pexels-andrea-piacquadio-3755755

Poor Quality Can Last a Lifetime and Applies to Your Business Software or ERP Solution

So you have been thinking about a new ERP solution to replace your antiquated current system and/or multiple dispirit systems. Quality applies to your ERP solution as well as it does to the widgets that you manufacturer and/or distribute. You can have the best products but still, fail your customers if you do not have a “State of the Art ERP Solution”.

Benjamin Franklin once said, “The bitterness of poor quality remains long after the sweetness of low price is forgotten.”  Now don’t get me wrong we all like a good deal but what does that actually mean?  It certainly isn’t all about price.  I’m sure we’ve all experienced buyers’ remorse when we’ve chosen something based solely on price.  There is some truth in saying you get what you pay for!  Poor quality applies to ERP systems and your ERP implementation partner as well.

As an organization, you need to consider not only the price point for the goods and services delivered but also convey the value of those goods and services.  Warren Buffett stated “Price is what you pay.  Value is what you get.”  We all like that feeling of satisfaction when purchasing something we perceive as having value.    Consumers have become very savvy when making decisions to part with their hard-earned money.  There are many resources allowing side-by-side comparisons when making buying decisions so as an organization you’ve got to be better and more efficient and distinguish yourself from the competition. You need to create value along with the price point willing to be paid by the consumer.  How?

Manufacturers

Your overall strategy should include the following:

  • Solid warehouse management systems with strong Inventory controls as well as transactions in real-time create value.
  • Production processes that optimize the efficiencies of planned quantities for both items and resources. Resource allocation functionality to fit your business and flexibility to manage the ‘what if’. 
  • Planning capacity tools that include forecasts, safety stock fulfillments, and the visibility of demands.
  • Order recommendation requirements to ensure stock availability when needed while minimizing inflated inventories.
  • An ERP solution that manages all aspects of production, start to finish.

Distributors

Your overall strategy should include the following:

  • On-hand inventory to meet demand is critical.
  • Managed inventory movement in real-time through the use of electronic devices to capture data minimizing errors and duplication of efforts.
  • Information capable of using and including batch numbers, serial numbers, and bin location management for economical use of inventory distribution.
  • Use of powerful shipping tools to optimize freight costs that include rate shopping and tacking within your ERP solution and allowing the customer visibility. This should include small package and LTL carriers for domestic and international shipping keeping costs down and delivery time maximized.

Service Organizations

Your overall strategy should include the following:

  • Controls for accurate project management. Visibility and connectivity from remote locations to your ERP work server(s) giving quick access to customer records. 
  • Mobile apps to include record keeping, payment processing and parts management if necessary for ease in customer support. Ensure that projects are completed on time and within budget to increase and improve client satisfaction. 
  • Make sure that your ERP solution is fully integrated to manage the projects from beginning to end along with easy-to-use CRM capabilities to save time and money.

So, it all comes down to creating, measuring, and communicating value.   First and foremost, empower your staff through the use of effective, efficient, and accurate tools to answer customer needs which will naturally accelerate profitability and growth.  To accomplish this an organization should utilize proven effective efficient controls and practices, and partner with experienced professionals that will help manage you for success and improve your bottom line.   Leveraging digital technologies to operate more efficiently and scale products and services to reach new markets and customers.   A little bit of effort can go a long way…doing nothing gets you nowhere. 

LBSi offers SAP® Business One sales and services.  We sell, install, implement, train and support our customers for this software solution. For over 30 years, our team has helped clients determine and implement solutions to their problems to maximize potential profit and success. We look forward to the opportunity to get to know you.

This will close in 0 seconds