Business Automation and Software Blog

Why Supply Chain Management Needs ERP Software Now

Posted by Robert Baran on Wed, Mar 21, 2018 @ 11:00 AM


Supply chain management, the management of the flow of goods and services, is a key part of a business’s forward movement and its warehouse management. It involves everything from design to planning to execution and control, to logistics and performance measurement. All of this is to ensure a business is keeping up with the supply and demand of its customers.

Technology plays a vital role in supply chain management via enterprise resource planning (ERP) systems that assist in the required monitoring and controlling of costs, productivity, supplies, and inventory. Cloud-based ERP software adds an extra level of assistance by allowing remote access to information from virtually any mobile device. Now information flows easily between data sources—even disparate ones—allowing shared information and resources to augment the power of supply chain management.

The Next Frontier

For the past two decades, manufacturers have worked systematically to improve their operations. Improving product quality, boosting productivity, and finding competitive advantages have all helped manufacturers remain focused and profitable. Now they are tackling the next frontier: supply chain management.

Supply chain management has always presented unique challenges to manufacturers. In order to manage changing marketplace conditions, lower costs, and offer faster shipping, many companies are finding they need to rely upon a network of suppliers—rather than a few chosen ones—to complete their orders. It’s a rare company today who works with only a handful of selected suppliers. This provides its own set of unique challenges.

Integration of Information
Fragmented information is the source of many delays across the supply chain. ERPs provide a comprehensive management system that integrates transactions, materials planning, and many other functions into one complete system. With one seamlessly integrated ERP system, much of the fragmentation is removed and information becomes cohesive and shareable.

Increasing Demand for Mass Customization
Throughout the industry, there is increasing demand for mass customization. Companies can no longer keep substantial inventory in stock to have materials ready for shipment when so many orders require some form of customization. With its ability to manage multiple vendors, keep track of inventory, and track orders from start to finish, an ERP system can help you meet the demands for mass customization.

Supporting the Management and Deployment of Resources
ERP systems also offer you the ability to manage and deploy resources from multiple vendors—parts from a supplier on the East Coast, raw goods from the West Coast. You can manage them all through the ERP system. This ability to manage a complex assortment of goods across multiple orders provides a strong, competitive advantage.

Enhance Your Supply Chain with ERP Software

The right ERP can improve collaborative planning, enhance your supply chain strategies, and help you meet the growing demands from a global customer base. If you’re not already using an ERP system in your supply chain management, it’s probably time to consider one.

Find out how PositiveVision can help you get everything you need with a new ERP software today.

Topics: crm software