Four primary benefits of essential manufacturing ERP software
ERP software vendors are plenty in the market. However, to keep your facility engaged in a seamless fashion, it is necessary that you analyze manufacturing ERP software benefits.
Four key benefits of a smooth manufacturing process include:
- Saving money and time: Due to the capabilities of manufacturing ERPs, you can update data in real-time, reducing overhead burden and costs. It also provides you with transparent visibility of information.
- Boosting productivity: Since the manufacturing ERP software tends to your real-time data entry and updates, you can efficiently take care of the high-functioning needs of your organization, and thus amplify your productivity.
- Gain satisfied clients: Due to increased productivity and reduced delivery time, the seamless manufacturing ERP results in your organization gaining delighted and satisfied clients. Happier clients in turn bring you more and higher investments, and more interested clients as well.
- Better collaboration: With a smooth manufacturing ERP process and its complete integration, you can keep all of your modules and organizations' features within a central application. This is entirely useful for collaborative updates and information relays.
Five building blocks of an integrated ERP system
When studying the process analysis of a seamless manufacturing ERP process, it's imperative to identify the various stages of resource planning from beginning to end - from quote to cash. However, when looking at the overall components of the required ERP software and the manufacturing ERP process, it is helpful to segment it into the five building blocks - Customer Relationship Management (CRM), Manufacturing Execution Systems (MES), Quality Management Systems (QMS), Supply Chain Management (SCM) and Executive Information Systems (EIS).
Customer Relationship Management for manufacturing ERP software
Customer Relationship Management (CRM) is a significant aspect of the manufacturing ERP process. Effective customer relationship management is necessary for a seamless manufacturing ERP process. This effective management of a unique customer experience certainly begins with sales but includes touch points throughout the order cycle.
For manufacturing ERP software, the typical CRM functionality includes:
- Lead/contact management
- Sales process management
- Quote and order entry
- Contract management
- Order status
- Shipment tracking
- Customer service
- Field service/performance tracking
- Returns/exchanges/warranty service
Manufacturers can improve pre and post-sales processes as well as the entire customer experience by integrating some or all of these functions.
Manufacturing Execution System for manufacturing ERP software
This portion within the manufacturing ERP process of the system enables the manufacturer to reduce material, inventory, and labor costs through demand-driven procurement, lean scheduling opportunities and increased real-time visibility throughout the production cycle.
For a seamless process of manufacturing ERPs, typical processes include:
- Material planning
- Work center scheduling
- Labor and material costing
- Shop floor management
- Plant maintenance
As the core of the enterprise, an integrated MES can provide real-time visibility and enhance strategic and tactical decision-making, resulting in a smooth manufacturing ERP process.
Quality Management System for manufacturing ERP software
Many organizations maintain quality standards for compliance with standards such as ISO, QS-9000, TS-16949, AS-9100, etc. But even organizations that are not required to be certified to these rigorous standards benefit greatly from managing quality throughout their organization.
Common process integrations include keeping in view the complex process of manufacturing ERPs:
- Quality documentation
- Process management
- Product data management
- In-process inspection
- Vendor performance management
- Customer satisfaction
- Employee development
- Preventive maintenance and gage calibration
- Audit management
The overall benefits from such features include reduced cost of quality, better vendor performance, improvements in process repeatability, production to tighter tolerances, reliable throughput, fewer defects, and greater customer satisfaction.
Supply Chain Management for manufacturing ERP software
This discipline permeates every function within the organization. Program management including the research, testing, lifecycle management, and product launch teams benefit from integrated systems. SCM encompasses Electronic Data Interchange (EDI) for automated transactions, logistics and shipping, and supplier performance management. SCM is also integrated throughout the sales order, purchasing, shipping/receiving functions, and more.
For the manufacturing ERP process, the key components include:
- Vendor contract management
- Warehouse management
Executive Information System for manufacturing ERP software
This essential building block of a smooth manufacturing ERP process includes tools and systems that provide greater visibility and decision-making criteria to the people tasked with the daily management of the organization. Common ERP integration points for a seamless manufacturing ERP process include:
- Business Intelligence (BI)
- Human Resource Management (HRM)
Along with MES, the Executive Information Systems record and report transactions and information that is integral to strategic manufacturing ERP process planning and daily operations. Key components may also include data visualizations, employee self-service or executive data systems available via mobile devices such as Android or iPhone.
Three core features of a manufacturing ERP process
When considering the process of manufacturing ERPs, it is necessary to completely comprehend the basic characteristics of ERP software. Here are three key capabilities that play a vital role in ERP software, and are significant to understand when working on manufacturing ERP software:
- Integration and automation: ERP systems provide a complete central view of data within an organization. This must be kept in mind for manufacturing ERP software as well. Once the overall data integration is managed, ERP systems automate repetitive business tasks, providing more value and reducing the time spent in capturing that value.
- Data analysis and reporting: Effective data analysis is as important as effective reporting of the actionable insights of the analyzed data. This is catered essentially by the ERP software reporting modules. Likewise, for your manufacturing ERP, you must keep this feature in serious consideration.
- Visibility and tracking: Business metrics are a key feature of an organization. Once you have completed a seamless process of manufacturing ERP software, your ERP system will have the ability to effectively track those business metrics. This is also dependent on the data analysis and reporting modules, thus it is vital that you properly plan your manufacturing ERP process.