Best Accounting Software for Manufacturing Businesses: Inventory and Cost Control

Introduction

Effective inventory and cost control are crucial for the success of manufacturing businesses. With numerous moving parts and complex production processes, it’s essential to have a robust accounting software system that can handle inventory management, cost tracking, and financial reporting. In this article, we will explore the best accounting software options specifically designed for manufacturing businesses. These software solutions will empower you to streamline your inventory management, control costs, and make informed financial decisions.

NetSuite ERP: Comprehensive Manufacturing Solution

NetSuite ERP is a comprehensive enterprise resource planning software that offers a range of features tailored for manufacturing businesses. It combines accounting, inventory management, and production planning into a single platform.

Features of NetSuite ERP:

• Inventory Management: Track and manage inventory levels, automate reordering processes, and set up real-time inventory alerts.
• Cost Control: Monitor costs associated with raw materials, labor, and overheads. Analyze cost variances and identify areas for improvement.
• Bill of Materials (BOM): Create and maintain BOMs, including raw materials, components, and subassemblies required for production.
• Production Planning: Plan and schedule production activities, allocate resources, and manage work orders.
• Financial Reporting: Generate financial reports, including profit and loss statements, balance sheets, and cash flow statements, to gain insights into your manufacturing business’s financial performance.

Benefits of NetSuite ERP:

• End-to-End Solution: NetSuite ERP provides a complete solution for manufacturing businesses, integrating inventory management, production planning, and accounting.
• Real-Time Visibility: Gain real-time visibility into your inventory, production, and financial data, enabling you to make informed decisions.
• Scalability: NetSuite ERP scales with your manufacturing business as it grows, accommodating increased production volumes and complex operations.
• Customization: Tailor the software to meet your specific manufacturing requirements, such as configuring workflows and defining production stages.
• Integration Capabilities: NetSuite ERP integrates with other business systems, such as customer relationship management (CRM) and e-commerce platforms, for seamless data flow.

Pricing and User Reviews:

NetSuite ERP offers customized pricing based on the specific needs of your manufacturing business. User reviews commend NetSuite ERP for its comprehensive features, scalability, and robust inventory management capabilities.

According to a review on Capterra: “NetSuite ERP is an excellent accounting software for manufacturing businesses. It provides a comprehensive solution, streamlining inventory management, production planning, and financial management.”

Sage Intacct: Advanced Cost Tracking and Reporting

Sage Intacct is a cloud-based accounting software that offers advanced cost tracking and reporting features for manufacturing businesses. It focuses on providing real-time financial visibility and automating complex accounting processes.

Features of Sage Intacct:

• Advanced Cost Accounting: Track costs across multiple dimensions, such as products, projects, and departments. Analyze cost variances and identify cost-saving opportunities.
• Purchase Order Management: Streamline the procurement process by managing purchase orders, tracking supplier invoices, and matching them with inventory receipts.
• Inventory Control: Monitor inventory levels, track stock movements, and ensure accurate valuation of inventory.
• Work Order Management: Create and manage work orders, track labor costs, and capture production-related expenses.
• Financial Reporting: Generate detailed financial reports, including cost of goods sold (COGS) analysis, inventory valuation reports, and project profitability analysis.

Benefits of Sage Intacct:

• Real-Time Financial Visibility: Sage Intacct provides real-time visibility into your manufacturing business’s financial data, allowing you to make data-driven decisions promptly.
• Automation: Automate repetitive accounting processes, such as invoice matching and inventory valuation, saving time and reducing errors.
• Flexible Reporting: Customize financial reports to meet the unique needs of your manufacturing business, such as cost analysis by product line or project.
• Cloud-Based Access: Access your financial data securely from anywhere, at any time, with Sage Intacct’s cloud-based platform.
• Integration Capabilities: Sage Intacct integrates with other business systems, such as customer relationship management (CRM) and payroll software, for seamless data flow.

Pricing and User Reviews:

Sage Intacct offers pricing plans based on the specific requirements of your manufacturing business. User reviews appreciate Sage Intacct for its robust cost tracking features, flexibility in reporting, and ease of use.

According to a review on G2: “Sage Intacct is an excellent accounting software for manufacturing businesses, especially for cost tracking and reporting. It provides comprehensive financial visibility and helps streamline accounting processes.”

Fishbowl Inventory: Inventory Management for Manufacturing

Fishbowl Inventory is a specialized inventory management software that caters to the unique needs of manufacturing businesses. It focuses on optimizing inventory control and providing real-time visibility into stock levels.

Features of Fishbowl Inventory:

• Inventory Tracking: Track inventory levels, stock movements, and locations in real time.
• Bill of Materials (BOM): Create and manage BOMs, including raw materials, components, and subassemblies.
• Order Management: Streamline order processing, automate order fulfillment, and manage sales orders.
• Barcode Scanning: Use barcode scanning technology for efficient inventory management and accurate order fulfillment.
• Integration with QuickBooks: Fishbowl Inventory integrates with QuickBooks for seamless transfer of financial data.

Benefits of Fishbowl Inventory:

• Specialized Inventory Management: Fishbowl Inventory is designed specifically for manufacturing businesses, providing robust inventory control features.
• Real-Time Visibility: Gain real-time visibility into inventory levels, stock movements, and order status.
• Streamlined Operations: Automate manual inventory-related tasks, such as stock counting and order fulfillment, improving efficiency and accuracy.
• Integration with QuickBooks: Transfer financial data seamlessly between Fishbowl Inventory and QuickBooks, ensuring accurate financial records.

Pricing and User Reviews:

Fishbowl Inventory offers pricing based on the number of users and additional modules required. User reviews highlight Fishbowl Inventory’s strengths in inventory management for manufacturing businesses.

According to a review on Capterra: “Fishbowl Inventory is a top-notch software for manufacturing businesses. It provides excellent inventory management features, helping businesses optimize their inventory control.”

Frequently Asked Questions (FAQs):

Q1. How does accounting software benefit manufacturing businesses?

A1. Accounting software specifically designed for manufacturing businesses helps streamline inventory management, track costs accurately, and provide real-time financial visibility. It automates manual processes, reduces errors, and supports informed decision-making.

Q2. Can these accounting software options handle multiple manufacturing locations?

A2. Yes, accounting software like NetSuite ERP, Sage Intacct, and Fishbowl Inventory can handle multiple manufacturing locations. They provide features for tracking inventory across locations, managing intercompany transactions, and consolidating financial data.

Q3. Can these software options integrate with other manufacturing systems, such as production planning software?

A3. Yes, many accounting software options offer integration capabilities with other manufacturing systems. For example, NetSuite ERP integrates with manufacturing execution systems (MES) and production planning software, ensuring data consistency and streamlined operations.

Q4. Is cloud-based accounting software secure for manufacturing businesses?

A4. Yes, cloud-based accounting software options prioritize the security of your financial data. They employ robust security measures, such as encryption and secure data centers, to protect your manufacturing business’s sensitive information.

Q5. Can these accounting software options generate customized reports for cost analysis?

A5. Yes, accounting software like NetSuite ERP and Sage Intacct offer flexible reporting capabilities. You can generate customized reports to analyze costs by product line, project, department, or any other dimension relevant to your manufacturing business.

Q6. Do these software options support integration with barcode scanning technology?

A6. Yes, Fishbowl Inventory supports integration with barcode scanning technology for efficient inventory management. This allows for accurate tracking of inventory movements, order fulfillment, and stock counting.

Conclusion

Choosing the best accounting software for your manufacturing business is essential for effective inventory management and cost control. Options like NetSuite ERP, Sage Intacct, and Fishbowl Inventory provide comprehensive solutions tailored to the unique needs of manufacturing businesses. Evaluate your requirements, consider the features and pricing of each software, and select the one that aligns with your manufacturing operations. With the right accounting software in place, you can streamline your inventory management, control costs, and make informed financial decisions for the success of your manufacturing business.