Visual South Insights

Overlooked costs when implementing ERP systems

The Visual South team has over 25 years of experience with implementing ERP applications. We have basically seen it all when it comes to ERP implementations and come to recognize the characteristics of successful implementations, as well as the warning signs when an implementation is at risk. The good news is that the typical implementation goes as planned and is successful. But a common challenge that can derail the implementation process is a failure to identify hidden costs. Companies must have a plan to manage those hidden costs.

Infor ERP products

Visual South sells, implements, and supports two Infor ERP products: CloudSuite Industrial (formerly known as SyteLine), and VISUAL. We are commonly asked, “What are the differences between the two?” That’s a reasonable, straightforward question, but the answer is much more nuanced because these ERP products are used to run manufacturing businesses, which are not simple and straightforward. At a high level, the two products feel similar; they are both ERP products with deep functionality. Also, at a high level, two manufacturers feel similar; they both make stuff. As you look deeper into the manufacturers, differences emerge and the same is true with the Infor ERP products. For this article, I’ll start by comparing what is similar between the two products and then work through the differences.

Benefits of having accurate job costing

Given that many of Visual South’s customers and prospects are “to order” manufacturers, one of the prime operational areas they are typically looking to improve when we speak with them is costing. Additionally, many companies we work with are engineer-to-order, configure-to-order, and project-oriented manufacturers, so job costing is critical.

Inventory management is critical

I visit companies all the time that are looking for an ERP software solution. In almost all cases, these companies mention that they need to manage inventory better. Solid inventory management for manufacturing companies is a result of solid processes, but solid processes are difficult to execute if you do not have a tool like ERP software (Cloud Suite Industrial or VISUAL) to support them. Below, I list some of the inventory management issues I hear about all the time and how ERP can address these issues, which will hopefully help you determine if your current solution measures up.

Budgeting for an ERP purchase

Budgeting for an ERP purchase can be a significant challenge. There are many cost factors to consider when replacing your current system and choosing an arbitrary dollar amount as your ERP budget is a mistake. But it is a mistake that many first-time ERP shoppers make.

Things to consider before customizing ERP software

Visual South has helped hundreds of manufacturers implement and optimize operations with their ERP systems. Often there are functional gaps between the ERP software and the business requirements of the customer. When this situation arises, we have a couple of options to close the gaps, such as using the development toolset to add functionality or develop a bolt-on application. Some consider this approach customization.

QuickBooks & manufacturing have inherent problems

QuickBooks is an accounting-focused application that’s built for small businesses. Offering a lot of great features, it is one of the most commonly used accounting programs for all types of small companies. However, it is not an enterprise resource planning (ERP) system. There’s some improved functionality available with QuickBooks Enterprise, but companies tend to outgrow that functionality quickly—especially work-order-driven manufacturers. We have seen many companies struggle when trying to determine how to use QuickBooks for manufacturing.

Before we get to the three questions…

This blog is written assuming that you are following some sort of methodology for managing your ERP evaluations. The following questions are geared toward helping you decide which vendor to work with, not the mechanics of the evaluation itself.  If you don’t have a methodology, my suggestion would be to first download our ebook to get some fantastic advice on how to carry out your ERP evaluations. You can download it here.

How to Successfully Apply ERP Training

ERP users run the spectrum in regard to their ability to properly use their current system. Some are Jedi masters, many are proficient, and others know only the basics. Oftentimes, a user’s ability is directly related to their role in the organization and amount of training they’ve received on their ERP system.

Production performance metrics

Visual South works with manufacturers who use work orders, so this article focuses on job shops and discreet manufacturers. In this type of environment, production’s job is to deliver a certain quantity of a certain product. There is a defined start and a defined finish. Maybe production has made it before, maybe they haven’t. They may make it again, they may not.