"I just don't get it"
While two decades ago an ERP system was mainly available for bigger enterprises, today an increasing number of smaller companies are using them. In fact, there's a wide variety of options for different industries: for manufacturing, distribution, food and beverages, etc., so ERP is just an umbrella term.
Despite the expansion of ERP systems in different industries, the jewelry industry had a much narrower choice of selection until recently. It’s more than obvious to us that the jewelry industry is still looking to understand how a software can improve business. As one of our MJSA Expo visitors said:
"I just don’t get it how this jewelry software can help my business, and why we should invest money in such as system."
It's a good point. Let’s take a look at this topic from a different perspective.
Jewelry software as your digital employee
A jewelry ERP software focuses on automating back office functions such as tracking jewelry production and casting, inventory and supplies handling, invoicing and shipping. At the same time, it handles front-office functions such as customer profiles and interactions, sales tracking, e-commerce orders, and provides data for marketing. In a jewelry business each of these processes are traditionally managed by people: the production manager, the sales manager, the metal manager, the shop manager, the accountant etc.
Now, imagine that your production manager doesn’t have to run around on the production floor anymore and provide instructions to the jewelers, as all the information is delivered by the system. The jewelers log in to the system at the start of their shift and they already know what jobs are in the queue, what are the priorities and what are the customers’ expectations.
Imagine that your clients are not calling your shop anymore enquiring about their job progress, as the software can send real-time notifications about it.
Imagine that creating an invoice, a statement is just a matter of clicking a button and optionally can be automatically transferred to an external accounting software without human intervention.
Creating an accurate price quote is done in a minute: the system calculates using up-to-date metal prices and can automatically add a discount/markup for your customer or customer category that was set up earlier. The built-in email sending mechanism allows the user to send the price quote to the customer straight from the system.
Your caster is doing his job faster and more efficiently: he has a holistic view of the casting process, the system tells him exactly which jobs are waiting to be cast from the same metal, so he can easily create casting trees and batches.
The metal manager needs to take out only the necessary amount of metal from the inventory and the system notifies him if inventory levels are running low. In case of low inventory, purchase orders are generated automatically and are being sent to the vendors.
Jewelry orders from your (or your partners') e-commerce platform are automatically transferred to your jewelry software, saving the time of manual importing.
And the list could go on...
Now, all the above-mentioned situations have one thing in common: by automating certain processes human interaction or the necessary timeframe to complete a task or a job order can be significantly reduced. In other words, a jewelry management system behaves as a digital employee who is capable of handling multiple tasks simultaneously with minimal or no errors.
By completing orders faster and being more efficient in many areas of the business, jewelry companies can increase sales, and by allowing a jewelry software to take over certain management tasks, the number of management team can be reduced or the focus can be shifted to other areas of the business. Either way, the ultimate result is a higher company margin and better competitiveness.
In our next post we are going to see what is the difference between a generic ERP and a jewelry ERP.
Until then: please like and share, if you found this article useful! Or schedule a free online demo of PIRO.