Should manufacturing adopt cloud-based ERP?

/in , , /by

Manufacturers are under immense pressure to increase process speed, improve accuracy and leverage internal business intelligence to make every company interaction count. Like on-premise enterprise resource planning systems, cloud-based manufacturing software can help companies bring innate knowledge into every sales situation, but has the added benefit of being easier to deploy and implement. 

It seems like a no-brainer: Why shouldn't manufacturing companies adopt cloud-based ERP? Current manufacturing managers and experts believe there are a number of reasons.

Undoubtedly there are a few typical cloud-related issues such as security, but in general manufacturing business are extremely complex, with tailored workflows, business rules and data structures. There are concerns that multi-tenant applications do not currently offer the level of customization manufacturers would require. Many enterprises have been in the industry for decades, and have invested in complex ERP systems that have been upgraded over the years to create a software that fully supports all their process. Walking away from the kind of work that was put into most legacy systems is difficult for companies.

Robert Kugel, senior vice president and research director at Ventana Research told TechTarget, "There isn't a company on the face of the earth that would decide to replace their ERP system just to be able to move to the cloud. A tipping point will only come when there's some breakthrough in ERP system design that enables a large number of manufacturing companies to configure and script in a multi-tenant environment without having to make too many concessions."

Cloud computing can, however, revolutionize manufacturing, and while many older companies may choose to stick with what they know,  younger generations of manufacturers who do not have legacy systems appear predisposed to adopt cloud-based strategies. For these companies, software like Microsoft Dynamics NAV, which offers cloud-based SaaS hosting, may be an excellent solution.

If you are intersected in learning more about Microsoft Dynamics NAV and its various deployment options contact Accent Software today.

Manufacturing ERP: To customize or not to customize?

/in , /by

It's a question many organization's encounter at one point or another: Does enterprise resources planning (ERP) development mean customization or replacement? For most manufacturing businesses the answer is customization. Brand new implementations can cost up to 14 percent more than for non-manufacturing companies, and manufacturing processes tend to be more complex, pushing executives to add custom options before upgrades where such options are standard become available.

Moreover people are creatures of habit, and abandoning a system employees are comfortable with can be a difficult prospect. Manufacturers, in general, choose not to implement new systems until they absolutely must. 

If your business chooses customization options over upgrades, there are a number of things to consider. Manufacturing companies tend to experience budget overrun when they do not plan well or evaluate enough proposals. Here are a couple of steps to take as you begin the customization process:

Evaluate ERP systems

If you have been using your current ERP for a long time it can be beneficial to step out and see what the modern market is offering. It is very possible that available functionality of newer systems, such as Microsoft Dynamics NAV, will make the modifications you have or are aiming to add unnecessary. It is also possible that tools available in newer ERP will allow the development of the customizations you need at a lower price and in less time. In such cases it might be beneficial to upgrade before customizing. 

Evaluate customizations

Approach the process with an open mind. Customization might sound easier than replacement, but if it is to succeed you may need to make process changes. Customizations evolve over time, and it's possible that a new option might be able to achieve the same results as your old system, while adding additional features. Don't balk at the idea of removing certain customizations from your current system entirely, to make room for a more functional solution.

It is also important to be aware of what is a standard report in your software, versus what is a customization. There are a few ways to handle this:

  • In-house customizations can be identified by a member of your IT staff.
  • If a third party conducted the work reach out and request a list of modifications.
  • ERP consultants and certain software programs can detect changes made to a standard ERP.  

If there is no contact you can turn to you may need to do some digging on your own, or with the help of your IT staff, to determine which processes are customizations:

  • Customizations are often stored in unique folders on your server's hard drive. Scour your menu system for folders with "custom" or "mods" in the name.
  • If you have an unmodified version of the software you may be able to run a comparison of the standard version versus the modified version to learn where customizations were made.
  • Microsoft Dynamics NAV offers specific tracking capabilities through the use of the Team Foundation Server's Source Control Explorer, which can be used to view a full history of customizations.

Finally, assess the purpose and functionality of your current customizations. If a certain modification has had little to no effect, or was rendered obsolete during a previous customizations. This is a good opportunity to remove counterproductive and expendable options. Removing these will also help clear the way for a better understanding of what you will need in your new system. A qualified NAV partner can then help you decide which customizations should be carried forward versus those that are no longer necessary due to advancements in the standard program.

ERP software is a lifeline for manufacturing businesses, simplifying complex processes and increasing efficiency. As with any large business decision, take the time to plan, map out routes for success and review potential results. Accent Software, a trusted Microsoft Business Solutions partner, can work with your company to provide effective business management software solutions. Microsoft Dynamics NAV offers rapid adaptability, simplified customization, and ease of use which allows businesses to easily add functionality and custom applications that enhance software to be relevant to each business's needs.

ERP for custom ETO manufacturers

/in , /by

Custom engineer-to-order (ETO) is a great way to increase sales and improve margins for many companies. It is also a business reality for those in industries that demand products that fit into a customer's environment.

ETO manufacturers have a unique lifecycle process — as the manufacturing company grows, the processes in place become more and more complex and difficult to handle with traditional forms of communication. The bottleneck this issue creates can quickly stifle growth. Businesses tend to hire more staff to offset the issue, ignoring end-to-end software solutions because they feel their manufacturing process is too distinctive for ERP to handle.

The truth is manufacturing business software like enterprise resource planning (ERP) can offer a great solution for these specialized problems, ensuring that all steps in the manufacturing process are consistent and completed. Here are a few things to look out for when selecting ERP for your custom ETO environment:

Functionality: A good ERP software will have the capacity to continually add detail to the bill of manufacturing of a project.

Integration: If you have already invested in CAD software it is important to find out whether your chosen ERP solution will be able to integrate with the program.

Tracking: Many ERP solutions only allow tracking of time within the walls of your company. For custom ETO manufacturers it is important to have the ability to track time and expenses for delivery and installation at customer sites too.

Specialized: ERP often begins as accounting or distribution software, to which more modules are added overtime. Instead of this traditional system, try to find a solution that has been developed from the beginning for manufacturers.

When you decide it is time to employ an effective ERP system to your manufacturing process, give Accent Software a call. We have years of industry expertise and will help you best implement your new software.

Some New Year’s resolutions your manufacturing firm should take to heart

/in /by

The new year is an opportunity for a fresh start, a clean slate on which you can try to plan what you will become over the next twelve months. This is no different for companies trying to improve themselves, making better products while at the same time reducing costs. So what New Years' resolutions should your manufacturing firm be making?

  • Emphasize visibility: "Process visibility" was once something not easily attainable. With modern technology, however, it's possible to access valuable information from all levels of the company instantaneously and analyze it in an actionable way.
  • Go green: The electronic route is the way to go nowadays, as distribution of data via paper is both slower and more costly than digital filing and communication systems. As an added benefit, its environmentally friendly.
  • Don't take shortcuts: While it may be tempting to try and save money wherever possible, it's important to remember that quality trumps everything. Only cut costs on something if you're not simultaneously sacrificing the integrity of what you're selling.
  • Reduce energy intake: It's crucial to find ways to decrease the amount of energy your company consumes if you do want to slash expenses in a way that maintains the quality of your products. In many ways, this is related to process visibility, says Abigail Philips of Manufacturing Global: "Savings start with monitoring and recording energy consumption; so identify the activities that waste energy and put a strategy in place to reduce them."

How can you achieve that visibility though, and subsequently the other goals laid out above? One proven way to do it is to implement manufacturing ERP software. Accent Software is the company to turn to should you want to effectively integrate that new system into your business' operations.

Manufacturing world getting younger, greener

/in /by

The idea of manufacturing often bring images of soot-covered, smoke-stacked brick buildings to mind, inside of which are conveyor belts and the mechanical roar of the assembly line. While many of those kinds of facilities still exist, manufacturing is actually making the move into the 21st century along with the rest of the economy. A new generation is making its presence known in the industry, and their ingenuity, drive and results will instill confidence in American manufacturing in the decades to come.

A recent "30 Under 30 In Manufacturing" piece in Forbes highlighted a number of young entrepreneurs who have made strides in recent years. Some of the more successful of the bunch include Eben Mayer and Gavin McIntyre, the 29-year-old co-founders of Ecovative, a company that processes mushrooms into a packing material that is both more eco-friendly and cost-efficient than regular styrofoam peanuts.

Others listed are Jeremiah Chapman, the 24-year old founder of Crisp, a business that creates products that allows for oil in deep fryers to be used longer, and Nikki Kaufman, the 28-year old innovator behind Normal, which 3D-prints custom-made ear buds that are molded to each customer's specifications.

"This year's list shows that the present – and future – of manufacturing is something altogether different [than the classic picture of the manufacturing industry]," said Alex Knapp of Forbes. "It's a world of custom products, 3D printing, nanoscale chemistry and a green outlook."

Contrary to popular belief, the world of manufacturing is continually pushing the envelope and spearheading the rapid growth of technology. What do you need to do to make sure your manufacturing business isn't lagging behind? Employing an effective business management software is one way to start, and Accent Software is the company to look to when you need help implementing and managing that system. 

New Year’s resolutions for US manufacturing

/in /by

With 2015 fast approaching, it's natural for people, in all aspects of their lives, to look ahead and think about what change they hope to see come the turn of the calendar. It's no different for those in the manufacturing industry, who aspire to even greater heights than they reached in 2014, when the industry enjoyed its first significant boost in production in years. So what do those in the manufacturing businesses wish to happen? Andrew Ward of Daily Finance wrote a recent article outlining some goals for next year. 

  • Greater diversity: Ward first expresses his desire to see more gender diversity in the areas of science, technology, engineering and math, as well as manufacturing. With women making up less than one third of the STEM work world, there is obviously room for improvement in this department.
  • Keep it up: Manufacturing experienced a big bump in output this past year, and the obvious hope for everyone in the trade, and really everyone in the country, should be for that trend to continue. Expansion of the manufacturing economy can only be a good thing.
  • Larger millennial presence: The millennial generation is starting to become the dominant force in the American economy, and as such, should manufacturing hope to stay on the upswing for the foreseeable future, gaining a stronger foothold in the youth of today is a must. This is especially important considering the labor shortage that economists project to happen as the baby boomer generation leaves the workforce.
  • Engage in remanufacturing: "Referred to by some as the ultimate form of recycling, remanufacturing has seen a resurgence in the past decade," says Ward. Can anyone argue with measures that both save money and the environment, without (optimally) sacrificing quality?

As the new year approaches, we're reminded that time goes on and that the manufacturing world will continue to evolve around us. How do you keep up with it? Installing top-notch manufacturing software is a start, and Accent Software is the place to go for your business management software solutions.

What will manufacturing look like next year?

/in /by

Everyone's been talking about the growth in the manufacturing industry over the past year and lauding the United States' success in this field, but what about the future? What does the recent boom in production mean for 2015?

John Zegers of Manufacturing Business Technology asks and answers that very question in a recent article. In doing so, he lays out some predictions as to what the manufacturing sphere will look like come this time next year:

  • Reshoring:​ Jobs have slowly but surely been returning to the states from overseas as the global economy continues to slide. 
  • Manufacturing will flourish: As it has been in recent months, manufacturing will continue to surge in terms of output, says Zegers. This seems like one of the more sure bets, considering the strong Purchasing Managers Index, which clocked in at 58.7 in November. In fact, he believes that manufacturing will grow at an even higher rate than the GDP next year. 
  • Big data: Like business software before it, big data and cloud computing will be the movement that takes the manufacturing world by storm in 2015. Connectivity is the way of the future, and more and more manufacturers are coming to realize that as time goes on.
  • Predictive analytics: On a related note, Zegers projects that "connected factories will allow for greater opportunity to implement predictive maintenance technologies that will cut downtime and boost bottom lines" by evaluating information, identifying industry trends and making suggestions on how to move forward.

Manufacturing's evolution, like much of the business world's, has accelerated in the recent past. More change has taken place in the factory in the past decade than in the fifty years prior. So how to keep up with this constantly in-flux field?

Manufacturing software is the first step. Installing a capable ERP can go a long way towards keeping your practices modern and efficient. Give us a call at Accent Software, where our expertise with Microsoft business software Dynamics NAV will help you through that process.

Despite overseas struggles, US economy continues to expand

/in /by

Manufacturing is the strongest its been in years, according to recent numbers released on the growth of the US economy. The numbers are especially impressive when including the context of the lagging global economy. Shobhana Chandra of the Columbia Daily Herald reports on the situation, noting that a flourishing job market and plummeting oil prices are buoying the United States despite rapidly diminishing demand from nations across the pond.

The Federal Reserve released statistics showing that the world's most powerful economy got a 1.3 percent bump in November. Production of goods experienced its greatest upswing in nearly two decades. Manufacturing specifically rose 1.1 percent, the highest since February. Nearly all industries other than oil-drilling enjoyed similar spurts last month, indicating a healthy overall economy.  

These signs are promising, and could forecast momentum and further growth in 2015, experts say. "With consumer demand and business demand strengthening together, it is self-reinforcing . . . The gain in production sets us up for a solid pace of growth next year," said Laura Rosner, a U.S. economist at BNP Paribas in New York.

So what can your business do to maintain pace with the recently burgeoning manufacturing marketplace? It's becoming ever more important that business operations are as lean and frugal as possible so that services can remain competitive. That's where ERP comes in.

At Accent Software, we have over ten years of experience with the industry leader in small and mid-sized business ERP, Microsoft Dynamics NAV, and understand what it takes to customize manufacturing software to each company's needs. Get in touch with us if you're looking for effective and affordable business management software solutions. 

What methods should you use in scheduling?

/in /by

One of the more crucial aspects of being in the manufacturing industry is finding an efficient way to conduct scheduling. Having your company's time laid out in an organized and productive fashion could be the difference between seeing a loss and a profit in the bottom line come year's end. Kenneth Hamlett of The Houston Chron​icle recently laid out some common techniques businesses employ when deciding how they will schedule their operations.

The first tactic that Hamlett outlines is the "chase strategy, " which he describes as when companies "produce only enough goods to meet or exactly match the demand for goods." The next step up, says Hamlett, is "level production," where a company projects the average amount of goods demanded over a certain period of time and always produces enough goods for that average, hoping that surpluses in production here and there will make up for times of goods shortages.

Hamlett goes on to list "make-to-stock," defined as when goods are always produced before customers' orders. A related but different option is "make-to-order," when companies "produce goods after receiving an order from the customer," something that's often reserved for businesses that deal in "one-of-a-kind goods."

Lastly, "make-to-assemble" is a strategy employed that allows for consumer customization of specific orders. This is the status quo for companies ranging from the fast food to the automobile manufacturing industries.

Whichever approach you take, scheduling logistics are undeniably time-consuming. That's why having a manufacturing ERP software is an enormous boon to any business trying to produce goods in a cost-effective manner.

Microsoft Dynamics NAV is the industry leader when it comes to enterprise resource planning for small to mid-size manufacturing businesses, and we at Accent Software have the expertise to implement, customize and help you manage it. If your Indiana, Ohio or Kentucky business is looking to streamline its inner workings, get in touch with us. 

Manufacturing is alive and well in the USA

/in /by

Manufacturing remains a strong and integral part of the United States economy, according to Justin Lahart of the Wall Street Journal. Currently, domestically manufactured goods account for one third of America's gross domestic product.

In October, the Institute for Supply Management's index of manufacturing activity shot up from 56.6 in September to 59.0. Fifty is the index's boundary that delineates between growth and shrinkage. The index rarely approaches 60, meaning good things for the state of manufacturing in the US. 

"Indeed, the backdrop for manufacturing looks like it will be good for a while," says Lahart. So why has American manufacturing flourished in recent months?

It's not too much of a stretch to attribute some the success to the improvements made in manufacturing ERP software in recent years. With those developments, companies' data management has become more efficient, ultimately leading to greater productivity and a greater presence in the US economic sphere.

Bob Vormittag listed some of the major benefits 2014's advancements in ERP have had for businesses in an article for Manufacturing Business Technology Magazine. They included improved compliance with industry regulations, the speed and convenience of the cloud, increased product traceability, deepened customer interactions and the automation of ERP operations.

With these promising steps forward, Vormittag insists that "it is imperative that companies continuously incorporate new technologies that will dramatically improve their business operations."

Sound advice. But the installation, integration and maintenance of a comprehensive ERP system in a manufacturing company is no small feat. That's where Accent Software can help. If your Indiana, Ohio or Kentucky business is looking into joining the world of ERP, give us a call. We provide business management software solutions that will streamline your company's processes. Our experience with Microsoft Dynamics NAV makes us the perfect partner to guide you on your road towards a fully-functioning and beneficial ERP system.