How ERP solves manufacturers’ biggest logistics challenges
Businesses are made up of a number of moving parts, but for manufacturers, if anything goes wrong, it can throw a big wrench in operations. Coordinating people, facilities and supplies across a complex chain poses significant complications that organizations must be prepared to handle. Fortunately, manufacturers can take advantage of technology solutions to effectively navigate these difficulties. ERP can solve manufacturer's' biggest logistical challenges, making it a critical asset for a shop of any size.
1. Better planning
Communication between suppliers, customers and the manufacturing floor can be overwhelming. There are a number of departments involved, which makes it difficult to know what progress is being made or what tasks should be prioritized if there's no dedicated system. Newswire noted that ERP solutions provide centralized data collection, meaning that it can be accessed and edited with changes shown in real time. This ensures fast and flexible collaboration across the board.
With one established picture of operations, ERP helps to improve planning capabilities. Better visibility also empowers manufacturers to manage the supply chain more effectively and automate logistics workflows. This will help meet delivery orders on time and ease inventory management.
2. Improved tracking
It's important to have full visibility into available materials and where everything is within a shop. As Supply Chain 24/7 noted, more customers are asking for full transparency into their orders and inventory throughout the entire life cycle. This type of flexibility is difficult to facilitate with the number of active orders and the fact that many manufacturers serve customers with global operations.
Tracking and visibility can be achieved with a capable ERP software solution. This system can help manage warehouses, track products based on their SKU numbers, support around-the-clock delivery and give analytics reports based on floor status. Food Logistics noted that ERP helps control the shelf life of products and maintains full visibility into projects and inventory even if production must be shifted around.
3. Consolidated software systems
"With one central system, manufacturers can make more informed decisions and better anticipate emerging trends."
The biggest logistics issues can come from the fact that manufacturers are using disparate, stand-alone software systems to augment certain capabilities. However, this type of setup doesn't provide the whole picture of company performance, impedes planning efforts, makes reporting difficult and can drain employee productivity.
Manufacturers can consolidate these systems into one ERP solution that can be leveraged across departments and business sites. This will provide real-time visibility into the entire organization's performance and improve employee efficiency. With one central system, manufacturers can make more informed decisions and better anticipate emerging trends.
There are a number of logistics challenges that manufacturers face, but ERP software solutions can help mitigate a number of them. ERP offers features that help consolidate assets into a centralized data platform that enables better visibility, accurate information and improved inventory tracking. Manufacturers can take advantage of these capabilities to enhance their operations and effectively serve their customers.