Why AlgoERP is Better than Other ERPs

Apparel industry follows a ‘Make-to-Order’ manufacturing strategy, where no manufacturing takes place without a firm order from customer. Apparel products are configurable products whose product specifications, manufacturing specifications and raw material requirements change with each new customer order. This causes three major difficulties to arise which normal packaged ERPs such as SAP, Oracle, MFGPro, Great Plains , Scala, Navision etc. do not meet:


Product specifications change with each new customer order and because of that, raw material specifications and consumption also change and any leftover raw material from the previous order cannot be re-used readily. This places very exact procurement requirements of millions of possible variant materials such as buttons, zippers, labels, fabrics etc.


The Bill of Material (product tree structure) is difficult to define because of the size and colour dependencies within each apparel product.


The process lead-times change with each new product, thus the production planning, capacity planning and finite scheduling become extremely complex.

With the above constraints, no packaged ERP, even the best of the breed, can be readily adapted to the Manufacturing Planning needs of this industry. The proof of this claim lies in the fact that none of the Western packaged ERPs have had a full-scale implementation in this sector, except perhaps for financials or inventory modules. The AlgoERP release P-3 continues to be the only ERP in the country that addresses the Manufacturing Planning needs of this sector. The Western packaged ERPs would have a very hard time in adapting themselves to the special requirements of apparel and home textile manufacturers and exporters. The truth is that without massive changes to the basic product, they can perhaps only operate their financial, limited materials and inventory management, plant maintenance and human resource modules for this industry. P-3, on the other hand, meets most of the pressing requirements of this industry rather well.


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