Long gone are the days of having a set-up machinist who can program at the machine and trouble shoot through a job. Today more than ever, machine shops are focusing on the technology and not necessarily on man labor. The better the equipment and software, the less man power. Is your machine shop prepared for this shift in manufacturing ways? Is purchasing ERP software your answer?
Let’s start by identifying the way you manage the day-to-day activities of your business. Do you have the ability to quote from a system, create orders that will drive labor and material orders? Can you manage your inventory, whether it is raw stock or finished goods? And at the end of the day do you know your financials down to the cent? Running off of Excel spreadsheets will only get you so far and leave you with a headache. A great Shop Management software is what will separate you from your competitors and provide you with all of the tools your business needs to meet your customer’s demands as they happen.
Next, you need to ask yourself if you properly schedule the resources of your business, whether it is with people or equipment. Being able to know if you need to ramp up because of load or hire more people because you are over your capacity for the next 3 months is something many machine shops struggle with, but is something that can be corrected with Planning and Scheduling software. With the right software you can have real-time load visibility for advanced finite/infinite scheduling and reliable quoting allowing you to better serve your customers.
Lastly, how do you know if you are making money or losing money? Knowing if you are making money on a work order is key, and if you don’t know the true cost of a job, how can you know that you are making the right decision by keeping the job? This is a simple and basic principle that should be practiced regularly, no matter the industry. Yes you always have winners and losers, but should the winners always be making up for the losers? Definitely not!
If you want to be the leader in your industry, Global Shop Solutions can make it happen. Investing in the right resources and proper training to utilize the system will make all the difference. For more information on how Global Shop Solutions can simplify your manufacturing, click here.