How to Better Use Your ERP System?
Executives are struggling to keep up with inflationary raw material prices, elevated customer requirements, margin pressures, and the lack of people to fulfill key roles. Thus, they are looking to their ERP system and related supply chain technologies for answers. Given the lack of talent and the cost prohibitive nature of an ERP upgrade, CEOs are choosing to search for alternatives to support profitable growth. Thus, simply better utilizing your ERP system is quite attractive as it will turn an already-existing underutilized asset into a strategic advantage in the marketplace, supporting profitable growth.
How do you benefit from the Use of ERP / Systems?
Manufacturing
Manufacturing leaders will gain visibility into work center, staffing, and the master production schedule so that they can optimize production runs and minimize changeovers and costs. They will also gain insights, improve efficiencies, automate steps, improve quality control processes, and reduce inventory and costs.
Engineering
Engineering leaders will gain visibility into workload requirements to support drawings, customer approvals, and bill of material designs. ERP and related systems such as configure-to-order (CTO) quoting systems, PLM, and 3D drawings will speed up progress, save on engineering time, and improve communications.
Purchasing
Purchasing leaders will gain visibility into material requirements plans (MRP) and outside processing requirements so that they can work with suppliers proactively to meet customer requirements while minimizing cost. They will also gain purchase insights, improve efficiencies and streamline workflows.
Logistics
Logistics leaders will gain visibility into storage, warehousing, handling, picking, packing, shipping, transportation, returns, and equipment requirements so that they can plan accordingly. With WMS, TMS, inventory optimization, ASRS, AR, VR, and digital twins, they will gain efficiencies, improve quality & increase safety.
Finance
Finance leaders will gain visibility into sales forecasts, staffing plans, and inventory projections. Thus, they will have revenue, cost, profitability, and cash flow projections, and they will gain insights into customer and product profitability, improved processing efficiencies and business analysis and scorecard capabilities.
Sales & Marketing
Sales and Marketing leaders will gain visibility into their sales forecasts, quotes, and order backlog. They will also gain high levels of service for their customers with on-time-in-full (OTIF) levels, shorter lead-times, and high ratings on customer scorecards. They also will gain greater responsiveness and customer value.
Planning
Planning leaders will gain visibility into the demand plan, sales orders, quotes, replenishment orders, and work order status so that they can develop the best master production schedule (MPS) to optimize customer service, operational efficiency and working capital. They will gain high service levels and increased margins.
Blog posts for Better Use of ERP
Rahul Jhalawad, CFO of Avtron Power Solutions, shares his experience working with LMA Consulting Group to address critical business challenges. Learn how LMA’s expertise helped identify key focus areas, implement actionable strategies, and drive measurable results for their team.
According to a McKinsey study, investment in supply chain digitization is slowing down after rapid growth in 2020-2023. On the other hand, the McKinsey Global Supply Chain Leader Survey finds that nine out of 10 respondents continue to experience supply chain challenges. And, according to Reuters, supply chain glitches […]
Every CFO seems to wonder why they spend millions on ERP upgrades yet critical decisions seem to boil down to spreadsheets.
