{"id":142873,"date":"2021-10-12T07:23:07","date_gmt":"2021-10-12T07:23:07","guid":{"rendered":"https:\/\/news.sap.com\/africa\/?p=142873"},"modified":"2021-10-12T07:23:08","modified_gmt":"2021-10-12T07:23:08","slug":"why-smb-food-and-beverage-manufacturers-need-industry-relevant-erp","status":"publish","type":"post","link":"https:\/\/news.sap.com\/africa\/2021\/10\/why-smb-food-and-beverage-manufacturers-need-industry-relevant-erp\/","title":{"rendered":"Why SMB Food and Beverage Manufacturers Need Industry-Relevant ERP"},"content":{"rendered":"
\"\"ERP adoption has accelerated since the 1990s, and with this came the opportunity to focus on particular industries.\u00a0<\/span><\/div>\n
\u00a0<\/span><\/div>\n
This development recognised that to drive high performance in the face of increasing complexity and uncertainty, businesses need tools and functionalities that are honed for their specific industry.\u00a0\u00a0<\/span><\/div>\n
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To identify, contain and recover from an unexpected occurrence with speed, for example, requires decision making abilities that only a relevant industry solution can deliver.\u00a0<\/span><\/div>\n
\u00a0<\/span><\/div>\n
Domain expertise in a particular industry such as agriculture, mining, or pharmaceuticals, can help the organisation to easily identify any concerns, bottlenecks, errors, and other problems, and provide faster resolutions.\u00a0<\/span><\/div>\n
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This is leading to a rise in demand from industry verticals, with many businesses wanting the functionality and workflows that a pro forma implementation cannot provide.<\/span><\/div>\n
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\u201cSome business sectors are unique or complex, with regulatory compliance that requires tight control over processes and conformance,\u201d says Andre Adendorff, Director Presales at Seidor Africa, an 麻豆原创 Business One partner.\u00a0<\/span><\/div>\n
\u00a0<\/span><\/div>\n
\u201cFood and beverage manufacturing is one such case. It is a complex and labour-intensive industry and when compared to other manufacturing sectors, has its own challenges.\u201d<\/span><\/div>\n
\u00a0<\/span><\/div>\n

Manufacturing efficiency<\/b><\/span><\/h2>\n
Food and beverage companies require efficiency in the business and throughout the supply chain.\u00a0<\/span><\/div>\n
\u00a0<\/span><\/div>\n
Having an ERP system that is relevant for the needs of food manufacturers ensures that factors like material requirements planning, inventory management, and recipe control function properly.\u00a0<\/span><\/div>\n
\u00a0<\/span><\/div>\n
Food ERP systems provide everything a business needs to perform core food and beverage functions, including:<\/span><\/div>\n
\u00a0<\/span><\/div>\n
\u2022 Inventory and supply chain management<\/span><\/div>\n
\u2022 Quality control and quality assurance<\/span><\/div>\n
\u2022 Non-conformance management<\/span><\/div>\n
\u2022 Process automation<\/span><\/div>\n
\u2022 Recipe management and ingredient tracking<\/span><\/div>\n
\u2022 Batch control and traceability for regulatory compliance<\/span><\/div>\n
\u2022 Cross-functional reporting<\/span><\/div>\n
\u00a0<\/span><\/div>\n

Product safety<\/b><\/span><\/h2>\n
When processed foods maker Tiger Brands detected a leak in certain canned vegetable products due to a faulty side seam weld, the company was quickly able to recall 20 million cans.<\/span><\/div>\n
\u00a0<\/span><\/div>\n
\u00a0\u201cIn this industry, manufacturers of all sizes must be able to respond quickly and effectively to the recall of products deemed unsafe or unsuitable for the market, as the consequences for not doing so can have long-term deleterious effects, in legal, financial and reputational terms,\u201d says Adendorff.\u00a0<\/span><\/div>\n
\u00a0<\/span><\/div>\n
\u201cIn the age of social media, a company\u2019s reputation can be destroyed in an instant should it not respond appropriate to any issue associated with product safety.\u201d<\/span><\/div>\n
\u00a0<\/span><\/div>\n
With recall functionality and built-in controls to preclude product recalls from happening in the first place, industry-relevant ERP solutions enable companies to better prepare for, prevent and minimise product recalls, limiting potential damage to the business.\u00a0<\/span><\/div>\n
\u00a0<\/span><\/div>\n

Meeting needs of demanding customers<\/b><\/span><\/h2>\n
When it comes to food and beverages, consumers today are more health-conscious than ever about what they choose to consume, and what effects their choices have on the planet.\u00a0<\/span><\/div>\n
\u00a0<\/span><\/div>\n
Their purchases are often strongly determined by nutritional value, packaging, and shelf-life.\u00a0<\/span>They want to know what is in the food they buy, which creates an increased demand for transparency in product labelling and food safety.<\/div>\n
\u00a0<\/span><\/div>\n
\u201cThis increases costs in an industry that already has tight margins,\u201d says Adendorff. \u201cTo mitigate the impact of these demands, ERP for the food and beverage sector makes it easy to track information and meet the requirements for compliance with food safety regulations, both in South Africa and abroad.<\/span><\/div>\n
\u00a0<\/span><\/div>\n

Food safety management<\/b><\/span><\/h2>\n
Companies that export food and beverages abroad are required to meet amongst others, FDA FSMA and the BRC Global Standard for Food Safety, a Global Food Safety Initiative (GFSI) benchmark, which means it\u2019s accepted by many of the world\u2019s biggest retailers.\u00a0<\/span><\/div>\n
\u00a0<\/span><\/div>\n
Achieving the certification ensures that consumers have confidence in the products. BRC contains requirements for food processors to follow to build an effective food safety management system that includes full traceability.\u00a0<\/span><\/div>\n
\u00a0<\/span><\/div>\n
\u201cFood-relevant ERP\u2019s that can account for all processes is essential for companies that need to meet regulatory requirements \u2013 as well as those of other food safety compliance and regulatory bodies \u2013 helping manufacturers ensure full compliance and deal with non-conformance,\u201d says Adendorff.\u00a0<\/span><\/div>\n
\u00a0<\/span><\/div>\n
\u201cAn ERP system can schedule and manage production, assuring quality control. It can also manage non-conformance and corrective action requests for audit purposes.\u201d<\/span><\/div>\n
\u00a0<\/span><\/div>\n
The software can be configured and installed in a way that constantly benchmarks against standards. It assists with streamlining and automating processes, saving considerable time for employees and management.\u00a0<\/span><\/div>\n
\u00a0<\/span><\/div>\n
\u201cHaving software to monitor, measure and analyse product quality and delivery helps to reduce waste and inefficiencies throughout the business,\u201d Adendorff adds.\u00a0<\/span><\/div>\n
\u00a0<\/span><\/div>\n
\u201cThis has a positive impact on productivity and can help to boost the bottom line, even in a tough economy.\u201d<\/span><\/div>\n","protected":false},"excerpt":{"rendered":"

ERP adoption has accelerated since the 1990s, and with this came the opportunity to focus on particular industries.\u00a0 \u00a0 This development recognised that to drive…<\/p>\n","protected":false},"author":3022,"featured_media":142875,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"related_posts":[],"footnotes":"","_links_to":"","_links_to_target":""},"categories":[177,191,7737],"tags":[5597769,176,5596672,35,5597891,5594146,5597892],"series":[],"sapn-display":[45149,279685],"sapn-type":[45018],"class_list":["post-142873","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-industries","category-sme","category-solutions","tag-andre-adendorff","tag-erp","tag-food-and-beverage","tag-manufacturing","tag-product-safety","tag-seidor-africa","tag-tiger-brands","sapn-display-homepage-hero","sapn-display-hero","sapn-type-feature"],"yoast_head":"\nWhy SMB Food and Beverage Manufacturers Need Industry-Relevant ERP - 麻豆原创 Africa News Center<\/title>\n<meta name=\"description\" content=\"Some business sectors are unique or complex, with regulatory compliance that requires tight control over processes and conformance. 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