How manufacturing ERP technology facilitates Industry 4.0 operations

 

Businesses across the manufacturing sector are investing in Industry 4.0 technology – data-driven hardware and software designed to facilitate next-generation workflows that optimize efficiency and support maximum return on investment. The companies implementing these tools via formalized initiatives are collectively spending $900 billion per year on Industry 4.0 innovations alone, according to researchers for PricewaterhouseCoopers.

For those familiar with such technology, this immense level of investment makes sense, as the assets associated with this ever-expanding movement offer truly transformative potential. However, mechanical sensors and data analysis platforms cannot facilitate success in isolation. These items must be deployed in conjunction with key backend solutions, some of which have long been used on the shop floor.

Enterprise resource planning systems are among these complementary tools, Manufacturing and Business Technology reported. But how exactly does ERP software support the bleeding-edge production technologies associated with Industry 4.0 and the personnel tasked with using them?

An all-encompassing information cache
The cutting-edge processes centered on the latest manufacturing innovations are multi-tiered monstrosities involving numerous pieces of hardware and software, all working together to create countless data points that, when harnessed and analyzed, can yield transformative operational insights. Making sense of this information can be difficult without overarching computational structure.

ERP solutions provide this essential architecture, making it possible for employees at all levels to access information collected through sensors and systems of all kinds, according to IT Toolbox. Of course, these platforms do far more than assist manufacturers.

Horizontal integration allows firms, suppliers and customers to take advantage of the information flowing through ERPs, analysts for Deloitte found. In this setup, all parties maintain independent three-tiered operational stacks with programmed logic controllers at the base, manufacturing execution systems in the middle and ERP solutions at the top. Data flows from the bottom up before finally reaching the ERP, where all collaborators can easily access it and coordinate operations.

Without an ERP in place, operational information gathered via Industry 4.0 solutions is rendered almost inaccessible and likely non-actionable. On top of this, collaboration among production partners and customers fades or ceases to exist.

Even the most advanced manufacturing tools cannot overcome these barriers, the Industry 4.0 technologies included. However, ERP systems can mitigate these issues and allow businesses in the manufacturing space building the factories of the future to achieve their ambitious goals.

Navigating the system selection process
Not all ERP solutions are equipped to handle this demanding and important task. Manufacturers embracing Industry 4.0 must pinpoint ERP platforms whose features can support the latest tools and workflows, as well as the employees tasked with navigating them.

Here are some of those critical components:

  • An easy-to-navigate user interface: Personnel tasked with managing Industry 4.0-level data flows, an already overwhelming assignment, should be able to find their way around the ERP with ease. This not only ensures that data collected on the shop floor makes an impact on the bottom line but also reduces the likelihood of internal resistance, a common outcome in moments of significant operational upheaval.
  • Robust integration capabilities: As stated above, ERP systems deployed in environments with multiple advanced hardware and software assets are responsible for tying everything together, so to speak. Systems without strong and varied integration modules cannot perform this critical task.
  • Responsive support services: Vendor support is key for manufacturing firms rolling out ERP solutions in conjunction with advanced production technologies associated with Industry 4.0., as even the most skilled users can encounter difficulties when using such systems in this context. Software providers must be there to offer training and assistance that empowers workers and reduces the likelihood of workflow mishaps.

As the next generation of manufacturing technology takes hold, businesses in the space must search for the mission-critical software that facilitates adoption and lays the groundwork for sustained success. For many, this means embarking on an ERP search.

Here at Accent Software, we help manufacturing firms implement ERP technology designed to support operational change in the era of Industry 4.0. As a certified Microsoft Business Solutions partner, Accent provides vendor-vetted Microsoft Dynamics NAV implementation services, which allow businesses to put into place best-in-class ERP software designed to facilitate organizational growth.

Connect with us today to learn more about our products and services.

Strategies for avoiding an ERP user engagement disaster

 

Implementing new manufacturing enterprise resource planning technology is stressful work. However, this process is just as taxing for everyday employees, most of whom must transform their workflows to comport with reformed data-based administrative and production methodologies.

Unfortunately, a significant number of manufacturing firms embarking on the ERP implementation journey do not account for this reality and end up putting into place difficult-to-navigate solutions that catalyze user resistance and, eventually, attrition. With total implementation costs at 3.6 percent of annual revenue, manufacturers simply cannot afford to risk either of these outcomes, according to Panorama Consulting Solutions.

Businesses in the space intending to avoid failure must develop and deploy user engagement strategies. Here are three such approaches in use today:

Support collaborative system development
Cross-functional implementation teams are certainly capable of designing effective ERP solutions without input from other internal parties. However, this is not the ideal plan of action.

Businesses should make an effort to develop user-friendly ERP systems that will receive the seal of approval from employees. This, of course, necessitates the adoption of collaborative product design strategies directly involving end users, CIO reported. Implementation groups should meet regularly with workers to gain insights they can use to inform design decisions and ultimately roll out software that addresses user pain points.

Create user communities
While formalized training programs can effectively prepare employees for ERP-centric processes, these initiatives are not as powerful when it comes to supporting users engaged in their daily activities. In this scenario, workers often lean on each other, with the technology-savvy among them becoming informal platform support specialists.

Manufacturers implementing ERP technology should support the development of ecosystems of self-reliance by facilitating user community creation, according to ERP Software Blog. These spaces allow employees to collaborate, solve problems and formulate best practices without direct intervention from the information technology department.

This not only increases user engagement but also lightens the loads of already overwhelmed technical specialists.

Communicate changing business processes
ERP solutions transform how manufacturing firms do business. From the back office to the shop floor, these systems usher in transformation, reforging operational workflows from the ground up.

The vast majority of implementation teams understand this reality. Everyday employees, on the other hand, may not. This is why organizations must communicate to workers how new ERP software demonstrably changes existing business processes, Panorama Consulting Solutions reported.

Such an effort serves two purposes: conveying the importance of user adoption and contextualizing implementation. With these two pieces of information in hand, employees are more likely to engage with the new technology.

Together, these strategies can help manufacturers develop and deploy sustainable ERP solutions that generate optimal return on investment.

Here at Accent Software, we help manufacturing firms implement ERP technology designed to support operational change and empower end users. As a certified Microsoft Business Solutions partner, Accent provides vendor-vetted Microsoft Dynamics NAV implementation services, which allow businesses to put into place best-in-class ERP software designed to facilitate organizational growth.

Connect with us today to learn more about our products and services.

Key manufacturing ERP training strategies adopters should know

 

Enterprise resource planning solutions are only as effective as the professionals who use them. For this reason, it’s critical that manufacturing firms implementing these tools invest considerable resources in end-user training programs.

Of course, simply setting aside funds for these initiatives is not enough. Project teams must collaborate with human resources to ensure employer-provided ERP training resources are designed to truly empower workers, giving them the actionable insight and skills they need to navigate the software and facilitate optimal return on investment.

However, this is easier said than done. Modern workers have high instructional standards, according to research from LinkedIn. They need engaging resources that not only deliver critical information but also fit into their home and workplace routines.

With this in mind, manufacturing firms must take care when designing and deploying ERP training programs. Here are three training strategies businesses in this industry can employ to roll out resources that effectively prepare end users:

Embrace training from the beginning
Too many manufacturers only consider training toward the tail end of implementation or, worse, after their respective solutions have gone live. This is an entirely ineffective approach, according to Learning Solutions.

Instead, businesses should commit to user instruction from the outset, launching planning activities centered on employee training as they embark on solution design. This proactive methodology leads to the creation of engaging ERP training modules that empower workers and prevent the inevitable user attrition that unfolds when individuals are let loose within digital environments they do not completely understand.

Leverage multiple mediums
Many modern employees prefer to consume content via digital devices such as laptop computers and smartphones. As a result, an estimated 43 percent of workers now participate in online instructional activities at work, leveraging cutting-edge applications to sharpen their decision-making and technical skills, according to LinkedIn.

Having said that, classroom-based resources are still very popular. Roughly 56 percent of employees attend these sessions, researchers for the professional networking company found. While digital tools receive considerable buzz, it is clear that some workers still enjoy traditional instructor-led methods.

Manufacturing firms considering ERP training programs must take this state of affairs into account and create a variety of resources that work for learners of all kinds, from digital natives in the millennial generation to older employees who excel in the classroom.

Prioritize substance over all else
ERP implementation teams often immerse themselves in the solutions they develop and deploy, some for years at a time. While this intimate familiarity can make for effective software, it can also lead to the creation of ineffective training materials centered on platform navigation rather than holistic usage in the context of business operations.

Instructional programs focused on the former can teach end users how to move between screens and features but fail to show them how an ERP functions within larger production processes, CIO reported. This brand of transactional training leaves employees unable to optimize ERP solutions and make productivity breakthroughs that can catalyze transformation across an organization.

Enterprises in the manufacturing space should consider the difference between these training philosophies and ensure that the modules center on cultivating ERP-infused business processes, rather than teaching general platform awareness.

In the end, manufacturers that adopt these ERP training strategies can empower end users to get the most out of the tools given to them and therefore move the business forward.

Here at Accent Software, we help manufacturing firms implement ERP technology designed to support operational change. As a certified Microsoft Business Solutions partner, Accent provides vendor-vetted Microsoft Dynamics NAV implementation services, which allow businesses to put into place best-in-class ERP software designed to facilitate organizational growth.

Connect with us today to learn more about our products and services.

3 strategies for gaining buy-in from executive sponsors

 

Enterprise resource planning implementation teams must address numerous variables throughout the adoption journey. However, few factors affect the final outcome of an ERP initiative as significantly as executive engagement.

Operations and information technology teams pushing for technological transformation must effectively court and convert business leaders to achieve optimal return on investment. Implementation groups that fail to do this often find themselves overseeing ERP adoption efforts that burn out before go-live or result in the purchase and installation of ineffective software and hardware.

Manufacturing ERP adoption groups can avoid these less-than-ideal outcomes by connecting with key members of the executive team and gaining their support. Here are three strategies for doing just that:

Work with influential shop floor supervisors
Operations managers and other supervisors dealing with day-to-day business processes best understand how production workflows function and where opportunities for improvement lie. Of course, these front-line professionals also manage the many mission-critical tools that propel the organization.

Because of this, executives often look to them for advice when making significant decisions that may affect the shop floor.

ERP implementation teams can use this state of affairs to their advantage by gaining the trust of these mid-level leaders and turning them into advocates for change, according to ERP Focus. With the support of these supervisors, ERP groups can more easily gain approval from above.

Build the business case
Implementation teams and those within ancillary departments such as operations and IT can easily digest system specifics and workflow minutiae to understand the impact of potential ERP solutions. This is not the case with business leaders, most of whom spend their days addressing large-scale company concerns.

ERP groups must keep this in mind and focus on the overarching business case for their respective solutions, according to CIO. These teams should work together to develop convincing planning documentation that demonstrates how ERP software can demonstrably improve the operation and bolster the bottom line.

Establish communications channels
Executive engagement should not end following project approval. ERP implementation teams must keep business leaders engaged throughout the lifespan of the project via actionable communication channels, according to IT Toolbox. Those in the C-suite can be invaluable in the event that additional resourcing is required or end-user-focused programs are falling short. However, most will only offer help when they are treated as partners in the ERP adoption journey.

With these strategies, manufacturing ERP implementation teams can cultivate executive buy-in and find success.

Here at Accent Software, we help manufacturing firms and other businesses implement ERP technology designed to support operational change. As a certified Microsoft Business Solutions partner, Accent provides vendor-vetted Microsoft Dynamics NAV implementation services, which allow businesses to put into place best-in-class ERP software designed to facilitate organizational growth.

ERP trends manufacturers should understand

 

Manufacturing implemented almost 50 percent of all the enterprise resource planning solutions installed worldwide in 2017, according to research from Panorama Consulting Solutions. This figure is likely to increase over this year as producers of all sizes optimize their operations to meet modern marketplace demands. However, the organizations testing the ERP market in 2018 will most certainly navigate new terrain due to a number of novel software configuration and deployment trends.

Here are some of the developments shaping manufacturing ERP implementation:

The cloud decision
Businesses have not embraced cloud-based ERP platforms in the same manner they have latched onto other cloud technologies. Adoption has risen in recent years, though, and is expected to pick up pace over the forthcoming months, analysts for Panorama reported.

Why? A number of large vendors have released formalized cloud ERP offerings that are sure to entice latecomers that want innovative production software but are unsure of partnering with unfamiliar solutions providers. Microsoft is perhaps the most notable among the enterprise software giants testing the cloud ERP waters.

The Redwood, Oregon-based solutions provider released Dynamics 365 Business Central in April, ZDNet reported. The cloud offering is essentially an extensively reconfigured version of the Dynamics NAV platform. However, the product offers lots of new functionality centered on an integration component that allows the software to connect with Microsoft’s Cognitive Services, Flow, Power BI and Sales products.

An estimated 21 percent of the organizations that completed ERP projects in 2017 implemented cloud-based solutions, according to Panorama. With software such as Dynamics 365 Business Central on the market, this figure could shoot upwards as a significant number of enterprises, including those in the manufacturing space, may finally embrace cloud ERP systems.

Of course, there is also a chance that cloud ERP adoption may stall entirely, an outcome that would force technical specialists to rethink the long-term viability of the technology. Having said that, the data seems to suggest that cloud ERP solutions will finally find a foothold in the marketplace by the end of the year.

The mobile conundrum
Enterprises across numerous industries continue to implement mobile workflows centered on next-generation connected technology. The number of active Internet of Things devices associated with internal and external commercial deployments worldwide surpassed 3 billion in 2017, according to research from Gartner. That figure is likely to increase by more than a billion by the end of this year, as the global pool of enterprise IoT adopters grows.

While these tools have proven transformational for some firms, others have struggled to meld them with existing backend infrastructure – namely, ERP systems. Many available ERP platforms do not integrate well with enterprise IoT solutions, ZDNet reported.

This foundational technical tension has put forward-looking businesses in a tough place. However, some adopters are questioning whether this divide between IoT and ERP technology has any basis in reality, according to IT Toolbox. After all, manufacturing firms and other companies have been linking their shop floor assets to IT platforms for years. Why couldn’t they do the same with connected devices?

Producers looking into ERP software over the coming months will have to ask this question, as IoT solutions are quickly evolving from the nice-to-haves into must-haves. Luckily, most may find that they can indeed integrate ERP technology with IoT systems via incremental rollouts.

Companies that pursue this strategy often see immediate success with small IoT-ERP trials. These test implementations can form the basis for more comprehensive projects that bolster the bottom line and lay the groundwork for sustained success.

The end of legacy
A substantial number of innovative ERP solutions have come on the market in recent years. Simultaneously, legacy providers have bolstered their existing offerings to meet the needs of modern businesses. Despite these developments, many companies continue to maintain antiquated systems.

However, this is very likely to change over the coming months, as solutions providers discontinue support for older offerings and reroute those resources to new products, according to Panorama. This will essentially force businesses with legacy systems to implement new ERP technology. In fact, this situation has already begun to unfold to some extent. Almost 40 percent of the enterprises that completed ERP adoption efforts in 2017 did so in order to leave aging software behind, analysts for Panorama found.

Manufacturing firms with legacy solutions in place may find themselves dealing with similar situations as 2018 drags on. In these moments, upgrading to a new system is the only option. Producers that continue forward with legacy software risk losing support, which would inevitably lead to immediate productivity declines. Modern manufacturers simply cannot afford to suffer such losses.

Simply put, firms looking into ERP implementation must take into account this development and the others mentioned above when mapping out potential adoption activities.

Here at Accent Software, we help manufacturing firms and other businesses implement ERP technology designed to support operational change. As a certified Microsoft Business Solutions partner, Accent provides vendor-vetted Microsoft Dynamics NAV implementation services, which allow organizations to put into place best-in-class ERP software designed to facilitate organizational growth.

Connect with us today to learn more about our offerings.

Common causes of ERP training failure [Video]

Strategies for achieving ERP benefits realization

 

Countless organizations adopt enterprise resource planning technology annually. However, not all adopters succeed in meeting their original project goals.

In fact, only 8 percent of the businesses that implemented ERP platforms in 2017 achieved between 81 and 100 percent of the potential improvements expected to materialize in the wake of adoption, according to insights from Panorama Consulting Solutions.

While more than 90 percent managed to see between 31 and 80 percent of the benefits they projected, spending hundreds of thousands of dollars – or perhaps millions – on software that does one-third of what is supposed to do is not the most effective strategy, especially for manufacturing firms already navigating tight margins.

However, potential ERP adopters are not doomed to see the diminished results of their predecessors. By embracing the following implementation best practices, manufacturing firms can achieve optimal benefits realization and experience the production and financial gains:

Develop realistic implementation plans

ERP solutions can facilitate transformation. However, such success hinges on implementation plan design, according to Panorama Consulting Solutions. Adopters in the manufacturing space must develop and deploy realistic strategies with actionable timelines as such initiatives allow implementation teams to thoroughly vet software vendors, train end users and complete myriad other activities that lay the groundwork for ERP success.

Transparent financial forecasting

With all the potential locked inside ERP technology, it is easy for organizations to overestimate its impact and publish aggressive cost-benefit analysis. This kind of over-the-top fiscal strategizing can result in less-than-ideal ERP-related financial outcomes, ZDNet reported.

This is why it is essential for manufacturers implementing ERPs to assign pragmatic budget specialists to implementation teams – individuals who will offer up sensible projections that support benefits realization.

Embrace project management best practices

ERP implementations involve dozens of moving parts and normally unfold over a number of months. Amidst all this activity, major problems that directly affect benefits realization can easily materialize. Many of these errors can go unnoticed due to general disorganization.

Manufacturers can combat such issues by adhering to project management best practices, according to IT Tool Box. These strategies reduce the likelihood of discombobulation and, in the process, facilitate benefits realization.

Here at Accent Software, we help manufacturing firms and other businesses implement ERP technology designed to support operational change. As a certified Microsoft Business Solutions partner, Accent provides vendor-vetted Microsoft Dynamics NAV implementation services, which allow organizations to put into place best-in-class ERP software and see benefits realization.

Connect with us today to learn more about our offerings.

Best practices for securing manufacturing ERP software

Cybercriminals continue to wreak havoc on businesses across numerous industries. In 2017, these nefarious figures orchestrated more than 53,000 attacks against organizations worldwide, according to data security analysts for Verizon Wireless. This figure constitutes a total attack volume increase of almost 20 percent over data the carrier collected in 2016.

In the past two years, manufacturers have managed to avoid major interruptions linked to odious online activity. Businesses in the sector sustained only 536 total strikes in 2017, approximately 71 of which resulted in data loss. For comparison, firms in the public services space absorbed more than 22,000 attacks, with 304 leading to data loss. However, this state of affairs is changing.

Hackers are now beginning to target small and medium-sized businesses at higher rates, according to research from password management solution provider Keeper. This includes manufacturing firms, more than 95 percent of which fall into the SMB category, the National Association of Manufacturers reported.

Factories, in particular, have become targets of choice for the cybercriminals targeting smaller enterprises, CBS News reported. The businesses that operate these facilities maintain thin margins and cannot afford the costs that come with breach-related downtime, which can amount of hundreds of thousands of dollars per hour of stoppage.

With this in mind, manufacturing firms must reassess their existing data security protocols and implement refreshed defenses to protect mission-critical digital infrastructure, starting with enterprise resource planning (ERP) software.

These solutions drive core production activities by facilitating optimal data flow between key internal and external operational stakeholders. Downtime and data loss are likely to occur in the event that hackers infiltrate these platforms. So, how can manufacturers prevent such damaging incidents from unfolding?

Here are four best practices for protecting modern manufacturing ERP software:

Assign an ERP security stakeholder

The rise of cybercrime has forced organizations worldwide to create new executive leadership positions centered on data security. Individuals who take on these roles manage all backend information protection operations and promote safe system usage throughout the organization.

Manufacturing firms should adopt this model when addressing ERP security, according to IT Toolbox. By bringing in ERP stakeholders who are independent from existing information technology teams, firms can build in accountability and ensure that someone is considering the state of system data security protections at all times.

Implement patches as soon as possible

For many outside of the data security space, the word "hacker" brings to mind the image of an anonymous coder who leverages his or her superlative computational skills to tunnel into highly protected systems. There is, of course, some truth to this: Almost half of all attacks involve manual hacking, according to Verizon.

However, most larger data breaches are the result of easy-to-exploit system gaps linked to passive software patching strategies. This was the case with the Equifax breach that unfolded this past fall, Wired reported.

An estimated 143 million consumers lost their information to hackers as a result of the episode, which data security experts attributed to unpatched Java software. Manufacturing firms can easily avoid such an event by patching their ERP software when new data security updates are released.

Control system access

Of all the cyberattacks Verizon recorded in 2017, more than a quarter – 28 percent – involved internal actors who misused their system access to disrupt operations or steal information. Despite this, internal threat protection is a major blind spot for many modern organizations.

Firms often dole out solution credentials with little thought, giving employees at all levels the ability to view and potentially abscond with high-level company, customer or employee information. Manufacturing firms can prevent this kind of activity from unfolding within their ERP solutions by implementing strict system access controls.

This is one of the most effective strategies for protecting enterprise hardware and software, according to research from the SANS Institute. The group surveyed more than 270 IT experts, who collectively ranked access control among the top two data security best practices, second only to encryption. 

Work with a proven solution provider

While independently implemented data security strategies and tools can help repel cyberattacks and prevent breaches, such defensive tactics and implements are only effective when deployed in conjunction with sound software.

Even the most advanced IT best practices cannot protect porous systems built on shaky code. Manufacturers must remember this when developing methodologies for preventing ERP attacks and consider trading obsolete legacy platforms for newer solutions designed to function within today's digital threat environment.

Here at Accent Software, we help manufacturing firms and other businesses execute such swaps. As a certified Microsoft Business Solutions partner, Accent provides vendor-vetted Microsoft Dynamics NAV implementation services which allow organizations to put into place best-in-class ERP software and take advantage of cutting-edge data security protections only Microsoft can provide. Connect with us today to learn more about our offerings.

Do small-batch manufacturers need ERP technology? [Video]

Hello and welcome to another Accent Software video blog!

Enterprise resource planning systems offer many benefits. However, for smaller manufacturers churning out modest workloads, implementing such technology might seem over the top. Do moderately-sized producers really need such digital firepower? In today's marketplace, the answer is "yes."

Approximately 75 percent of American manufacturing firms have fewer than 20 employees. Yet, many of these businesses leverage ERP technology because it facilitates optimal transparency, giving them the data-backed insights they need to get the most out of their operations. Small-batch manufacturers may not have their sights set on capturing majority market share, but these businesses still need advanced tools to find success, even in the smallest of niches.

Smaller manufacturers considering ERP implementation should connect with Accent Software, a Microsoft solutions partner specializing in Dynamics NAV deployments.