Many manufacturing companies face challenges with demand and supply planning, with issues that include:
A lack of visibility of the parts they’re expecting into the manufacturing plant
Frequent changes in demand, that the existing demand planning system does not react to
A lack of visibility of material shortages, despite implementing restock systems
NetSuite offers robust features to help businesses manage demand and supply planning more effectively, by featuring tools that optimise inventory levels, balance demand and supply, and streamline operations.
Demand planning
NetSuite allows businesses to forecast future demand based on various factors, helping manufacturing companies avoid stockouts or excess inventory.
NetSuite generates demand forecasts based on historical sales, seasonal trends, sales orders, or external factors. This gives businesses better insights into future customer needs.
Flexible forecasting models mean that users can apply different forecasting methods like linear regression, seasonal trends, or moving averages, allowing customisation of demand predictions.
NetSuite also allows businesses to incorporate real-time sales orders and pipeline opportunities into forecasts, making predictions more accurate.
As the system uses a single, real-time database it allows teams to collaborate on demand planning across departments (e.g., sales, finance, and operations) ensuring better alignment between sales expectations and supply chain capabilities.
Supply planning
NetSuite also provides tools to ensure that businesses can meet demand in a cost-efficient and timely manner.
NetSuite gives real-time visibility into the supply chain, allowing manufacturing businesses to monitor inventory levels, supplier lead times, and production capacities. This ensures timely procurement of materials or production of goods.
Purchase planning can be based on demand forecasts and current inventory levels, with NetSuite automating purchase orders or work orders to replenish stock. This minimises the risk of over-purchasing or stock shortages.
Businesses can allocate available stock to fulfil demand across various channels (e.g., wholesale, retail, or online). NetSuite helps allocate inventory efficiently to where it is needed most.
For businesses with multiple warehouses or manufacturing locations, NetSuite optimises inventory levels and production scheduling across all sites, preventing overstock or understock in specific locations.
Automation and integration
NetSuite automates many aspects of demand and supply planning, reducing the need for manual intervention. The system can automatically trigger purchase orders, work orders, or transfer orders when inventory levels hit predefined thresholds.
NetSuite integrates seamlessly with other business functions (e.g., sales orders, financials, and customer relationship management), ensuring that all departments have up-to-date information to align supply and demand.
Analytics and reporting
NetSuite provides comprehensive reporting and analytics tools to monitor the effectiveness of demand and supply planning. Manufacturing businesses can track inventory turnover, service levels, stockout rates, and forecast accuracy to continuously improve planning. NetSuite’s real-time dashboards and custom reports, such as the Supply and demand Planning Workbenches, allow users to drill down into specific aspects of supply chain performance, helping identify potential issues earlier, before they become problematic.
NetSuite for Manufacturers
NetSuite streamlines demand and supply planning for manufacturers by offering a fully integrated platform that aligns inventory management, production scheduling, purchasing, and forecasting. It provides real-time insights, automated replenishment processes, and analytical tools to ensure that manufacturing businesses can balance demand and supply efficiently, improve service levels, and reduce costs.
In addition to demand and supply planning, NetSuite offers a range of features and tools that specifically meet the needs of manufacturing companies. As well as offering optimised stock controls, it includes features that help with order management, works planning and scheduling, procurement, shop floor control, quality management, HR and CRM and marketing.
With two decades of experience in delivering NetSuite, and specialising in manufacturing, ERP Experts can help you to implement and improve NetSuite for your manufacturing business. Contact us to find out more about our implementation services and aftercare support plans.
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