Category: Company, Shop Management, Customizable ERP, Business Intelligence
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Ways We’re Simplifying Manufacturing
There are many aspects of successfully running a manufacturing company, but having the right ERP software can determine how successful your company is or could become. From our inception, Global Shop Solutions has continued to empower and evolve our customers into operating the most efficient way possible. We created a product thats sole purpose is to simplify your manufacturing. Here are a few ways we have done this.
Realizing how much projects, materials, a product is going to cost, can sometimes be overwhelming in the manufacturing industry. For example, lets say you have raw material costs that have increased a few cents, so purchasing took no notice. You had to change outside service vendors who charge a bit more, but each order is still relatively cheap. Did anyone notify sales? Probably not. What you don’t realize, is that your margins can slowly diminish without even noticing, and you may not even realize that the raw material accounts for 60% of your costs. So finding a slightly lower priced vendor could make a big impact on the bottom line. The more information you have in front of you, the better your decision making ability will be.
” Our business has grown 50% in the past three years, but our indirect costs are exactly the same.”
– Jeff Hollinger, President & CEO, Eptam Plastics
There is nothing more aggravating than having to complete rudimentary tasks in order to accomplish something. If you’ve ever said, “there must be an easier or quicker way to do this,” the answer is yes, there is! What if you are unable to secure the exact materials needed to complete a job, but are able to substitute it with another? Or what if you’re running short on time and need to transfer some jobs to an outside vendor? Do you have to touch each job affected by your change? If you identify with this, then it is clear that’s not a very streamlined approach. By simplifying those complex tasks, you can save time, money and effort.
Shop Floor Communication
People say communication is key. That bell rings loudest on the shop floor. Faster and more accurate communication on the shop floor will avoid confusion and get accurate data quickly both to and from the shop. What happens when a machine breaks down, or an operator notices some maintenance that needs to be taken care of? Do they stop what they’re doing and search for someone? Probably so, but that shouldn’t be the case. An open more direct form of communication on the shop floor is a solid way to ensure the simplification of your manufacturing.
Have you ever been so consumed with small tasks, that you often forget about the big picture? The best way to analyze the health of your business is from a bird’s eye view. Once areas of improvement have been identified, it is then possible to zoom in on specific areas for improvement. Using tried and true performance indicators populated with your system data will show where you are excelling and where you can improve to simplify your manufacturing.