Product Feature Fridays - INDUSTRIOS Manufacturing (Part 3)

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Vendor Corner

In this 3-part mini-series we have been looking at INDUSTRIOS, a manufacturing suite produced by INDUSTRIOS Software, Inc. of Ontario, Canada that is designed to give manufacturers the features and functions they need to accurately control production operations and mange costs.  During our review we worked with INDUSTRIOS with integration to QuickBooks Enterprise, but INDUSTRIOS also has the ability to integrate with several other accounting packages. 

At the close of Part 2 I promised to share some unique features that INDUSTRIOS offers which I haven’t really seen in other manufacturing add-on software for QuickBooks.  I also let you know that we would be looking at how INDUSTRIOS ‘integrates’ with QuickBooks.  Let’s begin by looking at a couple of those unique features.

Configurable Workflows

This is a fairly new, and evolving feature that INDUSTRIOS offers that is really exciting as far as I am concerned.  In fact, I would venture to say that this could be a ‘game changer’ for many manufacturers who are considering alternative software for their operations. 

If you are a ‘manufacturing consultant’ or a QuickBooks ProAdvisor who specializes in manufacturing clients, then this feature is something that you will want to explore in-depth because it simply makes sense to recommend a product that allows the user to customize the workflows for using the software.

With Workflow Management INDUSTRIOS allows configuration of workflows in each phase of the manufacturing process. Please don’t confuse this feature with the ‘process plan’s routing details’ or other fabrication control we discussed in Part 2 of this mini-series.

These workflows define how the INDUSTRIOS product should be utilized in a manufacturer’s operations.  With these workflows you can define the exact steps, including required activities, for the processing of a customer sale. (The illustration below is such a workflow.)  If you look closely you will notice a variety of columns containing links to additional windows with the specifics for each step in the workflow.

Notifications, approvals and appointments created by workflow actions appear in the associated User’s Action Center. Key information is displayed with links to the related transaction.

Because you can define not only who, what, and how in terms of users, but also what actions or activities INDUSTRIOS performs, these workflows offer a great deal of configurability so that any manufacturer can use them to provide specific steps for each phase of their operation including necessary quality control to ensure that all work is performed according to standards. Like I said earlier, you simply won’t find this functionality in other add-on manufacturing software for QuickBooks.  

Project Manufacturing

You don’t really find this feature in many other manufacturing packages, and when you do they are large standalone ERP systems, not add-ons designed to work with QuickBooks.  This feature is intended to provide functionality for manufacturers who work outside the confines of one or more production facilities. When a manufacturer is responsible for both ‘in-house production’ and ‘on-site’ manufacturing, fabrication or erection of those products manufactured back at the shop.

Manufacturers who provide this type of project manufacturing must offer a combination of services to meet the demands of their clients. These include out-bound logistics, transportation, and on-site logistics.

These manufactures typically produce critical components within their production facility, then transport those components to a customer’s site and then either transport a crew or use local personnel to assemble those components into the final product. As I mentioned earlier, that assembly work may include on-site manufacturing of specialized components to finalize the job, as well as fabricate last-minute changes to complete the project.

But in other cases, the entire manufacturing process, other than raw materials kitting and stocked sub-assemblies transfer takes place at the customers location. In these instances, the entire fabrication occurs on-site with either local resources or manpower transported from home base.

INDUSTRIOS uniquely offers manufacturers using QuickBooks for their accounting with the capability to operate at a customer’s job-site in the same manner they do back at the production facility with features like:

  • Project scheduling and management including the ability to track percentage of completion on a time and cost basis.
  • Budgetary planning and detailed cost tracking.
  • Materials planning, purchasing, and management including associated logistics.
  • Assign labor and tasks outside the scope of the normal manufacturing environment including project management, project security, and runner/gofer duties.
  • Vendor, sub-contractor and alternative provider management.
  • Workflow configuration including manufacturing details.
  • Accessory cost tracking to cover things like day-labor, per diem, lodging and out-of-pocket expenses not normally associated with ‘in-plant’ manufacturing.
  • Ability to configure transportation/logistics of materials, components, manpower from any supported location as well as in-bound locations of out-source provisioners.

The Project Summary screen (shown below) shows profitability based on total cost $ and %.

The Contract Details screen captures all the details of the contractual agreement with the customer like billing method, terms, requirements for Statement of Work and responsibility for invoice payment.

Project Percent of Completion provides details on % complete based on budget $ and hours as well as actual and committed costs. The % of completion functionality also provides the ability to generate month end entries and maintain historical details to back up the calculations.

PlantGauge

While we didn’t really spend time exploring the depth of a feature called PlantGauge we felt that you should at least be aware of this option within the INDUSTRIOS offerings. PlantGauge software will analyze details pulled from the other INDUSTRIOS features and then publish those production and manufacturing measures as key performance indicators. 

These measures and datametrics can be extremely beneficial in providing practical business intelligence that managers and business decision makers need on a day-to-day basis. Many business experts who consult regularly with manufacturers recommend that this type of information be made available to all personnel to foster healthy team competition and accountability.

Integration with QuickBooks

The connection between INDUSTRIOS and QuickBooks Enterprise (or other Desktop version) is the same as any SDK based ‘integrated application’ connection.  Select the version of QuickBooks you will be connecting to within the INDUSTRIOS External Systems Interface Application settings. 

Then configure how you want INDUSTRIOS and QuickBooks Desktop to exchange for Accounts Receivable Invoices and Credit Memos, Accounts Payable Receiving Vouchers or Vendor Bills, and whether you want details or summaries of INDUSTRIOS information posted to QuickBooks. 

You can determine if updates between INDUSTRIOS and QuickBooks occur on a real time basis, or if you want to manually post exchanges between the two systems.  Unless there is some reason why you wouldn’t want QuickBooks regularly updated the real-time updates are the most likely setting.

As part of these settings you define the specific QuickBooks Company File and the specific QuickBooks Invoice template you wish to use when INDUSTRIOS posts data to your A/R.

As with any SDK-based application, the first time you connect INDUSTRIOS to QuickBooks you must have QuickBooks open in Administrator Single-user mode. 

The illustration below depicts the flow of information between INDUSTRIOS and QuickBooks.

For data to be exchanged properly between INDUSTRIOS and QuickBooks all the various data elements used by INDUSTRIOS internally in recording of transactions and other entries must exist within QuickBooks. Customers in INDUSTRIOS must either exist in QuickBooks or they will be created in QuickBooks by INDUSTRIOS, as will Accounts. As a part of the initial connection these requirements are verified. 

INDUSTRIOS posts Accounts Receivable as QuickBooks Invoices and if you are using real-time transfer then QuickBooks will always reflect the current receivables, which should match in both systems.  Similarly Accounts Payable are transferred from INDUSTRIOS to QuickBooks so you’re A/P liabilities match with the most current information. 

Other accounting details captured within INDUSTRIOS are batch posted to the QuickBooks impacting the appropriate General Ledger accounts like Work-in-progress and Inventory or adjustment accounts to ensure QuickBooks values conform to your INDUSTRIOS values.

About now you may be wondering if INDUSTRIOS works with QuickBooks Online (QBO)? While INDUSTRIOS does not presently offer a QBO interface it is definitely ‘on the way’, in fact, INDUSTRIOS has already undergone review by the Intuit QuickBooks Online App Developer team and is awaiting approval status as an authorized App on the Intuit (QBO) App Center.

Once QBO is supported, INDUSTRIOS will have a few alternative settings for the integration with QuickBooks Online since some of the QBO features differ from those within QuickBooks Desktop.

Rest assured, we here at Insightful Accountant will let you know the moment INDUSTRIOS goes live for QuickBooks Online.

Wrap-up

INDUSTRIOS is a sophisticated manufacturing solution that greatly enhances the capabilities of manufacturers who are using QuickBooks for their accounting. It offers not only the core manufacturing and inventory functionalities that any manufacturer would expect, but a variety of extra capabilities that are not to be found in other solutions of this type. 

If you want more information about INDUSTRIOS be sure to check out their webpage or speak to an INDUSTRIOS representative regarding your specific requirements or interest.