sell' (sales and delivery).

What activities are included in the 'Buy' process?

The 'Buy' process includes activities such as creating purchase requisitions, sending purchase orders, receiving materials, and making payments to vendors.

What is the purpose of the 'Make' process?

The 'Make' process focuses on manufacturing or production, including stages like material planning, production, and storage of finished goods.

What happens during the 'Sell' process?

In the 'Sell' process, the company handles order creation, warehousing, shipment, invoicing, and the receipt of payment from customers.

What are the key ERP modules mentioned in the video?

The key ERP modules include Lifecycle Data Management, Material Planning, Inventory and Warehouse Management, Asset Management, Human Capital Management, Project Management, Financial Accounting, and Management Accounting.

How does Material Planning optimize production?

Material Planning optimizes production by managing the amount of raw materials the company holds, ensuring an efficient balance between cost and availability of materials to prevent production delays or excessive costs.