Enterprise resource planning (ERP) systems assist with managing core parts of a business. Many ERP tools and features support quality control goals, too. Here are some specific reasons why.
1. Integration With Other Systems
Many people don’t immediately realize that using an ERP doesn’t necessarily mean eliminating all existing processes and systems. Instead, ERP platforms often work alongside them. That allows facility managers to get useful information about production or other aspects at any time.
Consider the case of how decision-makers at Ardent Mills wanted to improve oversight for a flour mill in Florida. They chose a product that integrated with an ERP and other tools already used at the facility. This change enabled the collection of approximately 20,000 data points for actionable insights.
The company uses in-line analyzers to check for various attributes as products move through different stages in the mill. Automated technologies can check flour quality or verify the makeup of certain blends. This is a perfect example of how ERP can help companies achieve more quality control goals.
The technology also extends to environmental conditions. Plant technicians receive real-time analyses of details ranging from machine health to air and wheat quality. Relatedly, workers can reap the benefits of automated data compilation, letting them move away from manual, error-prone processes.
Moreover, the grain elevator’s inventory syncs with the ERP. People in various roles within the manufacturing process can get the real-time information needed to make confident decisions in a fast-paced setting. Reliable and easily accessible data can improve quality control by increasing awareness of when things are going wrong or assuring people everything is OK.
2. Inventory Count Improvements
Inaccurate inventory counts can quickly derail quality control goals. However, ERP systems provide alternatives to previous methods characterized by high error rates. Hickey Metal Fabrication is a family business with eight decades of history. However, recent events revealed it was time to adapt by adding an ERP system.
Adam Hickey, the company’s vice president, explained how the COVID-19 pandemic highlighted a critical lack of shop floor visibility. He noted how many clients experienced supply chain collapses, making almost all orders subject to change. Those customers often responded to supply chain challenges by making day-to-day operational changes based on current conditions. That often affected suppliers like Hickey Metal Fabrication.
However, the ERP solved some of the associated challenges. For example, it facilitates labeling and tracking all parts coming into the company’s buildings. Then, once a new job arrives in the system, people can instantly verify whether the necessary supplies to fulfill it are on hand now or if they need to order more goods.
Company officials also decided that letting the ERP handle inventory counts was better than having employees do the task manually. They knew they could better deploy the labor force elsewhere, plus assign people to jobs they found more rewarding.
The inventory count improvements also involve goods being prepared for shipping. The ERP system creates labels to affix to every part or kit before it’s sent to a customer. Workers can then verify what’s ready to ship and identify delayed orders. This improvement supported quality control goals by increasing the percentage of on-time deliveries and helping employees load trucks faster.
ERP tools can also automate order fulfillment, helping companies scale. That’s particularly advantageous during fluctuations due to things like seasonality.
3. Product Recall Reductions
Many quality control goals center on reducing damage to a company while keeping customers happy. A lack of allergen control is one of the leading causes of contamination within the food and beverage industry. Fortunately, an ERP can automate the labeling process. No ingredient or cross-contamination detail is overlooked, as they could be with manual checks.
Maintaining control in tightly regulated sectors like food and beverage manufacturing becomes more complicated. However, an ERP allows tracking all steps of the process. Then, if a recall occurs, companies can get to the bottom of what happened and identify the affected products faster. ERP platforms also have a recall functionality that allows company representatives to simulate how they’d react to known product issues.
That capability makes it much easier to spot process or disaster recovery-related weaknesses. It’s far better to do that before an actual problem happens than discover the vulnerabilities during a catastrophe. That’s a primary reason many businesses use ERP tools to reduce liability and minimize the chances of product recalls.
ERP systems also help businesses avoid product recalls by improving overall visibility. Many products are cloud-based, allowing authorized users to view content from anywhere at any time. Even if a company’s presence spans dozens or hundreds of sites, people can use cloud-based ERPs to ensure each location follows the appropriate quality control standards.
4. Industry Pivots Related to Quality Control
Companies also create quality control goals when they need to change priorities due to industry changes. That happened with Coastal Machine & Supply, which primarily formed its business around machining parts for the oil and gas industries. However, it responded to industry changes by pivoting to the tightly regulated aerospace machining sector. Making that shift required getting AS9100 certification. It defines the design and manufacturing of aerospace products.
At that time, the company had an ERP system it had adopted the previous year, making meeting that goal much easier. Getting the AS9100 certification can take years. However, it only took this company four months to finish the process.
The company’s first gap analysis revealed it already met 95% of the certification requirements. Some of the remaining needs related to checklists and improved documentation, and the ERP helped representatives fill in the gaps.
Another significant advantage was that any updates associated with a single device are instantly reflected in all other products connected to the ERP. Everyone has the right information with no need to look for physical paperwork.
The company also used features within the ERP to register with International Traffic in Arms Regulations (ITAR), which establishes controls for importing and exporting items used in defense forces. Such functionality lets it cover its bases and do everything necessary to change its business focus.
How Will an ERP Align With Quality Control Goals?
These four examples show how an ERP can help a company get closer to quality control goals. Companies that want to improve their operations should explore how an ERP could help. Working out the details takes time and effort, but succeeding could result in bigger profits and increased customer satisfaction.
Emily Newton is the Editor-in-Chief of Revolutionized, an online magazine discussing the latest technologies changing our world.