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9 Warning Signs Your Manufacturing Company Needs MRP Software
Manufacturing Tips
4 min read

9 Warning Signs Your Manufacturing Company Needs MRP Software

Affordable cloud-based MRP software is revolutionizing the manufacturing industry by enabling growing manufacturers to streamline their production processes, reduce costs, and increase overall productivity. But how do you know if your company is ready to embrace MRP software? Here are some unmistakable warning signs that indicate it’s time to make the move.


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Spreadsheets are becoming unmanageable

Spreadsheets have long been a go-to tool for managing various aspects of manufacturing, from inventory tracking to production scheduling. However, as your company grows, so does the complexity of your data. When spreadsheets start to multiply, become error-prone, and are no longer able to handle the increasing volume of information efficiently, it is a clear sign that you need a more robust solution like MRP software.

Current software doesn’t fulfill expectations

If your current inventory management or accounting software falls short of meeting your manufacturing needs, it’s a clear indicator that you should consider MRP software. Inventory management and accounting software, while useful for certain tasks, often lack the comprehensive features required for manufacturing operations. They might struggle to handle raw material inventory management, complex bills of materials (BOMs), production scheduling, and an array of other manufacturing-specific functions.

Need to comply with traceability regulations

In industries like food, pharmaceuticals, and aerospace, traceability is not just a buzzword—it’s a regulatory requirement. Tracking the journey of raw materials, components, and finished products is essential for safety and compliance. MRP software like MRPeasy offers comprehensive traceability, providing real-time visibility into your supply chain and ensuring you meet regulatory standards with ease.

Not knowing when products will be ready

Another issue manufacturers constantly wrestle with before implementing a robust MRP system is production time estimates. Inaccurate estimates become especially problematic when items are sold ahead – if customers do not receive their purchases within the promised timeframe, they might find another seller the next time. MRP software uses data such as supplier lead times, production cycle times, and material and labor costs to provide accurate production time and cost estimates whenever an order is created.

Not knowing your actual production costs

Do you find it challenging to accurately calculate your production costs? Relying on estimates or incomplete data can lead to financial inefficiencies and affect your bottom line. MRP software includes robust cost accounting features that allow you to track expenses throughout the production process. You’ll gain insights into your actual production costs, helping you make informed decisions and improve profitability.

Having to manage multiple sites

Expanding your manufacturing operations to multiple sites can be a great sign of growth. However, it also brings increased complexity in coordinating production, inventory, and resources across different locations. MRP software centralizes data and streamlines operations, making it easier to manage multiple sites efficiently.

Products are becoming increasingly complex

As your product portfolio expands or becomes more intricate, managing it with manual processes becomes increasingly challenging. MRP software simplifies the management of bills of materials (BOMs), including multi-level BOMs and BOMs with parameters, and helps you keep track of components and assemblies, ensuring that you meet the demands of even the most complex product lines.

You have limited control over your inventory

Inventory management is a critical aspect of manufacturing. If you’re constantly facing issues like overstocking, stockouts, or a lack of visibility into inventory levels, it’s time to adopt an MRP system. It provides real-time inventory tracking and material planning, ensuring you always have the right amount of goods on hand.

You are looking to scale up

If your company is on the growth path, you need a system that can scale with you. MRP software is specifically designed to accommodate your expanding operations. Within many systems, functionality can be rolled out as the need arises, meaning that you can start from just basic inventory or BOM management, and take on further functionality when you have grown into it.

Choosing MRP software ensures that your operation can grow seamlessly without outgrowing your management tools.


None of these warning signs should be ignored. If your company is grappling with any of these challenges, it’s time to explore the benefits of MRP software. By implementing MRP software, you can improve efficiency and reduce costs across the board while priming your business for sustainable growth. Don’t wait until these warning signs turn into costly problems—take action and empower your manufacturing company with the tools it needs to thrive.

You may also like: Top 6 Manufacturing ERP Systems

Madis Kuuse

Madis is an experienced content writer and translator with a deep interest in manufacturing and inventory management. Combining scientific literature with his easily digestible writing style, he shares his industry-findings by creating educational articles for manufacturing novices and experts alike. Collaborating with manufacturers to write process improvement case studies, Madis keeps himself up to date with all the latest developments and challenges that the industry faces in their everyday operations.

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