Implementation of ODOO for Managing Safety Stock in Clothing Retail Industry

This application of Odoo in Enterprise Resource Planning (ERP) is performed by Small Medium Enterprise (SME) XYZ, which is a clothing retail industry that sells T-shirt as the products. The current problem faced by SMEs is in making goods purchase orders which are still done manually. Hence, there is often an error in the amount of stock to be ordered because it does not adjust with the existing demand. As a result, there is a decrease in sales and obstruction of the production process. A solution to this problem is to develop a Business Process Management (BPM) by creating an automated goods purchase order system based on existing demand, therefore the availability of goods is more scheduled. For this reason, ERP technology named Odoo is implemented which provides a Community version and is open-source to develop new business processes. Odoo Community version 11.0 is used in this study by applying two modules, Inventory and Purchase. Reordering rules are safety stock rules that apply to Odoo. The ‘run scheduler’ feature in the Inventory module automatically runs the reordering rules system that exists in the product. After applying Odoo to the mentioned SME, a questionnaire is made in order to evaluate the readiness of the company in accepting ERP technology by using the Technology Acceptance Model (TAM) method and Likert scale. The results of the survey showed a value in the ‘perceived ease of use’ variable is around 60% and 80% in the ‘perceived usefulness’ variable. This study provides an overview of how SME XYZ develop BPM from old business processes into best-practice forms by implementing business processes on Odoo. In addition, to evaluate the level of acceptance of Odoo ERP technology in similar SMEs in the clothing retail industry.