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3 ERP trends to watch for

Total ETO

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What new and old roles will enterprise resource planning systems play within Engineer To Order manufacturing?

 

Enterprise resource planning (ERP) solutions will continue to be central to how Engineer To Ordder manufacturers plan their operations. This includes estimating jobs, setting targets, and undertaking purchases. While ERP solutions are evolving to run on top of integrated architectures, they’re still at the heart of manufacturing activities.

 

The overall change can be understood as one of form rather than function. The designs, integrations, and capabilities of ERP platforms are rapidly evolving. The tasks they are built to fulfill though, are mostly the same. Once tools such as Excel are no longer sufficient, an ERP is the best way to handle everything. This can range from inventory management to engineering, to financial planning.

 

With this general trend in mind, let’s dig into a few more specific ones. Here are several ways in which enterprise resource planning systems for ETO are set to change:

 

1. Software integrations will become more extensive as manufacturers seek better financial visibility

 

An ERP system is not an island, especially not in ETO manufacturing. It is instead designed to integrate with a wide range of other tools, including:

  • Accounting systems.
  • 3-D CAD solutions.
  • Customer relationship management software.
  • Time and attendance systems
  • The Microsoft Office suite.

 

“The right CRM suite makes it easy for you to find, track and

close new business.”

In Engineer To Order manufacturing, the right CRM suite makes it easy for you to find, track and close new business while personalizing your client relationships. With a straightforward internal CRM, it’s simple to pull customer data and run the reports you need. It’s an efficient way to see where your operations are at any given point..

 

2. Automation and usability will be essential

Enterprise resource planning solutions are frequently portrayed as cost centers due to the high price tags of initial implementations. They can cost between $10,000 and several million dollars, depending on the size of the business. There are additional costs too, such as database management and software licenses for other applications tying into your ERP system.

 

With these costs in mind, manufacturers have looked to transform their ERP systems. Building one of competitive advantage that can quickly return the investment. A common approach here is to seek ERP solutions with well-honed features. These usually include fulfilling orders, creating accurate estimates based on past jobs and compiling contracts for review and acceptance.

 

Modern ERP systems are better equipped for this task than legacy ones, in part because they are so well-integrated as well as highly automated, specialized and easy to use. Accordingly, they stem the data entry errors, duplicate work and lost productivity commonly associated with more manual-oriented solutions. Unfortunately, most Engineer To Order manufacturers are currently stuck doing too much manual entry.

3. Competition in the ERP sphere continues to be strong

The ERP vendor space is crowded. Panorama Consulting listed more than 120 vendors as of early 2016, ranging from large, traditional vendors to ones that serve niches such as CRM and manufacturing. Panorama Consulting revealed that no single solution dominated in all of the categories it assessed, such as implementation cost and duration.

 

The proliferation of ERP systems and competition has given manufacturers more options than ever before. However, for ETO manufacturers the choices are few as they require specific features in an ERP system, such as a dynamically changing nested BOM. Many enterprise resource planning systems are built for traditional mass-manufacturers but are marketed to sub-verticals like Engineer To Order manufacturers. These companies do so, without understanding their needs and required features. Evidence has shown us though, that ETO Integrators, Panel Shops, and OEMs need an ERP designed for them.

Why Engineer To Order matters

Total ETO is an exceptionally configurable and affordable ERP | MRP solution. It’s a system built by Engineers for Engineers, exclusively for ETO manufacturers. It can be connected to any accounting system like QuickBooks or Sage as well as any CAD package like AutoDesk Inventor or SolidWorks. With a modern, industry-specific platform, extensive automation and tools for quotation and negotiation, Total ETO enables teams to reduce their clerical mistakes and get on solid footing.

 

Learn more about Total ETO by requesting a demo today.

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