ERP Implementation: Pain Areas & Solutions

Enterprise Resource Planning or ERP can help a business move forward with paperless, secure, and efficient management.

The advanced technologies of the modern era provide the option of using enterprise-wide solutions like ERP software systems to manage businesses well.

This software enables both manufacturing and service industries control all the activities from a centralized location. ERP primarily helps in the saving time, cost, and hassles of operational work.


Pain Areas of Using a Non-Integrated ERP System

Many organizations, especially manufacturing companies are still stuck to the age-old non-integrated ERP system.

In such a system, the functions such as documentation, inspection, product control, process control, supplier/customer communication, employee training and calibration work in a fragmented way, just like separate entities.

In such prevalent systems, there could be several potential communication issues.

It is because there is no defined or structured method through which people and process in various segments would communicate with one another. This causes delay in the process, standardization, and deliverable.

Without proper integration, an ERP system cannot work effectively to provide the desired results, and that is where the conventional approach is falling short.

Integrated ERP System – An Effective Approach

An integrated ERP system synchronizes the key management areas, which include the following:
  1.  Supplier
  2.  Customer
  3.  Employee
  4.  Documentation
  5.  Product
  6.  Process
  7.  Maintenance
  8.  Calibration
  9.  Inspection of data collection
  10. Non-conformance management
  11.  Preventive action
  12.  Product quality planning
  13.  Production part approval process
  14.  Cost of quality
  15.  Audit Management

An ERP system with all of the above areas becomes part of the workflow. In this process, it is easier to gather and unify the isolated information as a comprehensive source for quality assurance. The tool provides real-time data to track the workflow and all the aspects related to quality. 


Features of Advanced ERP Systems

These days, an ERP works through a Statistical Process Control (SPC) system that helps in performance and capability analysis by providing pre-production process analysis.

The features of a system are below:
  •  Automatic and continuous calculation of statistics on process capability
  •  Six Sigma chart with color coding
  •  Capabilities of monitoring automated basic/advanced SPC
  •  Notations of cause or process log on-screen tied to various subgroups
  •  Scope of drilling down data by date, time and subgroup details
  •  Access to pre-control or charts.

An ERP system can address various quality issues and provide solutions within specific areas of operation.




Solutions that a State-of-the-Art ERP System Offers

An organization can drastically improve its production and operational efficiency by revamping the three key areas. Here we go:

§     Flexibility in Scheduling Product/Service – An advanced ERP system can help a company achieve more flexibility to work according to the customers’ changing requests.

Also, the system provides complete transparency to check potential impact of such changes on various aspects of the manufacturing or operational process. The system also reduces the turnaround time significantly.


§    Improved Quality – An organization can initiate its quality control process well before the production or operational process begins. This process integrates with all the steps during the work-in-progress and discard any defective piece or a flaw in the process right away. By reducing wastes including return of products, the costs become minimal, and quality improves. 


§  Better Maintenance – Implementing the right ERP system enables a company to streamline the maintenance process. Using this, the company can bring down its unplanned downtime and increase revenues. The integrated features of an ERP system helps in planning maintenance downtime of equipment at minimal cost.

In the end
By implementing a top-notch ERP system, businesses can track and manage all the quality systems by adhering to the industry-specific standards and regulations.
Organizations can implement an ERP system either as an integrated solution, or as a stand-alone configuration.

About the Author

Ananya Patel is a Business Writer and an Associate at Merino Services, a Global Leader in ERP Software Consulting & Implementation.

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