Manufacturing companies must have clear visibility of their operations and processes. Good visibility allows them to ensure timely procurement, the right inventory, smooth production, and an efficient supply chain process and gain a competitive edge.
This article will discuss visibility in manufacturing, its significance, areas that require maximum visibility, and how an ERP system can help achieve improved visibility.
What is visibility in a manufacturing business?
Visibility in a manufacturing business refers to capturing real-time data and accessing accurate information about crucial aspects of operations. This includes inventory, resources, and performance metrics, essential for trend analysis and continuous improvement.
Areas of a manufacturing company need maximum visibility
Production Visibility
Production serves as the heartbeat of any manufacturing enterprise. Maximizing production visibility entails having real-time insights into production schedules, workflows, machine status, and resource allocation. With comprehensive visibility, production managers can anticipate bottlenecks, optimize resource utilization, and proactively address issues to minimize downtime.
Leveraging advanced technologies such as Industrial IoT (IoT) sensors and Manufacturing Execution Systems (MES) can facilitate granular visibility into production processes, empowering decision-makers to enhance operational agility and responsiveness.
Inventory Visibility
Effective inventory management is pivotal for meeting customer demand while minimizing excess inventory carrying costs. Visibility into inventory levels across warehouses, production facilities, and supply chain nodes is indispensable for optimizing inventory replenishment, mitigating stock outs, and reducing inventory holding costs.
By implementing robust inventory tracking systems integrated with ERP software, manufacturers can gain real-time visibility into inventory levels and locations, enabling aggressive inventory planning and precise demand forecasting.
Visibility in Dispatch & Order Fulfillment
Timely order fulfillment and efficient dispatch operations are crucial for meeting customer expectations and sustaining competitive advantage. Visibility into order status, shipping schedules, and delivery routes is critical for ensuring on-time delivery and customer satisfaction.
By deploying Transportation Management Systems (TMS) and Order Management Systems (OMS), manufacturers can achieve end-to-end visibility into order fulfillment processes. Optimize route planning, and dynamically allocate resources to expedite order processing and shipment.
Visibility in Costing
Accurate costing is imperative for maintaining profitability and making informed pricing decisions. Visibility into cost drivers, overhead expenses, and production costs enables manufacturers to identify cost-saving opportunities, optimize resource allocation, and enhance cost efficiency.
Implementing cost accounting systems integrated with ERP solutions empowers organizations to gain visibility into cost structures, analyze cost variances. And track cost performance across different operational units, facilitating informed decision-making and strategic cost management.
Quality Control Visibility
Quality control is paramount for ensuring product conformance to specifications and upholding brand reputation. Visibility into quality metrics, defect rates, and compliance standards is essential for identifying quality issues. Implementing corrective actions, and continuously improving product quality.
Leveraging Quality Management Systems (QMS) equipped with real-time monitoring capabilities enables manufacturers to monitor quality metrics throughout production, detect deviations from quality standards, and implement preventive measures to uphold product quality and customer satisfaction.
Conclusion
Acumatica ERP offers a comprehensive solution to enhance manufacturing businesses by streamlining operations, optimizing resource utilization. And providing real-time insights for informed decision-making. Its flexible and scalable platform empowers manufacturers to improve efficiency, reduce costs, and enhance overall productivity throughout the entire production process.
With modules designed specifically for manufacturing needs, Acumatica ERP facilitates seamless coordination across departments, enhances inventory management, and fosters better collaboration among stakeholders. By leveraging Acumatica ERP, manufacturing businesses can achieve greater agility, competitiveness, and profitability in today’s dynamic market landscape.
Vijay comes with a vast experience in ERP and enterprise solutions space with about 20 years of experience in various packaged application like Acumatica, SAP, Orion, Salesforce.com, SugarCRM and, SalesLogix.