Enterprise Resource Planning (ERP), a most desired application by manufacturing companies. Manufacturing is the most challenging environment and it is very difficult to manage the processes once the company starts growing rapidly. In this situation, most of the business owners try to adopt the latest and most lively applications to ease the difficult situation. ERP is one software application that will automate the entire business processes so that there will be smooth flow of communication between the inter departments.
In the production environment, the production manager has to take care of the scheduling the work orders. Work order tracking is the most challenging issue for the production manager if there is no proper automated system in place. To schedule the process in the production environment, the production manager needs to hold the information on the machinery strengths and capability of the resources. Due to lack of information, it is very difficult to the business manager to schedule the work orders and get the results on timely basis. This ultimately leads to the higher lead times to get the final product. ERP implementation with the help of supply chain management software automates the entire production process and helps the production manager to track the work orders in the system. This will give the opportunity to schedule the work orders properly get the results on time.
The production environment is considered to be the backbone of the manufacturing company. If the business owners don’t have the relevant information on the product resources and capabilities, it is very difficult for him to take the further decisions like increasing the man power and procuring the new machinery etc. If the business owner knows the capabilities of the production resources, he can easily evaluate the resource strengths against the output. This is where the business owner decides to go for utilizing the existing resources optimally or bring the new resources to increase the productivity and profitability of the company.
If you track the origin of the ERP, it is actually designed to plan the manufacturing resources and later on, the application has been expanded to take care of the entire functional departments in the organization.
Saturday, February 13, 2010
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