The future of manufacturing ERP

Like any successful technology, enterprise resource planning (ERP) software is constantly undergoing innovation and evolving in terms of functionality. This is good news for manufacturing companies, where success is often dependent on staying ahead of the competition by adopting new technology and adapting to changes in the market. 

Experts suggest that the future of ERP will involve a continuous development of deployments to single- or multi-tenant systems. 

"There will be a segment of the market that will always want to have their hands on their system and not allow it to go someplace else, but I do think that will be a trend in this business as financial drivers in the industry continue to push back. Companies don't want to see that stuff on the capital side of the business. They prefer to see it built into the P&L where it belongs," said Dick Schultz, director of product marketing-manufacturing with an ERP solutions provider. 

Businesses will also be dealing with growth initiatives. Manufacturers will spread themselves out to e-commerce, adopt mobile deployments of software and app functionality. The next generation of employees and leaders will be generating and consuming data in very different ways to what is currently built in to certain ERP systems. 

Considering how critical ERP systems are to the manufacturing industry, it should come as no surprise that software solutions are constantly adding new capabilities. Experts suggest that manufacturers should expect a fast migration away from traditional global business models to a more vibrant and mobile business arena.

At Accent Software we are dedicated to providing customers with the most up-to-date ERP solutions available, such as Microsoft Dynamics NAV. If you are interested in learning more about manufacturing business software contact us today.

Manufacturing ERP pain points

Manufacturing Business Technology recently conducted a survey of their subscriber base, which includes CEOs, presidents, owners, engineers, managers and directors across all manufacturing industries. They found that approximately 43 percent of manufacturers are currently looking to invest in an enterprise resource planning (ERP) system. When you consider that 34 percent of respondents are currently using a system that is seven to 11-plus years old, it makes sense that such a large population of manufacturing companies are searching for a new system.

Businesses looking for a new system, especially those already hosting a legacy system that has plateaued in terms of the benefits it offers, will be considering a number of company pain points that they would like ERP to address.

While every company wants operations to be less costly, this is surprisingly not a pain point for most businesses. In fact, it didn't even make the list of requirements survey respondents had for a potential ERP system. 

Instead, manufacturers wants these functionalities in their chosen manufacturing ERP software:

  • Connectivity: Being connected is imperative to the success of any business in today's market. With the arrival of the Internet of Things (IoT), many manufacturers are looking to push the envelope in terms of connectivity. While company leaders understand that communication protocols take time to develop, they want their system to be ready to handle the changes in connectivity and communication.
  • Mobility: Like connectivity, mobility is a newer concept but that doesn't make manufacturers any less excited to implement it. Older, outdated systems have very little mobility. New software solutions, on the other hand, are allowing companies to operate ERP applications from their home computer or smartphone. Apps are being interfaced with systems and increasing the scope of what ERP can do.

Other pain points that manufacturers look for ERP to address have generally remained static. Companies want inventory control, production management, forecasting and APS capabilities and supply chain management. Accent ERP can help your business find a solution that provides the level of functionality necessary to streamline your company's processes.

Finding the right manufacturing ERP solution

Manufacturing companies have a number of unique processes that the right enterprise resource planning (ERP) solution will address. They also face quite a few distinct problems that can wreak havoc on their operations. A good manufacturing ERP software will be able to streamline operations, but also decrease the risk of issues like miscommunication or disconnect amongst employees. 

Selecting the right solution for a manufacturing company means being aware of business pain points, as well as the top processes that help an organization run smoothly. These can be understood and outlined by conducting an evaluation.

Dick Schultz, director of product marketing-manufacturing with an ERP solutions provider says, "The very first thing when looking for an ERP system is to make sure that the top line executives are on board with their business systems in starting an evaluation. IT-driven evaluations typically don't end up in a good place and even if they do move forward implementations aren't nearly as successful. You need to align the system gaps you currently have with your current and future business plans — then go out and really looking at a system that fills those gaps."

Manufacturers must identity strategic business operations that are currently necessary and will continue to be essential in the future. The chosen ERP system should support these goals first, since these are the processes that support a company and make a profit.

The next step is to outline day-to-day requirements. Employee input is important at this point, because workers will be able to define what they need an application to do for them on a daily basis. While these functions are fundamental to a company, without the primary processes they would be useless, which is why they are considered second.

A successful ERP solution will, however, take both primary and secondary functionality requirements into account. At Accent Software we can help you find a system that supports your manufacturing business from top to bottom.

Manufacturers need unique ERP solutions

One of the key principles of successful enterprise resource planning (ERP) implementation is finding software that perfectly suits your business. This usually means that a comparison of the ERP solutions two companies use will reveal significant differences. Manufacturing companies, in particular, require solutions that can meet the demands of their unique and complex processes and workflows. Manufacturers will typically achieve the best results by implementing a solution that is created with their industry in mind and has the various functionalities required as standard applications.

Many vendors will suggest that it is best for companies to adapt to their chosen ERP's practices. However, the truth is, a solution that cannot be customized to conform to a company's specific needs will quickly become useless. Manufacturer's cannot be expected to overhaul their entire business to suit the limited functionality of standard ERP. With hundreds of unique processes, from customer service to production, and dozens of specialized verticals, all with different requirements, molding the company to an ERP solution would quickly drag the entire business down. 

As an example, industrial manufacturers and distributors work with complex supply chains. These require large capital investments in equipment that must perform perfectly and be unfailingly accurate. The automotive industry has safety and quality control processes they must adhere to, while aerospace companies are required to meet strict military specifications for design and production. Consumer goods manufacturers need to need to be able to collaborate with retail chains. Food manufacturers must be able to track their inventory and shipments and provide specific delivery information to abide by food expiration and sell-by dates and ensure FDA compliance.

It is clear that a run-of-the-mill ERP solutions cannot meet the demands of manufacturing companies. For this reason it is essential to invest in a software that was created to be industry-specific, such as Microsoft Dynamics NAV. For more information on this and other business management software contact Accent Software. 

2 essential ERP capabilities for manufacturers

There are a number of specialized features that the best enterprise resource planning (ERP) solutions must possess to be useful to manufacturers. 

Many manufacturing companies operate in regulatory environments which tend to require comprehensive reporting, tracking and up-to-the-minute data capture. ERP solutions should be able to meet these demands and support manufacturing companies by offering easily-configured features that allow them to handle a variety of processes.

Two of these critical processes include:

Product lifecycle management: ERP solutions must integrate product lifecycle management (PLM) from inception through engineering design and manufacture, to service and disposal of manufactured products. PLM functionality allows companies to enable quick turnaround, complex printed circuit board assembly and design reviews before manufacturing begins. There should always be a real-time feedback loop between the specific manufacturing departments, such as design, production and quality assurance to avoid costly mistakes and problems.

Improved visibility: Real-time visibility across the enterprise is essential for effective and accurate manufacturing processes. ERP must make it easy to track people, materials, machines, processes and suppliers. Data should be captured as it happens to avoid mistakes. For example, a good system will allow workers to track production, signals, alerts and business intelligence automatically and intuitively.

In general, the most advantageous ERP model will be the one that meets your businesses specific demands. It is important to vet all solutions thoroughly before any discussions of implementation to ensure that they will support your company.

Accent Software can help your company find business management software that fits your precise needs. We are a Microsoft Business Solutions Partner with over 15 years of experience in the industry. If you're in the market for a solution contact us today.

3 more critical ERP features for electronics manufacturers

Historically the strengths of enterprise resource planning (ERP) software has been in finance and accounting. However, manufacturing businesses, particularly high-tech and electronics manufacturers, require solutions that allow them to accurately track all aspects of the manufacturing process to achieve complete process visibility.

In an earlier blog post we covered three characteristics ERP must have to be useful to manufacturers. Here are three more:

Lean management facilitation: High tech and electronics producers should be able to integrate lean tools to optimize their global supply chains. Functions such as Automated Electronic Pull Scheduling and Online Replenishment Systems allow manufacturers to implement lean processes across multi-line, multi-product manufacturing facilities. Features such as the automated document control we mentioned in the last article can also help with lean management by making way for a paperless shop floor. 

Enhanced traceability: Manufacturers must be able to efficiently and easily track product serialization, and access detailed product data throughout the manufacturing process. ERP solutions should make it easy to view component-level traceability to track things like defects and failures in the field. Operators on the shop floor should also have quick access to the traceability tree. This makes it easy to meet reporting requirements outlined by OEMs, as well.

Machine integration: Generic ERP systems are unable to offer manufacturers the ability to fully integrate specific machines. The purpose of a good ERP solution is to automate business processes throughout the company. A top-of-the-line ERP system should let you link Surface Mount Technology machine data with production and shop floor control. A good solution should also track New Product Introduction data, quality, inventory management and other key production information. 

If you are searching for business management software for your company do not hesitate to reach out to Accent Software. We offer solutions such as Microsoft Dynamics NAV that are sure to appeal to your company. 

3 must-have ERP features for electronics manufacturers

Electronics and high tech manufacturers are under constant pressure to deliver precise accuracy, increased efficiency and innovative assembly.

In an ever-changing industry with fast-paced product development it is important for manufacturers to stay on top of the competition. Enterprise resource planning (ERP) solutions for electronics and high tech manufacturers must not only help build speed and agility, they also need to help companies manage product lifecycles, supply-chain flexibility, global visibility and regulatory compliance.

The best ERP solution will offer these businesses the ability to track all aspects of the manufacturing process and manage overall operations, while supplying features that help strengthen business processes. Some of these must-have features include:

Automated document control: Document automation reduces the chances of error and ends inefficient manual data handling. Electronic documents allow manufacturers to stay up-to-date with changing information and respond to evolving market needs and competitor actions. Document automation also promotes accelerated product introduction and time to market.

Complex supply chain management: Paperless, real-time communication across the supply chain improves visibility, performance and operational excellence. Suppliers should preferably be able to share data over Web-based portals, reducing the need for manual methods of communication such as emails and phone calls. These systems should also be able to provide data and business insight, to encourage best management practices.

Efficient tracking: Quality solutions will make it possible to track Defects per Million Opportunities (DPMO) during high-speed productions. ERP systems should be able to automatically track failure modes and repeated failures during processes occurring in real time, so that non-conforming parts or defects can be instantly identified, held and disposed of.

Microsoft Dynamics NAV is a global enterprise resource planning solution that can simplify supply chain, tracking and other complex manufacturing processes. If you are interested in learning more about how this business management software can support your electronics or high-tech production company contact Accent Software today.

Does your ERP system deliver?

The manufacturing industry is always changing and with it comes a demand for software that can keep up. 

Undoubtedly the idea of procuring, installing and implementing a brand new enterprise resource planning (ERP) solution is overwhelming. Your current system has been precisely customized, tailored to every operation. The stress, expense and business disruption involved in changing ERP systems is enough to give some an ulcer. However, eventually your legacy system will begin to cost much more than it is able to deliver. 

Experts suggest that the best time to make the change is when you begin to see that your business needs more than the current ERP system can offer. At this point your company can still function well — users can work around problems to get their jobs done, IT officials still champion the system and customers aren't transferring their business to the competition — but the threads are beginning to fray. You do not want to wait until something snaps entirely and your ERP system fails to consider a replacement.

It's a good idea to regularly define your businesses goals, the issues you face and the problems you are trying to solve, and compare these to the level of performance your current system offers. You, your stakeholders and value chain partners should ask the following questions to decide if an ERP system requires an upgrade:

  • Does the hardware provide a firm foundation for growth? 
  • Is machine technology fast, accurate and reliable?
  • Is the current solution scalable and does it offer interoperability?
  • Does the current platform meet company needs?
  • Has the current software reached the limits of available upgrades?
  • Does the solution in place keep up with industry requirements and demands?

If you believe it is time for your business to make a switch, contact Accent Software. We are industry experts and have been providing businesses with top-of-the-line business management software, such as Microsoft Dynamics NAV, for a number of years. 

Does your ERP solution support manufacturing functions?

Before investing in an enterprise resource planning (ERP) solution it is critical to ask your vendor if their proposed software effectively supports manufacturing functions. Many manufacturers focus on the wrong issues when considering ERP solutions and lose sight of manufacturing functionality when assessing a software's business fit. 

Instead of learning to live within a narrow set of constraints, ask the right questions before making a big purchase:

How are lean principles supported in the system? There are many excellent stand-alone solutions available that perform lean planning. These are highly specialized, periodic analytical functions. Find out how the proposed ERP solution optimizes value streams and supports lean execution. Does it offer electronic kanban? Are transactions poka yoke'd at the point of origin? Are pull systems part of the core solution? Is heijunka available? Also make sure that all these functions are supported across the supply chain, from customers to suppliers. The best system will be designed to embrace lean principles from the ground up.

How is detailed data input into the system? The availability of detailed data about production, scrap, downtime, labor and quality inspections affects profitability and success in the manufacturing industry. Everyone in the organization should have accurate and timely information to support decision-making. The best ERP solutions tend to have a single portal to capture and validate information as it is created. Workers should have all the data they need at their fingertips, whether it be drawings, material requirements or customer alerts. 

Are inventory records directly tied to physical reality? An accurate inventory management system can make or break a manufacturing company. In high-precision/high-liability industries such as aerospace, automotive, medical devices or food it becomes essential to track product genealogy, which means that inventory must be tracked and traced accurately and on time. Records should reflect what is happening to a product at that moment — whether it is in production or has already begun to accumulate cost.

At Accent Software we are dedicated to helping you find the perfect business management software for your needs. Contact us today to learn more about manufacturing software systems such as Microsoft Dynamics NAV.

Questions to ask a manufacturing ERP vendor

The process of qualifying potential manufacturing enterprise resource planning (ERP) vendors is a critical phase in the ERP implementation process. It is essential to ask vendors the right questions as you evaluate them and their expertise in providing cutting-edge service.

Does the proposed solution support the style of manufacturing? 

Manufacturing is not a homogenous environment. It includes everything from job shop systems and cell-type organizations, to complex automated systems and robotics. Manufacturers exist in a variety of industries (e.g. automotive, medical, food processing), and there are hundreds of different processes that are employed by these industries (e.g. stamping, forging, assembly). Selected solutions must fulfill each combination of manufacturing style, process and the industry's unique set of requirements 

For example, companies that create highly-complex machinery that depends on precision for accuracy will not use the same ERP as organizations that use high-speed automated equipment to create thousands of small pieces every hour. It would be impossible to optimize a single ERP to suit the specific needs of both of those businesses.

Supporting the style of manufacturing means supporting the employees who help create that style. When evaluating ERP ask for system demonstrations or reference visits which allow plant workers to judge ease of use. If workers will not or cannot use the software the return on investment will be compromised.

Can non-programmers develop new business processes in the system?

Programming difficult-to-use systems can cost hundreds of dollars per hour. It is important to vet ERP solutions to find out which ones support point-and-click or drag-and-drop interfaces that allow advanced (non-programming) users to create new processes without writing code. If a vendor does not support this type of development find out the precise operation involved in creating new screens or reports. Will you required to consult a third-party or does the vendor offer growth services?

Does the system support the extended enterprise?

Manufacturing is not an isolated process. Suppliers and customers, located around the globe, often require direct access to data from the enterprise. Business management software should be able to quickly and securely expose transactions to customers and suppliers, without the need to install extra software on the trading partner's end. The interface should also be user-friendly so that customers and suppliers do not need training to understand how to use it.

Many ERP solutions offer web browser portals that allow access to reporting and data, or simple included clients, such as Microsoft Dynamics NAV's SharePoint. This simplifies the procedure, and makes it unnecessary to build a separate point of access, considerably shortening deployment time.

How is the software licensed?

Avoid vendors who offer licensing on a per-user basis. While this might keep the price low, many companies find out after deployment that ERP can only be fully functional when a lot more employees use it. Manufacturers tend to fall into this trap more often than most, because they are not used to so many people using a software and therefore underestimate the number of users.

Flexible licensing models will allow deployment throughout the business and will allow you to add users and remove them as need be. There are a number of flexible licensing options available with Microsoft Dynamics NAV.

Microsoft Dynamics NAV is a worthwhile solution for manufacturing companies. The versatile ERP software offers industry-specific optimization and a variety of features that can be tailor-fitted to your business's needs. To learn more, contact Accent Software today.