Businesses in the manufacturing and warehousing fields will eventually change or replace their enterprise resource planning software systems. There’s no way around the fact that even the best-performing platforms will eventually need to be replaced with a new version, as is true for virtually all types of hardware and software used in the business and personal spheres. With that eventuality in mind, companies should be focusing on finding ERP platforms with a long useful life, low downtimes for in-system upgrades and the ability to easily change and improve the configuration of their ERP as the opportunities present themselves.
Most manufacturing and warehousing organizations already have an ERP system in place and understand the changes that need to occur in terms of employee education and attitude for a system to begin functioning quickly. However, as Supply House Times pointed out, companies with less experience often underestimate the need for a high level of recognition of the issues associated with ERP before a new platform is installed. The crucial need for preparedness when it comes to a new ERP system can’t be emphasized enough, even for businesses that have gone through the process before.
Leaders and managers need to make sure they’re not only providing the broad-based education about how ERP will affect overall operations, but training employees in the specific applications that they’ll soon be using. ERP components such as inventory management or a new time clock system are far more useful when workers are comfortable with their operation. TechTarget reported that the improvement of specific business functions is one of the best benefits of ERP – but only when these processes can be used correctly and efficiently.
Companies should consider going modular
By using a component-based ERP system, instead of one that’s pre-assembled, organizations can better target areas for improvement and have an easier time training employees as well. Modular ERP allows companies to select specific items to build up on a strong framework, significantly reducing or eliminating wasted spending and getting more functionality for the money put into the program. While decision-makers still need to do their research and speak with vendors about the pieces that will provide the best fit, there are far more options to boost effectiveness in specific areas and business-wide practices. Because workers can be trained on the functions of specific modules, education also becomes easier.
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.