The leather industry along with a multitude of ancillary businesses is driven by fast changing customer demands and innovation in design. The industry is highly segmented and includes businesses for tanning & finishing, footwear & footwear components manufacturing, production of leather garments & consumer leather goods and much more. The industry is constantly faced with challenges to produce the finest quality product at the most competitive rates possible. Disorganized subcontracting and highly demanding customers are the key pain areas for leather & footwear manufacturers across the globe. The industry needs a reliable, integrated enterprise solution to manage the inventory, raw material sourcing, sales & order distribution, customer insights and much more. Let us look at the key features that an ERP (Enterprise Resource Planning) Solution for small and medium enterprises in this vertical should provide -
- Precise Inventory Quantification
- The ERP Solution must provide real-time item information throughout the global supply chain with just-in-time accuracy
- Solution should be able to track all historic data as well such as returns, recalls, scraps, warranties, etc. to provide a holistic picture of the inventory
- The solution should also have the provision to allow entry of multiple item numbers, measurement units and multi-language descriptions for each item
- Optimized Raw Material Sourcing & Utilization
- Businesses with multiple vendors and sub-contractors should definitely look for an ERP Solution which allows you to prepare & evaluate a list of bidders, approve requisitions, track supplier performance, etc.
- The module should also take care of a variety of pricing scenarios as you would be dealing with many suppliers with different expectations
- The procurement module within the ERP software should offer you features which will allow you to filter through the bids and arrive at the optimum bidding contract with minimum supply chain disruptions
- Efficient Customer Order Tracking
- The solution should be able to handle complex pricing scenarios and different order & product configurations
- The order management module must ensure proper coordination between multiple channels for customer service and the distribution centers
- Ideally, the ERP solution should also provide attribute management module to fulfil the needs where the business has multiple product attributes like size, color, collection type, etc.
- Seamless Business Level Reporting
- The solution must give complete visibility into all the planning as well as the into the activities across the product life cycle
- Interactive report which have graphs, tables, charts and lists should be available to the decision makers at real-time
- ERP Solution with built-in Business Intelligence will provide actionable business process insights by leveraging the process-level data across the business
A robust ERP Solution like Oracle JD Edwards will allow the leather and footwear business to improve their competitiveness, bring in process efficiencies and will help bind the sales & order distribution cycle tightly together. An ERP solution designed for the footwear & leather product manufacturers and a vendor with specific industry expertise can help business in going global with innovation and quality.