What to look for when choosing an ERP system?
Under current economic conditions, with very changing consumer attitudes, decision-making by manufacturing companies is becoming increasingly complex and problematic. Adjusting your purchasing cycle and production to demand dynamics is already a necessity. The effectiveness of the company depends to a large extent on the proper planning – both purchasing, delivery, logistics and the production process itself. The answer to these needs is the ERP software (Enterprise Resource Planning).
ERP systems effectively support both discrete manufacturing and process manufacturing. These two different ways of managing production find applications in specific industries. While in discrete production the supply of materials is discontinuous, in process production we are dealing with the continuous flow of materials (eg in the chemical or metallurgical industry). Process production rarely produces just one product. In general, they are several – they are classified as products, by-products and by-products. Each of them influences the value of manufactured products. In the production process, the entire spectrum of features is measured and recorded. On the basis of this data is classified – some of the products are qualified for the next steps, others are not.
Choice of ERP system in the manufacturing industry
Based on the experience of companies that have implemented ERP, we can say that the best management support systems for process manufacturing are those in which most standard functionalities can easily fit into a specific business and its requirements. The system should be open for expansion with new modules – if needed.
In the case of process manufacturing, the ERP solution should allow for production management to ensure optimum performance. It is expected that the system enables real-time insight into production information, and also helps in effectively managing the BOM (material bill) specifications. In process production, it is important to optimize production flows. For this purpose, some ERP systems allow you to define production resources (devices, employees, tools and subcontractors) as work slots. Detailed capacity planning allows you to determine the best formula for a working socket for a particular operation, and also offers you the choice of the unit with the shortest execution time. For production, the essential issue is the function of creating intergroup relationships between resources that can handle the same task. This allows you to minimize the lead times, thus ensuring a completely effective planning. Equally important is the function of choosing flexible routes. Its implementation allows us to choose the best route of the day. It is also possible to configure and support different versions of material flow, including those that allow you to bypass bottlenecks and maximize production efficiency.
Equally important is choosing a competent implementation company. The experience and the team of specialists are an invaluable asset. Implementation requires understanding the needs of the client, his system of work and the specificity of the business. In-depth analysis and employee interviews help determine what type and sequence of actions should be taken. The implementation itself takes some time and is an intrusion into the structure of the client’s business. A competent implementation company will ensure that this does not result in downtime and any major perturbations. Training for employees who use the system is an essential element of implementation. Knowledge transfer skills, substantive support during and after implementation – all of these elements translate into final results.
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