Logistics companies need to take measured approach to ERP adoption

With so many logistics companies looking at new ways to boost their efficiency all the time, it's no wonder such a large number are always on the lookout for the latest and greatest enterprise resource planning software to help them keep track of every aspect of their operations. These systems can help firms streamline a wide variety of their daily functions to improve efficiency throughout their facilities, but finding and integrating the options that will work best for each company's unique needs can sometimes be a daunting task.

As businesses look for options in either case, it's vital for everyone to be on the same page in what they're looking for with ERP and which choice will help them achieve those goals most easily, according to Pallet Enterprise. What differentiates ERP from warehouse management systems is that they encompass more than just high-level inventory management into their functions.

All aboard?
That is to say, those in management positions would be wise to work in concert with those on the shop floor to ensure a smooth adoption process, because each side of that equation will have key insights into what the company needs, the report said. That, in turn, ensures everyone gets maximum benefit out of whatever systems they end up adopting.

"It is vitally important to have buy-in and support from all organizational levels when choosing an ERP system, from administration all the way to upper management," Kevan Grinwis, vice president of Automated Machine Systems, told the site. "We've seen many folks achieve success by assigning a point person who can navigate the conversation on many different organizational levels, understanding some of the smaller details while maintaining a big picture perspective."

Getting ready
The problem for many logistics companies is that adopting and integrating the latest and best ERP platforms isn't always easy when they're also doing their normal business functions every day, according to Woodworking Network. With this in mind, it's important for managers to make sure they have plans in place for how best to integrate ERP into existing and ongoing operations so that everything keeps flowing smoothly even as efforts ramp up to boost efficiency. Laying the right kind of foundation in this regard can really help to avoid any pitfalls that might slow the day-to-day work of just about any department.

One other issue to consider when looking at how an ERP upgrade can help a logistics firm is the fact that, given how much sensitive information they collect and organize, adopting these systems also requires a hard look at cybersecurity capabilities, according to Crowd Research Partners. A recent poll found that 89 percent of cybersecurity professionals believe ERP systems will be increasingly targeted by for attacks, and 1 in 3 believe the increase will be significant. Problematically, the cost to remediate these attacks may run into the millions of dollars.

When logistics firms have the ability to examine all aspects of their technological and operational capabilities as it relates to adopting the latest ERP platforms, their ability to seamlessly integrate those systems into their everyday work becomes that much greater. 

By |June 5th, 2017|ERP Solutions|0 Comments