Manufacturers have a number of different business processes that their ERP software must be configured for. Some of the more common areas include: Accounting and Finance A modern ERP should handle the transactions associated with various types of accounts used by a business and include the ability to manage assets, liabilities, equity, revenue, and expenses. The ERP software will automate daily tasks and provide reporting tools for financial statements like the balance sheet, income statement, or statement of cash flow. Inventory Management This area of the ERP will be used to manage inventory throughout the supply chain. It systematizes the approach to sourcing, storing, staging, and selling both raw materials and finished goods. For companies with complex manufacturing processes, there are two methods of inventory management the ERP system will support: just-in-time (JIT) and material requirements planning (MRP). Manufacturing An ERP platform designed for manufacturers will include capabilities for managing the bill of materials, running production jobs, planning capacity, enforcing quality control, and managing workflows. The ERP system allows manufacturers to automate daily processes and manage the resources necessary to produce their products. Warehousing Although sometimes treated separately, ERP solutions with built-in warehouse management functions provide the necessary process controls critical to any manufacturing and distribution facility. As an example, using scannable GS1-128 barcodes on finished goods allows the back office to see when inventory is moved between locations in real time.