ERP Derived From Manufacturing Software
Difference between ERP and manufacturing software
When we talk of manufacturing software systems, the discussion usually veers towards the ERP systems which are sophisticated versions of such software. The ERP software usually comprises of range of features and functionalities as well as combines all facets of the production process. The key capabilities of manufacturing software are all combined in ERP software and it goes beyond and embraces other aspects and functions of the organization as well. There are many manufacturers who have businesses of varying sizes but they all require MRP software or a Manufacturing Software system like ERP to take care of their business needs for all departments. Such software can help to streamline all aspects of production as well as take into account all forms of necessary operations. The end result is that one has a dramatically improved production process which is optimally utilized from the aspect of raw material, product distribution, inventory management, customer management, vendor management and so forth. So how does such software achieve all this? There are some vital features of ERP software which has been derived from manufacturing software that allows one to get the competitive edge in any industry.
ERP software and its different modules
The MRP software is an important module of ERP software and to this day such a module impacts the production processes and decisions greatly. There are also engineering tasks that need to be taken into account and such modules are also present. One can have the production process blueprint inbuilt in such a system as well as bill of materials and control processes inbuilt. Hence, one can have all floor plan details included in such engineering modules of ERP software. The planning of demand and forecasting may seem to be an input to the production process but it does not lie outside the purview of enterprise resource planning software. The inclusion of statistical tools to help management to strategize and reach such decisions is what separates ERP from the previous manufacturing software packages. Such strategic modules can help to prepare companies when it comes to meeting sales requirements, eliminating waste, minimizing the excess stocks and so forth.
Similarities with manufacturing software
Purchasing is another important module which takes into account the economies of scale and can adjust the demands of production accordingly. Hence, purchasing is a module that can track how vendors are supplying the goods, whether there is a variation in demand, to ensure just in time supply of goods, minimizes waste and so froth. Production is the most important module of ERP software and this is where most of the traditional manufacturing software setup is derived from. The production scheduling and running of the same; tracking the actual output against targets set as well as calculating efficiency of production systems are all part of this important module in ERP software. Thus, we can see that, ERP has originated from the traditional MRP software and the manufacturing software but it now encompasses other vital functions of the organization as well.