Manage private label and contract manufacturing operations in a single system.
Private label manufacturing, sometimes referred to as contract manufacturing, is a process by which a manufacturer produces a product on behalf of another company. In some instances, private label manufacturing can differ from contract manufacturing in that private label manufacturing implies the manufacturer’s use of an existing product or formula. In contrast, contract manufacturing could imply using a recipe or formula supplied by the customer. Often, an agreement is made between the manufacturer and the customer to guarantee lead times, minimum production run sizes, and overage and underage allowances. With E21’s built-in private label manufacturing software, process and discrete manufacturers can manage the entirety of their quote-to-cash process with their customers.
Using E21’s built-in quoting features, users can create new bills of materials on the fly for cost-estimating purposes. When generating the bill of materials, existing formulas and BOMs can be specified if the customer’s product is going to use the same base formulation as other products that exist in the system. Then, once the private label product becomes an active, sellable item, switch settings in the contract manufacturing software can drive how the product is scheduled for production as a make-to-stock or make-to-order item.
With industry-leading, fully integrated customer pricing rules, E21’s contract manufacturing software provides an array of flexible pricing options to help meet customer requirements and win the business. Whether it is a cost-plus, unit of measure, or lead time-based pricing model, sales teams can leverage dozens of pricing scenarios to increase sales and drive profits.
The E21 ERP system goes beyond stand-alone ERP manufacturing software. E21 ERP makes customer service and inventory management functions equally important. Overage allowance rules can be specified by customer ship-to location, meaning that a customer may accept a certain percentage of product over what the actual order quantity was, providing the flexibility for certain customers to have one set of overage allowances compared to those of other customers. These rules are fully integrated with the E21 ERP warehouse management system to account for what is and is not allowed during inventory allocation.
In private label and contract manufacturing operations, it is commonplace for the manufacturer to invoice the customer for the manufactured product yet hold it in inventory until the customer requests the product be shipped to them. With E21's fully integrated order processing, warehouse management, and accounting software, contract and private label manufacturers have the ability to manage customer-owned inventory directly in the application, enabling seamless transactions from one business department to another with real-time flow to the general ledger.
Leverage the e21erp® Software Selection Toolkit to help select the right ERP system for your business.
CRM software functionality—when considered within the scope of an ERP system—must go beyond that of basic contact management.
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