What Is MRP? Material Requirements Planning for Manufacturers
What Is MRP? Material Requirements Planning for Manufacturers Material Requirements Planning, commonly called MRP, is the manufacturing-planning process used to determine which materials and products are required, how many are needed, and when purchasing or production must begin. MRP connects customer demand, forecasts, inventory, Bills of Materials, Purchase Orders, Work Orders, lead times, and production […]
What is a Bill of Materials (BOM)? | SimpleManufacturing™
What Is a Bill of Materials (BOM)? A Bill of Materials (BOM) is the complete list of raw materials, purchased components, manufactured subassemblies, quantities, and instructions required to build a finished product. In manufacturing, the BOM serves as the product’s structural blueprint. It connects engineering, purchasing, inventory, production, costing, quality, and document control so every […]
Why Internal Part Numbers Matter in ERP Software
Why Manufacturers Should Use Internal Part Numbers in ERP Software An internal part number gives a manufacturer a stable, controlled identifier for every raw material, purchased component, subassembly, and finished product in its ERP system. Many manufacturers must decide whether to create their own internal part numbers or use part numbers supplied by customers. Reusing […]
Electronics Manufacturing Software: Why Accounting Systems Fall Short | SimpleManufacturing
Electronics Manufacturing Software: Why Accounting Systems Fall Short Electronics manufacturers require more than basic accounting and inventory transactions. They must manage multi-level Bills of Materials, component revisions, approved manufacturer parts, supplier relationships, date codes, lot and serial traceability, material shortages, Work Orders, production routings, quality requirements, and actual manufacturing costs. General accounting systems are designed […]
ABC Analysis for Inventory Management | SimpleManufacturing™
ABC Analysis for Inventory Management ABC Analysis helps manufacturers classify inventory according to its financial and operational importance so they can focus inventory controls, cycle counting, purchasing, and planning resources where they produce the greatest benefit. Most manufacturers manage hundreds or thousands of raw materials, purchased components, subassemblies, finished goods, supplies, and replacement parts. Applying […]
Top Inventory Management Tips for Manufacturing Businesses
Top Inventory Management Tips for Manufacturing Businesses Effective inventory management helps manufacturers maintain accurate stock balances, prevent material shortages, reduce excess inventory, improve production scheduling, and protect working capital. Manufacturing inventory is more complex than simply recording quantities received and shipped. Materials move through receiving, inspection, storage, Work in Process, outside processing, finished-goods inventory, and […]
Hidden Costs of Inaccurate Inventory in Manufacturing | SimpleManufacturing
Hidden Costs of Inaccurate Inventory in Manufacturing Inaccurate inventory creates far more than occasional quantity discrepancies. It can cause production delays, excess purchasing, emergency freight, unreliable scheduling, inaccurate job costs, financial-reporting problems, and lost customer confidence. Manufacturing inventory supports purchasing, planning, production, quality, shipping, costing, and accounting. When the physical quantity does not match the […]
Excel vs. ERP Software for Manufacturing
Excel vs. ERP Software for Manufacturing Excel is useful for calculations, lists, analysis, and temporary planning. It becomes much less effective when manufacturers use interconnected spreadsheets as the primary system for inventory, Bills of Materials, purchasing, Work Orders, production scheduling, quality, costing, and traceability. As manufacturing operations grow, spreadsheets often create duplicate entry, conflicting versions, […]
Purchase Orders in Manufacturing Software | Complete Guide | SimpleManufacturing™
Learn What the Term Purchase Order means, the Purposes of Purchase Orders in Manufacturing Software, How they Are Created and the Unique Demands of Manufacturing Businesses
Manufacturing Order Management Software: From Customer Order to Complete Fulfillment
Learn what Customer Order Managment is in Manufacturing Software, Why it is Important, Considerations when choosing an ERP Solution, and the Key Features of SimpleManufacturing Order Management module.