The industrial application of cloud ERP technology is not just promising; it delivers productivity, agility, and resilience across all discrete manufacturing processes. With cloud-based discrete manufacturing ERP systems, businesses can maintain visibility and control of everything from lead times and material costs to inventory and waste, optimising processes and supporting growth along the way. Still, manufacturers are reluctant to move to cloud ERP despite the power they have to generate significant efficiency gains.
In this blog, we investigate the cloud ERP capabilities attracting more manufacturers toward cloud ERP and build on these insights to lay out how you can best leverage discrete manufacturing ERP transformations in today’s uncertain environment.
From reluctance to reliability
Historically, manufacturers have been slower than other industries to adopt cloud ERP, instead preferring to stick with existing on-premise systems. But the tides are changing. We are noticing more manufacturers are reaching out to explore the potential of cloud ERP, specifically NetSuite. Some of the factors driving this interest include:
- The competitive advantage gained from accessing and analysing large volumes of data in real-time
- The shift to hybrid working models and the proven effectiveness of this cloud technology to accommodate this demand for increased flexibility
- Cloud ERP solutions are evolving fast, with frequent functionality improvements. New deployment models are removing the risk associated with cloud ERP implementations of the past
On top of these drivers, manufacturers recognise that the ability to change — to move quickly, adapt, seize opportunities, and be agile - is key to long-term success. And to support this, manufacturing companies need comprehensive solutions that integrate all aspects of a business and its operations.
Let’s take a look at some of the discrete manufacturing ERP capabilities supporting greater business agility.
Real-time access to key insights
A critical capability driving the demand for cloud-based manufacturing ERP applications is the need to develop a better understanding of various aspects of your organisation. With one source of truth providing full visibility into your processes, customers, and business data, discrete manufacturers can identify areas to cut costs and gain efficiencies, forecast with more certainty and make faster, more informed decisions based on real-time insights.
What’s more, by centralising operations, Cloud ERP solutions make it easier and seamless to manage production planning, scheduling, inventory, and other supply chain processes through a single unified system. Let’s dive a little deeper into what this means for manufacturers.
Improving production efficiency
The most profitable manufacturers know the true cost of goods and understand the costs associated with each step in the production process.
Bill of Materials (BOM) is the foundation of production planning, helping manufacturers avoid both scarcity and abundance to ensure they have the correct parts or materials to execute all work orders. A good cloud ERP system enables manufacturers to build and execute against a bill of materials (BOM) and gives them the confidence to know all bases are covered and confidently answer ‘yes’ to questions like, are all the workers and required machinery available to execute a production run next week? Will planned production for the next few months stack up against available materials, as well as what’s on order? Can we adjust production if there are disruptions in supply or spikes in demand?
A more integrated view of inventory movements across the entire supply chain, ensure manufacturers are better equipped to predict future consumer expectations. This doesn’t just apply to production; it also includes orders and fulfilment, and post-sales interactions like returns and reorders. Cloud ERP software delivers this end-to-end visibility to make inventory management productive and painless.
Faster, leaner delivery
Cloud ERP boosts the speed and accuracy of one of the crucial aspects of manufacturing operations: transport and fulfilment. The more seamless the delivery handling process, the faster consumers receive their products. This is made possible with smart software that automates and integrates shipping and fulfilment, allowing manufacturers to address orders from multiple channels.
By leveraging the enhanced visibility of cloud ERP, manufacturers can enrich their customer service interactions and improve the overall experience. Through the modernisation of supply chains, manufacturers can mine customer insights and data to project and predict customer needs to deliver value to customers in real time.
Improving security and reducing maintenance
Cloud ERP is far more secure than on-premise alternatives. After all, the entire business model depends on impenetrable cybersecurity and platform availability. Cloud vendors also take on the responsibility of platform updates which gives customers access to automatic bug-free upgrades and the latest platform innovations. For manufacturers pouring IT budgets into on-premise systems just to keep the lights on, these are some pretty fiscally compelling reasons to make the switch.
Smart cloud-based ERP solutions can create a robust tech backbone for discrete manufacturing operations, and support them to be more sustainable, efficient and profitable. The manufacturers who adopt this future-fit software will emerge with more customers and market share.
Are you ready to explore the benefits of a cloud-based discrete manufacturing ERP solution? At Annexa, we are cloud ERP partners who not only have experience tailoring solutions to our customers’ industry-specific needs, we also have a track record of collaborating throughout the implementation process and sharing our customers’ goals of realising meaningful business value. Contact us today to speak to an expert to learn whether we are the right NetSuite implementation partner for you.
More than just NetSuite experts
At Annexa, we provide industry-leading solutions customised to the NetSuite platform, including financial management. With our in-house integrations, extensions, partnerships and full-service capabilities, we deliver end-to-end solutions for our customers, and provide training and support to ensure the successful implementation of the NetSuite platform.
Contact us today to speak to an expert to learn whether we are the right NetSuite implementation partner for you.
Annexa is a leading NetSuite partner with extensive experience designing and implementing comprehensive and customised business systems, including payroll solutions, financial management, warehouse management and ecommerce solutions
