ERP Glossary - A: ADC to ASN


Automated data collection - Data input by means other than typing or keyboard entry. The most common example of automated data collection is a laser scanner reading a bar code.

Aged Receivables

A category of current assets that it at risk. If a customer owes money, and is past due in paying that money, the receivable account is said to be aging (getting old), and financial consideration - such as an aged loss reserve – is given to the possibility that the account will default entirely and has no real financial value.


The process by which certain groups of assets (or liabilities) are placed into descriptive time buckets to indicate how long they have been in existence. The longer inventory has been in existence without moving, the more of a financial risk it represents.


The apportionment of cost in a manufacturing operation, either from fixed overhead to a work center, or from a work center to a profit center. If a factory has three production departments, how much of the maintenance budget each department receives is referred to as an allocation.


Similar to depreciation, amortization is the process of spreading costs over the useful life of an asset. Generally - but not always - amortization is used to refer to the process when the asset is intangible like a trademark, or a patent, while depreciation applies to tangible assets like production machinery or buildings.


American Production and Inventory Control Society (originally), APICS is now The Association for Operations Management, and is a leader in education and certification professionals in the supply chain and operations arenas.


Advanced Planning and Optimization A sophisticated planning and scheduling ERP module, normally utilizing complex algorithms taking into account capacity, bottleneck scheduling, and/or cost optimization. The greater degree of complexity requires more master data and transactional maintenance.

Application Software

Any computer program which performs one or more specific functions.


Advanced shipping notification A formal document - normally sent via EDI, although other formats are becoming more common - that informs a customer that an order has shipped and is en route (as opposed to a truck simply arriving at a customer's receiving dock.) The document normally contains the quantity and description of what is being shipped, the carrier, and the estimated arrival.

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Richard Barker

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Richard Barker

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