6 Benefits of Cloud ERP for Manufacturers
20 July 2023
20 July 2023
Paula Yarwood, looks at the benefits modern, cloud-based ERP capabilities can bring to manufacturers across all industry sectors.
The national and international headwinds facing manufacturers in 2023 show few signs of abating. Brexit, the pandemic, war in Ukraine and last year’s mini budget, have all conspired to put pressure on the labour and supply chain challenges facing the industry.
In response, digitalisation is proving pivotal in responding to this new environment effectively, counteracting risk, and driving profitable growth. According to Deloitte’s 2023 manufacturing outlook, the sector as a whole must continue to ensure that digital investment support current concerns related to inflation and economic uncertainty, including holistic and smart factory initiatives.
Against this backdrop, when it comes to ERP, selecting a modern, cloud-based platform is key. Those who adopt the right platform are more agile, flexible and efficient, which in turn puts them in a much stronger position to build better customer relationships and expand market share. But in building a business case for investment, the devil is in the detail.
So, what are the specific advantages of a modern, cloud ERP?
Every industry is different, and managing the complexities of an engineer-to-order environment versus, say, a food processing model, whilst still in the same realm, are worlds apart. Ensuring that ERP supports the specific needs and nuances of a given vertical used to mean compromising on scale and support. The best cloud-based ERP platforms are now designed with out-of-the-box capabilities, encompassing last mile functionality and proven best practice built to run your business in the way you need to. Crucially these not only maximise adoption but deliver the necessary flexibility, data-driven decision making and security necessary to garner growth.
Because all data is located centrally, from stock quantity levels, production schedules, quality control checks and workflow, a deeper understanding of all aspects of your business can be achieved. In turn this allows performance to be analysed and managed in real-time. This not only allows finance teams to stay one step ahead of any issues or exceptions, but allows the executive team insights from which to focus on implementing strategies focused on making operational improvements
The only real way to mitigate the many challenges at play is to respond to them faster, and with greater levels of insight, than your competitors. A modern cloud-based ERP delivers the in-depth 360 degree visibility from which to quickly respond to customer, supplier, and regulatory needs.
When expanding, launching new operations or diversifying into new areas, a cloud-based ERP platform allows you to seamlessly extend capabilities and bring new entities or operations on board easily. With no need to deploy new onsite infrastructure, where any change can be slow and complicated to achieve, resources can focus on strategy rather than the back office.
Innovation is the lifeblood of economic success and as consumers demand ever more ever faster, it has never been more important to ensure a culture which in entrenched in innovation culture into the strategy of today’s modern manufacturer. Cloud-based ERP delivers a foundation from which to pivot, adjust resource allocation and develop new ideas.
Cloud-based ERP is faster to implement than traditional systems, which expedites time to value and ensures improved performance, quickly. And because the software is continuously updated, including world-class security and protection, operating costs are fixed to allow greater planning and predictability.
Every cloud-based ERP has its respective merits and shortfalls. However, the best systems will provide the scale, agility and industry-specificity from which to run your business optimally, and deliver seamless updates to reduce your IT footprint and associated maintenance.
Through working with an experienced partner, you can ensure that you instil the right foundations from which to help address a constantly evolving economic landscape, and build market share in the years ahead.
For more information on how the Inforlogic support team can guide your business through the digital adoption process, get in touch or call the team on 01606 720499.
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