Crossing the Chasm
Before purchasing and evaluating MES and ERP systems, manufactures need to decide in the beginning of the process what will need to be accomplished on the shopfloor with each system since they will be implemented on separate timelines. However, one of the challenges manufacturers face in fully realising the value of their investments in ERP and MES is that they are often procured and managed by two different sides of the business.

Typically, a plant manager acquires the MES system and manages it while the IT and finance department purchase the ERP platform. It is important that a company's CFO and CIO come together to understand the opportunity around the ERP/MES integration. The integration of ERP and MES starts with a cultural change within a manufacturer.

The strategy of managing manufacturing operations via point solutions is becoming increasingly ineffective as manufacturers face increased global competition and market pressures. And as manufacturers embrace Big Data, Mobile and Internet of Things (IoT) technologies, new data and process integration capabilities must be added to organisations' operations. Manufacturers need to strive to improve flow/use of data throughout the organisation - from shopfloor to bottom floor - now, lest they become overwhelmed and outflanked.

MES ROI can be seen through product delivery, quality management and customer satisfaction. Integrated with ERP, this leads to better planning which improves a company's overall operations and enables the executive team to lead more effectively and better understand profit/loss to make the right decisions to grow the organisation.

Competition may arise anywhere, often from unfamiliar players; disruptive technologies may also change the game radically in a short time. The integration of ERP and MES offers manufacturers real advantage - and shouldn't be overlooked as organisations seek out strategies for growth and prepare for "what's next."

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The author is Senior Manager, product marketing, Epicor MES