“Time to make the donuts” was the theme of an old advertisement by Dunkin Donuts. You may identify with the baker in the ad when you think of the drudgery to maintain compliance with manufacturing regulations. But just like the baker in the Dunkin Donuts ad, complying with government regulations can reap many benefits. With a strong compliance program run through your Enterprise Planning Resource (ERP) software, you can become a lean, mean manufacturing machine.
Here are some of the benefits of being in compliance:
Compliance improves product quality and consistency
Government compliance regulations can be used to set the bar for the quality of your products. When everyone in the company knows the goal you must attain, everyone will be working toward that goal together. By staying in compliance, your product quality will stay consistently high. Compliance can be used as a means of encouraging your business to be the poster child of best practice. While competitors may be inclined to cut corners, you will have a competitive advantage by maintaining high adherence to regulations.
Compliance facilitates innovation
There’s nothing like an upcoming audit or the possibility of a hefty fine to motivate a company to review and improve its processes. With a strong compliance program, you will be set up to review your processes ahead of an audit and make changes or find new areas to improve. Also, if your manufacturing business is compliant by design, you will be set up to innovate when there are changes in technology, laws, or customer expectations.
Compliance makes happy customers
Complying with government regulations is great for customer satisfaction on many levels. First, it will show your customers that you care about keeping them safe. Second, product quality and consistency mentioned above will give customers confidence in knowing what they are buying. In a world of increasing uncertainty, customers gravitate toward brands they trust and that make them feel safe, giving you an edge over your competition.
Finally, a fragmented compliance process can mean that customers need to jump through hoops to get the product and related information they need. A streamlined compliance system will get your customers on their way with product and information in hand.
Happy and healthy customers? Now that’s a company that customers will want to do business with again and again.
Compliance boosts the bottom line
Manufacturers with strong compliance cultures outperform their counterparts. Don’t believe it? According to this Assent study, the top ten companies using compliance software achieved an average total return of 247%, and a 28% compound annual growth rate (CAGR). Over the same five year period, the S&P 500 had a total return of 85%, and a CAGR of only 13%.
ERP streamlines compliance management
Staying in compliance isn’t easy, but with the right Enterprise Resource Planning (ERP) software and a Quality Management System (QMS), you can set up your company for automatic compliance processes that will become second nature to every employee. Recent trends show an ERP improves 95% of businesses who implement it.
NexTec can help you select the right ERP system for your manufacturing business. Contact us today and start using compliance as a competitive weapon to improve your business and grow profits.