March 19, 2018

Why now is the best time for Manufacturers to upgrade to Deltek Costpoint

by Colin Quinn

There are many reasons to upgrade from GCS to Costpoint but for manufacturers, the benefits gained by migrating systems remains unparalleled.

GCS Premier does not support manufacturing, not even the basics. Most GCS users are forced to use an outside manual solution to address there manufacturing needs. However, in GCS you can order and stock inventory, but the functionality of the bill of materials is not nearly as vast, capable, or customizable as in Costpoint.

The decision to switch from GCS to Costpoint comes down to determining the manufacturing requirements of your business and which product can best accommodate those needs. Organizations with “light” manufacturing can generally get away with staying on GCS, but if your company anticipates manufacturing growth or has an increased volume of manufacturing-to-order or assemble-to-order production, then upgrading to Costpoint will greatly enhance your business.

The greatest benefit of Costpoint over GCS for Manufacturers is the enhanced project manufacturing modules which make it easy to propose, design, plan, purchase, track and manufacture products for engineer-to-order or make-to-order projects. It features systems compliance, cost reporting, and serial & lot number tracing.

To learn more about the new modules available in Costpoint register to attend: Costpoint Materials and Engineer to Order Manufacturing.

Another benefit of making the switch to Costpoint is the ability to utilize a Manufacturing Execution System (MES), which provides online documentation, work instructions and routing information for complex project manufacturing environments. Costpoint can also interface with TIPQA, MAXIMO, and RFGen.

Other areas where GCS and Costpoint vary are related to the complexities. We usually look at the complexities of the account structure, organizational structure, project structure, and indirect rate structure. While GCS can handle some variation in each of these areas, Costpoint allows the user to design these areas without any restriction.

Finally, we encourage companies to look at the total cost of ownership for both products. The cost of both models should be analyzed over a 5 year period, factoring in the IT requirements and costs for each product. While the upfront cost of switching to Costpoint can seem overwhelming for a small to mid-size company, the long-term benefits of choosing Costpoint over staying on an unsupported GCS is that you get a solution that will grow with your business. Again, it’s critical to take the company’s short and long-term goals and growth plan into consideration when choosing which solution is the best fit.

As long-time users of both GCS and Costpoint, we believe that each product can meet the needs of your business. Sadly, there is not a checklist to tell companies whether to stay on GCS Premier or switch over to Costpoint. As a company, if you feel that you are comfortable foregoing support, fine with basic reporting, and ok with a separate manufacturing system then stay on GCS but if you are looking for one solution that can grow with your company, offers more modules, greater flexibility, and allows for customization then there is no better solution then Costpoint. We advise you to look carefully at your future goals to see if there are factors there that may help make the decision a little clearer.

Join Kinetek Consulting on April 5th for an exclusive overview of Costpoint’s Materials and Manufacturing modules. Discover how these modules can help with your day-to-day operational activities.