Approaching ERP from a flexibility standpoint

Manufacturing and warehousing organizations are increasingly turning to enterprise resource planning software to maximize their efficiency and enable better visibility into a wide variety of operational practices. Use of ERP is becoming more common is steadily increasing in these fields, as approximately 75 percent of such businesses are utilizing a platform of some kind to drive better business results, according to research from Aberdeen Group. The prevalence of ERP is making such programs less of an advantage and more of a requirement to keep up. Companies that want to gain the fullest advantage possible from ERP need to not only use the software, but select the most flexible, responsive and process-oriented option available. Taking the importance of agility into special consideration, here are a few tips for making the right choices when it comes to selection and implementation:
  • Assess major and minor changes ahead of time: ERP News points to this concept as one of the major components of successfully managing the installation of a new ERP system. It sounds like common sense, but some businesses may be too focused on the major changes of a new system. For example, plenty of attention may be paid to training back-office employees on utilizing the increased visibility provided, but more practical concerns such as teaching employees about a new inventory management system may fall by the wayside. This is especially true for workers that have some responsibilities related to a new ERP component, but don’t directly interact with it.
  • Find a system that emphasizes adaptability: For some companies, a less-flexible ERP system can provide advantages, but this isn’t the case for the vast majority of manufacturing and warehousing businesses. The best way to keep an ERP system relevant is to make sure that updating and upgrading can be completed with the least amount of downtime possible. Using a modular system, such as Microsoft Dynamics NAV, allows companies to not only easily add different components for increased functionality during initial setup, but also further down the line as well. By letting organizations to enhance ERP functionality as growth or changes to the market require it, modular systems better meet the needs of manufacturers and warehousing operations.
Learn how to define your ERP strategy by downloading the white paper entitled “ERP in Manufacturing: Defining the ERP Strategy” from the DMS website today.