Published on the 11/11/2015 | Written by Newsdesk
For the first time in more than a year, the Australian manufacturing industry is growing due, in part, to the falling Australian dollar…
With further falls expected, the sector looks set to benefit. But companies must prepare to take advantage of the upswing or risk being overtaken by savvier competitors, according to UXC Eclipse.
Carsten Pedersen, the company’s senior executive for Microsoft Dynamics NAV, said, “If you’re a manufacturer, you can’t just rely on the falling dollar. It’s imperative that you gear up now to be competitive in the longer term.”
Manufacturers have long been urged to be more innovative and run leaner operations. For some organisations, how to achieve this is less clear. Technology, both traditional and emerging, can help light the way; Pedersen pointed to ERP as a powerful tool for manufacturers which allows them to assemble all information and processes to make smarter, better-informed decisions. “It delivers an accurate view of the company from all angles, which enables the kind of strategic decision-making that helps companies outperform their competitors.”
ERP systems are seeing increased adoption in the manufacturing industry as organisations begin to understand the significant benefits on offer. Pedersen said manufacturers should look for an ERP solution specific to the industry, noting that Microsoft Dynamics NAV has enhanced project accounting and cost accounting modules with deep integration to both finance and core manufacturing processes. “This lets manufacturers identify and eliminate waste, working smarter to deliver more value at a lower cost.”
Manufacturers looking to compete effectively as the industry improves should also consider supply chain optimisation. By doing so, they can reduce cycle times, lower inventory, accelerate customer fulfilment, and decrease distribution costs. Likewise, customer relationship management (CRM) software can help companies more clearly identify and satisfy customer requirements, leading to increased loyalty.
Pedersen said, “While the lower Australian dollar will help bolster the manufacturing industry, there is still fierce competition from overseas competitors, so now isn’t the time to be complacent. Companies should invest in technology now to position themselves to take advantage of the upswing and turn it into sustained business success.”
