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What is difference from OPM to ODM

Discussion in 'Oracle SCM & Manufacturing' started by money3388, May 24, 2012.

  1. money3388

    money3388 Active Member

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    Does any one know what is OPM and ODM
    and what is difference
  2. Ramji

    Ramji Forum Guru

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    Dear money3388,
    Discrete Manufacturing is the production of distinct items that use bills of material and routings to determine costs and lead times. Eg: Car manufacturing, Computer Manufacturing etc you get all the parts and assemble them.
    OPM on the other hand caters to capabilities to allow for multiple units of measure because the flexibility in batch production is required in process industries. e.g Chemical Industries, food processing etc. This involves complex internal processes and need a high level of control.
    Eg: You mix x kgs of sugar and n litres of milk, you get a sweet as the output. This can be in kilos, litres or smaller units. If you do not allow the water to evaporate the output will be a liquid, if you heat longer the output will be a burfi.
    What is the difference between the two?
    1)ODM uses BOM (Bill of Materials), OPM uses formulas and Recipes
    2)UOM will vary depending on the material used in OPM but in ODM UOM will be each or unit
    3)ODM assembles or builds things, OPM mixes , blends and transforms or converts.
    4)OPM is driven by item attributes and ODM is driven by part number

    This is a very important interview question for Supply Chain Consultants. I once asked a SAP consultant the full form of SAP and he just lost it. You should never leave any bit for granted. Such questions can throw all your careful preparation out of the window. Always ask and know and try to learn the unknown.
    sudhaprasanna and money3388 like this.
  3. sudhaprasanna

    sudhaprasanna Active Member

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    Wow! your answer is impressive. Really I was worrying what is this OPM. You gave a nice answer. Could you please send me materials of OPM which relate to inventory and OM