In our last post, we talked about some of the reasons that manufacturers choose cloud ERP solutions. In this post, we’ll take a look at one area of lean manufacturing that demonstrates how firms have been benefiting from their cloud ERP implementation: inventory management.
To satisfy increasingly demanding customers, manufacturers must maintain an inventory of raw materials that can support just-in-time manufacturing of products. Cloud ERP solutions store all information about raw materials, what is and is not currently in inventory and what kinds of alternate materials or parts can be made available for production. Because Cloud ERP solutions like Rootstock can be integrated with sales, a firm’s sales staff can quickly access information and make recommendations to customers about materials based on availability and cost.
The best cloud ERP software is designed to support lean manufacturing, especially inventory management. Such software provides for the maintenance of item inventories, inventory valuation and planning, as well as the ability to track and analyze supply and demand. These best-of-breed cloud ERP solutions support a wide range of inventory transactions, including additions, adjustments, scrap, and division-to-division and location-to-location movements; and also provide detailed audit trails so firms can track and analyze the history of the movement of raw materials.
The ability to immediately see what materials and parts are available in inventory using a cloud ERP app on a smartphone connects workers from many different departments and helps streamline operations significantly. A production worker in a plant in any location can access the system on a cell phone to check inventory and make any required material adjustments immediately.
Watch the video below to see how one firm’s cloud ERP solution is helping support inventory management for lean manufacturing.