Manufacturers of all sizes are always on the lookout for ways to improve their process from materials going in to the products going back out, and one of the best ways to do so these days is to invest in and continually use ERP systems. This kind of software can go a long way toward giving any owner or other decision-maker the ability to get a better handle on their company’s ongoing operations. It’s a process which can, in turn, save money and speed up production in the long run.
The issue with ERP systems that can occasionally crop up for growing manufacturing businesses is that many companies may make low-level investments in it to start, and then not scale use of those systems as they get bigger, according to a report from Smart Data Collective. The important thing to keep in mind here, then, is that as companies grow and change, so do their needs in a lot of areas. In some cases, having ERP software that is insufficient to handle growing requirements from a company can be just as problematic as not having it at all.
What’s the issue?
When the effectiveness of an ERP system starts slowing down, companies will be aware of the problem pretty quickly, but how they react to that issue is critical, the report said. Some may simply start to fill in the gaps in those capabilities by reverting to old habits, such as manually entering data into spreadsheets and the like. But that significantly reduces the efficiency ERP systems are supposed to bring, and at some point the avoidance of a larger investment in such a system ends up being more costly than businesses might expect.
It might simply be wiser for companies to bite the bullet and pour more money into ERP upgrades and then think of it as an investment in their futures, the report said. Indeed, it’s almost certainly one that pays for itself over time, and likely does so more than once, thanks to the added efficiency these systems can bring to any manufacturing business.
Meanwhile, some manufacturers may be concerned about whether their current ERP is “smart enough” to handle the demands their companies face on an ongoing basis, according to the Enterprise Times. Here, too, it’s possible to make some tweaks that can serve to improve these processes, both with investments in additional ERP capabilities, and by making sure some of the settings that were put in place years ago still meet the company’s needs. Getting a clear picture in this regard can be a significant time-saver in the long run.
The more that can be done to make sure everything from Dynamics NAV time collection to increasing physical inventory efficiency is being addressed in a timely manner, the better off manufacturers are likely to be. To that end, making these efforts on a long-term and ongoing basis can end up saving companies considerable amounts of money.
For free Microsoft Dynamics NAV software utilities information visit the Insight Works website.