ERP Software Advantages Every Manufacturer Must Know

ERP Software Advantages Every Manufacturer Must Know

Every business is unique, so are the challenges. But quality adherence, delivering goods on time, and cash flow and costing, are some of the issues which keep manufacturers on their toes. You work endlessly to optimize resources but as the business scales so do its requirements. And you look for a solution to manage it all. A solution that closely aligns with your business, fits your budget and gives you a competitive advantage to stay ahead.

ERP software remains the best way to manage all of your operational requirements. Some reasons you should have one are:

Updated production schedules

Your ability to manufacture products and deliver them timely can make or break your business. If you can’t extract the details of material, men, and machines on hand, then optimizing production turns out to be a goal too difficult to achieve.

An ERP solution with an integrated Master Production Scheduling (MPS) lets you generate details of materials at the right place and time. It provides a supply chain planning function to manage production schedules to their fullest. At a single glance, the system tells you about demand, supply, and forecasts to deliver accurate and timely production plans.

Faster month-end closings

Month-end closings turn out to be a daunting task for teams with units across various locations. Managers want to sync records with the physical count of stock in hand. But, this exercise turns out to be futile if there’s a mismatch.

An ERP solution gives you the ability to enter inventory details manually or with a barcode/ QR code to update records easily and access details at any given time, making month-end closing simple.

Easy KPI measurements

Manufacturers across various sectors run spreadsheets along with financial software. This makes the generation of substantial reports almost impossible which affects decision-making. An ERP solution lets you generate reports to measure operations including production and quality control. The ease of report generation can help you better track workflow and assess overall productivity.

With OptiProERP, you can generate customized reports in all crucial areas to easily measure KPIs, operational effectiveness, and identify areas that need to be improved.

Cost optimization

Installation of an ERP solution can lead to significant cost optimization. With better control over operations, you get improved productivity and enhanced equipment effectiveness. With optimization of resources, there is better time utilization and reduced costs.

The Supply Chain Planning module of OptiProERP lets you plan, manage, and optimize materials based on open purchase orders, open sales orders, and current inventory levels to improve working capital requirements.

Instant access to data

Have you ever needed to know the cost of raw material for a product? What open orders exist? Or what the inventory level is on a given day?

Immediate access to operational details is essential to effectively manage a business. And, if you have to calculate the information each time or wait to prepare and extract reports, then it reduces productivity. Transparency and instant access to various facets of a business is something that only an ERP system can provide.

Ability to work remotely

In today’s mobility-driven work environment you need to update, access, and run records at off-site locations. These locations could be your warehouses across geographic locations, which you visit either for implementing QC practices or managing inventory stock. Access to QC or inventory data on hand-held devices can significantly improve operational efficiency.

A cloud-based ERP system is well within the financial reach of even small manufacturers who can use it to help scale their business. Such systems do not require dedicated IT staff to maintain and upgrade the system, as it is maintained by the vendor.

Accurate inventory counts

Updated inventory records with accurate counts are critical to optimizing the material resources of a business. While an excess inventory level consumes storage space along with working capital, insufficient levels can halt operations resulting in delays to close sales orders.

A manufacturing ERP can help you track inventory levels at various points and locations. Thus, providing greater visibility, reduced errors, and delays to generate accurate inventory reports.

Wrap up

While the above points demonstrate the benefits of having ERP software, the process of selecting the right solution is not easy. Learn about the Roadmap for ERP Selection in Today’s Digital World for better growth and profitability.

Want to learn more about ERP software? Contact us.