Proof Positive: Modern Manufacturing Strategies Should Include Cloud ERP

Modern manufacturing is too complex for manual processes, and relying on disparate systems to run your business drains precious time. In fact, thirty-eight percent of manufacturers say they face serious delays in decision making because of lack of timely information.1

Cloud ERP gives you the visibility and control you need to compete—without disruption to your business or heavy IT investments. If you’re still not sure about the value that cloud ERP can bring to your business, here’s some proof:

Proof Point: ERP Automation and Best Practices

From barcoding inventory moves to enforcing quality standards, an ERP system built from the shop floor turns manual, error-prone processes into automated workflows that not only increase efficiency but also create a digital record. This is where transformation really happens because now you have data you can use to make better decisions throughout your operations.

Process manufacturers can turn compliance and quality into a competitive differentiator instead of a cost center. Discrete manufacturers can reduce scrap and increase inventory turns. An LNS research report on closed-loop quality management showed that manufacturers who rely on a system that incorporates quality management best practices translates into a 12.7 percent higher rate of successful product introductions. The same report cited a 67 percent lower median supplier defect rate for companies who use quality management best practices—which could help avoid a major product recall.2

Proof Point: Real-Time Production Data

Gaining a real-time view into what is actually happening on the shop floor and how that affects your ability to deliver on time is a game changer. A single source of accurate operational data, consolidating all facility information into a single cloud database, is available to anyone in your company over any device, from anywhere. You can see and understand every aspect of your operations to make more informed decisions with data you can trust.

Manufacturers with a complete ERP solution are 52 percent more likely to gain real-time visibility into all processes, and those with that visibility perform much better for on-time delivery, schedule compliance, and inventory accuracy. In fact, a complete ERP even impacted profitability—companies with this system saw an eight percent improvement over two years.1

Still want more proof? Download the Aberdeen Group report: The Unified Manufacturing Environment: Transparency, Collaboration, and Decision-Making with End-to-End ERP.

1. The Unified Manufacturing Environment, Aberdeen Group, April 2015.
2. Closed-Loop Quality Management: Connecting the Value Chain, LNS Research, November 2014.