The needs of a job shop manufacturer are unlike any manufacturing models supported by general ERP systems. When every order that comes in is different from the rest, it becomes a difficult task to plan purchase orders and scheduling, track labor and time costs and figure out where you will even start on the next product. Most ERP systems simply don’t meet the needs or can only do half the job needed, which is why you need ERP for job shops.
When searching for the right ERP for job shops there are some key indicators that will prove it will fit your manufacturing model. Look for these features and your job shop will become even more efficient and lean than it already was.
With each job that comes into the company, a different amount of time and work will need to be put into it. Simple planning methods used by other companies just won’t cut it. An ERP for job shops should have advanced planning features should establish a priority so you are able to see which work centers and machines are available for use. Further, you should be able to see the constraints so you know when overtime is needed.
Every product you make is different, so a generic bill of materials and cost will be useless to you. An ERP for job shops should be able to make custom fields for each product made and every new product. Without this feature you risk underpricing or under ordering for each new product that your job shop makes.
There is barely any room for forecasting in job shops. Since every product is different, how do you know what materials to order? A good ERP for job shops should be able to ease this process for you. The ERP system should be able to analyze orders, inventory and supply and demand to help determine what should be purchased.
Just because your ERP for job shops has to be unique, doesn’t mean it shouldn’t be able to produce genuine financial data and accounting functions. The right ERP system for you should be able to manage accounts payable, accounts receivable and invoices. Further, the ERP system should be able to make unique invoices for each job.
You shouldn’t be using any old ERP system just because you don’t think there are any out there that are fit for job shop. Sage 100 ERP does a great job at managing functions for job shops, with their built-in JobOps interface. JobOps was made specifically for make-to-model manufacturers, instead of trying to fit your ERP system into your business.