A manufacturing ERP software solution can provide accuracy, visibility and control and ensure your processes are aligned from start to finish, in order to provide excellent customer service without delays or costly mistakes and remain competitive. We take a look at some of the ways a manufacturer can benefit by using a tailored ERP software solution.
Improve Production Capacity & Planning
At the centre of the manufacturing process is production capacity and planning, which maintains the balance between supply and demand. Human planning usually leads to predictions and forecasts which are not quite accurate, resulting in potential errors, idle machinery or underutilised production resources which all come at a costly expense, ultimately effecting a business's bottom line.
ERP software provides manufacturers with the ability to manage production with 360° visibility of their entire production platform regardless of the complexity, which helps to optimise resource utilisation. Intelligent technology allows manufacturers to simulate the effects of an over/under sales prediction, complete with likely outcomes in order to improve the production planning process.
A complete planning overview is provided including judgements made on the quantity of items required to mirror the estimated demand, highlighting notifications on shortages within the BOM (Bill of Materials) needed to create products while also optimising the resources and skills needed for the manufacturing process well in advance to ensure timely customer deliveries.
Improve Inventory Management and Control
Improved inventory control can provide many benefits to manufacturing businesses as they continue to grow and expand their operations. Inventory management modules in ERP software provides real time data and information on the availability, location and status of materials which are required in order to create products, which allows businesses to stock at their optimum levels to meet current demand.
ERP software for manufacturers can provide inventory management control throughout single or multi-location sites to ensure that stock can be sourced from any location ahead of time and to ensure the material is where it needs to be for the production process to take place. Manufacturers can capitalise on gaining a complete overview of their inventory to aid the identification of material and resource shortages which allows them to better meet their current customer demand and supply more effectively. This functionality is automated to ensure that less errors are made, and the delivery of goods is accurate and on time.
Reduce Operating Costs
Manufacturers can utilise ERP software solutions to reduce their current operating costs firstly through improved visibility. Improved visibility of the production process means staff make less errors as they are fully aware of what is going on. Businesses can make more informed decisions using intelligent and real-time data which allows more options to be considered and as a result will ensure the right decision is made to maximise operational efficiency, reduce operation costs and maximise profit in the process.
Secondly, the use of automation that an ERP software solution provides reduces the amount of manual input and staffing resources needed to carry out production, this can cover areas such as billing, inventory updates, production planning and the delivery process. This reduces the amount of staff and administrative tasks needed to be carried out, thus reducing staff costs.
As manufacturing companies grow their needs can change rapidly, therefore the need for a scalable software solution becomes a vital aspect to remaining competitive. The need for additional functionality and resources is accommodated when utilising an ERP solution which allows businesses to grow at their own rate and to also eliminate the need for new investments in additional or completely new solutions.