The Best Mixed Mode Manufacturing ERP Software

What is Mixed Mode Manufacturing ERP Software?

Mixed mode manufacturing ERP software, sometimes shortened to just mixed mode ERP, allows manufacturing companies to control multiple types of production methods, such as discrete, process, and engineer to order (ETO). These solutions contain many of the same popular features of general enterprise resource planning (ERP) software such as accounting and human resources (HR) while also offering additional advantages designed specifically for manufacturing, like inventory and supply chain management.

Using mixed mode ERP software, companies can combine both make-to-stock (MTS) and make-to-order (MTO) to better fulfill production orders. Or you can combine different manufacturing methods to increase overall efficiency of production. There are multiple possibilities for optimizing your processes when using mixed mode manufacturing ERP software.

Mixed Mode Manufacturing ERP Software Features

• Inventory management: Track all information about the raw materials and finished products you process, build, buy, store, transport, or sell; Measure physical inventory levels in real-time
• Manufacturing execution systems (MES): Maximize resource utilization to decrease manufacturing cycle times, reduce scrap, and increase production targets
• Supply chain management: Manage the movement of raw materials and finished goods between production facilities, storage locations, and sellers
• Batch management: Control different production batches; record, store, and modify formulas and recipes for specific batches
• Quality control: Ensure compliance control, perform risk analysis, and monitor workflow to ensure your manufacturing meets quality objectives for parts non-conformance; initiate corrective action management when necessary to reduce the risk of defects and errors
• General accounting: Track all internal revenue sources and company expenses through accounts payable (AP) and accounts receivable (AR) within a general ledger
• Budgeting and forecasting: Create detailed corporate financial plans in order to estimate future revenues and expenses in order to calculate departmentalized budgeting and payroll for employee compensation
• Bill of Materials (BOM): Provides instructions on the handling of raw materials and assemblies needed to manufacture a finished product
• Human resources (HR): Manage current employees and develop a consistent onboarding process for new employees; handling hiring of new talent for your manufacturing workforce

Best Mixed Mode Manufacturing ERP Software Benefits

Mixed mode ERP software provides many useful benefits to manufacturers in every field:

Expand Your Manufacturing Options

Mixed mode manufacturing can cover a wide range of manufacturing methods. Two of the main types are defined as:

• Discrete manufacturing: The creation of products from individually created parts, i.e. combining different electronic components to build a computer
• Process manufacturing: The creation of finished goods directly from raw materials for use other types of production, i.e. treating and cutting timber to create wood boards for construction

These two main categories of manufacturing then open up into more diverse production styles:

• Industrial casting such as die, resin, and evaporative pattern casting
• Moulding of powder metallurgy and plastics
• Forming (metalworking) including stamping, pressing, and forging
• Machining like milling, turning, and drilling
• Joining including welding and soldering
• Additive manufacturing (3D printing, etc)

Finally, you have to consider the production approach:

• Make to stock: Preparing products in order to meet anticipated customer demand
• Make to order (MTO): Building or assembling products based on specific orders
• Engineer to order (ETO): Similar to the above, except the product specifications are not known until the order is made
• Repetitive or continuous: Making the same product over an extended period of time

By using mixed mode ERP software, you can combine these various methods. For instance, perhaps you currently use discrete manufacturing and automation for the majority of your work assembling furniture. If you’ve found a process manufacturing method, such as sourcing your own textiles for custom upholstery orders, this can potentially decrease the cost of all the ETO batches you complete in a day. Mixed mode ERP solutions gives you the flexibility to incorporate two or more types of manufacturing into your production schedule.

Faster Manufacturing Processes and Results

As mentioned above, mixed mode manufacturing ERP software helps to expedite business processes. By providing a variety of ERP and manufacturing tools in one solution, businesses can coordinate a variety of functions simultaneously for faster results all around.

For example, you may realize you have a few low-volume products which could easily be made-to-order while other merchandise needs to be produced at a much higher volume to meet demand. This would require at least two different methods of manufacturing. Mixed mode ERP software allows you to coordinate between multiple types of production to best fit your current or future needs.

Through mixed mode ERP software, you can gain all the benefits of an individual ERP system or MES without having to integrate two, three, or more different solutions.

Remain Compliant

The world of manufacturing is full of regulations and rules. No matter what production process you use, there are requirements in order to ensure worker and consumer safety. Start by performing risk analysis to see if any of your manufacturing methods need additional safety measures to perform. By creating a safe workplace, you can keep your workforce happy and avoid costly fines.

Along with protecting workers on the shop floor, monitor workflow to ensure your manufacturing meets quality objectives for parts non-conformance. Then initiate corrective actions when necessary to reduce production errors which can lead to defective merchandise and materials. For example, batch management tools store formulas and recipes necessary for consistent production. No more guessing at ingredient ratios or assembling a product in the wrong order.

Additionally, quality control measures do more than just protect consumers: they ensure happy customers receive high quality products and materials every time they do business with your company.

Mixed Mode ERP Pricing

The price of mixed mode manufacturing ERP software varies greatly depending on the main tools you want, the scope of your business, and your exact production needs. Some solutions are available for a one-time licensing fee while others are SaaS with monthly or annual costs. One-time payment plans range from $4,500 to $25,000. SaaS plans range from $34 per month per user up to $5,000 per month per user.

These main factors affect how cost-effective each solution is:

• Deployment (on-premise or Cloud-based)
• Module additions or customization
• Initial implementation (hardware and software installation)
• Additional users

Any employee training, IT support, or upgrades may further increase the total costs. And another major factor to consider is how many facilities are going to implement the mixed mode software. By integrating these Cloud-based solutions at all your locations, you can better coordinate your production from start to finish.