ERP Analytics for manufacturers
Darren Edwards, Head of Product Operations
One of the most achievable and successful ways for manufacturers to become data driven and exploit the business intelligence residing in their organizations is by using ERP analytics to centralize their data on a single platform within their ERP solutions.
As more and more manufacturers embark on digital transformation initiatives to future-proof their operations, the need to manage vast volumes of data meaningfully and become data driven is paramount. Manufacturers are challenged to tackle inadequate reporting and analysis capabilities, inefficient decision-making processes due to siloed data and difficulties in measuring ROI; all while enhancing their ability to respond to changing market trends quickly and accurately.
Analytics embedded into ERP can be used to collect data to monitor the production process in real time – all in the same environment where work is performed. As a result, manufacturers can consolidate millions of data points into structured insights that are easy to understand and act on.
ERP Data in practical terms
Embedded analytics is about finding and analyzing data from all sources across different functions from manufacturing to distribution, finance, supply chain management, logistics and shipping. By centralizing their data on a single platform within their ERP solutions, manufacturers can improve efficiency, reduce downtime, enhance quality control, and increase productivity. In addition, it is easier to identify and address production issues before they become critical.
For manufacturers, the use cases are many and far-reaching. Data can be harnessed from production lines, suppliers, and customers to identify trends, patterns and anomalies. This can lead to improved quality, reduced waste and optimized production processes.
Real-time updates on manufacturing processes enable managers to take swift action and keep production on track. By analyzing data from sensors embedded in machinery, manufacturers can predict when a machine will require maintenance and schedule downtime accordingly, reducing unexpected breakdowns and associated costs. Analyzing data from sensors and cameras, manufacturers can monitor product quality in real-time, identify defects and take corrective action before defective products leave the production line.
From a distribution perspective, future trends in demand for products or potential supply chain disruptions can be predicted, enabling distributors to plan and make informed decisions while mitigating risks.
Of course, improving the bottom line is what it’s all about; so, the ability to measure KPIs such as production output, cycle time and quality metrics is key to making data-driven decisions that optimize operations. Analytics which are embedded into ERP solutions provide access to easy-to-use dashboards and reports that help decision-makers visualize data, enabling them to understand and act on the insights they gain. This empowers teams to improve processes, reduce costs and increase efficiency.
Overall, embedded analytics and business intelligence are powerful tools that help manufacturers turn raw data into actionable insights, unlocking new opportunities and improving their bottom line. To stay ahead of the competition and take their businesses to the next level, the time has come for manufacturers to consider the transformative benefits of centralizing embedded analytics in their ERP systems.
