Question

(a) Name and briefly describe the nature of the three major subsystems within the real-world production/conversion system of a manufacturing organisation.

(b) Briefly describe the major events that can occur in the real-world billing/debtors/cash system.

(c) Briefly describe the major events that can occur in the real-world purchasing/accounts payable/cash disbursements (P/AP/CD) system.

Answer 1

Answer)

1) Some of the major sub systems of the manufacturing organization is as mentioned below:

• Continuous manufacturing system wherein the product would be aligned in an assembly line which would have many specialized workers performing the actions and handling the events
• Intermittent manufacturing system which would be used for creation of multiple identical items at the same time . This has similar items without any customization(Example: Chips)
• Flexible manufacturing system,which would have a flexible approach which would also have robots or the other automated devices that can minimize the human labor

2) Some of the major events in billing/creditor/cash system would include creation of the invoices, sharing of the invoices, notification to the customer, addition of the charges, adjust the discrepant tax or cash or charge etc

3) Some of the major event in cash disbursement/debtors/cash system payable system would include reconciliation of the processes, handling the cash management processes and techniques and to manage the payment authorization. While some of the other events include forecasting the cash recipe, to ensuring the sufficient cash balances, forecasting the payments etc

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