Top 10 Manufacturing ERP Systems in 2024

Manufacturing companies require extensive ERP capabilities due to high inventory costs, production efficiency, and regulatory controls. The abundance of manufacturing ERP systems makes choosing the right one challenging. The manufacturing industry, with its diverse nature, faces increased complexity in finding an optimal ERP solution. The overlap of options adds to the confusion. Issues such as business models as different as software development being compared to manufacturing further complicate matters. It convolutes to the extent that before you attempt to define ERPs, you might be forced to define manufacturing.

The manufacturing landscape spans from spaceships to beverages, encompassing diverse processes. Each micro-vertical has specific business processes, resulting in unique ERP needs. Traditionally, selling generic ERP solutions faced challenges due to nuanced requirements. ERP vendors thrived by tailoring designs to specific micro-verticals. Using an ill-suited product might feel unnatural, while overly focused solutions may struggle with diverse businesses. Most ERP systems, while appearing comprehensive at the surface level, might support only a few geographies, making them irrelevant for manufacturers in other regions.

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Additionally, certain ERP systems integrate processes from adjacent systems like PLM or HCM. Another factor that has influenced ERP systems’ design is the frustration with leading ERP systems, birthing newer marketed as “cutting-edge” but with weaker data models and integrity, creating technical and process backlogs. Beyond core capabilities, changes in their roadmap can impact you as well. We publish this annual list to help you grasp these nuances. In 2024, significant changes to the ranking reflect exciting developments with some of these products.

Criteria

• Overall market share/# of customers. The higher the market share of the manufacturing ERP system, the higher it ranks on our list.
• Ownership/funding. Who owns the ERP vendor? Is it a private equity company, a family or a group of families, or a manufacturing company? 
• Quality of development. The more cloud-native manufacturing capabilities, the higher it ranks on our list.
• Community/Ecosystem. The larger the community for a product, the higher it ranks on our list.
• Depth of native functionality for specific industries. Does the publisher own the code? Or do they use a white-labeled, third-party add-on? 
• Quality of publicly available product documentation. The poorer the product documentation, the lower it ranks on our list.
• Manufacturing Product Share. The higher the focus on manufacturing, the higher the ERP system ranks on our list.
• Ability to natively support diversified business models. The more diverse the product, the higher it ranks on our list.
• Acquisition strategy aligned with manufacturing. The more aligned the acquisitions are with manufacturing, the higher they rank on our list.
• User Reviews. The deeper the reviews by manufacturing companies, the higher the score for a particular product.
• Must be an ERP product. There are several edge products that may have a larger market share than these products. And they may be more successful in their respective categories, such as Salesforce, Workday, and ServiceNow. Ariba, or Coupa. However, since they don’t have the cross-functional capabilities as of today to be qualified as a manufacturing ERP system, none of these edge products qualify on this list.

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10. Plex

Adopting an MES-first strategy, Plex targets companies in the Toyota and Ford automotive ecosystems. Despite superior technology compared to other solutions on this list, Plex has fewer installs, primarily focusing on the automotive industry. Uniquely, Plex integrates some of the HCM processes tightly with MES and ERP, which is beneficial for automotive companies if skillsets and certifications are key inputs for production scheduling. However, its relevance may vary for other industries. While it maintains the #10 spot, its limited progress has led to a slight reduction in ranking among the top 10 manufacturing ERP systems.

Strengths

1. Last-mile Functionality for Toyota and Ford Ecosystems. Tailored for manufacturers in the Toyota ecosystem (i.e., Toyota suppliers), Plex offers distinctive features. These encompass unique business processes like forecasting, collaborative planning, and compliance requirements.
2. MES-first approach. Originating as an integrated MES solution, Plex boasts extensive MES capabilities. This appeals to companies handling processes traditionally within ERP, like quality, scheduling, and asset maintenance, providing a valuable shop floor perspective.
3. Cloud-native UI and Architecture. Similar to cloud-native ERP alternatives like Acumatica or NetSuite, Plex features a cloud-native and mobile-friendly user interface.

Weaknesses

1. Limited Core ERP Capabilities. While Plex lacks extensive finance and accounting capabilities for global organizations, it could be a great two-tier solution used at the plant level on top of Oracle and SAP as a corporate system.
2. Limited Mixed-mode Manufacturing Capabilities. Its limited focus on specific manufacturing verticals hinders its ability to handle the hybrid manufacturing capabilities crucial in high-mix, project, and custom machinery manufacturing.
3. Limited Ecosystem and Consulting Base. Plex has fewer installations and a minimal marketplace and consulting base compared to other manufacturing ERP systems on this list.

9. Sage X3

Designed for large process manufacturing companies (up to $3B in revenue), Sage X3 competes with large ERP systems like Oracle Cloud ERP, SAP S/4 HANA, or Microsoft Dynamics F&O in process verticals, provided extensive globalized and localized capabilities aren’t necessary. It may not be ideal for discrete verticals or SMB manufacturers under $50M in revenue. However, upper-mid process manufacturing and agriculture companies would find Sage X3 highly appealing. While Sage X3’s ranking has slightly decreased this year, it still holds the #9 spot among the top 10 manufacturing ERP systems.

Strengths

1. Last-mile Functionality for Process Manufacturing and Agriculture. These verticals have fairly unique compliance, traceability, and audit requirements such as lot-level reporting, catchweight, and use-before inventory release.
2. Process Manufacturing-centric Ecosystem. These companies require unique add-ons such as LIMS and weighing scale integration. They also need consulting companies with deep expertise in HIPAA or pharma validation.
3. Robust ERP Capabilities for Public Companies.  Due to Sage’s roots, the accounting perspective of Sage X3 solution would be friendly for companies that have deep audit requirements. For example, complex workflows of GL restrictions or Sarbanes Oxley requirements.

Weaknesses

1. Limited MES Capabilities. It has limited MES capabilities tailored to discrete manufacturing. The device integrations needed in discrete verticals are likely not to be pre-baked with Sage X3.
2. Too Big for Smaller Companies. Its overarching data model to accommodate the needs of larger companies, such as complex departmental budgetary and approval processes, might feel overwhelming for smaller companies.
3. Limited Ecosystem for Discrete Manufacturing. The add-ons, such as PLM and CAD integration tailored, along with the consultants with deep expertise in discrete manufacturing verticals, are likely to be limited with Sage X3.

8. Oracle Cloud ERP

Geared toward large manufacturing firms with 10+ global locations (over $1B in revenue), Oracle Cloud ERP excels with high transaction volumes. Ideal for companies prioritizing financial functionality over plant-level needs or preferring plant-level integration with best-of-breed solutions. It is not the optimal choice for SMB manufacturers lacking internal IT capabilities seeking full-suite capabilities. Oracle Cloud ERP is also ideal for global companies with diverse business model that plan to use multiple ERP systems at the plant level and use Oracle Cloud ERP as their corporate ERP system. Oracle Cloud ERP retains the #8 position among the top manufacturing ERP systems, appealing to large, global, and publicly traded companies.

Strengths

1. Robust Finance Capabilities for Large, Global Manufacturers. Capabilities include having five layers of GL restrictions, multiple layers of sub-ledgers, and book closing requirements across divisions.
2. Proven Solution with Large Workloads. Large companies may process millions of GL entries per hour. These workloads may be even higher for manufacturing companies. They might need to decouple transactions as a single system might struggle to support the end-to-end transaction of a global enterprise.
3. Ecosystem.  Oracle Cloud ERP has an ecosystem of experienced consultants who have the capabilities to handle the design and architecture of such complex enterprises.

Weaknesses

1. Limited Last-mile Capabilities. The last-mile capabilities may require the subject-matter expertise of consulting companies as vanilla processes need to be translated for specific micro-vertical needs.
2. Not necessarily a Manufacturing Solution. The manufacturing and supply chain capabilities of Oracle Cloud ERP are an afterthought. So, it’s only relevant for companies that need to decouple their processes ( or are struggling to support end-to-end processes in one system).
3. Overwhelming for SMB Manufacturers. Not a fit for SMB companies looking for a turn-key solution tailored to the processes of the specific micro-vertical.

7. Acumatica

Tailored for manufacturing companies in the $10-100 million range, Acumatica suits manufacturers with diverse models like construction, distribution, and field service. While a decent manufacturing solution, it lacks mature capabilities for specific verticals, such as matrix inventory planning for metal or engineer-to-order scenarios, allocation layers, and robust MRP strategies. With limited global operation capabilities, it may not be ideal for those seeking shared services or global synergies. Nevertheless, smaller manufacturing startups valuing a superior user experience would find Acumatica appealing. Notably, Acumatica has experienced a ranking boost this year and now holds the #7 position on our list.

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Strengths

1. B2B and B2C Manufacturing Products. Its data model is friendly for B2B businesses, with support for complex customer hierarchies and pricing (and discounting layers). It also supports divisional/branch accounting with warehouse-level pricing and replenishment strategies.
2. Diverse Capabilities to Support the Needs of Multiple Business Models. Support for hybrid business models in the same product/database, such as manufacturing and distribution (or manufacturing combined with construction, DTC, or field service). 
3. Cloud-native UI and Flexible Pricing Options. Superior experience for teams using ERP primarily on mobile devices. Consumption-based pricing options reduce costs substantially for certain business models, such as seasonal businesses with labor spikes.

Weaknesses

1. Limited Global Capabilities. The current multi-entity functionality might be limiting for companies with operationally connected offshore locations.
2. Limited Mobile Reporting Capabilities.  The mobile capabilities are leaner for complex reporting scenarios such as parallel processing or reporting labor or machines separately from the same work center. 
3. Multiple Add-ons may be Required for Regulated Industries and Complex Manufacturing. Requires several add-ons, such as MES, PLM, and quality, posing integration and communication challenges.

6. QAD

QAD targets mid-to-large automotive, electronics manufacturing, and life sciences companies with a depth in Supply Chain. It’s especially suitable for companies that require deep layers of collaboration with their vendors for forecasting and planning. But it’s not a fit for companies with diverse business models or very small companies. QAD has seen substantial advancements in its portfolio, especially with its technology, which was a massive barrier for QAD in the past. Despite advancements in technology, QAD’s ranking dipped due to competitors’ developments but still maintains its rank on this list at #6.

Strengths

1. Global Capabilities. While not as globalized and localized as other larger solutions, such as SAP S/4 HANA or Oracle, QAD is as limited as smaller solutions and can accommodate several countries with global synergies in one product/database.
2. Supply Chain Suite + ERP. Combining capabilities that traditionally resided in a Supply Chain Suite, QAD includes trade compliance, TMS capabilities, and S&OP planning in its core solution.
3. Last Mile Capabilities for Several Industries. While not as vanilla as other solutions on this list, QAD offers deep last-mile functionality for industries like Life Sciences, Electronics Manufacturing, and Food and Beverage.

Weaknesses

1. Diverse Business Models. QAD’s limited focus poses challenges for holding and private equity companies with aggressive M&A cycles trying to keep all of their entities on one solution.
2. Global Corporate Solution. While operationally strong, QAD may not be the best fit for companies seeking a global corporate financial solution.
3. Weak Ecosystem. QAD lacks a robust ecosystem, including limited partners and coverage for third-party add-ons and marketplaces.

5. SAP S/4 HANA

Targeting large manufacturing companies (over $1B in revenue) with global operations, SAP S/4 HANA excels in handling millions of transactions per hour. Ideal for large product-centric and publicly traded companies heavy on financial compliance and governance, it may not suit SMB manufacturing companies without internal IT maturity. SAP S/4 HANA enjoys a unique advantage for MRP-driven companies requiring enterprise-grade workloads intending to keep all of their entities in one database. With some momentum in its portfolio, SAP S/4 HANA has seen some boost in its ranking, and now it ranks at #5 on this list.

Strengths

1. Enterprise Product Designed for Product-centric Companies. The item master, product model, and warehouse architecture can accommodate the needs of most manufacturing business models.
2. The Power of HANA to Run Global Operations End-to-end in One System. Our simple test of HANA’s capabilities with 100K serialized goods receipt found it to be faster than most systems out there. SAP S/4 HANA could process it in under 22 seconds, while Oracle cloud ERP took more than 18 mins for the same test. So it would not require as much decoupling of transactions as other systems.
3. Financial Governance and Best-of-Breed Architecture. Financial traceability is built with each transaction, which makes the transactions and SOX governance flows highly traceable. 

Weaknesses

1. Behind in Cloud Capabilities. Despite advanced technical capabilities such as AI, the last mile industry capabilities and operational functionality are limited in their cloud ERP version.
2. Too Big for Smaller Companies. Companies looking for a fully baked suite without internal IT capabilities will find it overwhelming.
3. Limited Last Mile Capabilities and Third-party Pre-integrated Options. The last-mile capabilities available with other ERP systems, such as Infor LN or Plex, would not be as strong with SAP S/4 HANA.

4. Microsoft Dynamics 365 F&O

With more logos among project-centric manufacturers with global reach and diverse business models, Microsoft Dynamics 365 F&O excels in localizations where other solutions may falter. While not as robust as SAP S/4 HANA for Fortune 1000 workloads, it’s ideal for upper mid-market companies seeking a diverse and global solution. A vibrant ecosystem makes it suitable for private equity and holding companies aiming to streamline their portfolio companies on one solution. SMBs, however, might find its complex data model overwhelming. With ongoing portfolio momentum, it has surged in our ranking, now holding the #4 spot.

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Strengths

1. Product-centric Solution Ahead in Cloud. It has richer operational functionality for the cloud than SAP S/4 HANA and Oracle ERP Cloud. 
2. Best-of-breed Products Integrated at the Database Level. With the integration enabled at the database layer level for superior data integrity, it is pre-integrated with an enterprise-grade best-of-breed CRM and field service solution. 
3. Powerful Ecosystem and Marketplace Add-ons. Microsoft has a talent and consulting base in countries where finding talent may be a challenge. Its marketplace also has add-on solutions from companies as big as Aptean.

Weaknesses

1. Limited MES Capabilities. The MES capabilities are very lean and can only support basic use cases. The marketplace may have richer MES options available from third parties but would not provide as embedded experience as with other solutions on this list.
2. Too Big for Smaller Companies. The smaller companies would find it overwhelming with the configuration and approval flows built with ERP for large enterprises.
3. Limited Last Mile and Best-of-breed Capabilities. The last mile functionality may be a challenge and would require several add-ons. Equally limiting is the best-of-breed capabilities available with SAP, Oracle, or Infor.

3. Infor CloudSuite Industrial (Syteline)

Geared towards SMB OEMs with extensive SKUs and complex subassemblies, Infor CloudSuite Industrial (Syteline) excels with its flexible BOM structure, accommodating both formal and informal manufacturing processes. Ideal for businesses deeply integrated with field services and manufacturing, it offers robust capabilities for quality and field services. While possessing hybrid manufacturing features, it falls short in global trade compliance and lacks support for manufacturers heavily involved in distribution-centric processes. Despite its specific application, Infor CSI retains the top spot on this list with a slight ranking decrease due to its limitations on certain manufacturing business models.

Strengths

1. Support for Both Informal and Formal BOMs and Engineering Processes. Infor CSI BOMs don’t mandate a revision number, making it easier for companies with relatively unsophisticated data models and engineering processes to use without going through the painful formalization of SKUs and BOMs. 
2. Deep Costing Layers. Compared to other products with patchy experience, the costing layers are well-designed and scale well in verticals where multiple layers may impact product pricing and costing. 
3. Field Service Integration with the Core Manufacturing Processes.  Deep composable serviceable units are built as part of the core solution with complex assemblies and back-and-forth interactions of channels to service units in the field.

Weaknesses

1. Disconnected Financial Reporting Experience. Unlike other products, financial reports are not embedded with the product and would require an Excel interface, creating a patchy experience for the users. 
2. Poor User Experience and Steep Learning Curve. While marketed as a cloud product, the cloud capabilities, such as enterprise search and opening multiple tabs, are limited, making the experience non-intuitive.
3. Weak Ecosystem and Third-party Options. Similar to Epicor, Infor CSI takes the suite approach. So it might be harder to find integration with best-of-breed third-party apps.

2. Epicor Kinetic

Epicor Kinetic targets small-to-mid-size manufacturers specializing in industries with formal manufacturing processes and complex inventory needs, such as automotive, aerospace, metal, fabrication, and medical devices. It is also equally deep with project-centric operations and distribution processes for manufacturers with hybrid business models. Despite recent developments, Epicor Kinetic might not be the best fit for companies with global financial operations and deep field service operations. Yet Epicor is one of the strongest manufacturing ERP systems on this list, and that’s why it has seen a surge in its ranking, and now it ranks at #2 on our list.

Strengths

1. Strong for Comapnies with Formal Manufacturing Processes. Mandatory revision numbers and the BOMs driven by revision numbers would be especially appealing for formal engineering organizations used to seeing BOMs this way.
2. Strong with Complex Inventory Needs. Companies that require multiple attributes that need to be part of the planning and MRP, such as metal, fastener, automotive, and aerospace, would find Epicor to be appealing.
   Microsoft Look-and-feel. Epicor has a very similar look and feel to Microsoft ERP products, providing you with the same experience but with much deeper last-mile capabilities where other products might struggle.

Weaknesses

1. Global Financial Operations. Unlike larger products that might support more than three layers of financial hierarchies, such as corp, subsidiary, entity, and business units, the limited number of layers would operationally inefficient workarounds, such as using sub-accounts for such traceability.
2. Embedded Experience with Field Service and Quality. Despite recent acquisitions, the field service capabilities are not as embedded and proven as some of the other products on this list.
3. Weak Ecosystem and Marketplace. Epicor takes a suite approach to its products while selling directly to its customers. This limits the overall consulting and marketplace penetration.

1. Infor CloudSuite LN/M3

Infor CloudSuite LN and M3 are two completely different products and target large manufacturing companies (from $250-$3B in revenue). LN targets complex manufacturing products such as rocketships, satellites, or construction machinery. Infor M3 suits apparel, F&B, and chemical manufacturing. These are the only two products in the market that have the deepest capabilities for pure-play manufacturing companies with global operations. The other products might struggle with specific business processes or global scale. Infor LN and M3 both can support best-of-breed architecture with PLM, WMS, Supply Chain Visibility platform, and WFM products uniquely tailored to these industries. They are one of the best options for Fortune 1000 companies needing operational solutions in a two-tier architecture or upper mid-market companies needing to manage all of their entities in one solution/database. Because of their strengths, they still maintain the #1 position on our list of the top manufacturing ERP solutions.

Strengths

1. Global Operations. Infor LN and M3 are the only solutions in the market that have sufficient layers with financial hierarchies and global trade compliance functionality pre-baked with products to support manufacturers exploring global financial and operational synergies. 
2. Last-mile Capabilities Along With Breadth of Capabilities for Diversified Manufacturing Business Models. The verticals such as apparel manufacturing require the deeper integration of PLM, vendor portals, and merchandising solutions. Complex manufacturing requires handling units, several layers of allocation management, and international trade compliance.
3. Best-of-breed Integrations Offered Out-of-the-box. Most tools that a manufacturer would require, such as HCM, PLM, data lake, ERP, WMS, TMS, and advanced supply chain planning, are all pre-integrated with LN and M3.

Weaknesses

1. Might Not be the Best Fit as a Corporate Solution for Holding and Private Equity Companies. Holding companies as diverse as manufacturing, construction, and professional services may not be able to keep all of their entities on one solution and database.
2. Legacy UI and Experience. Infor LN and M3 are both legacy solutions with technical limitations to provide the cloud-native experience with universal search, mobile experience, etc.
3. Weak Ecosystem and Marketplace. The consulting base and marketplaces are virtually non-existent for both Infor LN and M3 if you need third-party best-of-breed pre-integrated solutions.

Conclusion

Selecting a manufacturing ERP system is hard. You have several competing priorities that need to be aligned for everyone to be equally efficient with it. While your shop floor is likely to dictate the requirements for your ERP, successful implementation requires that the product meets the needs of all departments equally well.

There are several other ERP systems that are highly popular manufacturing ERP systems and might be a great fit for a lot of industries and situations, such as NetSuite, IQMS, Salesforce/Rootstock, SYSPRO, ECi Macola, JobBoss2, Aptean ProcessPro, Aptean Ross, Aptean Made2Manage, ECi Deacom, ECi M1, GlobalShop, ProShop, Odoo, and GeniusERP. They might be as strong as these products (in fact, stronger) for some industries and market segments. 

The only reason they didn’t make it to the list is that either they have too small a market share or are too focused on specific industries. Or they might not have as strong native operational functionality to be a strong contender for any industry. In conclusion, when selecting a manufacturing ERP system, consider including these solutions in your evaluation and hiring independent ERP consultants, as they might offer strengths tailored to your organization’s needs.

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