EazyStock vs your ERP: Who wins the stock management battle?
- EazyStock vs your ERP: Who wins the stock management battle?
- ERP stock management versus stock optimisation
- ERP stock management and forecasting
- How is EazyStock different?
- Enhance your ERP stock management
- You need a best of breed tool to manage your stock like a pro
EazyStock vs your ERP: Who wins the stock management battle?
One of the most common questions we get asked is “Why do we need EazyStock when we already have an ERP inventory management module?” So we’ve written this blog post to provide an overview into how EazyStock is different from your ERP and what value it can bring to your business.
ERP stock management versus stock optimisation
Most small and medium-sized businesses (SMBs) use ERP software for inventory control, as an ERP is excellent for managing stock e.g tracking stock items and managing sales and purchase orders. However, despite recent improvements in their capabilities, none have the ability to actually optimise the levels of inventory across your supply chain.
When we talk about ‘optimising your stock’ we’re referring to the concept of achieving high levels of inventory availability with the lowest possible inventory investment. Our post on ‘what is inventory optimisation‘ goes into further detail.
There are an abundance of ERP systems on the market, with broad and varying features and benefits, and they all work in slightly different ways. However, one thing they will all lack is advanced inventory optimisation functionality. An ERP app, such as EazyStock, can therefore provide this additional level of sophistication.
ERP stock management and forecasting
Some ERPs include basic demand forecasting and stock management functionality. In Microsoft Dynamics NAV for example, you can set values for reorder points and safety stock levels. But these all have to be entered manually, and will only get updated if you choose to do so, again, manually. This means you need to calculate the desired order quantities of each and every product in your portfolio, enter the values into the ERP, and then keep track and update them when something in the demand pattern changes.
This might be manageable when you have a handful of products, but as your business and product portfolio grows, the snowball effect often kicks in. Out of control inventory management can mean you’re soon be faced with costly excess inventory that affects your bottom line, and no effective way to manage it. Or, in contrast, increasing out-of-stock incidents, which lead to unhappy customers and a damaged reputation. You may have already experienced such issues, or perhaps you believe that your inventory management team is ready for a helping hand. Discover the eight telltale signs that you need automated inventory planning and replenishment here.
How is EazyStock different?
Demand type classification
Every product has a lifecycle, from the moment it’s introduced to the market, through to its maturity stage and into decline. As products move through this lifecycle, over time their demand pattern also changes, meaning some products will have stable demand, whilst for others it will be more erratic. EazyStock tracks these changes automatically and adjusts the forecasting calculations accordingly. EazyStock not only classifies the products into nine different demand types, but also classifies them in a second dimension depending on value of annual usage and number of picks. This makes demand forecasting more precise than a regular ERP which does not take demand types into account at all.
Target service levels
You want to have the right products in stock to be able to meet your customers’ expectations on delivery times. But at the same time you don’t want to over-invest in stock that could harm cash flow if it fails to move off the shelves. Do you know the optimal service levels of your inventory? While many ERPs have a setting for stock days that you have to update manually, EazyStock calculates and determines your optimal service levels so that you know exactly what you need to reorder and stock, in order to keep your customers happy.
Live service level simulation
How much would it cost to raise your service levels by 5%? What impact would that have on your company’s finances? Many SMBs find it difficult to predict the impact that improving stock availability could have on their cashflow. Or, in contrast, how cutting their stock investment could affect fulfilment. With EazyStock’s live service level simulation you’ll be able to make informed, strategic decisions regarding the service levels to your customers, removing any financial risk as you can test scenarios before actual implementation.
Working with multiple suppliers can be a challenge, but EazyStock makes it easier with functionality like dynamic lead-times, order scheduling and an order calendar, all of which keep track of production schedules, downtime and holidays.
EazyStock uses the same technology platform as our parent company Syncron, a system used by world-leading enterprises like Mazda, Hitachi, Volvo and JCB. The software includes advanced algorithms for trends, seasonality, dynamic safety stock calculations and more, and we invest heavily in R&D to make sure our tool is the most powerful on the market.
Are you tired of having to go through order lines regularly to make sure you don’t miss anything crucial? With EazyStock you don’t have to. The system will generate alerts for everything you need. You’ll simply get notified when you need to replenish, have demand outliers, or run the risk of a stock out. This makes your life much easier, and you’ll get time to focus on more value-adding activities.
Reports at a glance
EazyStock is made for small and medium-sized companies, and the KPI dashboards cover everything you need to track at both product and group levels. This includes stock health analysis, service levels and stock turn.
Enhance your ERP stock management
EazyStock connects easily with your ERP and works as a seamless extension to its inventory management capabilities. While your ERP may keep track of your inventory, EazyStock makes sure that you have the optimal inventory in stock, automates replenishment and saves you time and money. Service levels typically go up and stock levels down, while purchasing and inventory managers get time for more value adding activities like innovation and strategy.
You need a best of breed tool to manage your stock like a pro
In today’s digitalized world, it’s not enough to have a rough inventory overview. As product ranges grow and customers demand faster deliveries, you need more precise forecasting to stay competitive. Many of the modern ERP developers are going back to focusing on their core functionality, whilst building out a network of ERP apps, offering seamless integrations with best of breed tools. EazyStock is in the sweet spot for this and with our ready-made ERP integration connectors you can start optimising your inventory with a click.
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