Warehouse management system for manufacturing industries

What is ERP: Enterprise resource planning system

ERP (Enterprise Resource Planning) are software tools used to control and monitor different areas of the company. They work using the system of interconnected modules, so you can activate those you want.

SME ERP, or enterprise resource planning system can touch on different areas or functions. The most important are Accounting and Finance, Inventory and Distribution, Reporting and Distribution, Sales and Customers and, finally, Purchasing and Operations. The ultimate goal is to improve everyday tasks, to be more efficient and to plan better.

A defining aspect of ERP software is the automation of certain functions and, in turn, real-time access to information. The bottom line is that more can be done with less work.

5 benefits that a business management solution provides to the company

The business management benefits of a specific software solution are many. The 5 most important advantages of these systems are the following:

1. Adaptation to different types of companies

Business management solutions are adapted to different types of companies for two reasons. Firstly, because of the possibility of activating modules independently. The second reason is that there are solutions on the market for production, distribution and service companies.

2. Process automation

Process automation is inherent to the use of ERP. Some functions are performed automatically when some parameters are changed. For example, you will have the possibility to make balance sheets and modify them automatically by changing the data of an entry, just like in inventories. This in actual practice will save time

3. Real-time consultation

The management Systems enable you to check in real time the status of a warehouse, a shipment or the company's current accounts. This information facilitates decision-making because it also enables changes to be made in real time.

4. Cost saving

Simplifying processes leads to cost savings. The software makes achieving the same results and making more realiable projections less labour-intensive. Therefore, it is an interesting investment in the medium and long term.

5. Data consolidation

The use of management software leads to data consolidation, which saves on processes and minimses human error. Consequently, you will be able to access simply by using a previously registered password. This will also give you the ability to operate remotely if you choose to do so.

How can you plan your inventories to meet your demand easily?

Having a software with a warehouse management system will enable you to plan an inventory easily. The three fundamental aspects you have to take into account to give a satisfactory response to your demand are as follows:

Make some preliminary statistics

ERP makes it possible to check the inventory in real time, but also past flows in order to give an answer. It is therefore important to make a comparison with previous years in order to understand market trends. Furthermore, it is also important to remember that these statistics are also useful to see the behaviour of your suppliers and customers.

Control supplier and sales flows

Monitoring the flow of suppliers and sales is important to know what your stock is at any given time. Without this information, it is easy to have gaps that will have a negative impact on your results. However, depending on the sector of activity in which you operate, you may want to stockpile extra funds in order to buy at a better price.

Have a margin for incidents

Incidents are sometimes unavoidable and, therefore, you should have an extra margin in two areas. The first of these, stock to avoid breakage of stock-outs. The second area you need to take care of is timing and this will be done with the storage system you use.

Production planning: the importance of ERP

Production planning is a key issue for any company involved in production planning. Poor planning will lead to increased costs, poorer service and risk to day-to-day business. ERP software is essential because it provides support in the following areas:

1. Stock control

Software tools such as SAP Business One enable stock control. This will help you to know at all times what quantities of materials or finished products are available. As a result, you will know whether you have the necessary amount to work normally and whether there are any unexplained losses.

2. Incoming goods dispatch control

The control of incoming goods dispatches is essential to be able to work well. ERP software provides information on orders placed, received and even their status. Without this data, it would be much more difficult to carry out any planning. This will also make it easier for you to correct any issues on the spot.

3. Price comparison

Price comparison is key to optimising production and saving costs. ERPs, by centralising data and queries, provide the possibility of automatic querying in two decisive ways: price of goods per supplier and price per purchase or per season. At the end of the day, knowing how to buy is important for quality, but also for cost.

4. Peak demand query

Industrial companies may have periods with more demand than others, and knowing this is essential for proper production management. A specialised software tool offers this information easily and in real-time. Therefore, you will be able to respond faster and anticipate bottlenecks.

Incorporating a warehouse management system is essential for any company. In SEIDOR Business One you will find several SAP software options for production, distribution and services, as well as tools adapted to companies in different sectors.