{"id":8335,"date":"2021-08-03T08:40:05","date_gmt":"2021-08-03T08:40:05","guid":{"rendered":"https:\/\/www.mrpeasy.com\/blog\/?p=8335"},"modified":"2023-05-29T10:39:53","modified_gmt":"2023-05-29T10:39:53","slug":"mrp-system-roi","status":"publish","type":"post","link":"https:\/\/www.mrpeasy.com\/blog\/mrp-system-roi\/","title":{"rendered":"What Is the ROI of an MRP System and How to Calculate It?"},"content":{"rendered":"\n<p>Many small manufacturers think implementing MRP software would be too expensive for them. To put their minds at ease, we have compiled a small guide to calculating the Return on Investment of an MRP system.<\/p>\n\n\n\n<figure class=\"wp-block-image\"><img loading=\"lazy\" decoding=\"async\" width=\"1000\" height=\"440\" src=\"https:\/\/www.mrpeasy.com\/blog\/wp-content\/uploads\/2021\/08\/mrp-system-roi-e1627980076795.jpg\" alt=\"mrp-system-roi\" class=\"wp-image-8338\" srcset=\"https:\/\/www.mrpeasy.com\/blog\/wp-content\/uploads\/2021\/08\/mrp-system-roi-e1627980076795.jpg 1000w, https:\/\/www.mrpeasy.com\/blog\/wp-content\/uploads\/2021\/08\/mrp-system-roi-e1627980076795-300x132.jpg 300w, https:\/\/www.mrpeasy.com\/blog\/wp-content\/uploads\/2021\/08\/mrp-system-roi-e1627980076795-768x338.jpg 768w\" sizes=\"auto, (max-width: 1000px) 100vw, 1000px\" \/><\/figure>\n\n\n\n<!--more-->\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_80 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #343333;color:#343333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #343333;color:#343333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/www.mrpeasy.com\/blog\/mrp-system-roi\/#Why_is_it_important_to_estimate_ROI_before_making_an_investment\" >Why is it important to estimate ROI\nbefore making an investment?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/www.mrpeasy.com\/blog\/mrp-system-roi\/#How_to_calculate_the_ROI_of_an_MRP_system\" >How to calculate the ROI of an MRP\nsystem?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/www.mrpeasy.com\/blog\/mrp-system-roi\/#8-step_process_to_calculate_ROI_of_MRP\" >8-step process to calculate ROI of MRP<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/www.mrpeasy.com\/blog\/mrp-system-roi\/#What_benefits_will_the_above-described_process_provide\" >What benefits will the above-described process provide?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/www.mrpeasy.com\/blog\/mrp-system-roi\/#Key_takeaways\" >Key takeaways<\/a><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Why_is_it_important_to_estimate_ROI_before_making_an_investment\"><\/span>Why is it important to estimate ROI\nbefore making an investment?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Many small companies constantly postpone deciding whether to invest in an MRP system or not as they are struggling to estimate the Return on Investment. There is a widely spread misconception that ROI cannot be estimated for an investment when it comes to digital solutions, however, this is not true. Another common mistake is the belief that positive results are guaranteed regardless of which digital solution is implemented.  In reality, there are high risks of investing in the wrong features, overinvesting, or investing too little, which leads to an exceptionally long Return on Investment or even to reduced productivity. <\/p>\n\n\n\n<p>Similar trends where not all investments yielded positive results were, observed in the 70s and 80s of the previous century at the peak of automating production processes when, in many cases, the rise of productivity was far below the expected. Dr. Armand Feigenbaum, an American quality control expert, described this phenomenon in his interview with Industry Week by saying \u201cAfter 10 or 15 years of automation-computerization \u2013 if anything, we have increased the <a aria-label=\" (opens in a new tab)\" href=\"https:\/\/hbr.org\/1985\/09\/the-hidden-factory\" target=\"_blank\" rel=\"noreferrer noopener\">\u2018Hidden Factory\u2019<\/a>.\u201d <\/p>\n\n\n\n<p>Hidden Factory is a\nterm coined by Armand Feigenbaum. It refers to the activities in a\nmanufacturing process that decrease the quality and efficiency of an operation.\nThus, it is essential to thoroughly study the potential gains before making an\ninvestment decision.<\/p>\n\n\n<div class=\"banner-v2\">\n    <p class=\"banner-v2__desc\">Choose a manufacturing software with a good ROI<\/p>\n    <a class=\"banner-v2__link\" href=\"https:\/\/www.mrpeasy.com\/sign-up\/\" target=\"_blank\" data-ga-event=\"blog_signup_banner_blue\">Try MRPeasy for free<\/a>\n<\/div>\t\t<style>.banner-v2 {\n    float: right;\n    display: flex;\n    flex-direction: column;\n    justify-content: center;\n    align-items: center;\n    padding: 40px 32px;\n    gap: 16px;\n    width: 356px;\n    height: 205px;\n    background: linear-gradient(199.68deg, #6084E5 13.17%, #5FA7DD 82.1%);\n    border-radius: 4px;\n    margin-left: 12px;\n    margin-bottom: 12px;\n    margin-top: 15px;\n}\n\n@media (max-width: 767.98px) {\n    .banner-v2 {\n         width: 100%;\n         height: 173px;\n         margin-bottom: 0;\n         margin-left: 0;\n    }\n}\n\n.single__content p.banner-v2__desc {\n    margin: 0 !important;\n}\n\np.banner-v2__desc {\n    width: 292px;\n    font-style: normal;\n    font-weight: 700;\n    font-size: 22px;\n    line-height: 29px !important;\n    text-align: center;\n    color: #FFFFFF;\n    margin: 0 !important;\n    order: 0 !important;\n}\n\n.single__content a.banner-v2__link {\n    color: #FFFFFF !important;\n}\n\n.single__content a.banner-v2__link:hover {\n    color: #003557 !important;\n}\n\na.banner-v2__link {\n    display: flex;\n    justify-content: center;\n    align-items: center;\n    width: 181px;\n    height: 51px;\n    padding: 18px 0;\n    border-radius: 4px;\n    background: #003557;\n    font-weight: 700;\n    font-size: 16px;\n    color: #FFFFFF !important;\n    text-decoration: none !important;\n    order: 1 !important;\n}\n\n.banner-v2__link:hover {\n    background: white;\n    color: #003557 !important;\n}<\/style>\n\t\t\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"How_to_calculate_the_ROI_of_an_MRP_system\"><\/span>How to calculate the ROI of an MRP\nsystem?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>How to calculate the effect\nof MRP on productivity and EBITA (earnings before interest, taxes, and\namortization)? Firstly, let\u2019s shift the paradigm. Neither MRP nor any other\ndigital solution can have a direct influence on profitability or productivity\nwithout the company making changes in its processes at the same time. <\/p>\n\n\n\n<p>Higher productivity\ncan be achieved by streamlining the production process and reducing \u2018Hidden\nFactory\u2019, where MRP plays a crucial role in creating the conditions that enable\nthe streamlining of a process. In this article, you will find a simple yet powerful\n8-step process that allows you to estimate the gains that you can achieve with\nthe implementation of MRP.<\/p>\n\n\n\n<p>Before getting started, you should set metrics to monitor your company\u2019s performance. Becoming profitable is often used as one of the metrics, which is not necessarily wrong. However, consider that: <em>profit = price \u2013 costs<\/em>. The <a rel=\"noreferrer noopener\" aria-label=\" (opens in a new tab)\" href=\"https:\/\/www.mrpeasy.com\/blog\/selling-price\/\" target=\"_blank\">selling price<\/a> is largely influenced by a degree of competition and the customer\u2019s willingness to pay for a specific product, whereas cost is fully under the company\u2019s control. <\/p>\n\n\n\n<p>There are 3 universal metrics that apply to enterprises, regardless of their size or the sector they are working in:<\/p>\n\n\n\n<ol class=\"wp-block-list\"><li><strong><ins>Cost<\/ins><\/strong>. If the competition becomes much fiercer and you are forced to go along with the market\u2019s overall price competition, reducing the cost allows you to maintain the profit.<\/li><li><strong>Rate of defects<\/strong>. Defects create the \u2018Hidden Factory\u2019 that consumes your resources and reduces productivity.<\/li><li><a aria-label=\" (opens in a new tab)\" href=\"https:\/\/www.mrpeasy.com\/blog\/lead-time\/\" target=\"_blank\" rel=\"noreferrer noopener\"><strong>Lead time<\/strong><\/a>. Lead time, in my opinion, is the most underestimated metric. Lead time has an influence on both components of profit &#8211; price and cost. The longer the products spend in your production, the more non-value-added tasks are needed and the higher the cost. At the same time, shortening the lead time will not only reduce costs, but will also create a competitive advantage and, as a result, provides an opportunity to increase the price.<\/li><\/ol>\n\n\n\n<p>Thus, the idea behind calculating the ROI of MRP is to estimate how well MRP can facilitate necessary improvements by increasing the effectiveness and efficiency of the processes. Effectiveness measures how many of the activities are necessary to achieve the end result. These necessary activities are called value-added activities. Efficiency measures how well the task is being performed. <\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"8-step_process_to_calculate_ROI_of_MRP\"><\/span>8-step process to calculate ROI of MRP <span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<h3 class=\"wp-block-heading\">Step 1. Map your current process. <\/h3>\n\n\n\n<p>To make improvements, you need to get a full understanding of your current processes. More often than not, managers know exactly what the necessary value-added steps are to get a product from raw material to finished goods, but at the same time, they lack knowledge of non-value-added tasks hidden in between. A mapping process helps to reveal non-value-added tasks or waste.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Step 2. Identify the non-value-added\ntasks and the inefficiencies in your process. <\/h3>\n\n\n\n<p>According to the Lean Operational Excellence Strategy, any work or task performed can be classified into one of three categories: value-added work, non-value-added work, and pure waste or Muda. <\/p>\n\n\n\n<p>For a task to be considered as value-added, it must meet 3 criteria: Firstly, the task must create value for the customer (or the customer must be willing to pay for it)  Secondly, the task shall change the form, fit, or function of the product. Thirdly, the task must be completed right the first time.\u00a0 Thus, your goal is to identify non-value-added activities and waste and eliminate them from the process. <\/p>\n\n\n\n<p>Some non-value-added tasks are required to support the execution of value-added tasks. These supporting tasks are often referred to as auxiliary tasks. Look at the possibilities to execute these auxiliary tasks in a way that they would have minimal effect on the performance and cycle time of the value-added tasks. A well-known example comes from Toyota, where changing dies at the die press used to take up to 3.5 hours. Over time, engineers managed to reduce the time required for changing the dies to just 3 minutes. <\/p>\n\n\n\n<p>Here is a quick introduction to how to reduce the impact of auxiliary tasks on the effectiveness of the operation. \u00a0<\/p>\n\n\n\n<p>All tasks taken while\nperforming an operation can be separated into \u2018internal tasks\u2019 and \u2018external tasks\u2019.\nAn \u2018internal task\u2019 can only be done when a machine or automated process has\nbeen stopped. Whereas an \u2018external task\u2019 can be done at the time when the machine\nor automated task is running. <\/p>\n\n\n\n<p>For example, think of a machining workstation of a make-to-order manufacturer, where the parts are worked on a CNC machine. To complete the operation, the operator must go through a series of tasks. These are: extract the completed part from the machine, place it on the chart and label it, identify a new task to be completed and locate the next part to be machined, place it into the CNC machine, load a cutting file for the next part, and complete machining. <\/p>\n\n\n\n<p>Extracting the completed part and loading the next part into the machine are clearly \u2018internal tasks\u2019, as they can be performed only when the machine is stopped. All other tasks &#8211; placing the completed part on the chart and labeling it, identifying new tasks and locating the associating next part, and loading the cutting file for the next operation \u2013 might be currently \u2018internal tasks\u2019 as well, but many of them can be performed at the time the machine is working. Meaning some, if not most of today\u2019s \u2018internal tasks\u2019 can be transformed into \u2018external tasks\u2019. Your goal is to identify options on how to move as many \u2018internal tasks\u2019 as possible into \u2018external tasks\u2019. \u00a0\u00a0\u00a0\u00a0\u00a0<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Step 3. Capture the current state of\nyour performance metrics. <\/h3>\n\n\n\n<p>Above we discussed the company-level metrics \u2013 cost, lead time, and number of defects. At the workstation or on the operation level, appropriate metrics are operation cycle time, <a aria-label=\" (opens in a new tab)\" href=\"https:\/\/www.mrpeasy.com\/blog\/overall-equipment-effectiveness\/\" target=\"_blank\" rel=\"noreferrer noopener\">Overall Equipment Effectiveness (OEE)<\/a>, and the number of defects.\u00a0 If you fail to capture these numbers before changing the process, you lose the opportunity to assess the result of made changes. <\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Step 4. Design a concept of \u2018to-be\u2019\nprocess. <\/h3>\n\n\n\n<p>Map the first version\nof your new \u2018to-be\u2019 process, where all or at least most of the waste has been\neliminated and as many \u2018internal tasks\u2019 as possible have been moved into\n\u2018external tasks\u2019. <\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Step 5. Analyze which pre-conditions\nare required to implement the \u2018to-be\u2019 process.&nbsp;\n<\/h3>\n\n\n\n<p>Some of the\npre-conditions can be created by changes inside the organization. For example,\nchanging the factory layout makes it possible to reduce the time spent on\ntransportation and the required energy to move parts from one workstation to\nanother. <\/p>\n\n\n\n<p>Some pre-conditions can be created by technology. For example, to speed up locating the next part to be machined from the WIP storage, it will require an MRP capable to track the location of the parts that are in the storage. To speed up the labeling of parts, it will require an MRP solution capable of printing barcode labels when the completion of operations is reported, and it will require an investment into a label printer. To speed up reporting an operation, it might require an MRP that is capable of printing barcodes on work orders, thus the operator shall only scan the barcode to report operations. <\/p>\n\n\n\n<p>Complete the analysis\nfor all operations in your process. Next, compile the list of solutions and\ntheir features that are required for creating ground for streamlining the process.&nbsp; <\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Step 6. &nbsp;Evaluate available solutions and to what degree they are capable of creating required pre-conditions. <\/h3>\n\n\n\n<p>When evaluating the\nsolutions that might aid in creating required pre-conditions, select the ones\nwhich have the highest impact on streamlining a process.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Step 7. Finalize the \u2018to-be\u2019 process.\n<\/h3>\n\n\n\n<p>Knowing which processes\ncan be streamlined and to which degree and given the features of the selected\nMRP, draw a final version of the \u2018to-be\u2019 process map. Calculate the new throughput\nrate.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Step 8. Calculate the effect and ROI.\n<\/h3>\n\n\n\n<p>Let\u2019s say your current throughput is 500 finished parts a month and your total <a aria-label=\" (opens in a new tab)\" href=\"https:\/\/www.mrpeasy.com\/blog\/what-is-applied-overhead-and-how-does-it-differ-from-actual-overhead\/\" target=\"_blank\" rel=\"noreferrer noopener\">manufacturing overhead cost<\/a> (depreciation of equipment, salary, and wages paid to factory personnel and electricity used to operate the equipment) is $100,000, which makes it $200 for a part.\u00a0 Say, after the implementation of an MRP solution and applying required changes to your process, the estimated throughput will be 650 parts a month. <\/p>\n\n\n\n<p>For the sake of not overcomplicating our example, let\u2019s say changing the process will not change the overhead costs. In this case, the overhead component in the products\u2019 cost structure will reduce from $200 per product to $153.85.\u00a0 That corresponds to 650 times $46.15 = $29,997 cost-saving a month from reduced overhead costs when you reach the expected throughput. Plus, you will have increased profit from revenue growth. <\/p>\n\n\n\n<p>In a similar way, calculate all benefits you will achieve, including reduction of costs related to fewer defects. In our example, see the table below \u2013 total results show a 30% capacity increase, a 30% increase in revenues, and a 54% increase in earnings.\u00a0 <\/p>\n\n\n\n<div class=\"wp-block-image\"><figure class=\"aligncenter\"><img loading=\"lazy\" decoding=\"async\" width=\"752\" height=\"220\" src=\"https:\/\/www.mrpeasy.com\/blog\/wp-content\/uploads\/2021\/08\/ROI-of-an-MRP-1.png\" alt=\"ROI-of-an-MRP\" class=\"wp-image-8351\" srcset=\"https:\/\/www.mrpeasy.com\/blog\/wp-content\/uploads\/2021\/08\/ROI-of-an-MRP-1.png 752w, https:\/\/www.mrpeasy.com\/blog\/wp-content\/uploads\/2021\/08\/ROI-of-an-MRP-1-300x88.png 300w\" sizes=\"auto, (max-width: 752px) 100vw, 752px\" \/><\/figure><\/div>\n\n\n\n<p>Now calculate the total investment needed for the implementation of MRP, changing processes, and training employees. Calculate the monthly depreciation of investment for one manufactured product. If you select an MRP with a monthly payment plan, it should be a straightforward calculation. <\/p>\n\n\n\n<p>Let us take an example where total project costs, including the purchase of new devices, MRP software, the cost of hiring the project manager for the implementation project, and the costs of temporary stoppages of production to apply changes, are $75,000. In this case, the optimistic ROI of the MRP solution would be just above 1 month. As getting used to the new procedures and new software will require a learning curve, the realistic result for the first month usually falls somewhere in between 70% and 85% from an optimistic point of view. <\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_benefits_will_the_above-described_process_provide\"><\/span>What benefits will the above-described process provide?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>By following the above-described 8 steps, you will have facts to make decisions regarding which features in your \u2018to-be\u2019 process require an MRP solution. It will also give you a roadmap to select a solution that fits your needs. You can make a data-driven decision based on which process changes are worth making given your current available options. You can prioritize changes that will have a higher payback. <\/p>\n\n\n\n<p>As a cherry on top, in the process, you will discover \u201clow-hanging fruit\u201d changes that can be achieved very easily and quickly, often requiring no investment at all.<\/p>\n\n\n<div class=\"banner-v1\">\n    <div class=\"banner__text\">\n        <div class=\"banner-v1__title\">An unbeatable balance of functionality and price<\/div>\n        <div class=\"banner-v1__desc\">MRPeasy users report a 54% average improvement in the overall performance of their small manufacturing company and a 42% increase in on-time deliveries.<\/div>\n        <div><a class=\"banner-v1__link\" href=\"https:\/\/www.mrpeasy.com\/sign-up\/\" target=\"_blank\" data-ga-event=\"blog_signup_banner_white\">Try for free<\/a><\/div>\n    <\/div>\n    <div class=\"banner__img\">\n        <img decoding=\"async\" src=\"https:\/\/www.mrpeasy.com\/blog\/wp-content\/themes\/mrpeasy\/assets\/images\/banner.svg\" alt=\"banner\">\n    <\/div>\n<\/div>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Key_takeaways\"><\/span>Key takeaways<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<ul class=\"wp-block-list\"><li>Many manufacturers struggle with estimating the ROI of an ERP\/MRP system.<\/li><li>ROI can be estimated for any solution, including digital ones.<\/li><li>The positive results of implementation, however, depend on the company\u2019s ability to change its processes.<\/li><li>MRP systems play a crucial role in creating the conditions for streamlining processes.<\/li><li>The three basic metrics to monitor in any business are: profit, defects, and lead time. When implemented well, an MRP system can facilitate improvements in all of them.<\/li><li>There are eight steps to calculating the ROI of an MRP system:<br> 1. Map your current processes<br> 2. Identify non-value-added tasks and inefficiencies<br> 3. Capture the current state of your performance metrics<br> 4. Design a concept of \u201cto-be\u201d process<br> 5. Analyze which pre-conditions are necessary for achieving the \u201cto-be\u201d process<br> 6. Evaluate available options and their ability to create the necessary pre-conditions<br> 7. Finalize the \u201cto-be\u201d process<br> 8. Calculate the effect and ROI<\/li><li>Usually, an MRP system\u2019s ROI is between 70% and 85% for the first month.<\/li><li>This process of estimating the ROI aids you in reviewing your processes and gives you an idea of what kind of a software solution you need.<\/li><li>It also reveals \u201clow-hanging fruits\u201d \u2013 changes in the process that can be achieved easily and without extra investment.<\/li><\/ul>\n\n\n\n<p><em>This guest article was written by Edward Laur, CEO of consulting company Laur &amp; Partners.<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Many small manufacturers think implementing MRP software would be too expensive for them. To put their minds at ease, we have compiled a small guide to calculating the Return on Investment of an MRP system.<\/p>\n","protected":false},"author":4,"featured_media":8338,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[90,91,94],"tags":[],"class_list":["post-8335","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-choosing-a-software","category-implementation","category-tips"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v26.7 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>What Is the ROI of an MRP System and How to Calculate It? - MRPeasy<\/title>\n<meta name=\"description\" content=\"Many small manufacturers think that implementing an MRP system will be too expensive for them. To put their minds at ease, we have compiled a guide.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.mrpeasy.com\/blog\/mrp-system-roi\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"What Is the ROI of an MRP System and How to Calculate It? - MRPeasy\" \/>\n<meta property=\"og:description\" content=\"Many small manufacturers think that implementing an MRP system will be too expensive for them. 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