Other automated ERP features include:
- Accounting—ERP automates many accounting processes, making it quicker and easier to complete everything from daily accounts payables and receivables to monthly closes. For example, invoices can automatically be scanned and mapped to your ERP system, so that employees need not enter data with keystrokes.
- Inventory—With automated inventory processes, shops can track material movement, such as picking materials and lot tracking, from anywhere on the floor; transactions instantly get recorded in inventory.
Computer-based CNCs offer a great example of how machine
automation can lower production costs and increase speed without sacrificing
quality. Using a programmable logic controller (PLC), automated CNCs can
control an assembly line, robotic device or other equipment that requires high
reliability. The PLC guides the process by connecting to the CNC machine and
sending job data directly to the ERP system. Depending on the CNC and the
complexity of the part being made, manufacturers often can make parts without a
human operator present, or with minimal human interaction.
Growing numbers of manufacturers are using automated CNCs for lights-out manufacturing—the process of making parts overnight without any operators clocking in and out of the job. Making parts with minimal staff for 2nd and 3rd shifts mitigates the shortage of skilled employees, increases output and reduces labor costs.
On routine or less-complex processes, automated machines
reduce scrap and rework by producing repeatable accuracy unmatched by even
highly skilled operators. Some automated machines also can perform multiple
operations, eliminating the time required to move materials among workcenters.
One caution with automation: implement it carefully and with
a strategic perspective that aligns with your business and operations
strategies. Every automation investment should have a clearly defined purpose
and an outcome that supports long-term business goals.
Integration
Few innovations have impacted the manufacturing industry as much as ERP’s ability to communicate with third-party software applications and other IoT technologies. Integrating ERP with third-party applications vastly increases the amount of data available by feeding it directly into the ERP system. This enables manufacturers to make real-time decisions, and with confidence because you can trust the data.
One integration every manufacturer should implement: electronic
data interchange (EDI), promising to save time and money by enabling the
exchange of business data between two computers across different platforms.
Purchase orders, invoices, inventory levels, shipping notices and other
customer information can instantly be downloaded into the ERP system,
eliminating the need for manual data entry and ensuring accuracy. Customers and
vendors can receive data from you in the same manner.
Other widely used integrations include:
- RFID, a multi-faceted tool that improves the speed and reliability of employee logins, facilitates fast and accurate payroll processing and tracking of job costs, provides real-time tracking of materials movement and more.
- CAD interface, which enables the building of huge bills of materials (BOMs) in a fraction of the time it normally takes—a must-have for shops that regularly build large, complex BOMs. Data can then easily be imported into the ERP.
- Nesting interface, a feature that automatically configures part shapes on bulk pieces of stock material to optimize usage and minimize waste, and allows for two-way, bi-directional communication between the ERP and nesting software.
- eCommerce integration, which allows customers to order and pay directly from your website, and then sends job data to the ERP system to launch the production process. Integrating your website also lets customers check on order status and shipments without human interaction, providing 24/7/365 service.
- Human resources and payroll—Integrating these functions to an ERP system can reduce HR personnel costs by managing employees and benefits in one system, and allows companies to use a best-in-class partner of choice.
Tailored ERP
ERP systems that let manufacturers tailor the software allow
users to customize screens, programs and processes to meet their exact needs,
providing a real advantage in the race to do more with less. This includes
adding or removing functionality and automating processes to maximize
efficiency and productivity.
Tailoring how shops organize and manage data offers a
perfect example. In the manufacturing world, data is simply data until it
becomes information. The best way to turn data into information is with interactive
dashboards that let users customize the screens so that they look and act
exactly as needed. Suppose an ERP system comes out of the box with a purchasing
screen that displays 20 fields and six buttons, but only 10 fields and three
buttons are needed. With tailored ERP users can remove unwanted fields and
buttons and see only the data they want to see.
Some ERP systems provide two ways to tailor dashboards: build
them from scratch using a dashboard-designer program; or using a
software-development kit (SDK).
Dashboard designers are handy tools that allow users to pull real-time
data from the ERP system to create custom layouts and grids that are easy to
filter and sort. The programs also include custom widgets and visuals such as
charts, pie graphs, sales and territory maps and gauges.
With an SDK, manufacturers can customize existing dashboards
built into the software, by:
- Tailoring screens for specific users and creating applications specific to manufacturing processes.
- Changing standard screens by removing or adding functionality to maximize efficiency.
- Creating, scheduling and automating reports or workflow beyond what is included in the ERP’s standard applications.
- Pulling data and functionality from several screens into one.
Interactive dashboards offer another important feature: They allow users to perform job tasks related to the information on the screen, such as receiving incoming materials or editing a work order in progress. Until recently, performing job tasks in standard dashboards required clicking over to another screen and then back upon completing the task. Interactive dashboards combine dashboard data with functionality in one screen. Rather than only reviewing data, users can perform everyday job functions directly from the screen to work faster and more accurately. Eliminating the need to click on another screen may seem inconsequential, but when you consider how many employees click over and back dozens or hundreds of times per day, it can add up to significant time savings. MF
See also: Global Shop Solutions
Technologies: Management
