Trends in ERP Software for Manufacturers and Distributors

TrendsinERPSoftwareforManufacturersandDistributorsTop 5 Things You Need to Know About ERP

Enterprise-level growth for manufacturers and distributors is directly correlated to digital transformation. Enterprise resource planning (ERP) software is one of the digital tools that manufacturers and distributors are turning to with impressive results.

ERP solutions can optimize all aspects of your business. According to FinancesOnline, the following are the top reasons businesses are implementing an ERP system:

  • 17% – improved business performance
  • 14% – easier jobs for employees
  • 14% – ensure compliance
  • 13% – integrated systems
  • 9% – replacement of legacy systems 

Some of these trends have been gaining traction for years, while others are newly relevant; that being said, if you’re looking to implement an ERP solution, we recommend keeping the following in mind.

1. Real-Time Data 

ERP Software provides manufacturers and distributors with access to data in real-time. Real-time data at your fingertips results in optimized business operations, improved customer experiences, and precise business visualization.

The visibility achieved from real-time data includes the location of an order, material inventory, and other data from varying departments in your organization. Plus, that data is timely and accurate, so businesses can make well-informed decisions. Additionally, ERP software functionalizes data by uniting it in one place, eliminating data silos. That way, you can use those metrics to communicate with stakeholders through scenario planning and analytics.

In short, the capability to gather and report thousands of different business factors is becoming standard and affordable in many different types of ERP modules and packages.

2. Cloud-Hosted Platforms 

Cloud-hosted ERP technology can be a huge business advantage that helps businesses stay competitive. Outdated, on-premise ERP systems are slowly becoming a thing of the past. Many companies are finding that cloud-hosted systems keep your data protected (in a more cost-effective/assessable way). The cloud ensures your important data is handled by experts, so you no longer have to pour enormous amounts of resources and time into on-site data centers with the fear that a single, erroneous configuration could expose your business to threats and data loss. Not to mention, cloud platforms are equipped with threat prevention and disaster recovery technologies.


Moreover, SaaS ERP solutions are dominating the market due to the success of cloud-hosted services. Manufacturers and distributors who still have on-premise ERP are beginning to see the inflexible, expensive, lack of innovation that accompanies those solutions. Thus, switching to cloud-hosted platforms is becoming the preferred option for more and more manufacturing companies.

3. Personalized Solutions

Software solutions should make business growth and expansion easier. Configurability of specialized solutions–without being completely reliant on your IT team–supports profit growth by decreasing maintenance costs.

Systems are standardized to support the manufacturing or distribution industries and can be customized to meet your business’s unique requirements. Also, ERP systems are developing more extensive user-faces that are adaptable, accessible, and customer-centric and are simple enough to be customized by anyone, not just your IT team.

4. Integration of AI

AI is making ERP software more intuitive and responsive than ever before. ERP vendors are increasingly embedding AI functionality into their software solutions, thus giving manufacturers and distributors cutting-edge tools that optimize their enterprise performance.

It is increasingly difficult for businesses to detect business performance patterns. AI and machine learning functionality can mine all your ERP data to pinpoint trends. With data insights at your fingertips, you can respond to issues faster and mitigate future risks.

Further, AI can improve a business’s user experience by accelerating and automating operations, so users can spend less time on manual tasks and more time on creating value-added opportunities for their organization. Plus, AI gives manufacturers real-time equipment performance metrics, and can even predict production floor anomalies, avoiding detrimental downtime.

5. Finance Involvement 

Currency management, general ledger, cash management, and fixed assets are only a few of the benefits of the financial module functionality in modern ERP solutions. Plus, businesses have visibility into each department’s spending. ERP software’s changing finance role leads to quick decision making in the finance and accounting departments so businesses can adapt to situations and operational changes.

Wrap Up

ERP solutions are no longer just for large enterprises–these software trends, like cloud-based ERP and AI make ERP software accessible to businesses of all sizes. ERP solutions, like Infor, optimize workflow and performance, and eliminate pain points for manufacturers and distributors.

Still, implementation can seem like a huge, daunting undertaking. Datix can help you decide whether ERP implementation will grow your organization into a global leader. Contact one of our experts today to learn more!



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