An ERP solution to improve operational capabilities of a Food Manufacturing Company
GA foods is a domestic food manufacturing and export company that produces three
different types of products, chutney, pickles and spices. With a rich global clientele,
the company faced a major issue related to operational efficiency and error-free
invoicing and inventory management. We suggested an ERP system that could manage
all the different departments of the company, integrate them and improve the overall
business productivity.
The Broad Requirements
- They processed quality checks on every batch that was produced. They needed a system
that could maintain a record of the quality checks conducted and the results so that
they can refer to the documents whenever a end user raises a flag - Inventory Management: The raw material to produce the finished goods was the inventory
for the client. They wanted an automated system that could manage the inventory - Once the order is placed, the amount of raw materials needed to produce the order needs
to be checked. If the raw materials are not available, the system should be able to
generate the order for the same, and make sure the produced goods are available on time.
The system should be able to calculate the amount of raw material and the costing as
well - The system should be able to keep a check on the raw material consumed. The system
should also be able to track the packaging material usage and production loss - Automate the entire vendor selection process based on several factors pre-defined
The Proposed Features
How our proposed ERP solution helped streamline the food manufacturing processes?
Quality Check Management
Once the order is finished, the system will check the produced goods for quality. In case the quality is not up to the predefined mark, the product will be automatically rejected by the system. A report is automatically generated, which can be viewed by the client at a later stage.
Inventory Management
When the order is fixed, the system will check the raw materials and the amount of raw materials required to produce the order. In case the manufacturer is short of any raw material, the system will ensure that the order is raised for the same, and the raw material is made available within the timeline. The system will also automatically generate the timeline required to produce the goods
Waste Management
The system will keep an account of all the raw materials used, the packaging material used and the entire production loss in terms of finished goods and quality. This way it will keep a check into the waste management. The system is responsible for the packaging, and keeps an eye on all aspects of packaging. The FIFO model reduces wastages that is caused due to expiry of products.
Tracking
Once the packaging is done, the end goods will have a unique ID, which makes it easy for the client as well as the receiving end to track them. Hat Reports are generated to show the users which products are readily available, what is their expiry date and other aspects. This helps the manufacturer release the products produced first.
Goods Management
The system manages the goods from entry to exit, including generating the Good Receipt Number and quality check of the products on the parameters specified.
Challenges faced
As neither the client nor the employees were aware of what system they want and how it will work, the main challenge was understanding the depth of the problem, offering a feasible solution that is easy for them to understand and operate. We had to train the employees to ensure accessibility
Results
- The wastage has reduced 2x times as compared to before the system was installed
- The order management has led to an increase in the number of orders placed for the products
- The company is able to attend to client queries faster with the help of the automated reports.
