What Functions Does a Factory ERP System Have? What Management Problems Can It Solve?-数夫软件

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What Functions Does a Factory ERP System Have? What Management Problems Can It Solve?

Published on: 2019-05-21

What functions does a factory ERP system have? What management problems can it solve? For factories, when scale increases, management problems also increase accordingly. In factory production processes, we often see production phenomena such as production schedules existing only in form, the accumulation of semi-finished products in various production departments, and low attainment rates for production plans. How should these management difficulties be solved?

What Functions Does a Factory ERP System Have:

I. Integrated management of production resources

During factory production, situations such as wasted production parts and excessive accumulation of warehouse materials are often encountered. In ERP software, these problems can be easily resolved. A standardized, unified, and complete production database can be established in the system, and data from different regions, systems, and links can interconnect and interoperate. This enables real-time control of production dynamics, rapid improvement of collaboration efficiency, and effective prevention of production problems and failures. It can integrate multiple production modes, multiple production lines, multiple departments, and multiple personnel, as well as machines and equipment, work centers, processes and techniques, and manufacturing processes involved in production, thereby avoiding capital difficulties caused by idle resources and waste.

Factory ERP System

II. Production process control

Different management problems often arise in all stages of factory production, causing production to fail to be completed on time and delaying delivery dates, thereby affecting enterprise reputation. These management problems have long troubled factory production management. However, if a production management system is used, these issues can be easily solved. For example, ERP software can help factories realize whole-process integrated management. From BOM, process, forecasting, planning, orders, workshops, and outsourcing to quality inspection, piece-rate accounting, and cost accounting, information is highly shared, processes are automatically connected, and the process can be easily controlled. It provides simple processes, intermediate processes, and complete processes to fully meet production process requirements. It also supports customized approval flows, refined control of every link in the production process, continuous optimization of production line performance, advance avoidance of risks, and resolution of various problems caused by factory production links.

III. Automatic production scheduling
In production, situations such as production schedules existing only in form, unclear bills of materials, and frequent emergency or inserted orders often occur. To avoid these situations, production plans and bills of materials in Zhibang International ERP software can be automatically matched and calculated. Material forecast orders can be generated to arrange procurement. Through production order calculation, time estimation and production capacity balancing can be carried out automatically. It can quickly respond to inserted and urgent orders and automatically arrange the start time, production workshop, production line, and completion time of production orders according to scheduling rules. Automatic scheduling replaces manual scheduling, with higher efficiency, fewer errors and omissions, and avoidance of workshop management chaos.

IV. Visible production progress
Factory production managers can view production progress and specific production conditions in ERP production management software. In ERP software, production progress reports are automatically linked to production data, and all execution processes of production orders can be viewed with one click. Detailed information can be seen for every step from production task issuance, dispatching, material picking, supplementary material issue, material return, rework, outsourcing, to quality inspection. This enables real-time tracking and control of order progress, timely adjustment and arrangement of production activities, and clear visibility of progress at a glance. With powerful progress inquiry functions, order number, start date, deadline, output progress, working hour progress, order status, product information, order flow, piece-rate wages, and payment status are all under control.
V. Production quality control
In actual factory production, once the production process cannot be strictly controlled and managed, nonconforming products are very likely to appear in the quality inspection process. To manage these products reasonably, ERP software can classify products and provide production quality inspection and outsourced quality inspection. It supports customized inspection fields, numbers, types, and grades, follows up on inspection forms, supports warehousing of qualified products and repair of unqualified products, reduces scrap rates, and saves enterprise costs. It can establish a unique mark for each product, support both sampling inspection and full inspection, support inspection for every process and product, strictly control product quality, reduce return and claim risks, help trace the root cause of product issues, and improve them in time.
VI. Automatic cost accounting

In the Soonfor ERP software, scientific and comprehensive cost accounting rules can be established, production-related indirect expenses can be automatically counted, and production-related direct expenses can be synchronously verified. After production order cost accounting is completed, the order-related business data is synchronized in real time. It comprehensively records all kinds of consumption in the order production process, enables full collaboration of production data, automatically updates order costs, supports one-click production cost accounting, ensures that product costs are accurate and timely, truly reflects enterprise profit levels, and effectively improves enterprise benefits.

Factory ERP System

Factory ERP systems can solve the following problems:

1. Integration of information and data
Under manual or semi-manual operations, enterprise information and data are isolated and disconnected among departments. On the one hand, this often leads to repeated entry of the same bill, thereby reducing employee work efficiency. On the other hand, when certain data is needed, a great deal of time and energy must be spent looking for and checking data.
After an enterprise introduces an ERP system, its data can be accurately retained in the ERP system under unified formats and standards, and logistics flow, capital flow, and information flow become highly integrated, thereby improving management efficiency and decision-making standards.
2. Lean management and cost saving
The introduction of ERP systems can effectively control material loss, management coordination costs, product production costs, reduce inventory backlogs, and activate working capital, thereby greatly lowering enterprise operating costs. At the same time, it further deepens and refines traditional relatively extensive management, such as reducing invalid operations, optimizing operation processes, and lean control, thus obtaining the benefits of lower costs and higher management efficiency and standards.
3. Standardized management model
For traditional manufacturing, the introduction of ERP systems is a revolution in management models. ERP systems provide enterprises not only with a set of management concepts, but also with a powerful management tool. ERP systems solidify enterprise management processes and various new management ideas and methods into daily business handling in a tangible form, thereby effectively avoiding the phenomenon that management achievements of other management reform methods remain superficial and are prone to repeated setbacks in actual application.
4. Strengthen management supervision over production
ERP systems provide highly effective and integrated control means for enterprise management. Their effectiveness lies in the fact that various approval and control procedures are based on actual business handling and can be generated, submitted, and reviewed online. The objects of approval and control can be conveniently and comprehensively queried, traced, and demonstrated.
5. Standardize enterprise processes

ERP systems emphasize process-oriented management thinking. Through ERP system introduction and implementation, enterprises need to conduct in-depth analysis of their original management and operating processes, identify various process defects and potential deficiencies, and then standardize and optimize them based on ERP management concepts. The standardization and optimization of processes are important means for enterprises to improve operating efficiency and obtain benefits from management.

The above is an introduction to the functions of factory ERP systems, and ERP systems are indeed very useful for factory management. It is hoped that every enterprise can choose a factory ERP system that suits its own business.

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