What are the Main Criteria of Choosing an ERP for Manufacturing Company?

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What are the Main Criteria of Choosing an ERP for Manufacturing Company?

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ERP (Enterprise Resource Planning) software package for manufacturing companies has to be chosen brilliantly, as it is a costly and time-consuming process for many organizations.

Transcript of What are the Main Criteria of Choosing an ERP for Manufacturing Company?

Page 1: What are the Main Criteria of Choosing an ERP for Manufacturing Company?

What are the Main Criteria of Choosing an

ERP for Manufacturing Company?

Page 2: What are the Main Criteria of Choosing an ERP for Manufacturing Company?

Choose Proven Expertise Products

Manufacturing companies should Choose ERP Software that fits their business processes. Enough time has to be taken to understand which ERP system has the specifications and operations that address your organization’s challenges. Check if the vendor is able to describe success of your organization and address key requisites such as regulatory mandates

Page 3: What are the Main Criteria of Choosing an ERP for Manufacturing Company?

Choose a System Greatly Associated with Company’s

Technology Scheme You will need to bring in your IT department in the planning and selection process during the early stage. This will help the specific department to check if the ERP software for manufacturing fit the entire technology scheme of the company and if the existing resources are sufficient to manage the proposed systems, such as database management, servers and safety and security protocols.

Page 4: What are the Main Criteria of Choosing an ERP for Manufacturing Company?

Handle Functionality Requirements

Though there are a lot of unique manufacturing software packages, a manufacturing organization needs a perfect solution that can be highly integrated into a centralized ERP in manufacturing system. Functionalities that a manufacturer needs are dependent on the production processes and industry focus.

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Weigh the Cloud-versus-Premises DecisionA ERP Manufacturing Company needs to consider a cloud-based system as a service for ERP solution. Customers will be greatly benefited from the cost efficiencies aligned with cloud systems. A cloud-based system will offer functionalities, such as scrap and production tracking, equipment effectiveness reporting, support for part members, process and work guidelines

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Check and Ensure Vendor References

Careful and cautious investigation is appreciated when checking out ERP for manufacturing company, instead of just accepting his crafted list of references. You will want to ask the vendor for a list of relevant and specific clients that have been using his system for a year or more in the manufacturing industry. It is wise to make on-site visits accompanied with a team of knowledgeable persons from your firm who will be most affected by the ERP decision

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Consider TCO and ROI when Calculating Costs You will want to consider the ERP project budget including initial execution and entire cost of ownership. Ensure you have a good understanding of deployment costs. Typically, a solution quote includes initial year support, software and implementation consulting. Initial implementation cost typically includes a full ERP software for manufacturing system for a single site, however extra sites and modules will add to the cost.

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