Made-to-order and engineered-to-order manufacturers have an important role in the global supply chain, providing products that suit the exact needs of their customers and making way for customization and variety. However, without a clear financial plan to guide the decisions made by the company, there are several risks, including falling out of regulatory compliance or having inefficiencies and outdated processes that get in the way of profits. Encompass Solutions has been providing solutions for manufacturing businesses for nearly a quarter of a century, and those solutions start with a Financial Health Check.
The Challenges of Made-to-Order and Engineered-to-Order Manufacturing
There are several challenges faced by the made-to-order and engineered-to-order manufacturing industries that can have deep impacts on a company’s bottom line, such as:
- Inefficiencies and outdated processes
- Adding new service lines or expanding product offerings
- Complying with new regulatory requirements
- Adjusting business strategies and addressing emerging priorities
While modern manufacturers rely on their enterprise resource planning (ERP) systems to manage their finances as well as their supply chain, human resources, projects, and customer relationships, ERP systems aren’t taking a deep-dive look into the company’s processes and making recommendations. These systems aren’t always giving manufacturing business leaders the information they need to understand whether it is a good time to add a new service line or whether they should focus on different priorities.
The Importance of a Financial Health Check
There are many key indicators that a manufacturer’s ERP system is working successfully, such as revenue, profitability, customer retention, and more. However, it isn’t always easy to understand which metrics to look at when making major decisions about growing the company or how to change processes to comply with new regulations. A Financial Health Check is crucial for manufacturers as it provides actionable recommendations based on a comprehensive look at all parts of the company’s finances. The Financial Health Check can also help companies manage their risks and develop contingencies to mitigate problems that may occur in the future.
What to Expect During a Financial Health Check
Through Encompass Solutions’ financial health check process, manufacturers can expect a thorough review of their financial configurations and processes, with a special focus on their primary concerns for the business. For example, if your main reason for wanting the check is to determine whether the company is financially prepared to expand its services, that’s what our main focus will be, as well. Keeping your priorities in mind, we will carefully and completely review your financial data to provide strategies for improvement and performance optimization. We will evaluate your ERP system to ensure that it is as scaleable and optimized as it needs to be and provide recommendations on increasing efficiency through system integration. You will be provided with this detailed analysis of our findings and we will personally provide our recommendations to you, ensuring that the questions you have about the analysis are answered thoroughly.
Key Components of the Financial Health Check
The key components of a Financial Health Check from Encompass Solutions are:
- A thorough analysis of existing financial processes and systems
- Delivery of findings and actionable recommendations
- Facilitation of a meeting to review the recommendations made
- Creation of an implementation plan
With actionable recommendations and a plan for implementing them in hand, manufacturing leaders can improve the financial health of the business and make decisions that are grounded in data.
How to Get Started with Encompass Solutions’ Financial Health Check
Do you feel like outdated processes are weighing down your company’s finances? Are you unsure about whether your financial team and technologies are providing the in-depth information that is needed to guide expansions, changing priorities, or strategies? A Financial Health Check from Encompass Solutions can answer the questions you have about your ERP help you plan for sustained financial health and support business growth. Taking the first steps toward optimized financial processes is easy — simply fill out our online contact form.
