6 reasons why manufacturers need good resource management

Posted by Stephen Whitehouse on 16 Apr


Good manufacturing resource management requires a comprehensive understanding of your company objectives and capabilities. The monitoring and utilisation of resources can maximise efficiency and help improve overall business processes.

Resource management is about the maximisation of efficiency through the process of planning, scheduling and allocating resources accordingly. A resource is anything that you need to execute a task or process, including employees with certain skills or the adoption of new software/hardware.

Here are six key reasons why good resource management is essential for manufacturers: - 

Avoid unforeseen problems

When you have business systems that enable a thorough understanding of your resources from the outset, you can formulate a comprehensive plan on where to allocate them and avoid bottlenecks. It enables you to identify any potential gaps and problems before they happen and create contingency plans for how to manage the unforeseen circumstances.

Provide a safety net 

Sometimes projects or production can fall apart due to a lack of the required resources. With a solid, demonstrable process of resource planning and management in place, you can show that you made the maximum use of what was at your disposal, helping to protect against repercussions and help continuously improve your resource planning.

Prevent burnout 

Effective resource management, you can protect against over-allocation or over-dependency of both tangible and human resources. By gaining insight into the operational processes of every single human and material resource, you can ensure you are getting the most out of your employees without pushing them so hard that it becomes counter-productive. It can also highlight under-utilisation as well.

Measuring efficiency 

With a thorough understanding of what is needed to successfully execute certain processes and projects, more effective plans and metrics can be created for the measurement of ROI. Good resource management can provide better measurability and is key to optimising processes and increasing efficiency.

Building transparency

It provides greater transparency between different teams and departments within your workforce. When one team's resources are being pushed to maximum capacity, managers can assess all the resources available and plan accordingly to improve the balance of tasks allocation and find more efficient solutions.

Improving relations 

The relationship between workers and management can become strained if there is a lack of trust. Both sides will accuse the other of exploitation, and without cohesion in an organisation, there will always be an adverse effect on productivity. With good human resource management, there can be a proper understanding between workers and managers to ensure everyone works together successfully for the good of everyone.

Through the deployment of a quality ERP system, a manufacturer's resource management can be massively improved. Allocation, levelling and forecasting of resources can be done quickly and easily by the utilisation of effective Enterprise Resource Management tools like WinMan ERP as a comprehensive business system. Without such systems, the complexity of resource management can be overwhelming due to all its intricacies.

 >> Download our '10 Key ERP Guiding Principles for a Lean Environment' 

Topics: Manufacturing, ERP Software, Business Management Software, Business Efficiency, Productivity, Management

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