According to a recent study cited by 4-Traders, too few manufacturers have a proper enterprise resource planning software system in place despite how useful they can be.
The study included a survey of more than 200 executives of U.S. industrial and manufacturing companies and found that many of the systems used by these businesses are not effective. While projects are a necessity for 85 percent of the businesses, 39 percent do not have a solution in place to integrate project management with the enterprise's system, the study found.
The study also identified the three top project-driven industries with high processing needs that have the most to gain from ERP systems: engineering, procurement and construction contractors, engineer to order manufacturers and process manufacturers.
"Many of these executives involved with engineering, fabricating or managing highly engineered products or assets believe that running traditional ERP will suffice," said an executive with the company that conducted the survey, in a release. "But traditional ERP focuses only on products, not the types of projects associated with something like engineering or constructing a processing plant, or asset lifecycle management processes like maintenance, plant shutdowns and lifecycle extensions."
ERP originally became popular for manufacturing companies because it created an uninterrupted flow of information that was accessible by anyone in the enterprise, Manufacturing Digital reported. The systems could be customized to specific business needs as the company evolved.
Now, after more than a decade, ERP still holds its place in the modern manufacturing industry, the article stated, as the technology is able to continue to evolve and suit the enterprises needs. To best leverage ERP, a manufacturer should consider integrating solutions such as RFGen's mobile data collection technology, which is compatible with a range of top ERP products from providers including Oracle, Deltek, Microsoft and SAP.