Why ERP Needs MES for Manufacturing Success

Complementary to ERP systems, MES platforms help leaders optimize their production planning as precisely as they do their business operations—and inform better business decisions by enriching records with production-level data. However, a recent Parsec survey discovered that more than half (54%) of North American manufacturers aware of MES haven’t invested in an MES because they believe their ERP platform provides all the operational insight they need. 

 

This reveals a hard truth: people have trouble picturing exactly how an MES enhances operations, expands the value of business-level systems, and gives its users unparalleled visibility, knowledge and control over their operations. 

 

Through the lens of a food manufacturer, let's explore how, from receipt of raw materials all the way through distribution, an MES adds value to your operations:

 

Receiving. The MES’s involvement starts at the loading bay when raw materials—such as sugar, flour and chocolate chips—arrive from suppliers. Each raw material container is equipped with a unique radio frequency identification (RFID) tag and identifier, which relates it to important information like origin, weight and arrival date. Managers and personnel can also add details about storage and utilization plans to the record, setting the stage for a smooth journey from ingredient to finished product.

 

Storage and inventory. Manufacturing is all about consistency, and that starts with storage. Temperature and other environmental monitors continuously track conditions in storage areas to ensure ingredients stay fresh. Using edge-connected sensors throughout the factory, the MES adds additional contextual information about the materials’ journey, helping teams keep track of ingredients and their condition over time. These records help ensure nothing spoils before it's used, gets lost in the facility, or is improperly stored. An MES can also alert quality teams to variations that might cause issues and log those incidents in the item record to provide context should the materials turn out to be sub-par when they go into production.

 

Production and quality. When it's time to start a batch, connected scales, precisely calibrated mixers and other smart equipment work together to make sure the cookie dough is perfectly mixed and sized before baking. Every step of the process is logged in the centralized batch record in MES and updated in real time, so teams can track progress throughout production. Origination, storage and other information related to each ingredient used in the batch is also logged in the record, so teams can correlate batches with materials for future reference, should it be necessary.  Smart quality assurance and control components of MES use artificial intelligence computer vision, scales, temperature sensors and other means to keep tabs on production lines, notifying teams of potential quality issues in real time. This empowers staff to act quickly, checking cookies for signs of breakage, underbaking, or any other issues before too much time and product are lost.

 

Packaging and fulfilment. One the cookies are done, it’s time to seal, label, sign off and coordinate shipping. The cookie factory’s MES integrates with the company’s ERP platform to pull order and shipping information, ensuring the right products get to the right customers at the right time. While en route to their destination, trucks, ships and planes outfitted with edge-driven, connected smart devices communicate environmental and shipping data back to the factory. Information about route changes, weather, and the cargo’s environment helps teams get ahead of delayed shipments or damaged products to mitigate their impact on customer experiences.

 

Ordering, planning, and optimizing. Finally, the cycle begins again, with all the data from the MES enriching the company’s historical database to make it easier to plan for the next run. Automated reporting tools give detailed and accurate insight into production performance, highlighting opportunities to streamline processes that might otherwise have gone unnoticed.

 

This walkthrough just scratches the surface of what MES platforms can do for operations. Imagine having this volume of data for every item the facility produces, every batch and every incoming shipment. Imagine also having similarly precise information about equipment performance, production cycles, different teams' productivity, and more—and not having to do extra work to compile it once system implementation is complete.