How to Find the Best ERP Software for Manufacturing Companies
One of the key challenges in running a successful manufacturing company is effectively managing inventory. In recent years, there have been significant negative impacts on manufacturing operations such as, slowdowns, stoppages and delivery delays, mainly due to inventory management issues.
This is why effectively managing a manufacturing enterprise demands hyper-efficient inventory management. And one of the most crucial aspects of successful inventory management is your Enterprise Resource Planning (ERP) software.
But ERP software for manufacturing companies isn’t a one-size-fits-all problem-solver.
The key to success is in proper selection.
So, what’s the best ERP software for manufacturing companies?
When it comes to managing and optimizing inventory, ERP systems should take a comprehensive approach which maximizes success. Ultimately, the best ERP software for manufacturing companies will depend on the company itself. One ERP software that gives one company increased efficiency, better decision-making and reduced costs may not be an equal fit for your organization, so it’s important to make a selection that’s a good fit for your unique situation and needs.
Consider the following steps to not only pinpoint the best ERP software for your specific manufacturing company, but to also onboard the system successfully with the right provider.
1. Define Your Manufacturing Company’s Business Needs
Before looking for the best ERP software, manufacturers need to evaluate their business needs, goals and processes. What are the specific functionalities that are non-negotiable essentials to have? Then, what would be some other features that would be nice to have but may not be a deal breaker?
Ask these questions for the different aspects of your operations. At a minimum, investigate your needs concerning:
- Inventory Management
- Supply Chain Management
- Accounting
- Production Management
2. Research Your ERP Software Options
Once you’ve identified your needs in an ERP software, it’s time to start researching your options. A good place to start would be reviewing manufacturing industry reports and publications.
Many manufacturing publications provide studies that offer an overview of different ERP software, which will help you understand which options are best positioned to meet your needs.
Online research can also help you identify solutions. Read customer reviews and join online discussion groups to learn more about what options are available and how they have worked for others.
Consider speaking with other trusted manufacturing industry leaders or peers to see what has worked for them. They can likely weigh in on things they’ve tried for their own manufacturing company and share their experience with strengths and weaknesses of different ERP software.
3. Evaluate ERP Software Providers
Once you have an idea of potential options for the best ERP software, you can investigate specific software providers and evaluate them thoroughly. Your vendor will be responsible for ensuring your integration is a success, so it’s important to partner with an experienced provider.
When you vet potential ERP software providers, consider:
- Pricing
- Their track record with working within the manufacturing industry
- Client testimonials and customer reviews
- Their expertise specific to manufacturing companies with a similar size and complexity as yours
- Their own use of technology (to make sure it aligns with yours)
- Implementation time, approach and process
- What training, maintenance and support they provide to your team during the transition
4. Make an Integration and Implementation Plan
With the right tools and the right vendor, it’s finally time for integration!
Once manufacturers have selected an ERP software vendor, together, you’ll develop an implementation and transition plan that includes the timelines, milestones and resources required to ensure a successful implementation.
Your provider will identify the data that needs to be exchanged among your systems and configure and customize the software itself so that it really is the best ERP software for your manufacturing company.
They’ll also help with the critical step of considering how the ERP software will integrate with existing systems, such as accounting software, Customer Relationship Management (CRM) software or warehouse management systems. The ERP software should work harmoniously with other software systems to prevent disruptions in operations.
Lastly, they’ll guide you through the technical process of getting your new ERP software ready to use.
5. Train Your Manufacturing Employees about your New ERP Software
The effectiveness of any technology solution depends on how it is utilized.
Manufacturers need to provide comprehensive training to your employees about how to use your new ERP software. Don’t overlook this step in the hope that they’ll figure it out on their own.
Make sure your team fully understands the functionalities and features of the software, how data entry should be conducted and your process for data analysis.
Learn More about How to Pick the Best ERP Software for Manufacturing Companies
By following these steps, you can select the best ERP software for your specific manufacturing enterprise that aligns with your business needs and objectives, ultimately leading to increased productivity, efficiency and profitability.
A true key in the process of selecting and implementing the best ERP software for manufacturing companies is which vendor you choose. A qualified ERP software consultant can help you identify your needs, qualifications, nice-to-haves, options, implementation process and much more so you can have a smooth transition and a successful new tool for your manufacturing company.
Connect with a Warren Averett Technology Group software consultant to start the conversation today.
