How to increase efficiency in production using ERP software?

04.08.2022 / Spasenija



The success of the company often depends on the efficiency of the production itself. That is why all companies strive for it, but in reality, it is very difficult to achieve, especially if we take into account the nature of today's market. It happens every day that a priority order arrives in production because customers cannot wait and therefore "manual" production planning has become almost impossible.

ERP software and the automation of production it brings greatly facilitate and simplify production processes. With such automated production, there is very little "manual" work, which leaves you more time to focus on the actual production and quality of the product. The software monitors every step in production with very precise cost control to maximize efficiency. The result is higher profits, more satisfied customers, and better use of the company's resources.

In this article, we will show you how you can increase your production with the help of Toscana ERP software.

Better production planning

Since production in Toscana is monitored in real time, you will know at all times what the current status is and what resources are currently occupied. Using the calendar display, you will be able to see exactly how busy the machine or employee is that day and decide accordingly how you will allocate new orders. Using a simple drag-and-drop option, you can move orders in case there are modifications or priority orders. This way, you will ensure that there are no "holes" in the schedule and that all resources are used to the maximum.


Illustration 1: Example of production planning by machines



Warehouse monitoring

Inventory tracking is critical to keep production running smoothly. Companies often have several warehouses that are physically distant from each other, and that is why they must be all connected in one centralized system so that everyone can monitor the actual amount of stock available and avoid errors. These types of errors often lead to product delivery delays and increased costs and are very easy to avoid with the help of software.

In Toscana, you can monitor the real-time data from your warehouse, and at any time you will know how much material you have available and how much is reserved for certain projects. That way, everyone will know that certain goods have already been reserved for a project and there will be no double reservations. Immediately after creating an offer, the program will show the materials needed for that project and their availability. If that material is not in stock, the system will offer to put it on the order list for that supplier. All orders are also tracked in Toscana and organized in such a way as to minimize the logistics costs associated with them.


Illustration 2: Warehouse monitoring



Precise calculation of production costs

In Toscana, for each completed project, you have a detailed report on time spent on a work order and the material used. Each production employee logs in to a work order and thus the time spent is tracked. After the job is finished, that worker enters the material used for that order and you get the real balance, that is, the real cost for a particular project. Manufacturing errors always happen and it is very difficult to make precise assumptions at the very beginning of a project.

This is why there is often a difference between pre-calculation and post-calculation. In Toscana, you monitor real costs, and based on that, you can make modifications for future orders (set the price differently, increase the margin, point out certain errors, etc.).


Ilustracija 3: Primjer konačnog izračuna