Manufacturing software is helping the UK economy to grow, by enabling individual companies to better manage their finances, resources and systems. From entirely paper-led and employee-heavy systems of a few decades ago, it is now possible, thanks to carefully designed software, to run a business in the most efficient and cost-effective way possible.
Manufacturing Software for small to medium enterprises
Small and medium scale businesses, in particular, can take advantage of software to ensure that their business model remains contained and able to grow at steady and measured pace.
In some cases for small to medium businesses, using the right manufacturing software package can mean less need for having to employ a new employees, which is an immediate saving on insurance, tax and pension contributions and wages. This is not an inconsiderable factor when a business is new and needs every penny to be reinvested into growth and expansion.
However, even larger businesses can benefit from using manufacturing software. With very large businesses a saving of one or two percent could be a sum of thousands or even tens or hundreds of thousands. Some of the ways that software can help a business are detailed below:
- Manufacturing software can take a broad snapshot of the whole company as a single entity.
- Reports can be produced with different emphases, which allows directors and managers to see the balance of the company and pinpoint where they are making or losing money.
- Is there too much waste in efficiency going on?
- Is the security investment higher than the ‘wastage’ levels warrant?
- Are stock levels so high that they affect cash flow or so low that sales are compromised?
The flow of business in a company should work like a lifecycle – raw materials in, work done on making products, finished goods produced and packaged, goods sold and moved out, cash in, new raw materials in, and so on. All of these processes must be properly invoiced, receipted and noted.
Manufacturing Software Removes Inefficiencies
All this information in the right manufacturing software package can highlight issues in time to resolve them. For instance, if one supplier is constantly shorting an order or taking too long to deliver the order, this can delay production, which causes an idle workforce (that often still needs to be paid), leading to sales cancellations and a corresponding impact on the cash flow of the company. Spotting that the supplier is having issues early, enables management to speak to the supplier and resolve issues, or, if they are not easily resolvable, perhaps find an alternative supplier to keep stock at optimum levels.
Manufacturing software allows minutely detailed and up-to-the-minute inventory controls. Precision in the stock-taking department means that levels can be carefully maintained to ensure that sufficient stock is always in place for the needs of the business, while ensuring that cash is not unnecessarily tied up with inventory for long periods of time.
These rigorous controls also help to minimise inefficiencies in your business, initially by reducing the temptation to petty theft – if it is not on the shelf, it cannot be stolen – and also by keeping stock moving fluidly through the manufacturing process, not allowing perishable goods to spoil or cost the business money.
Inventory and stock control software is often an excellent way for a business to go paper-free. With stock controllers, drivers and workers issued with hand-held devices connected to the company network it can be all but impossible to process any transaction without having to use the software. This guarantees that all transactions are uploaded in real time allowing the software, and therefore management, to be kept completely up-to-date with facts and figures.
Manufacturing software can be regularly upgraded, keeping it au fait with industry practices, regulations and technological advances. VAT levels can be set with the click of a button and prices can be updated easily and simply. All of these features ensure that the risk of human error is diminished dramatically, even when the business is a one or two-man show.
Another excellent advantage of using a computerised manufacturing system. Data entry kills. It kills efficiency, it kills project margins, it kills profits. Integrated manufacturing software takes a lot of the data entry out of the hands of your most expensive resources (humans) and automates it. This obviously frees up more valuable resources to do more profitable tasks and leaves the data entry to those who are really the most accurate and efficient at it… the computers.
Business software packages are becoming ever more specialised, meeting the needs of niche businesses and multi-national companies alike. There is no business model that cannot be improved by investing in a software system tailored for its needs.
If you are in the market for a manufacturing software system then check out ProgressPlus. It can put manufacturing companies, whatever their size, in total control of their business, helping them to achieve genuine market differentiation, make sound business decisions and generate substantial financial returns.