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The manufacturing sector has gone through a massive overhaul. Sought-after manufacturing practices encourage information mobility, growth management, and enhanced productivity.
Fortunately, with best-of-breed software solutions, it has become possible for employees to work collaboratively, no matter where they are, and irrespective of the time.
Manufacturers are now investing in high-end devices and resources, which will focus on improving response time, streamlining business processes, and driving productivity while creating a collaborative workplace.
These devices can be integrated with a powerful ERP solution, which will allow businesses to have a 360-degree view of the entire organization. It enhances the quality of manufactured items and brings every department on the same page.
What is ERP and how does it lead to productivity?
ERP or Enterprise Resource Planning software is comprised of integrated business management tools and processes that are used to manage information within a company. It can also be connected with machines to have better insight into the performance of both the equipment and the employees.
According to Allied Market Research, global ERP software market is expected to rise to $41.69 billion by 2020, registering a CAGR of 7.2% during the 2014-2018 (forecast period).
Here is a look at some of the benefits of ERP for the manufacturing industry.
Productivity is never an accident. It is always the result of a commitment to excellence, intelligent planning, and focused effort.
– Paul J. Meyer
ERP lets you manage daily schedules in a timely and systematic manner. It promotes centralized database support and helps management optimize every resource. ERP fosters refined strategic planning, prompt and diligent decision-making, enhanced speed, better synchronization, and the management of huge chunks of data.
Below are some ways ERP improves business productivity.
Reduced business costs help to improve profits and growth which is the goal of every business owner.
When tasks are automated and information is consolidated in a single platform, ERP eliminates the need for revising, searching for and storing paper documents. ERP reduces errors, saves time, and ensures no additional costs crop up.
With a powerful ERP solution you:
ERP decreases costs and improves profitability in an organization. It encourages lean manufacturing, which helps to:
Why forecast?
In manufacturing organizations, planners usually face a crisis-like situation when their company experiences an unexpected demand for a particular product. It is the same scenario when in a slack season, the warehouse overloads with unsold excess inventory.
Thus, to avoid such unfavorable situations, businesses prefer to use an enterprise resource planning software system, which does not disturb the logistics and the entire supply chain process.
ERP brings sanity to production, sales, procurement, and inventory plans. It helps you generate forecasts and sales reports based on historical transactions. This avoids problems by minimizing out-of-stock or excess inventory situations. Plus, its intelligent report capabilities ensure that the company responds easily to complex data. Users can also run their reports without relying on IT personnel.
User-friendly ERP modules make the life of planners easier and less tedious. With ERP there is no more manually fetching of data and spending hours to create reports. Users can predict future demand and design material requirement plans appropriately. Powerful business intelligence tools make reporting simpler so that management can get a view of the entire organization.
Is your data still divided into different databases and is difficult to access? ERP holds the key to integrate disparate organizational data and make it easily accessible for users.
Data helps with a company’s growth so it’s important to have a secure infrastructure. ERP systems have excellent data security. And, managers and supervisors can enhance data restrictions on their projects and requirement.
Whatever data you insert in the ERP system, is secured and coded. Older ERP systems were vulnerable to cyber thefts because they required applying manual updates to every single component in the software. With new technologies, the ERP provider releases auto-updates timely, eliminating the risk of data theft.
ERP users can access business data from their mobile phone, tablet, laptop, or computer anywhere and at any time.
Mobile-friendly ERP enables employees easy access to documents to edit and approve on the go. Mobile-friendly applications for the shop floor, warehouse management, etc. help floor managers leverage information.
Conclusion
Companies cannot run successfully for long without an Enterprise Resource Planning system. It unifies business data and makes it seamless for the employees to use. If you are interested in knowing more about how a manufacturing ERP can help your organization, please contact us.
The post What Are the Benefits of ERP in the Manufacturing Industry appeared first on ERP for Manufacturers | Manufacturing Software | OptiProERP.
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