REQUEST FOR PROPOSAL

Enterprise Resource Planning (ERP) Software & Implementation Services

Openbravo ERP: Integrated Business Management System

Openbravo ERP is an integrated business management system (ERP) developed entirely in a web
environment and specifically designed to model and automate most business processes.
It is an open code solution for small and medium-sized companies (SMB) that allows full integration
Customer Relationship Management solutions (CRM), Business Intelligence (BI) and Points of Sale
(POS).

Features
• Management of master data: products, components, bill of materials, customers, suppliers,
employees, etc. Openbravo ERP helps to organize and centralize the key business data,
enabling information to flow easily and quickly between all areas involved in different
processes of the organization.
• Management of supply: prices, purchase orders, goods receiving, recording and accounting
of vendor invoices, planning of the supply, etc. Each document in the procurement process is
based on the information contained in the above, so that it avoids the repetitive entry of data
and associated human errors, making it possible to navigate through the different documents.
• Production Management: plant structure, production plans, BOM's, MRP, manufacturing
orders, job reports, costs of production, work incidences, preventive maintenance,
maintenance parts, etc.. The functionality provided by Openbravo ERP is geared to meet the
current needs of production environments.
• Warehouse Management: warehouses and bins, warehouse units, lots, serial numbers,
packages, labels, receipts and deliveries, movements between warehouses, inventories, stock
valuation, transport, etc.. Openbravo ERP allows for proper valuation of stocks every day
and that stocks are always perfectly located.
• Financial management: plan of accounts, accounts, budgets, taxes, general accounting,
accounts payable, accounts receivable, bank accounting, balance sheet, income statement,
fixed assets, etc. Openbravo ERP minimizes manual data entry by the user, thus freeing
tedious, routine tasks.
• Project management and service: projects, phases, tasks, resources, budgets, cost control and
billing, related purchases, etc. Functionality oriented companies whose business is based on
the delivery and / or implementation of projects or services.
• Business management and management of customer relationships (CRM): rates, scales, sales
orders, delivery notes, invoicing, rappels, commissions, CRM, etc. The functionality of
Openbravo ERP commercial management area is designed to allow maximum flexibility and
agility in execution, determining factors in any commercial process.
• Business Intelligence (BI): reporting, multidimensional analysis (OLAP), predefined
balanced scorecards. The BI component of Openbravo ERP, integrated into the management
 system itself, helps to track business continuity, providing the relevant information for
decision making.

Rules:
The ERP system functionality will enable the following major changes that are proposed through the
Revised Financial Regulations and Rules:

(a) Establishment of the principles of accountability of all employees of the Organization, the
codification of a system of checks and balances and the principle of financial segregation which will be
supported by the re-engineered business processes and practices, approval hierarchies and streamlined
workflow inbuilt within the procurement, financial, travel, human resources and global payroll systems;

(b) Incorporation of the new regulatory framework for the procurement of goods and services
which will be supported by the implementation of the purchasing system; and

(c) Incorporation of the concepts of Results-Based Budgeting which will be supported by the
implementation of the enterprise planning and management (including budgeting) system.

Production Management
The production functions and plant management in Openbravo ERP allow a complete shaping of
the productive structure of each organization (sections, cost centers and work centers) as well as
the relevant data for production: production plans (operation sequences), and products used to make
one another. Currently, the functionality provided by Openbravo ERP is orientated towards covering
the usual necessities of a discrete production environment: production planning and requests related
to procurement using MRP, creation of manufacturing orders, job reports (notification of times and
consumption), calculating costs of production, notification of job incidents and maintenance reports.

• Plant structures.
• HFG's (Homogeneous Functional Groups) or Cost Centers.
• Work centers and machines.
• Materials Requirement Planning (MRP) keeping in mind client requests, existing clients,
stock levels, and minimum order quantities.
• Production plans, with multiple arriving products and multiple departing products.
• Production orders.
• Sequence creation and products for each order phase.
• Confirmations with data relating to the production plan and pre-filled sequence.
• Calculation of production costs with the possibility of adding indirect costs.
 • Work incidences.
• Types of equipment and management of each piece of equipment.
• Preventive maintenance and maintenance types.

Procurement and requisition

Presently, there is a marked absence of structured IT support for this business area. As a result there
is considerable manual effort and duplication of data (with the Finance Department and the users of
the services of the Procurement and Contracts Division (PCD)) for the purpose of keeping parallel
departmental records within spreadsheets and local databases. The implementation of a reliable IT
system is therefore expected to result in efficiency gains. The main functionality required by PCD
includes vendor management, contract management, purchase requisitions, purchase order
management, management reporting and possibly re-ordering and inventory management.

Rates, purchase orders, goods receipts, invoice registration and accounting, purchase planning, etc.

Openbravo ERP's handling of the flow of supply guarantees the integrity, tracking, and homogeneity
of the entire process. Each document in the supply process is based on the information contained in
the previous document, so that repetitive introduction of data and human errors are avoided. In this
way, it is possible to navigate through different documents that conform to a determined flow (order,
goods receipt, invoice, payment) and know in real time the state of any given order (pending,
delivered, partially delivered, invoiced, etc). The natural integration of this process with
accounting guarantees that the finance department always has up to date and reliable data at its
disposal.

• Purchase planning, based on production necessities, keeping in mind minimum stock levels,
goods receipts dates, and pending requests.
• Support for purchase requisitions for centralized purchase management.
• Purchase orders. Rates applications: prices, discounts and price limit controls. Warehouse
control of goods pending receipt. Correction of orders. Creation of purchase orders from
sales orders. Refunds to the vendor.
• Receipts. Automatic creation from pending order lines. Automation of incoming goods
(location according to priority). Refunds to the vendor (according to stocks). Cancellation of
delivery notes.
• Purchase invoices. Application of rates: prices, discounts and control of price limit.
Automatic creation from order lines or delivery note lines pending invoicing. Invoicing of
goods processed in consignment. order. Cancellation of invoice (leaving pending for
invoicing the associated documents).
• Relationship between orders, delivery notes and invoices.
• Expense Invoices.
• Massive printing of documents.
• Purchasing order reports, vendor invoices.
Inventory
Warehouses and bins, warehouse units, lots, serial numbers, packages, labels, receipts and
deliveries, movements between warehouses, inventories, stock valuation, transport, etc.

The warehouse management processes built into Openbravo ERP allows the inventory in your
organization to always be up to date and correctly valued. The possibility of defining the
warehouse structure of your organization to unit level (storage bins) facilitates the exact localization
of your stock at any time. Additionally, the capacity for managing product lots and the possibility of
using serial numbers assure compliance with the tracking requirements imposed by the majority of
industries.

• Warehouses and storage bins (multiple warehouse use available).

• Stock products in multiple units (for example in kilograms and boxes).
• Personalized product attributes in the warehouse (color, size, quality description, etc.).
• Lot and serial numbers.
• Management of bundles in warehouses.
• Restocking control.
• Traceability configurable by product.
• Movement among warehouses.
• Picking strategies (according to stock, with rules of priority by expiry, location, etc.).
• Physical inventory. Inventory planning. Continuous inventory.
• Reports of movements, tracking, stock, arrivals/departures, expiry, inventories, locations, etc.
Personalized reports.
• Integrated with Openbravo POS
o Synchronization and control of the stock in the shop floor

Financial Management

The financial management and accounting functionalities provided by Openbravo ERP are designed
to minimize manual data input on behalf of the user, thereby freeing them from tedious, routine tasks
and allowing greater focus on other, more value added tasks. This increase in productivity is due to
the financial department acting as collector of all the relevant actions generated from the other
management departments. This occurs in such a way that these have an automatic reflection in the
general accounting, in the accounts receivable and accounts payable as soon as they are produced.

Accounting Solution
 Default charts of accounts.
 Definition of charts of accounts.
 Fiscal year and year to year management.
 Budgeting.
 Tax categories.
 Tax brackets. Determining flexible taxes based on regions, products, or business partners.
 Linked accounting. Direct navigation from accounting entries to documents and vice versa.
 Manual entries. Enty rates.
 Journal entries.
 Trial balance.
 General ledger.
 P&L statements (income statements).
 Balance sheets.
 General accounting plan statements.

Receivables and Payables

 Generation of debt payments (from invoicing).
 Issue of debt payments.
 Management (cancellation, merging and division) of accounting documents. Remittances
(according to bank records).
 Issue of cash accounts. Multi-cash account.
 Cash account journal (cash audit). Cash account entries by type Expenses, Receipts, Balance,
Deposits, Bills, Order (for cash payment on delivery note: possibility of recovering expenses before
invoicing. Automatic generation of entries for cash payments and payments on delivery note.
 Bank statements. Portfolio issues selection assistant.
 Manual liquidations. Other expenses (payroll, taxes, etc.).
 Cash account reports, bank, debt payments by position.

Assets
 Definition of the assets, fixed assets, acquisition price, and accounting valuation.
 Temporary or percentage based amortization.
 Amortization plans.

Internationalization
 Support for multi-currency.
 Support for multi-schema accounting, which enables the same transaction to be accounted in
different rules, different charts of accounts, in different base currencies and with a different
accounting calendar.
 Support for international bank account numbers.
 Support for multiple languages, defined at user level.

Implementation Strategy

The challenges presented by the full implementation of the PeopleSoft ERP ought not to be
underestimated and need to be addressed through the following key elements:

Senior
 management would actively sponsor and steer the implementation;
While IT has a crucial role in the overall implementation of the project, this must be primarily a
business-driven, as opposed to an IT-driven process. The implementation of the system will be based
on clear and well documented vision statements for key subjects such as Responsibility,
Accountability and Delegation Structure, Budget Management, Financial Management, Procurement
Management and Human Resources Management;

 A “minimum customization” approach should be adopted for the implementation. As previously

mentioned, the income modules of AIMS have been customized considerably owing to business
needs and the manner in which the legacy systems within the PCT sector and the international
registry for trademarks and industrial design operate. However, the cost of developing and
maintaining customizations is prohibitive and for the future it would be imperative that such needs
are reviewed by senior management with rigor, and undertaken only upon full justification. Amidst
the functionality required in the next phase, a potential need for customization could arise in the
HR/Payroll areas from the rules. In all other areas, it would not be unreasonable to expect that user
procedures and processes can be adjusted and streamlined to align themselves to the practices within
the package.
 A formal project structure will be needed, including a Project Board comprising key stakeholders
and IT. This typically must include Program Managers in charge of the main business areas within
scope, who will be responsible for driving the change required within their respective areas, and who
will need to take policy and other decisions that will facilitate the smooth implementation in their
sectors.

 The Project Manager will be a key role which must be undertaken by someone who has had
recent successful experience in similar large scale ERP deployment projects.
 The project will be undertaken with substantial assistance from a qualified External
Implementing Partner. This approach has been widely adopted within projects in other UN agencies
since the skills, methodology, experience and track record of having implemented ERP systems is
fundamental to the success of the project. This external implementing partner will be selected
through an open international tender.

 Strong user involvement will be needed for the project to complete the project successfully. The
participation of full-time users who are knowledgeable about their business areas and information
needs (relieved partially, substantially, or fully, as appropriate, from their current duties) is
imperative for the success of the project.

 A thorough detailed planning, scoping and preparation phase will precede the implementation,
focusing on the development of a detailed project plan, finalizing the scope based on the business
process requirements, and potentially preliminary training of certain key team members.

 Risk management is seen as a key element of the approach. Key risks and mitigation measures
will be identified. They will be assessed and prioritized based on their probability of occurrence and
potential impact. The project risk register will be continuously monitored and updated by the Project
Board.