The fourth industrial revolution is here and is disrupting the operations in all major industries on a global scale. Popularly known as Industry 4.0, ERP system is reshaping the legacy systems and traditional software applications by integrating next-gen technologies like artificial intelligence, the internet of things, and cloud computing. With the rapidly evolving technology landscape, Industry 4.0 is poised to alter the way most industries work and operate.
How Industry 4.0 and Its Impacts On ERP System?
The use of Industry 4.0 technologies play an important role in enterprise resource planning. The goal of ERP systems is to solve business problems by reducing manual complexities and rendering control over inbound/outbound processes. Using Industry 4.0 technologies in ERP systems will enable organizations to gain better visibility into manufacturing processes and supply chain activities. Besides, they can optimize their logistics operations, improve inventory tracking, and efficiently manage their workforce with automated resource planning.
ERP 4.0 Production Planning
Customer behaviour data constitute the new fuel that drives the manufacturing production line and shop floor management capabilities of an ERP. However, analysing customer behaviour data and translating it into machine configurations requires powerful and precise data collection, as well as powerful analysis technology. On one hand, ERP must analyse omnichannel customer data — this includes physical and virtual customer touch points monitored with online and in-person data collection tools such as social media listening, website analytics, transaction history and sensors. On the other hand, ERPs must keep track of, and analyse data from industrial machines empowered with sensors, software and internet connectivity.
The goal is for ERP to play a principal role in sustaining flexible production processes that can transform actionable customer insights into tangible personalised products. For instance, instead of bringing components and parts to the assembly line in a standardised manner that produce hundreds or thousands of identical goods, ERPs can indicate certain sequencing of parts that results in customised configurations of products for individual customer needs.
ERP 4.0 Financials
One of the principal benefits of ERP is that it helps companies track the profitability of their business model. In a nutshell, ERP manages all the costs and revenues of a company. It includes capabilities that capture sales, purchasing, or warehouse management information. ERP 4.0 has the ability to document operations and transactions more accurately, thus providing companies with an even clearer picture, with less cost and revenue errors.
ERP 4.0 helps manufacturers better track utility costs such as electricity and water consumption by breaking it down to how much each piece of equipment consumes at every location. In addition, ERP tracks the effectiveness and productivity of each piece of equipment. In other words, it tracks how much each piece of equipment contributes to the creation of revenue. Cost and revenue data collected at this very granular level are converted into accounting logic which, in turn, calculates the profitability.
ERP 4.0 Quality Management
Quality management is essential for companies, because it allows them to respond to issues of recall proactively. This limits the negative impact that recalls can have on both customer satisfaction and the bottom line. But in order to pursue this strategy effectively, management requires a substantial amount of data. ERP 4.0 helps companies identify manufacturing issues across the entire supply chain, because it gives companies total visibility into the manufacturing facilities involved in their supply chain. Consequently, when production or delivery needs to be stopped, ERP 4.0 makes it easier to set things back on track by cutting setup times for machines, thereby quickly adjusting schedules and shop floor operations. For highly sensitive products like food and chemicals, production can be stopped or adjusted as soon as a problem occurs. Since stopping a production line is very disruptive and costly, adjusting batches by changing the mix of ingredients is the preferred option.
Additionally, all the data collected on product quality can be used to create forecasts and simulations of possible future challenges. Simulating recall events can lead to improved corrective actions and lower costs.
How YGL BeyondERP can help SMEs in manufacturing industry to adopt and implement Industry 4.0?
We Help Manage Industry 4.0 Implementation via ERP Transforms in the Manufacturing Industry
With YGL, you’ll be working with the most experienced professionals in the ERP industry. Whether you need short-term support or resources for a long term engagements, our ERP Consultants have the expertise to help you implement and integrate the ERP system requirement for Industry 4.0. With a core team of functional and technical ERP consultants that are both skilled and certified, we can quickly implement a robust ERP System to maximize the value of your investment.
YGL BeyondERP system applications allows you to enable a seamless workflow from your finance to warehouse and right down to your production efficiency by providing you the essential management dashboard which allows you to have a clear visibility.
As an industry leader in ERP system Implementation, we can be sure that each YGL consultants have the highest qualifications. We provide a wide range of ERP System Integrations with experience ranging from IOT(Internet of Things) right down to Data analytics on OEE (Overall Equipment Effectiveness), supporting all functional modules to complete project management for your project needs. All of our consultants are fully vetted for the project they’re submitted for, which means you’re only reviewing the most qualified consultants who do what you need done.
We Can Help to implement ERP Transforms in the Manufacturing Industry System Integration under Industry 4.0
We look forward to hearing from you. Contact us today so that we can help you with our YGL BeyondERP which is strategy Industry 4.0 ready implementation needs heading towards Industry 4.0.
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