Implementation of ERP for Steel Industry: what to

expect?

 September 25, 2015

 Sage ERP
ERP aka Enterprise Resource Planning is undoubtedly a wizard tool for all
industry types such as manufacturing, retail, chemical, etc., and steel is not an
exception here! In fact, steel industry has seen terrific growth across the nation
in the last few years due to the surging infrastructure projects.

With great surge in the demand for steel, organisations operating in this industry
are facing the brunt of skyrocketing maintenance and operational costs.
Nevertheless, many steel companies are turning toindustrial manufacturing ERP
software to optimise and streamline critical business operations whilst keeping
costs under control. The benefits of ERP for manufacturing doesn’t cease here,
as there much more that a business can reap after successful implementation of
ERP software.

Here is a quick checklist of what to expect from ERP for steel industry.
  Company-wide Integration: This has to be the most prominent perks of having an
ERP solution for steel manufacturing companies. Integrated ERP software helps the
steel manufacturing company or plant to integrate and streamline all the critical
operations ranging from procurement to handling of raw materials and manufacturing
to shipment of the orders.
 
 Multiple planning: The production process in a steel manufacturing company
undergoes multiple planning strategies and industrial manufacturing ERP software for
a steel company can well address the production processes wherein the users can keep
a track of multiple planning strategies and records in a quick and easy way.
 
 Saves time: ERP for steel industry reduces the production and sales cycle to a
substantial extent. Further, it even streamlines supply chain and inventory
management and makes tracking the same a lot simple.
 
 360-degree view of critical data and processes: ERP software offers seamless
information flow across the company enabling every user to access information at a
go. This helps boost efficiency across the organisation. Most importantly, it offers full
transparency to business managers and owners giving them a 360-degree view of all
the critical processes and data.
 
 Accurate business forecasting: To meet the exploding steel demands for automotive,
heavy equipment, construction sectors and many others, it is imperative for a steel
company to keep track of emerging market trends, raw materials pricing and opt for
robust integration of other business management systems for accurate business
forecasting. Industrial manufacturing ERP software is of great use for market trend
analysis, business integration and forecasting.
 
 Cost control: ERP implementation for a steel company renders excellent control
over accounting and finance thus, resulting in optimum management and control of
project budget and related costs. So keeping control of all your business operations is
not the only benefit you get from the software, as you also get full control over costs
as well.
A steel company has to follow numerous procedures before beginning with the
production process. ERP for steel industry helps to handle all the cumbersome
administration and production processes in an efficient and intelligent way.

Since inception, ERP solutions have traversed a long way undergoing

tremendous advancements and have become a lot more budget-friendly as well.
Thus, today it is not only a thing of bigger organisations, as SMEs and start-ups
in the steel industry too can leverage the potential of ERP software without
bombing their budgets.
The Major Benefits of ERP Software in Small to Medium
Enterprise
One of the major benefits to small businesses of implementing a system like this, is the ability to
obtain a birds-eye view of your entire business process at any point along the supply-delivery
chain. 

Real Time Capabilities

Using ERP software, business owners are able to make immediate business decisions based on
real-time information which is filtered and collated within the system.  This means that time isn't
wasted on inventory shortages, or delivery delays.  Information is constantly accessed in real-
time, making it possible to streamline manufacturing processes as they happen and prevent
unnecessary delays. Production is thereby increased and losses substantially reduced. 

Benefits of ERP Software in the Manufacturing Industry

 Expediting manufacturing processes and automation within one integrated system.

 Minimising redundant data processing and processes and sharing data across all
departments.
 Setting up uniform processes which take into account best business practices.
 Increased process efficiency.
 Better customer satisfaction due to fewer delays, better product quality, shortened
delivery times.
 Lower inventory costs due to better planning, tracking and pre-planning.
 Fewer billing and delivery errors.
 Lower vendor pricing thanks to quantity breaks and being able to monitor vendor
performance.
 Enhanced activity-based costing.
 A consolidated picture of sales, inventory and receivables can be obtained.