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Why Do Some Manufacturers Thrive With Their ERP While Others Do Not?

Written by Bill Reidmiller of Synergy

From my experience, there are three fundamental reasons why some manufacturers thrive with their ERP while others do not; Process Mapping, Data Integrity, and Continuous Improvement.

Process Mapping is the key to ERP implementation success.  Documenting the step-by-step Current State process then defining, testing, and documenting the Future State process utilizing the new ERP functionality helps identify waste and streamline processes.  This important step is the foundation in which the ERP system is built and utilized.

Data Integrity is a crucial element to build on the Process Mapping foundation to enable the longevity of an ERP system.  Does your data stand the test of time?  Many companies utilize a portion / abbreviation of the Customer and Vendor names as a primary search, or the Manufacturer’s part number as the primary search for parts.  This practice, while seemingly harmless at the start, will eventually succumb to the dreaded ***DO NOT USE*** in Customer, Vendors, and Parts when names or numbers change, or different suppliers are used for products.  Utilizing a numbering schema that has a primary focus on categories and a secondary search on description hierarchy maintains the data integrity for years to come and allows for changes that will not disrupt the history.

Continuous Improvement is an essential part to ERP success.  Once the ERP wheels are in full motion there are constant changes that evolve.  This can be in the form of process changes or business practices that require a review / modification to the Process Map and the reeducation of staff to ensure continuity and repeatability, utilization of new features, identifying waste and improvements through the T.I.M. W.O.O.D. methodology, and SMED or Kaizen events.

Need guidance?  Synergy can help, please contact us.