How ERP can improve your manufacturing process

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Manufacturers are heavily reliant on an effective workflow process to meet the requirements for ever changing customer needs, sustaining productivity levels and to thrive through continuous supply chain disruptions. Organizations are incessantly looking for various ways to enhance efficiency and streamline operations.

Industries need to make efforts to improve lead times and quality, boost productivity and better inventory management, however these tasks require real-time, accurate data and coordination across the entire organization. ERP software is a solution which allows all processes in the manufacturing cycle to be operated via single optimized platform to transform business processes.

Here’s how ERP can improve your manufacturing process:

1. Streamline inventory management: Inventory management encompasses both products and material inventory. These two need to go hand in hand together. Inventory of products through the manufacturing process cycle and how they are delivered right through to materials management which ensures appropriate materials and quantity can be a challenge for manufacturers. By incorporating ERP processes like BOM (Bill of Materials), inventory management and tracking materials is improved. Implementing an ERP system that is optimized for inventory management automates necessary functions so that stock purchasing and organizing are in sync. The system also helps maintain optimal levels of stock by integrating the inventory needs of customers and suppliers. This also improves inventory forecasting and enables organizations to draw up trends. ERP can notify you about the shifts in customer demands and enable you to make informed decisions to meet market needs and remain profitable.

2. Tracing of procured materials: There is a process or route on how products must be assembled, and the list of steps necessary once raw materials are ready. ERP automates the implementation of routing and regular quality checks so that the progress can be constantly monitored. To keep the manufacturing process smooth and free from defects caused by faulty raw materials and spares, it’s important to be able to trace objects down to their lot. ERP maintains a record of the origin of every piece of raw material, and retrieving such information is fast and easy.

3. Automate manufacturing orders: Many manufacturers find it difficult to keep pace with incoming orders and ensuring that all the raw materials are readily available. ERP helps ensure that stocks replenished as and when orders arrive so that manufacturing can continue uninterrupted. ERP can intelligently create master production schedules with updated information. ERP can take various factors into account such as the capacity of the production line, bandwidth for workload and staff availability.

4. Collaboration across the supply chain: The success of any manufacturing project depends on the ability of various entities to collaborate and communicate effectively. ERP enables improved collaboration across various departments, from inventory management right through to shipping and delivery. With a single-view optimized platform all stakeholders also have accurate, up-to-date data that can be accessed at any time. This also bolsters organizational work culture and performance whilst ensuring productivity levels remain high.

5. Manage post-manufacturing: Once a product has been manufactured and packaged, ERP also assists with managing the shipping and deliveries. It automates the process of tracking deliveries and providing after sales support. Technology like Artificial Intelligence (AI), Internet of Things (IoT) and robotics integrated into an ERP system can also enable certain products to be repaired and serviced remotely at the customer’s site improving customer satisfaction.

To stay ahead of the curve, manufacturers need to utilize the right tools to boost efficiency. In the modern manufacturing landscape, ERP solutions have the capacity to improve agility and ensure a seamless workflow and assist organizations to not only survive disruptions but take enormous strides on the path of revolutionary innovation.

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