When it comes to ERP systems, specialty vehicle manufacturers have apparently chosen unwisely. None of those surveyed in a recent Cincom survey report said their ERP systems exceeded their expectations.
Most (50%) classified themselves as having an ERP system that “sometimes inhibits their ability.” While 40% report that their ERP systems provide “valuable information but also require frequent workarounds and customized data extracts.”
This is according to a 2009 Cincom research report based on a national survey to sales and IT executives that sheds light on how these transportation and specialty vehicle manufacturing organizations are managing their businesses for increased efficiency and effectiveness.
“Clearly there is tremendous opportunity for those specialty vehicle manufacturers willing to invest in new technology to leapfrog their competition and realize a significant market advantage,” says Lou Washington, co-author of the report.
Only 30% of respondents initially integrate their accounting, finance and sales systems first. Fifty percent of transportation and specialty vehicle manufacturers have no project-management integration with accounting, finance or customer management systems. This creates a large gap between rapidly advancing manufacturers that are creating profit and loss statements per project and those that lack insight into the profitability by project on an ongoing basis.
“Given these disparities, this segment is probably looking at a shakeout in the near future,” says Washington. “The recovery will bring the strong more opportunity faster and leave the weak in a weaker position than they occupy now.”
Image: Sumter FD – Engine 207 by VirginaSouthern