ERP for Mixed Mode Manufacturing
By Johnny Nugent
Engineer to Order? Make to Order? Make to Stock? Repetitive? Pure Distribution? If you are like most small and mid-sized manufacturing companies, one size does not fit all. Those companies are often considered to be “mixed mode”.
When selecting an ERP system for your mixed mode manufacturing company here are some features to look for based on the type of manufacturing you engage in.
Engineer to Order
ETO ERP requires deep functionality in projects, jobs, quotes, estimates, costing, billing, revenue recognition, design management, and aftermarket service.
Make to Order
Software must have similar functionality as what is listed above for ETO, but greater depth in job tracking and specific functions such as capable to promise (CTP), available to promise (ATP). MTO ERP must provide robust finite scheduling in order to optimize all resources and machines.
Make to Stock
MTS ERP should have strong functionality in the following areas: repetitive production lines, Kanban management, inventory optimization, backflushing, work order-less production, stock pricing, ATP, forecasting, Engineering Change Control, lot/serial tracking, actual and standard costing, and strong order fulfillment and backorder management.
If your manufacturing operation doesn’t neatly fall into one of the areas listed above, there is always the “in between” that might rely on some customization. A parametric Product Configurator can be a great solution for this manufacturer. The product configurator allows sales to process orders based upon a template that consists of options, features, rules and formulas to come up with a unique product, BOM, and routing.
If more than one of these sounds familiar, then you are likely a classic mixed mode manufacturing company. Contact us to learn more about Visibility’s solutions today!