Smooth-running Supply Chains Start with a Solid ERP System

From an applications software perspective, the consumer packaged goods (CPG) industry faces a dilemma. Most of these companies continue to rely on enterprise resource planning (ERP) systems as a transactional backbone, yet require additional products for supply chain optimization and execution. Why? Many ERP systems are not designed to address the core tenets of process manufacturing, and most non-durable CPG companies have process-based manufacturing and distribution activities that have very specific requirements. These companies are forced to take ERP systems designed for discrete operations and retrofit them with additional products to support their process-oriented operations. This is not the case for all ERP systems. Microsoft Dynamics AX 2009 and Process Industries for Microsoft Dynamics AX 2009 address many of the core ERP and supply chain execution requirements required by non-durable CPG companies. This positioning paper describes some of the problems faced by non-durable CPG companies and how Microsoft’s solutions help solve them.