ERP: Are bracing yourself for more supply chain challenges? Or do you have a plan?
Raw materials shortages, rising prices, transportation woes and volatile consumer demand - the outlook can be frightening.
When it comes to supply chain challenges and the macro-economic outlook, what is your plan?
Be proactive. Take action now to prepare your helmet and goggles manufacturing company to make tough decisions when the time comes.
However, you can't make tough decisions if you don't have the data!
Most manufacturing companies in our sector do not have the budget to purchase a full-blown top-of-the-line ERP (Enterprise Resource Planning) software solution.
And, frankly, top-of-the-line global software solutions are overkill for most mid-size (and even large) companies in the helmet and goggles manufacturing space.
Nevertheless, your brand needs to be compiling business wisdom.
What is a realistic ERP solution for your company? Defining your functionality parameters requires someone to take a global view of your operations to determine the right provider, a combination of providers or simply tweak your existing systems.
You will be surprised at how useful the right ERP approach can make your business more nimble.
- The first step is taking inventory of all your resources. Do you have cash, raw materials, personnel and the capacity to manufacture to meet an uptick in demand? Do you know the bottom line cost of all of the above?
At any given time, you should be able to get the answers from all the departments as to where your company stands regarding capability and resources.
- The key to a sound ERP system is NOT the historical reporting you have probably been relying on until now - it is the ability to flag when you are overstretched on resources or encountering manufacturing challenges to meet your commitments ahead of time.
Shift to what the market is telling you quickly with an ERP system. When I talk about an ERP system, it doesn't necessarily mean some off-the-shelf software that takes ages to customize.
Gathering the RIGHT data could mean taking a bird's eye view of the workflow, setting up a process, adding software or hardware, coordinating teams and/or incorporating existing spreadsheets.
In short, it means having a central repository for decision-makers to access essential information quickly.
- Save time. Having data captured online or input from offline sources in a central ERP system helps managers make rapid decisions and helps coordinate different departments. It is also possible to automate certain functions to save managers and owners time to dedicate more time to strategic matters.
Please, don't keep pumping out that product when retailers are not moving it fast enough. Of course, this just ends up with those horrible 70% end-of-season sales that don't make anybody any money.
Getting employees to accept a new way of doing things and planning isn't always easy. However, a creative out-of-box thinking approach, pre-selecting system solutions, and demonstrated sector expertise help get department managers and stakeholders on board with ERP.
Let's spend some time discussing your supply chain issues and how I can help your brand with new ideas. Contact me here.
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