Did you know over 80% of manufacturers have implemented ERP to boost their productivity?
In today’s highly competitive business environment, manufacturers need to improve their efficiency, optimize their production, and automate their business processes. This is why many manufacturing businesses are turning to ERP to achieve their business objectives. Make sure you check crucial features of the manufacturing module in ERP to get the most out of it.
However, not many businesses know about the must-have features and often fall for inefficient ERP that fails to streamline their operations. In this blog post, we will discuss some important features that you must check in an ERP to boost your organizational efficiency. Explore more below.
A manufacturing module is a particular part of an ERP system. It controls the production processes and handles end-to-end aspects related to the manufacturing of finished goods. Whether it’s production planning, scheduling, and quality control, it can streamline it all.
It can help manufacturers ensure that their production processes are optimized and aligned with their goals.
ERP can help manufacturing companies automate their crucial business processes. Some of the key reasons for implementing ERP include improved efficiency, data-driven decision-making, cost reduction, improved quality control, scalability, and regulatory compliance. All of these can help businesses to stay competitive and automate workflow.
Here are some important manufacturing ERP features businesses need to check before implementation:
1. Production Planning and Scheduling
This is one of the most important manufacturing ERP functions that help manufacturers in planning and scheduling their production. It takes into account current customers’ demands, production capacity, and inventory levels to determine the quantity of finished products that need to be produced within a certain time.
It also helps ensure efficient resource allocation for different production tasks to minimize downtime and ensure manufacturing finished goods within the deadlines.
2. Bill of Materials
A Bill of Materials is a list of all the required raw materials and other components for the production of products. This feature allows manufacturers to monitor all the materials required for manufacturing. It also allows you to check what quantities are required for production, preventing overstocking, or understocking.
3. Raw Material Procurement
An efficient manufacturing ERP will also have the feature of automating the raw materials procurement process. It will keep a check on the available raw materials and keep you informed about the current requirements based on stock levels and production volume. This is an important feature of the manufacturing module in an ERP to avoid wastage and shortages.
4. Inventory Management
Inventory management is a real struggle for manufacturing businesses. It is directly linked with production planning and raw material procurement. Implementing a good ERP will have this feature to automate inventory management. This means it will monitor stock levels and evaluate if you have sufficient stock to meet customer demands. This will allow you to plan your production volume accordingly.
5. Supply Chain Management
Maintaining good relationships with your reliable suppliers is important for the smooth running of the production process. An ERP system with advanced tools for supply chain management will maintain a detailed record of suppliers, the quality of their raw materials, and their overall performance. This allows manufacturers to choose the best suppliers to work with and build good relationships with them. This feature can also issue purchase orders automatically if the stock levels are too low to produce the required volume of finished goods.
6. Order Management
Managing client orders is important to plan production efficiently. Make sure that the ERP system has tools that allow it to handle everything, from order to logistics and delivery. It must be able to give you real-time analytics on orders and delivery to ensure clients receive their products on time. This feature plays an important role in maximizing customer satisfaction and improving retention rates.
7. Quality Control
Quality Control is an essential manufacturing ERP feature that keeps monitoring the quality of products at every stage of production. This tool allows early detection of any defects in the products and allows manufacturers to rectify them. Choosing an ERP with efficient quality control tools will ensure that the finished products are of the highest quality, improving client satisfaction. It also reduces the risks of returns.
8. Financial Management
Manufacturing is a complex process. Hence, implementing an ERP with robust financial management tools will allow you to understand the financial health of your business. This is an important manufacturing ERP function to evaluate whether you’re making a profit and take the necessary steps to implement changes. This feature will also suggest some cost-saving measures to improve your profit margins.
9. Capacity Planning
Capacity planning is important to determine the production capacity a manufacturing company needs to meet demand. This manufacturing ERP feature will allow businesses to evaluate their production capabilities and ensure that they have the required resources to meet the demands. Your ERP system will consider factors like labor, machine availability, and production schedules to optimize the process.
10. Real-Time Insights and Reporting
Choosing the right ERP system will give manufacturers valuable real-time insights into their crucial business metrics such as finished goods quantity, available raw materials, customers’ demands, etc. It will also allow you to generate reports on production performance, costs, and efficiency. This helps in determining the weak areas that require your immediate attention, helping you plan future production processes more efficiently.
Also Read: Key Features Your Manufacturing ERP System Must Have
Autus Cyber Tech is a leading ERP software provider in India. Our system comes with all the key manufacturing ERP functions that will optimize your business efficiency and productivity. You can trust us for tailored ERP solutions designed especially to cater to your specific business needs. Get in touch with us today to discuss your ERP needs or request a demo.
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