The Digital Transformation of Food and Beverage Industry
Technology evolves rapidly and touches every aspect of business across different industry sectors. The food and beverage industry is no exception, as emerging trends in the food industry keep on coming with advancing technology. Here we are going to discuss how customised ERP solutions can revolutionise a highly competitive and heavily regularised food and drinks industry.
The Panorama Consulting Solutions Manufacturing ERP Report has revealed 17% of companies integrate ERP to improve business performance, whereas, 14% of respondents have integrated ERP to make the employee’s job easier. However, the scope of ERP does not end there. Here are the top benefits of ERP for food and beverage industry.
Top Business Benefits of ERP for the Food and Beverage Industry
This is the topmost concern for the food and beverage industry globally. Factors like ingredients or contents, allergens, and expiry date weigh high in ensuring safety of raw or cooked food and drinks. With feature-rich ERP solutions, manufacturers can control these aspects with ease and manage the operations on the basis of real-time data.
In the instances of recall and complaints, it is easy to trace the products of a particular batch with the help of ERP software. The food and beverage manufacturers and wholesalers can track the shipment of finished products and help them stop selling any contaminated products. ERP for the food and beverage industry can provide specialised reports and customised workflow to streamline the process.
As per the data of the FDA (Food and Drug Administration), foodborne diseases are responsible for around 3000 deaths every year in the US. Worldwide, various authorities impose regulations and standards on the food and beverage industry to prevent its risks. ERP for the food and beverage industry is designed to facilitate manufacturers to remain compliant with food safety standards.
4. Cost Control
Well, this is also one of the biggest benefits of ERP for your business. A feature-rich ERP can help you increase productivity and control the cost like overheads, inventory management-related costs, etc. You can readily maintain the fine balance between the demand and supply with ERP solutions. You can manage fixed, variable, marginal, and average costs to provide quality products at reasonable rates.
Labeling and Packaging
Nowadays, every food and beverage product shows nutritional value. It is one of the policy recommendations of the FDA. A label on the product can serve this purpose with ease. What’s more, a label is necessary for shipment and tracking. The ERP solution can manage labeling and packaging as per the requirement to prevent your business from mislabeling fines, or faulty recalls and negative publicity.
A big challenge for the food and beverage industry is to keep a check on weight and other dimensions of the products. Also, the consistent supply of the raw material and a seamless transportation process of the finished goods are also necessary. All such objectives can be readily served through proper inventory management. The advanced ERP software can handle this task and enable you to provide accurate invoice details with proper measurement of size, weight, and other parameters.
Recipe of food can make or mar the reputation of your business. It is, therefore, necessary for you to get tight control over recipes or formulas of various products. ERP for food and beverage can make it possible by supporting formula and recipe scalability with safety features. You can integrate an ERP for process manufacturers to leverage the benefits of formula and batch management.
There is no room for compromise when it comes to the quality of food and beverage products. The ERP software can help you maintain the quality by controlling the usage of ingredients and following the formula for the food products.
How new trends in the Food Industry can integrate with ERP Solutions in 2019 and beyond
Do you know why ERP solutions have gained ground so swiftly across the world? Well, ERP solutions are highly adaptable and they can readily match with the current and emerging technology trends. In a way, the customised ERP software can digitally transform the food and beverage sector.
Here are a few examples of futuristic trends that can be integrated with ERP solutions to change the face of food industry in 2019.
AI (Artificial Intelligence)
AI and ML can make the processes and devices ‘intelligent’ on the basis of real-time data and predictive analysis. AI also enables the manufacturers to monitor and maintain the equipment with real-time insights. Ai can be integrated with the ERP to access and analyse the critical data and make the operations more efficient.
IoT (Internet of Things)
The IoT concept becomes more prevalent in the corporate sector. Connected devices and servers can be integrated with AI and ERP system to fetch the data for making informed decisions. The management can readily understand the user’s behavior and market trends, and maintain the food and beverage production at the optimum level.
There is no exaggeration in mentioning that predictive analysis is an outcome of AI and ML. The ERP system can work in sync with the AI to provide crucial information regarding the customer’s choice, changing tastes and sentiments, etc. On the basis of such data, predictive analysis can be done to forecast the future trends for your business. It can make your business ready to get opportunities while mitigating challenges.
The ERP software has a long way to go in the food and beverage sector. It needs to get ready to address the present and upcoming challenges for the future. But then, it is fair to mention that with great potential and inherent robust capabilities, the ERP software can revolutionise the way food and beverage sector operates. If you are in this business, the right time to get a customised ERP system is now! You can streamline the process while keeping your business compliant with prevalent standards.