Think of your business as a living organism. Each department is an organ, and like any living body, the departments in your organization have different responsibilities — and they all need to work together.
But separate teams and functions can’t move toward a common goal without a system in place to connect them.
That’s the role of an Enterprise Resource Planning (ERP) system, a software solution that integrates and manages every core business process within a single platform. In manufacturing, an ERP is what acts as a company’s central nervous system, enabling unrelated departments and functions to share information and stay connected.
Not every company needs an ERP system, but for manufacturing organizations with complex supply chains, production processes, and inventory management requirements, a good ERP can make or break the business.
Here’s a look at the most common manufacturing ERP modules and the crucial role they play in a manufacturer’s success.
The benefits of ERP modules
Using ERP modules helps your manufacturing business streamline operations and drive efficiency. Here’s a look at three of the key benefits you’ll enjoy after implementing an ERP system.
Real-time insights for agile decision-making
ERP modules put your finger on the pulse of your entire operation at any given moment, giving you real-time visibility into critical updates and eliminating the need for manual data consolidation or spreadsheets. With role-based dashboards that keep everyone on the team informed and aligned, you can react quickly to potential bottlenecks or changes in demand.
Precision and consistency in batch production
Batch manufacturing requires strong recipe and formula management, and ERP modules will allow you to achieve consistency without the need for manual, error-prone calculations. You’ll have an easier time adjusting quantities, integrating changes into production, and ensuring that your product quality is always consistent.
Compliance with industry regulations
Navigating industry-specific compliance can feel like walking through a minefield. But with an ERP system, it’s easy to integrate regulatory requirements into your production workflows. The right modules help you conduct quality checks, update data sheets, and adhere to the latest changes in legislation so you can minimize risks and feel confident about your processes.
The best ERP modules for streamlining your manufacturing process
All manufacturers — especially those that engage in formula-based process manufacturing — have unique needs, so some require more ERP modules than others. To identify the modules that benefit your business most, here’s a look at some of the options offered by the best ERP systems for manufacturing.
1. Inventory management
You can’t afford to run out of crucial ingredients or store excessive stock. When paired with purchasing management and supply chain management functionalities, an inventory management ERP module gives real-time visibility into inventory levels, tracks lot numbers, and even automates key processes like purchase order creation and reordering.
2. Manufacturing execution system
A manufacturing execution system (MES) module can turn a messy production floor into a well-oiled machine, bridging the gap between planning and execution with real-time data on machine status, production progress, and quality control, using lean manufacturing principles to optimize your manufacturing productivity.
3. Financial management
Modules designed for financial management are almost as effective as a dedicated CFO, improving your decision-making and keeping your finances in order by handling everything, from accounting and budgeting to invoicing and financial reporting.
4. Quality control and assurance
A quality management module builds customer loyalty and trust by ensuring product consistency and adherence to stringent standards, which the module achieves by enabling you to track product quality data, manage non-conformance issues, and implement corrective actions.
5. Bills of materials (BOMs) and routing
Modules designed for bills of materials (BOMs) and routing give you a detailed roadmap for every product, helping you precisely define product structure and production processes. These modules make it easy to manage recipes or formulas, track changes, and guide production from start to finish. Plus, you can leave instructions or notes about safety hazards to make sure everyone’s following the right procedures in production.
6. Multi-division planning
Multi-division modules can help you juggle multiple divisions or product lines. This enables centralized planning and scheduling, streamlining operations, and ensuring you’re allocating resources or inventory in the best possible way.
7. Product data management
When you can centralize and manage all your product-related information, the result is like putting a comprehensive, easy-to-navigate encyclopedia at your team’s fingertips. Product data management modules allow you to store and control everything from specifications and drawings to change history and revisions.
8. Engineering change order management
One of the keys to maintaining control in a dynamic manufacturing environment is the ability to systematically control and track your engineering changes. A module designed to manage engineering change orders (ECOs) ensures all changes are properly documented, reviewed, and implemented.
9. Serial and lot traceability
Transparency and accountability are vital to your success, but they’re only possible if you can trace every ingredient and finished product back to its origin. A serial and lot traceability module can provide end-to-end visibility into your supply chain to facilitate recalls, quality investigations, and regulatory compliance.
ERP modules for core business functions
The modules we’ve covered so far are fairly specialized, and not every process manufacturing company will need each one. But a comprehensive ERP software suite will also help you with some of the core functionalities crucial for any business:
- Order management: Streamlines sales and fulfillment.
- Supply chain management (SCM): Optimizes procurement and logistics.
- Customer relationship management (CRM): Manages and nurtures customer interactions.
- Human resources or human capital management (HCM): Manages workforce-related functions like time and attendance, employee records, and payroll.
How to choose the best ERP modules for your business
For manufacturing companies, ERP modules aren’t one-size-fits-all. To decide which modules are right for you, take a deep dive into your business needs. Identify your pain points, bottlenecks, and areas where things aren’t operating as efficiently as they could.
Whether you need the most help with inventory management, production planning, quality control, or compliance, the best ERP modules all have a few things in common. Look for a solution that’s:
- User-friendly: Look for intuitive interfaces and easy navigation to ensure smooth adoption and minimal training time.
- Scalable: Choose modules that can grow with your business, accommodating increased production volumes, new product lines, or even expansion into new markets.
- Customizable: No two businesses are exactly alike, so look for flexible modules that allow you to tailor workflows and reports to fit your priorities and specific business needs.
- Integrated: Prioritize solutions that offer seamless integrations between different functionalities to ensure data flows smoothly across your entire organization.
- Supported: Look for a provider that offers comprehensive training, ongoing updates, and responsive customer service to help you navigate challenges as they pop up.
Optimize your manufacturing operations with Fishbowl
As we said at the start, each department within your business is like an organ in a living organism. And it’s important to organize and optimize your manufacturing operations to keep the whole organization running smoothly. While an ERP might be the solution to your manufacturing needs, we have another solution for you to consider: Fishbowl.
Fishbowl, an all-in-one inventory management platform, is one of the most affordable ERP alternatives on the market, offering all the functionality of an ERP at a fraction of the cost. With Fishbowl, it’s easy to control inventory, navigate warehouse management, streamline manufacturing workflows, and more.
Plus, Fishbowl offers dozens of integrations to promote visibility and keep teams aligned, from CRMs and EDIs to accounting software like QuickBooks.
Are you ready to gain end-to-end visibility over your manufacturing operations and take the stress out of implementing a new system? Schedule a demo of Fishbowl today.