Process manufacturers face complex challenges on a daily basis, from adhering to strict industry regulations to quality issues. Process manufacturing verticales include food and beverage, chemicals, nutraceuticals, and pharmaceuticals. These industries must address the challenges to operate efficiently, increase productivity, maintain quality, and achieve long-term success. If not addressed it can lead to cost inefficiency, higher production costs, loss, and reduced profit margins.
This article delves into the complex problems faced by process manufacturers and how they can overcome these challenges with the right ERP software.
How To Solve Process Manufacturing Challenges
Strict Regulations
Process manufacturers must follow established industry rules and regulations like FDA, FTC, and OSHA to operate smoothly. These rules and regulations concern safety, environmental impact, and product standards. If they fail to comply with any compliance requirements or rules, then it can lead to major consequences. Heavy penalties are one of them.
Process manufacturing ERP software facilitates real-time monitoring and tracking of the compliances effectively and maintains thorough documentation to ensure the company meets requirements at all manufacturing stages.
Batch Quality
In process manufacturing, calculations related to the proportion of ingredients, and unit conversions to create a formula/recipe can be complex. Inaccurate calculations can cause inconsistency in batch quality. Consistent quality is essential to meeting customer requirements and building a brand reputation.
Process manufacturing ERP software can manage advanced unit conversions, accurate calculation of formula/recipe values, and maintain consistency in batch quality. This eliminates manual errors as well.
Inventory Control
Process manufacturers need to closely manage and control inventory to avoid losses. It’s important to have real-time visibility into inventory details to ensure stock levels are maintained accurately. If not, then it will lead to shipment or production delays. Due to the shorter shelf life of the item, manufacturers need to make sure that the item in production is used before its expiry date.
ERP software with process manufacturing capabilities enables process manufacturers to track an item’s expiry date. Real-time visibility allows them to use the item in production based on its expiry date and maintain product quality and storage condition accordingly reducing waste.
Material Wastage
In process manufacturing, ingredient, and production losses are involved. Process manufacturers need to track these losses throughout the production lifecycle; otherwise, they affect the company’s profitability and cost-effectiveness.
Process manufacturing ERP software provides the capability to track losses. Process manufacturers can manage the loss/overage percentage of ingredients used in the formula. With software, you can gain real-time insights into the shortages and surplus of materials and plan production as per the availability of materials. This reduces the wastage of materials.
Supply Chain Management and Quality Control
A robust supply chain is critical in process manufacturing. From sourcing raw materials from suppliers to shipment of finished goods, it’s vital to track suppliers. If not, it affects the production lifecycle. Manufacturers need to conduct quality control tests at all production stages to ensure the product meets quality and safety standards.
Learn how you can overcome the challenge of supply chain management and quality control here.
Conclusion
Process manufacturing faces challenges ranging from stringent regulatory requirements to efficient inventory control and minimizing material wastage. However, these challenges can be effectively managed by implementing a robust ERP solution tailored for process manufacturing.
Acumatica ERP with eWorkplace Apps’ Process Manufacturing Suite equips process manufacturers with the tools to address their complex challenges, ultimately driving efficiency, productivity, and long-term success.
Contact us or your Acumatica partner to learn more.
