How Does CPQ for Manufacturing Betters Decision-Making?

Growing a business is challenging during the best of times, but even more hurdles are presented during a pandemic. After enormous turmoil, businesses are emerging into a new economic landscape by making data-driven decisions with the help of intelligent CPQ software for manufacturing. 

Numerous studies have revealed that companies using CPQ software have deal sizes 105% bigger than normal in terms of both deal size and quota targets.

The above data can help you picturize how the CPQ for manufacturing is a core part of the industrial revolution. Tracking data in real-time and the granularity to see where and when certain events took place gives businesses data-driven visibility and allows them to make better, timelier decisions.

But at the same time, finding which manufacturing quotes CPQ functions are most crucial to your decision-making process is difficult to settle for business. 

If businesses start tracking and mining the following mission-critical areas, they will be better prepared to make informed decisions and take one step closer to success.

Use inventory data to track levels of supply. 

CPQ software for manufacturing inventory management capabilities helps manufacturers to track the supply levels and adjust supply based on the requirement. It helps them to make informed decisions about when and where to increase their stock and protects them from losses.

1. Anticipate customer demand with CRM data

CRM data within the CPQ for manufacturing business owners to get complete detail of customers' current, past, and future demand for their products. When businesses know the customer demands, they can quickly determine whether to increase or decrease production levels or add or subtract resources to account for a change in demand.

2. Improve workforce productivity with human resources data

Now HR is no longer HR; it has become 'Data-Driven HR.' There are recruitment data, employee data, training data, absenteeism figures, and staff satisfaction data. These gauge employee sentiment, add value and drive organizational performance.

With intelligent, data-driven CPQ, decision-makers can quickly identify loopholes, whether adding a new member to the team or improving organizational culture to increase employee morale. 

3. Predict your revenue with accounting data

Manufacturing quotes CPQ  forecasts accounting data helping businesses predict revenue and capital requirements to fulfill future demands. Keeping records of all transaction activities helps you measure the company's expenses and gives you an idea of how a slight change in your product cost would impact sales, production levels, and labor requirements.

CPQ's financial reporting capability empowers small businesses to visualize trends and minimize the guesswork while making critical decisions.

4. Implied Machine Learning

The development of CPQ software for manufacturing must start with automation, and quick quote response is crucial. Solutions with optimized workflows are necessary for sales teams. The machine learning method offers this solution as accelerated BOM cleanup and part number analysis.

Sales staff invest a lot of time manually cleaning the BOM as the RFQ progresses. The sales team will have more time because of the machine learning capabilities because they can respond to a quote request in hours or minutes rather than days. 

5. Improve visibility into the sales process and forecast

The flexible implementation of CPQ for manufacturing makes it simple to share pricing information with channel partners and point-of-sale systems and supports sophisticated pricing regulations.

Additionally, a sales team can create precise quotes by utilizing monetization strategies like flat subscription, tiered pricing, consumption-based pricing, or outcome-based royalty.

Conclusion 

Instead of making a decision based on data presented in your excel sheets and guesswork, analyze your manufacturing quotes CPQ data unbiasedly and evaluate all the information on your record before jumping to conclusions. 

For businesses who want to compete in a marketplace that never stopped evolving, start leveraging the actionable insights and predictive indicators of Intelligent CPQ with Epicor to get ahead of the competition and grow holistically. Epicor CPQ allows businesses to upgrade their processes and deliver customized products to meet the new-gen requirements.