Manufacturing is a vital industry for the global economy and plays an important role in its growth. In recent years, manufacturers across sectors have seen a lot of disruption and factors such as inflation, climate change, the pandemic have played a role in it. This is also the time when the industry has seen the fast adoption of digital transformation by leading manufacturers across mid-market and large sectors. Digital transformation enabled by cloud-based ERP offers a bevy of opportunities for manufacturers to drive efficiency, productivity, cost control and effective supply chain management, enhancing growth and customer satisfaction.
Modern cloud-based ERP offers an integrated environment that help manufacturers take control of their operations with better visibility, build risk-free and resilient supply chains, become flexible, and gain insights from real-time and predictive analytics to make timely decisions. Cloud ERP facilitates the dissolution of data silos in favour of a single, central database that can easily enable the flow of information across various business functions as well as the supply chain by strengthening the supplier-partner network. Most importantly, with growing customer and regulatory demand for sustainable practices, the need for cloud ERP for manufacturing has been felt deeply and manufacturers across the board are adopting cloud ERP to become sustainable businesses.
The main factors for adopting an industry-specific cloud-based ERP such as SAP S/4HANA public cloud is that the organization is ready to run with it, with proven industry-based practices – so midsize and growing manufacturing companies are equipped to adopt the best practices established by other leading manufacturers. The standardization that is at the core of cloud ERP minimizes the need for customization and therefore maintenance, in the longer term.
Besides being cost-effective by virtue of being accessible on the cloud, a cloud-based ERP system is also easily integrated with other systems and tools and offers enhanced reporting features. There is also the important factor of time as cloud-based ERP such as SAP S/4HANA public cloud can be easily implemented and requires minimum time for completion, especially if you can leverage the industry knowledge and expertise of an experienced SAP solutions partner.
Cost control: With cloud ERP, you can reduce your overhead costs. If you are using an on-premise ERP solution, you should consider migrating to the cloud as that would bring down your costs significantly. A cloud-based ERP system like SAP S/4HANA public cloud does not require the costs of maintaining hardware, and automatic and continual updates are not only advantageous but also cost effective.
Flexibility, agility and scalability: As a business you can take the advantage of cloud ERP for manufacturing with SAP S/4HANA public cloud because it offers you the flexibility to easily adapt to new business models, and scale, as also leverage extensions for new functionalities and features besides integrating seamlessly with other business applications.
Supply chain resilience: Cloud ERP transforming manufacturing businesses helps to build supply chain resilience by offering end-to-end visibility across the supply chain, thereby increasing efficiency and productivity. With SAP S/4HANA public cloud, you can adapt your operational processes with changing market conditions and react promptly to these changes, thereby becoming risk-resilient and ensuring your business continuity is not affected.
Improved production planning: A cloud-based ERP for manufacturing makes your business manage demand and supply effectively, in real time. With accurate demand prediction, inventory management becomes hassle free, and businesses can improve planning, operations and manage costs going out of control.
Predictive maintenance: A powerful cloud ERP such as SAP S/4HANA public cloud is beneficial to monitor performance and predict maintenance problems that can prevent future disruptions for manufacturing companies. In uncertain markets, predictive maintenance is critical for enterprise asset management across the business. Cloud ERP predictive maintenance features makes use of real-time data via IoT network assets, and processes and analyzes the data to share a valuable insight for action.
Robust security and compliance: With SAP S/4HANA public cloud, manufacturing companies can rest assured about protection of sensitive data with advanced security measures and relevant regulatory compliance.
At Exalogic Consulting, we bring industry-wide experience and expertise in cloud ERP solution integration and business application development to turn complex business processes into simplified and seamless operations that help to grow your business into an intelligent, sustainable organization. If you are looking for solutions to meet your manufacturing needs that integrate seamlessly with cloud ERP such as SAP S/4HANA public cloud, get in touch with us here to know more.