HomeIndustriesERPWhat is Manufacturing Software & How It Can Help Your Business Grow

What is Manufacturing Software & How It Can Help Your Business Grow

Today, manufacturing software has become one of the most reliable automation technologies for various manufacturing companies in Indonesia. Moreover, since Industry 4.0, when the fourth industrial revolution is on the verge of coming, the need for automated systems has increased dramatically. Software development can significantly increase productivity and operational efficiency. However, what is manufacturing software, and how can it simplify manufacturing operations?

This article will explain everything you need to know about manufacturing software, from its definition, benefits, and key features, to what differentiates it from manufacturing ERP software. Check out the full discussion below!

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What is Manufacturing Software?

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The purpose of manufacturing software is to automate manufacturing operations on the shop floor, from production planning, stock availability tracking, resource allocation, and task delegation to production routing. Apart from simplifying, the software also integrates these processes and provides manufacturers with complete and real-time visibility of all procedures through a single system.

Nowadays, manufacturing systems are as necessary as machines and heavy equipment used to produce goods. Therefore, it has been used by large-scale manufacturing companies and by new, small and medium-scale manufacturing businesses. This software is also intended for those of you who have a factory business like import-export transactions.

The Benefits of Manufacturing Software for Manufacturers in Indonesia

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To find the answer to the question ‘what is manufacturing software?’, you need to know how it works and its benefits for manufacturing businesses in Indonesia. Here are some of the main benefits.

1. Accelerated Production Process

Manufacturer software simplifies production planning, including resource allocation, workforce preparation, time management, and production routing. Thus, this software can accelerate the production process and shorten the production time so that the order fulfillment can be processed and the company can do earlier and more valuable activities.

2. Increased Product Quality

In addition to accelerating an enterprise’s production process, Manufacture Software can also enhance product quality because this system can make it much easier for businesses to monitor product defects and problems. Manufacturer Software can also pinpoint exactly where in the design or production process the issue is occurring and take the needed steps to ensure products are of the utmost quality. These features, in turn, will boost sales including customer satisfaction, and ultimately can generate increased profits.

3. Reduced Unplanned Downtime

Manufacturing systems allow manufacturers to measure the overall equipment effectiveness (OEE) at any time through real-time reporting tools, which can enable manufacturers to identify problems earlier and prevent severe damage to various equipment, so there will be no space for unplanned downtime.

4. Unprofitable Process Reduction

Manufacturer software can also identify bottlenecks earlier to determine which processes provide profit for the business and which ones do not. As a result of the elimination of unprofitable operations, manufacturers can focus more on improving the quality of their products and services.

5. Production Monitoring Made Easy Across Multiple Locations

Advanced manufacturing software enables manufacturers to monitor production processes across multiple manufacturing plants, from the duration, the number of employees involved, costs incurred, materials used, the product life cycle, and the internal and external transfers. As a result, cloud-based manufacturing systems can help manufacturers review processes from anywhere on mobile devices.

6. Waste Reduction

The optimization of production planning can minimize waste. Some of the areas that most often contribute to waste in manufacturing include inventory management, equipment and machinery maintenance, labor, and scrapped products.

The manufacturer’s software makes it easy for manufacturers to plan production schedules and durations. It can also help manufacturers to determine the quantity and type of materials needed, measure OEE, and schedule preventive maintenance. Manufacturing systems can also help manufacturers to plan the number of workers needed for production, distribute tasks, and take immediate action for discarded products. This will eventually lead to the reduction of waste in all factories.

Main Features of Manufacturing Software

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Now you understand what a manufacturing system is and its benefits for manufacturing businesses in Indonesia. To understand the functionality of this software, you must know its main features. Here’s their explanation:

Manufacturing software plan

Through the manufacturing plan feature, manufacturers can easily manage production activities. This production activity consists of a production schedule, determining product manufacture, and selecting a deadline for completion. The manufacturing plant is the initial stage of the production process.

Making software orders

The manufacturing order feature allows manufacturers to determine the number of goods produced. Not only that, the manufacturer can determine what materials are needed, the person in charge of the process, and the production route. Simply put, the manufacturing order feature contains a summary of the production process.

Work order

The work order feature makes it easy for manufacturers to record various needs to continue the work in the process production process. This includes the materials already used and the time it takes to make them into finished goods.

work center

Manufacturing companies use code when performing manufacturing activities. With this feature, manufacturers can create multiple work centers or organizational units. This allows manufacturers to measure efficiency, production capacity, and OEE. Through this feature, manufacturers can also determine the time required for one production and analyze losses caused by downtime.

Also Read:  5 Tips to Choose Singaporean Manufacturing Software for Your Company  

Bill of Materials (BoM)

A Bill of Materials (BoM) is a list containing all materials and components used for production. It also includes cost and quantity. With the Bill of Materials (BoM) feature, manufacturers can calculate materials and production costs automatically using this software. Manufacturers can also specify which route the BoM belongs to.


Routing is a place where producers can arrange the steps needed to produce finished goods. The build process depends on the routing. This is because routing will determine the production time. Through this feature, manufacturers can also determine the work center and duration required for each stage of production.


Complete manufacturing systems should have an advanced reporting tool. The reporting tool allows manufacturers to gain real-time insights into the availability of raw materials and finished products, product transfers, production processes, and OEE across multiple locations.

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download skema harga software erp

What is the Difference between Manufacturing Software and Manufacturing ERP Software?

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You may be questioning yourself, what is the difference between manufacturing systems and manufacturing ERP software? And why do the manufacturing systems work similarly to ERP software? Here is a simple explanation.

Manufacturing software is a module or part of manufacturing ERP software to simplify production or operational processes on the factory floor. Whereas, manufacturing ERP software is helpful to automate all business processes, including finance, employee management, customer management, asset maintenance, and many more.

Commonly, large manufacturing companies will need more than one ERP module since there are many other needs to be fulfilled other than shop floor activities. Therefore, in addition to manufacturing systems, several other necessary ERP modules for manufacturers. The modules include Accounting, HRM, CRM, Inventory Management, Asset Management, and Transportation Management.


Apart from AI, IoT, and robotics, manufacturing software is also one of the critical automation technologies manufacturers should consider in Indonesia. Besides being easy to implement, this software is also a more affordable option for manufacturers.

In addition, with the ongoing development of manufacturing systems, manufacturers can combine software with the latest machines and equipment. Thus, they will get optimal benefits from their hardware and software.

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In conclusion, manufacturing software significantly helps optimize efficiency and productivity on the production floor. However, if you want to automate your entire business process, ERP software creation will be more suitable for your business.

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HashMicro is a software development and enterprise resource planning (ERP) company. Consequently, we often provide articles about ERP and other systems that all businesses need.

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