Best ERP system for manufacturing companies [including 3 case studies].
Best ERP system for manufacturing companies
For manufacturing companies serious about digitizing, the choice of an ERP system determines how well processes remain manageable. Especially in the process industry, standard software is often inadequate. SAP Business One is then definitely the best choice.
SAP Business One clearly differentiates itself from other ERP systems for manufacturers with complex production processes.
In this article, we show through real-life examples why SAP Business One is the best ERP system for manufacturing companies.
What is the advantage of SAP Business One for manufacturing companies?
Not every ERP system is a good fit for complex manufacturing environments. Different requirements play a role in the process industry than in, for example, trade or services. Consider:
- Recipes and formulas instead of bills of materials
- Batch registration and traceability
- Quality controls and compliance
- Planning based on capacity and raw materials
- Variable manufacturing processes
Many standard ERP solutions offer only partial support for this. This often leads to workarounds, loose Excel files and additional manual work. This is precisely where loss of overview occurs.
Those looking for the best ERP system for manufacturing companies therefore look beyond basic functionality. SAP Business One is set up to do a good job of supporting these types of processes, especially when combined with industry-specific extensions for the process industry.
Those looking for the best ERP system for manufacturing companies look beyond basic functionality.
Why SAP Business One is such a good fit for the process industry
SAP Business One is often chosen by manufacturing companies that need to get a grip on their processes without sacrificing flexibility. This is reflected in a number of key components:
- Working with recipes and variations. Instead of fixed bills of materials, companies can work with recipes. This makes it possible to easily implement variations, for example in the case of changing raw material prices or customer requirements.
- Full traceability. From raw material to finished product: every step is recorded. This is important for quality assurance, audits and possible recalls.
- Process integration. Purchasing, production, inventory and sales work together in one system. This prevents duplication of effort and ensures that information is always current.
- Understanding costs and margins
Because all the data comes together, there is better insight into cost prices and returns per product or batch.
Case studies from the process industry
You can only really see the added value of an ERP system in practice. Below are three examples of companies working with SAP Business One.
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Palital: grip on production and quality
Palital ran into the problem that production data and quality information were fragmented across multiple systems. As a result, it took a lot of time to gain insight and adjust where necessary.
With SAP Business One, they now work from one central environment in which recipes, production and quality data come together. This gives immediate insight and makes it possible to react faster to deviations. On the customer case you can read how this is set up in practice. Read more...
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Oriental Holding Europe: support for growth
Oriental Holding Europe was experiencing strong growth, while existing systems were not scaling adequately. This created a lack of overview and coordination between departments and locations.
SAP Business One brought all processes together in one system, allowing better information sharing and keeping the organization manageable, even with further growth. The full customer case explains this further. Read more...
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Vesta Chemicals: insight into the supply chain
Vesta Chemicals lacked an overview of inventory and product flows, which made it difficult to report quickly and accurately to customers and internal stakeholders.
With SAP Business One, they now have full traceability and better insight into their inventory positions. This provides more control and faster decision making. More details can be found in the extensive customer case study. Read more...
When is SAP Business One not the right choice?
SAP Business One is not the best solution for every manufacturing company. Organizations with relatively simple processes or limited production complexity often have enough with lighter systems.
Companies that use fully customized software and have no need for standardization are also less likely to choose an integrated ERP system such as SAP Business One. Although?
Sometimes the scale or international complexity of an organization may require a heavier ERP platform than SAP Business One. In such cases, solutions for corporate companies sometimes fit specific requirements better than a package developed for SMEs. Read more here...