ERP Steers Automotive Manufacturers to Success
Central and South America have a strong history in automotive manufacturing, and countries such as Brazil, Argentina and Mexico are major players in the industry. Though prospects look good for automotive manufacturers in the region, that doesn’t mean there aren’t some major challenges and sources of instability. Mexico, in particular, is grappling with the possibility of heavy tariffs and new regulations from the United States.
To maintain their competitive advantage and mitigate risk, Latin American manufacturers must turn to enterprise resource planning (ERP) software. ERP consolidates all your data into one solution, giving you visibility and control across the supply chain. Below, we go over a few of the ways that ERP software can steer Latin American automotive manufacturers to greater success.
Manufacturers across the globe are under the strain of strict regulations, and Latin American businesses are no exception. Mexico will need to fulfill rigorous Rules of Origin once the USMCA passes. Several Latin American countries have also mandated e-invoicing. Staying on top of complex regulations and avoiding fines require comprehensive tracking and data integrity. With an ERP solution, you house data in a single system, helping you keep information and documentation organized to maintain compliance.
Additionally, your ERP solution should include specific features designed to simplify compliance for Latin American manufacturers. Epicor ERP, for example, includes advanced reporting tools to help you create, manage and view data in a user-friendly interface that makes it easier to fulfill the complex reporting requirements of regulations. Epicor provides harmonized tariff schedule (HTS) codes to determine eligibility for preferential status under international trade agreements and print the necessary export documents for international shipping. Full audit trail visibility, e-invoicing capabilities and support for automotive quality standards make Epicor ERP a must-have for automotive manufacturers in Central and South America.
Latin American global exports play a huge role in the region’s industrial growth. Mexico, for example, has negotiated Free Trade Agreements with more countries than anywhere else in the world. It was also the first or second largest export market for over 50 percent of states in the U.S in 2018. A major portion of these exports are from the automotive manufacturing sector. That makes global management capabilities integral to ERP solutions for Latin American automotive manufacturers.
Epicor ERP distinguishes itself from other ERP solutions with its comprehensive global management suite. Its multicurrency management feature automates the process of buying and selling in unlimited foreign currencies. A highly configurable tax engine allows businesses to define international tax rules and calculations to meet tax requirements and jurisdictions. Manufacturers with multiple locations can also automate inter-company fiscal transactions and take advantage of multilingual data management to maintain productivity across sites. Epicor provides the agility and control to adapt to international financial and regulatory burdens and maintain full enterprise visibility.
Latin America has a strong reputation for its skilled automotive manufacturing workforce. Mexico has a young, well-trained labor force across a huge span of industries and specialties. Despite this wealth of talent, Latin America has one of the lowest levels of manufacturing productivity in the world. That’s partially due to outdated technology and manual processes, which make operations time-consuming and error-prone.
ERP systems promote digital transformation and process automation to drive greater efficiency. The software is designed to automatically update data and trigger the next stages of operations across your supply chain. Additionally, ERP supports the creation of an Industry 4.0 enterprise, allowing manufacturers to take advantage of cutting-edge technology to form a more connected workplace. For example, ERP can leverage data generated from IoT devices and sensors to give users insights into products and equipment to improve shop floor performance. Epicor also includes data analytics and AI features to show users areas of their enterprise where they can cut costs and time.
Automotive manufacturing might be going strong in Central and South America, but that doesn’t mean the industry isn’t experiencing challenges. All over the world, automotive manufacturing is changing, but this is perhaps truer in Latin America than anywhere else. Epicor ERP, a leading manufacturing solution for almost 50 years, gives businesses control over their enterprise. This control is integral to pursuing business growth, mitigating risk and boosting productivity.
An Epicor Gold Partner, Datix has enabled manufacturers and distributors all over the world to solve real issues with ERP software. We have resources and certified consultants available to help Latin American businesses implement Epicor ERP in line with their specific needs. As a member of the Epicor Automotive Alliance, we’re part of an elite network of automotive manufacturing experts in the Epicor community. Additionally, our partnership with AIM Computer Solutions allows us to provide EDI and other essential solutions for automotive manufacturers.
Count on Datix to transform your business through software. Learn more about Epicor ERP by contacting one of our ERP experts today!