As an effective ERP solution, is SAP Business One good for manufacturing? The rapid growth and changing dynamics of the global manufacturing domain require an ERP solution that covers multiple aspects of the manufacturing process including inventory resources, operations management, and logistics.
Be it for small or mid-sized manufacturers, the use of SAP in manufacturing sector has provided real-time information to manage production and supply chains.
What are some of the business benefits of SAP Business One in the manufacturing sector? Let us discuss them.
6 Benefits of SAP Business One in Manufacturing
Here are some of the business benefits of SAP for the manufacturing industry:
- Better visibility
Be it into manufacturing supply chains, operations, or inventory, SAP Business One offers improved business visibility into these processes. Through built-in integration with shipping logistics and supply chains, SAP Business One provides real-time information that leads to a better and informed decision-making process.
Additionally, customized and interactive SAP dashboards provide a 360-degree view of your overall manufacturing process along with flexible analysis and insights.
Wondering how does an SAP Business One benefits business? Greater visibility enables manufacturers to effectively address changing customer demands and meet strict deadlines.
- Improved productivity
With its Material Requirements Planning or MRP functionality, SAP Business One has replaced outdated production scheduling with a structured multilevel production process. MRP also enables resource planning for machine maintenance, thus improving overall productivity.
Additionally, the MRP wizard enables faster procurement of materials and production planning that reduces the overall pre-production time efficiently.
- Controls costs
Through an efficient production environment, manufacturing companies can look to SAP solutions to optimize their daily operations, minimize their wastes, and simplify their processes. Informed decision-making through SAP Business One can thus help in reducing costs and increasing business profitability.
- Managing the working capital
In addition to cost control, manufacturing companies need to manage their working capital to run their daily operations. To boost working capital, SAP Business One brings together a comprehensive package from various modules and capabilities. This includes management of:
- Account receivables
- Account payables
- Cash and liquidity
- Inventory planning
Through customized SAP purchasing reports, manufacturers now have a real-time view of their working capital and its challenges, instead of a year-end or month-end report.
- Managing your inventory
With SAP Business One, manufacturers have better control over their inventories through its advanced warehouse tracking feature. Additionally, this ERP solution provides a real-time SAP stock report that documents stock levels and stock transfers between warehouses.
SAP Business One provides the ideal balance between the inventory stock and production capacities, ensuring on-time product deliveries, inventory cost management, and meeting customer demands.
- Adherence with regulatory requirements
Finally, SAP Business One improves regulatory compliance by adhering to standard industry regulations. Regulatory compliance is followed at every stage of the manufacturing process including procurement, supply chain, and final product delivery.
Apart from regulatory compliance, manufacturers can now embed quality control in their manufacturing process thus deriving insights into vendor performance and customer satisfaction.
How SAP in Manufacturing Goes Beyond Business Benefits
SAP implementation in the manufacturing industry goes beyond a few business benefits and functionalities. SAP Business One provides a complete out-of-the-box manufacturing solution at a low price point and faster return-on-investment (ROI).
At a time when customers are demanding on-time delivery of quality products, SAP Business One ensures that you have a minimum inventory holding that does not add up to your inventory costs. Further, SAP Business One is a good fit for implementing a complete SAP manufacturing process that can be integrated with other processes such as purcahase, inventory, accounts and product costing
As an efficient and scalable ERP solution, SAP Business One provides multiple benefits in the highly competitive manufacturing domain.
The technology team at Praxis Info Solutions has been instrumental in leveraging the benefits of SAP Business One for small-sized and large manufacturing facilities around the globe. Need more insight on how SAP can work for your manufacturing process? Book a demo with us now.