Product definition: Using features.

Last week we described the product definition problems a company can experience installing an ERP system. A product structure should be well defined before trying to enter it in the system. Do not expect that the ERP system will solve the problem, it actually will show the problem even more if there is one. This is caused by the consistence the system is enforcing.

Although there are different ways of defining the product in a system, the more different ways you use the more complicated the system will be for the future user. If you have structured the products, you will also need to organize them for administrative or e-commerce website purposes (some category types are shown at different places of the website). First we will explain the products structure side of things and then the organizational aspect.

In OFBiz the product definition and maintenance is done in the back-end of the system, under the tab 'Catalog'. You can see this option now at the system at the ofbiz demonstration site

In OFBiz there are several ways to structure and organize products:
1. Using features
2. Using virtual- and variant products.
3. Using configurations
4. Using subscriptions
5. Using electronic content.
6. Organization: Using Catalogs and Categories and features.

This week we will explain the use of features which is the most important concept with is the basis of point 2 and 6 in the above list. What are features? Features are characteristics used to sell and to differentiate products as is stated on the official OFBiz documentation site. We are trying to make the information more and more complete and accept help for users of the system. A small payback for the free OFBiz system you are using? Please send me any contributions you may have...

Back to features: the famous example is a 'T-Shirt' which has 'sizes' and 'colors'. Sizes and colors in the system are feature types. Features are 'brown' or 'white' A feature has always a one feature type and a one feature category. Features can also be part of one or more featureGroups.

Features can be assigned to one or more products using the application type value which can be 'selectable', 'standard' and some other values. 'selectable' means that this feature needs to be selected in order to order this product. Normally the product has more 'selectable' features in the same type, for example different colors in the featureType 'color'.
The 'standard' is used to define the actual feature of the product. If the product is 'white' the feature type 'white' is assigned as a 'standard' feature. No other features in the same featureType color will be assigned in this case.

Next time we will explain the usage of variant, virtual and configurable products and how to decide between them. Not sure if that is in a week time, because we then start the Thailand new year days where we have a big party here. That is also a good time to visit the country if you like throwing water at other people and getting wet yourself.

Product definition In An ERP system : The challenges

Finally the first experience supporting OFBiz users. We are very busy these days and then this blog is normally not the highest priority, but now almost one month late, it has to raise on the list.

A subject where at the moment two of my customers struggle with, is the product definition. The introduction of an ERP system forces the company to structure the products it is selling and often shows that the current product organization could be improved. The product definition is the one of the most important issues when implementing an ERP system into a company. Not only should this definition be accepted in the whole company but also the relation to the purchased products and, when the company is a manufacturing company, how the products should be assembled or manufactured. And the most important point: how the product should be selected and sold, so it should work on the front-end side of the e-commerce too and give reasonable performance.

The next problem is how to use the facilities of the chosen ERP system and how to convert the existing product definition. A simple list of single products which are purchased from single suppliers is no problem but when there are many products in many variations and/or configurations with many types of features from many suppliers? This sometimes can be a real challenge to make a design for. Then there is also the possibilities of catalogs, categories and price calculation.

So how to tackle this problem? The starting point is to define from a customer point of view the products and how the customer can best select the product. Then the relation should be made to the products of the supplier, how the products should be stored in inventory and how the price calculation should be done both from the sales and costing perspective.

Next week i will provide some solutions to the above problems....

Welcome at my blog where I plan to have a weekly posting of an experience I had , supporting Apache OFBiz users, during the week before. I have to get started though and plan to have the first post before the end of this month (February)