The fashion industry faces unique challenges that influence business experiences. Compared to other industries, product lifecycles are typically shorter, and demand is changing more quickly. Apparel businesses also have to keep track of styles, trends, sizes, fabrics, etc.
But being able to have all of this information in a single hub can significantly improve business efficiency and have a positive impact on decision-making. All of this can be achieved with the right apparel software.
Read on to learn about the benefits of apparel software and how it can help your startup compete in a crowded market and improve your bottom line.
Advantages of apparel ERP software
On average, 26% of workers use their company’s ERP software. Any business involved in the design or production of clothing needs complete visibility of its offering, from design to order fulfillment. As you seek raw materials, you must manage a continually changing supply chain. You must plan, design, and manufacture items while making sure that your customers are satisfied by giving them what they want when they want it.
Apparel ERP software manages every aspect of your company’s operations, including warehouse, accounting, manufacturing, and design tasks. This will provide you with valuable information on each stage of the process, allowing you to make wiser business decisions.
Benefits for accounting and finance departments
Your accounting and financial data must be precise and current in order for you to build budgets and allocate resources for things like hiring staff, paying salaries, and covering operating costs. You have the ability to make data-driven decisions thanks to apparel software because all data is fully connected across the entire company.
Below are some advantages of an ERP for the accounting and finance departments:
- Provides thorough reporting on chargebacks and deductions so you can future-proof your charges.
- Because data from several departments is combined into one system, there are fewer errors and issues related to duplicate data entry.
- Built-in workflows accelerate the order-to-cash cycle and automate data entry throughout the sales process.
- Reduces the amount of time needed for financial reporting by producing precise, real-time financial reports for stakeholders in a matter of minutes.
Utilizing apparel software allows you to have better control over your company’s finances because you can instantly see how each order will affect your bottom line.
Advantages for the warehouse team
Right now, bottlenecks and shortages are very serious issues in every industry. This implies that, despite their best efforts, your design and manufacturing teams might not be able to acquire their materials from their regular suppliers. So your warehouse team should look for ways to manage incoming inventory efficiently and make sure that all outgoing orders are on track.
The use of apparel ERP software can help you warehouse in many ways, including:
- Increases order efficiency and accuracy. Lowers the quantity of inventory you need to maintain on hand while guaranteeing that orders are shipped out correctly and with the proper documentation.
- Savings. Inventory costs and unsold goods will go down because you’ll always know what you have on hand and where it is.
- Better planning. This is possible since you have a central record of each item’s location, specifications, supplier information, and stock level. Making data-driven business decisions is made possible by being able to predict and forecast future sales.
Benefits for design and manufacturing
The primary advantage of apparel software systems is that you can accelerate time to market because you have a single source of truth. Your team is equipped with the knowledge they require to work together and make adjustments during the manufacturing and design phases. The product development cycle can be shortened if you opt for apparel ERP software coupled with tools like product lifecycle management (PLM) and shop floor control (SFC) systems.
Clothing ERP software provides real-time data during the manufacturing process, including dyeing, sewing, and printing, if it is coupled with an SFC solution. This way, you can ensure that processes are accurate and adhere to quality control standards. Any faults or discrepancies are detected by the system, which then halts production until the manufacturing team can fix the problem.
Your design team can focus on developing the items for the following season if your production and inventory processes are automated since they will be confident that they can obtain the materials they require to produce the best product possible. Because customers will know when to expect the finished products, the sales staff can provide precise dates for final orders. And based on those anticipated sales, your financial department can make projections.
Final thoughts
Apparel companies must maintain their flexibility. Because of this, they want an industry-specific software solution that enables them to keep up with evolving trends, adhere to legal requirements, and support sustainability objectives. Leaders in the apparel sector require total transparency throughout the value chain, which calls for integrated data from a single source of truth.