Data-driven manufacturing is the need of the day. Digital transformation has entered the manufacturing industry and is changing the sector through data analytics. Business intelligence is the key to revamping manufacturing and improving quality, production, and returns. This has stirred the interest of the manufacturing industry in integrating business intelligence with their existing ERP system for Manufacturing Industry.

An in-depth understanding of the manufacturing industry gives an idea that data is present everywhere and is mostly in offline databases until entered manually into the systems. This is where Business Intelligence comes into play.

Business intelligence offers a way to quickly and easily combine data. It offers to collect data, clean it up, and use analytics to enhance industrial procedures and boost profits. Business Intelligence has become a very important requirement of their database management systems. And, this is forcing the industry to upgrade its ERP systems to Intelligent Enterprise Resource Planning (iERP) systems.

Before understanding the need of the Manufacturing Industry for opting for business intelligence, we need to first get a clear understanding of the Manufacturing Industry and its processes.

Manufacturing Industry and its Processes

Manufacturing, very simply, is the process of creating items or products out of raw materials and tools. The procedure to create the finished product might also be biological or chemical. Manufacturing is the process of turning raw materials into completed products by following a planned and methodical process, whether it is for the creation of a tiny toy, home appliances, or automobile.

The truth, however, is much more complicated and depends on a variety of factors, including cost, supply chain, cycle time, quality, and more. There are many variables along the road from purchasing raw materials to delivering finished goods to the market that aren't always in the control of the manufacturer. In addition, three categories of manufacturing processes are recognized:

Make to Stock

The Make to Stock is where the finished goods are produced in bulk and kept as inventory in retailers. These are often used and in high demand. Nevertheless, producing too much in excess might result in blocked capital and losses.

Make to Order

Make to Order is the stage before manufacturing begins while the manufacturer awaits an order. The clients or customers must wait until the production process is finished and the finished product is delivered to them.

Make to Assemble

Make to Stock and Make to Order are combined to form Make to Assemble. The components needed to put the finished product together are already on hand at the manufacturer. Only after receiving an order will the assembly take place. This can leave the manufacturer with extra parts if there are no orders, which can also shorten the time it takes to deliver the product to the customers.

Business Intelligence in Manufacturing Industry

Business intelligence is used throughout the production process of the Manufacturing Industry, from locating raw materials to delivering finished products to customers. Adopting a BI and data-driven strategy is not overly challenging as industries can now opt for Intelligent ERP software with embedded Business Intelligence.

Adopting Intelligent ERP with Embedded Business Intelligence can benefit Manufacturing Industry following ways:

  • Improve Operational Efficiency: For the manufacturing industry, to survive the competition in the markets, operational effectiveness is a requirement. It is only feasible, though, if a company is aware of the modifications to make and the procedures to keep in place.
    Despite the availability of data, the organization can’t be used. To effectively use the data, management would need to acquire comprehensive insights into the current operations. ebizframe Intelligent ERP with embedded BI shortens the time needed to evaluate data and generate reports, giving management the information they need to make changes promptly.
  • Manage and Streamline Supply Chain: A manufacturer collaborates with numerous external suppliers, shippers, distributors, and other providers. Throughout the whole production cycle, a delay at any point in the supply chain will cause interruptions, delays, and losses. It can result in a defective product or disadvantage the manufacturer.
    This is where ebizframe Intelligent ERP with embedded BI comes effective, it helps manufacturers with analysing information on distributors, shippers, delivery, costs incurred during distribution, and other factors. The information can be used to select dependable freight partners and suppliers, as well as to schedule the production cycle so that manufactured items are released onto the market in seasons when there is a higher demand for the items.
  • Reduce Inventory Cost: Both excess inventory and a shortage of inventory are related concepts. The manufacturer experiences the same outcomes whether there is a shortage of inventory during periods of strong market demand or an abundance of inventory during periods of low market demand.
    By gaining insights to establish the ideal inventory level, the business intelligence function of Intelligent ERP assists in avoiding both situations. Real-time inventory tracking enables manufacturers to efficiently handle distribution, warehousing, defective goods, and stock turnover problems.

Business Intelligence is the next step in the future. Industries are opting for data-driven decision-making to make informed decisions. But subscribing to business intelligence software separately for the organization proves to be very costly. Adopting Intelligent ERP with embedded BI is the key to these problems.

To know more about how ebizframe Intelligent ERP BI function could help streamline your business, contact us today at

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