Strong Materials Management and Sourcing Solutions
In today’s competitive environment with the need for faster inventory turnover, tighter costs and higher quality products to gain stronger brand loyalty, many apparel companies have taken the materials sourcing process in-house rather than leaving it up to their vendors. As a result, companies are tasked with managing thousands of pieces of additional information in order to effectively manage this process.
While most companies’ software systems tend to be centered on the order processing and sales aspects of the business, the production side becomes equally as important and challenging without proper solutions in place. In order to manage your production area more effectively we recommend:
- Developing a centralized point within your system for all aspects of materials management, including information like fabric swatch images, content, suppliers and volume pricing. Of course, these are just a few examples of a much greater spectrum of information you’ll need to have readily available in order to make quicker and better informed decisions and meet manufacturing lead times.
- Implementing Material Requirement Planning (MRP). A proper solution should provide you with visibility into:
- What materials you need to buy to meet demand
- The quantities of materials you need to buy based on demand and existing inventory levels
- Time phased – monthly, weekly, and even daily requirements – to determine when you’re likely to run out of a particular material based on demand.
- Streamlining the information feed into your financial software. A fully integrated system like the one developed by RLM Apparel Software eliminates the need for data re-entry. RLM Financials, AR, AP, and GL systems are fully integrated with the RLM ERP system, which allows users to automatically post sales, cost of goods sold, and other important financial information, and in turn, makes the monthly closing process quicker and easier.
These are just a few of the critical components found in Raw Materials Management Systems that measurably benefit a brand’s Production and Product Development Departments.