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Project Based Manufacturing

Manufacturing Industry

In today’s world, manufacturing companies depend on technology for inventory management, resource allocation, product design, production scheduling, process optimization, and more. They engage a mix of discrete, process, and lean manufacturing methods that are often manage through distinct systems. This restraint makes it difficult to cost-effectively satisfy customer demands, especially across multiple sites and geographies. The increasing requirements for green manufacturing, the growth of contract manufacturing, and the array of global workforce all heighten shortcomings in many of today’s ERP solutions.

To overcome these challenges, workers in manufacturing firms need real-time access to role specific information along with the tools that help them perform their individual tasks, in the office or on the shop floor, from any location around the world. A world-class ERP solution, Microsoft Dynamics AX was built to provide these capabilities while managing discrete, lean and process manufacturing models with a single solution as well as scheduling resources to jobs and operation across multiple locations.

5 Critical Areas in Manufacturing Industry

  • Change is a given. How you and your systems handle it will make or break a company. In project-based manufacturing, embracing and managing change can not only be the competitive differentiator you need, but lead to exceeding a projects financial goals. You need a flexible system.
  • The success of a project-based manufacturer is built around bidding accurately and quickly. Many companies spend significant capital on CRM systems and then turn around and have an extremely manual system for creating quotes that at best approximate. You need a single integrated system to allow for fast, accurate quotes.
  • And last but not least, getting the system in and running so you can start getting the value from it as soon as possible. The system has to be built for you industry and mode of manufacturing. It has to be engineering oriented and inventory centric. The system has to be preconfigured as much as possible for project-based operations. Most importantly, it should be a system that can be rapidly understood and easy to use.
  • You need instant overall project visibility – a Dashboard. A significant amount of a Project Manager’s time is spent reacting to requests for status on shipping and costs unless there’s a single system in place. The cash flow of the company depends on having an efficient and disciplined process for meeting milestones and tracking cost to earned value. Failure in either of these process can be costly and in smaller companies lead to financial ruin.
  • Being able to convert meeting milestones and costs will lead to higher profits and industry leading cash flow. Your ERP system needs to allow you to manage milestones, cost, and earned value and proper revenue recognition.

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