A new IDC report showcases the enhanced business value of Epicor for Manufacturing
The IDC report on Epicor for Manufacturing solutions assesses the impact for manufacturers of running their business operations on Epicor solutions, linking gains in efficiency, flexibility and response time to streamlining operations and lowering operational costs, resulting in higher revenue and improved margins.
These benefits allow manufacturers to capture significant value, with IDC calculating that they will realize an average 3-year ROI of 373% and a payback on their Epicor investment with an average of 9 months.
IDC spoke with manufacturing companies that use Epicor Kinetic (Epicor for Manufacturing) to manage their operations and businesses and noted their overall positive feedback. According to these customers, Epicor for Manufacturing offers significant value by enhancing the efficiency and reliability of their manufacturing operations, resulting in improved business outcomes.
Based on these interviews, IDC calculates that these Epicor customers will realize benefits worth an annual average of $2.90 million per organization ($866,800 per 100 users of Epicor for Manufacturing) by:
- increasing their manufacturing operations throughput, which enables business growth and improved customer experiences;
- ensuring operational quality and continuity, thereby limiting the risk and disruption associated with errors, outages, and poor performance;
- automating more of their inventory activities and equipment monitoring, which helps optimize equipment use patterns and costs;
- winning more business and improving margins, leading to higher total and net revenue.
Key findings of the IDC report on Epicor for Manufacturing solutions include:
- 373% three-year ROI
- 9 months to payback
- 14.2% higher revenue
- 2.6 percentage-point increase in average gross margin
- 34% higher order volume
- 39% more orders delivered on time for 94% on-time delivery with Epicor
- 39% fewer manufacturing errors
- 12% higher equipment use rate
- 90% higher inventory automation rate
Funding the digital transformation of the Greek manufacturing industry
For some time now, the global supply chain has been facing pressing issues that have been exacerbated after the Covid-19 pandemic, due to shortages of materials (both raw materials and finished goods, which are essential ingredients for the production of others) and the rapid increase in energy costs. This has made the calculation and management of lead times, as well as the optimization of order deliveries and operational expenses, much more difficult in daily operations.
Therefore, given the need for a manufacturing business to align its daily operations with that of the market and the unprecedented challenges affecting the industry globally, adaptability is more important than ever. At a practical level, factories and processing units are called upon to adopt innovative supply chains and manage increasingly complex processes that will ensure a wider variety of products produced and faster production rates, in available facilities while maintaining the minimum possible inventory.
In this context, digital transformation is considered as particularly critical. Funding schemes such as the ESPA 2021 – 2027 include the ability of integrating a new or upgrading an existing ERP system.
Through the new ESPA, Greek industrial businesses have a unique opportunity to undertake interventions such as:
- digitization of production lines;
- automation and interconnection of supply chains;
- design and production of smart products and services;
- application of technologies to enhance cost efficiency;
- ensuring quality and risk management;
- conducting feasibility studies and market research for the development of new products or services.
Are you a Greek manufacturing company?
Check out the analytical results of the IDC study and contact us to jointly explore the possibilities for your business to gain these and more benefits through the financial tools of the ESPA program.