Unique, one-of-a-kind solutions offer higher value. ETO manufacturers differentiate themselves in respective markets with customized products and solutions that cannot be easily mass produced. Higher value translates to higher margins and more competitiveness. The CEO of an elevator manufacturing company has a tough choice. Standard elevators can be mass-produced overseas, then shipped and installed in any building. Like most manufacturers, he or she is dealing with a constant competitive battle and ever-shrinking profit margins. Alternatively, he or she can focus on custom lines (complex, unique, one-of-a-kind products) where margins are more attractive. Suddenly the benefits of outsourcing are lost; the product has to be custom engineered, with lower volume output employing highly specialized manufacturing processes. Custom machined parts are included and installation and custom fitting must be completed at the customer site or project.
Aggressive, forward-thinking companies have already discovered that custom products provide significant value to customers and shareholders, while simultaneously improving the bottom-line.
ETO – Made in America. One of the headlines from an early February USA Today article reads “Manufacturing a star of an upbeat jobs report.” According to the article, factories added 49,000 jobs in January. “Higher demand is finally kicking in, particularly in emerging markets”, says economist Cliff Waldman of research group Manufacturers Alliance/MAPI. Productivity gains that let makers put off hiring last year amid economic uncertainty are wearing thin.
New technologies provide more options for the ETO organization. The ability to tailor or mold the system to the business can provide significant value. Streamlining business processes or implementing a unique process that better serves the market can mean lower operating costs or increased customer service. Older systems may not allow the flexibility needed.
Microsoft Dynamics AX 2012 is built on the solid foundation of Microsoft business systems. The same people who deliver exceptional office applications like MS Excel and Word, design the role-tailored user experience of AX 2012. Streamline Systems found that AX 2012 enables ETO manufacturers’ IT team to leverage existing investments in Microsoft infrastructure, database and application technologies. AX 2012 is the most agile and flexible ERP system on the market today.
Over the past five years more manufacturers are combining repetitive product manufacturing with custom unique manufacturing. Whether ETO, engineer-to-order, BTO, build-to-order, ATO, assemble-to-order, there is a need for higher margin products and processes. From blogs to industry analysis whitepapers to the leading ETO Twitter conversation, Streamline Systems is leading the conversation.
Streamline Systems, LLC
www.streamlinesys.com
Larry Cohn
PRinfo@streamlinesys.com
720-200-0142