1. IS YOUR OLD MRP SOFTWARE ON
SPREADSHEET LIFE SUPPORT?
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2. It’s easy to understand
why so many firms still
hang on to their old
Excel spreadsheets,
even though they
should really have been
scrapped years ago.
We all feel comfortable with things
we like and know, whether it’s that
old pair of faded jeans, or those
worn-out trainers which are barely
fit-for-purpose.
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3. worn out business tools impact
on your company’s bottom line.
However, while worn out clothes only impact on
your image…
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4. Business impacts of
outdated spreadsheets
It is estimated that
90%
of spreadsheets with 150
rows or more contain
errors. Yet suppliers
and manufacturers still
use spreadsheets to
share critical product
information.
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5. What are the risks of
outdated spreadsheet
processes for your
business?
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6. Existing errors:
Existing errors in your spreadsheets can multiply and
spread to damage service, supply chain management
and production profitability.
Failure to update:
Failure to update critical information effectively leads to a
drop off in productivity and scalability.
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7. Growing pains:
As your business grows, so does your spreadsheet
collection. As multiple spreadsheets try to become
linked, each stage of growth increases the likelihood of
errors.
Single / multiple points of failure:
In all likelihood the spreadsheet your business currently
depends upon was created by one person, one Excel
whizz. This creates a single point of failure - what
happens if that person leaves, retires or simply switches
roles? The same risk applies if multiple spreadsheets
were created by multiple people creating multiple points
of failure.
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8. Failing MRP systems
must be replaced
Some companies
went halfway, of
course, introducing
software and
automation in
some parts of
their business, but
keeping business
critical information
such as budgeting,
forecasting
and analysis on
spreadsheets.
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9. Failure to upgrade
Even those who did act initially may
now face another big issue - those
companies who invested in MRP
software, but have failed to update
their system for the requirements of
today.
Given that the decision-makers most
likely upgrade their phone, their
ISP and other technology providers
every year, surely they should also
be upgrading their MRP software as
a failure to do so can cause major
problems inside a business.
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10. Aligning MRP to wider
business goals
What is more when implementing an MRP system
some companies see it as purely software and fail to
incorporate it into the goals of the wider business. In order
for your business to see the benefits of a MRP system it
has to be aligned with wider business processes.
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11. There is a
solution to these
issues though,
and it isn’t
complex
Define your goals and discuss them
with MRP/ERP specialist suppliers to
soon identify which new supplier can
deliver the MRP software you need,
and finally move you away from those
out-dated spreadsheets.
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12. Final advice
This final advice is true whether it is ERP / MRP or MRP
II software that your business is thinking of implementing
- whatever the aims of the system, you must choose a
long-term partner and solution. To ensure your business
doesn’t end up on spreadsheet life support again, ensure
the vendor can meet the needs of your business now and
the needs of your business in the future.
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13. Takeaways:
Reliance on
spreadsheets increases
the chances of supply
chain breakdown.
Spreadsheets can
suffer from single /
multi point failures.
Choose an MRP system
vendor who can meet
your current and future
business needs.
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14. A discussion of the arguments for
and against developing a bespoke
manufacturing management
system, or installing a standard
manufacturing Enterprise
Resource Planning (ERP) platform.
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Bespoke Manufacturing
Software vs ERP: A Business
Case Assessment
In order to move away from spreadsheets
you need modern resource planning
software - but which is more suited to your
business? Download our free eGuide now
and discover more:
Bespoke Manufacturing
Software vs ERP: A Business
Case Assessment
Download Now!
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