Lean protocols have begun to tighten its grip around the manufacturing industry. While these actions are a great way for organizations to make their processes more efficient by analyzing the downtime, scrap, and reporting it is important not to forget certain other beneficial areas of the business such as inventory.
Inventory applications can be purchased as a stand alone module or as part of an ERP software package. When included as part of an ERP package the software can integrate more effectively with the additional software applications such as scheduling and purchasing. By integrating the three systems together they can work in a way similar to the Kan Ban system. When inventory levels reach a predefined amount the system will automatically alert the scheduling system which will schedule to send out a purchase order to the required company.
Another module which is often found within an ERP system is a barcode application. Often integrated with an inventory system, bar coding inventory such as raw materials or finished goods is a potentially high investment within any ERP application. The bar code system utilized with hand held scanners can allow for directed put away or for employees to choose where the items will be placed within the inventory. When the inventory is pulled from stock the bar code affixed to the item can provide useful information to the employees such as lot number, quantity, production date and any additional item relevant to the organization.
Implementing an inventory application into any ERP solution is a wise decision not only to control the levels of materials and stock which are on hand but also to help each of the processes move more efficiently by integrating all of the systems together.