It never ceases to amaze how many businesses, particularly specialized manufacturers, still believe they can manage their operations using spreadsheets. Although Excel is a valuable and effective tool for business, it has its limitations, and trying to manage your entire company from a single spreadsheet won’t get you very far.
The ERP software solutions company explains why ERPs are crucial in today’s complex manufacturing and business environment because ERPs help you to maintain and organize every area of the business: ERPs give you a 360-degree view over your production process, help you deliver more work on time, improve your processes, give you improved reporting, accounting, and planning capabilities, as well as give you increased data security, to name a few things ERPs do.
Using real-time data to connect your business from the top floor to the shop floor and help you manage your shop effectively and increase throughput, the correct ERP may help you stay on top of your business.
Here are the main reasons for using ERP software ASAP:
You are not managing your operations using real-time data:
Although you certainly hear about real-time data from ERP suppliers all the time, it is crucial. You will constantly be behind if your business is operated on outdated and inaccurate data. Maintaining smooth shop floor operations requires knowing which production processes, machines, work centers, and product lines are working at high-quality levels and which aren’t—something you can only achieve if you have access to high-quality real-time data.
Duplicate Data/ Compounding Errors/ Time Wastage:
You frequently duplicate information, which is a significant time waster for many firms. Your corporate data is managed using a variety of spreadsheets and business systems instead of storing it in a single, integrated, and centralized system. As a result, your personnel continuously enter the same data into several spreadsheets and platforms.
In addition to being a significant time waster that prevents your staff from working on more productive tasks, this is also a simple way for errors to enter your data through simple typos and human errors, which invariably happen during data entry and increase the likelihood that errors will compound.
The lack of a record system is another way that this style of record keeping harms enterprises. Which spreadsheet or system is the most accurate if you use several to keep track of your data?
Inventory Management is out of control:
Inventory management is about being aware of the stock you currently have on hand and displayed on shelves. An inventory management system by itself, however, cannot effectively optimize your inventory until it is integrated with the rest of your organization.
Record Keeping is mismanaged:
To be successful and competitive, your business must operate at full capacity. However, it will be difficult to operate at full capacity and maximize throughput if you have poor record keeping and don’t have a handle on your business resources, which include cash, raw materials, personnel, and production capacity.
How can you truly know where you stand without an overarching system that gathers data, reports on your systems and processes, and looks at the big picture? Your company’s resources are what you employ to keep it operating. Therefore you should always be aware of your situation.
Customer service is substandard:
Your customers, it’s no secret, are everything. Your business cannot operate without contented and pleased customers. To continue in business, you must satisfy your clients and keep them returning.
Poor customer service and a bad client experience can seriously hinder your company’s growth.
Why ERP Software Solutions Are Important:
Employing an ERP allows you to consolidate your corporate data and information into a single, interconnected system. Real-time data gives you insight into how your operations are running. It can also notify you of any issues or bottlenecks in your line so you can address them immediately.
Inventory tracking is facilitated by an ERP, which combines your inventory management with the rest of your business operations. Thanks to an ERP system, your workforce has immediate access to a central inventory database that is updated in real-time.
The capacity of ERPs to offer complete visibility and enhance record keeping is one of its best features. An ERP provides you with a comprehensive perspective of your operations, enabling you to gauge the effectiveness of each component of your business. Utilize your ERP’s stored and recorded information to maximize capacity, improve production schedules, and increase throughput.
Manufacturers can improve on-time delivery, essential to preserving high customer satisfaction, through accurate production planning, improved inventory control, optimized process scheduling, and coordination of distribution routes.