[Responding to Cost Volatility] Can you quickly grasp the impact of raw material price surges, component shortages, and equipment stoppages? - Webinar Announcement

Addressing the Era of Persistent Cost Volatility The manufacturing industry is facing unprecedented uncertainty due to rising raw material prices, currency fluctuations, supply chain disruptions, and unexpected equipment stoppages. These external factors gradually permeate corporate earnings, affecting not only operational execution but also the timing and precision of management decisions.

Consequently, it is becoming crucial to establish mechanisms that not only analyze cost and production impacts after the fact but also identify changes in raw material prices, exchange rates, and equipment operations at an early stage, enabling proactive decision-making.

The Need for Integration Between Actual Costing and Business Processes In many companies, information regarding costs is siloed from procurement, production, equipment operation, and system error data, making it difficult to timely grasp how daily changes affect costs and production.

Common challenges include: - Inability to quickly assess how raw material price surges impact final product costs. - Delays in approval and reflection of increased procurement prices in cost calculations. - Difficulty in visualizing the impact of equipment downtime caused by malfunctions or maintenance on production costs.

There is a demand for infrastructure that goes beyond simple cost aggregation, properly managing trails of changes like price revisions and equipment stoppages to accurately and timely grasp costs for management utilization.

The Ideal State of Cost Management for Production System Renewal In this webinar, we will explain how to connect business processes—spanning production and cost management, equipment operation, and system failure response—through the integration of the manufacturing ERP 'mcframe 7' and the digital workflow platform 'ServiceNow'.

We will discuss what is required to move away from monthly-aggregation-centric cost management and integrate daily changes like price adjustments and equipment stoppages into business processes. We will provide guidelines for realizing cost management that can respond to change for companies considering renewing their production management infrastructure.

Recommended for: - Management planning and cost management departments struggling with responding to cost volatility such as raw material price surges and equipment downtime. - Information systems and production management departments considering the renewal or restructuring of production management systems. - Production planning and procurement departments feeling challenges in coordinating cost management with procurement and production processes. - Management and planning departments aiming to draft a vision for future cost management infrastructure.