Food and beverage industry embraces automation: Is your ERP ready?

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Categories: ERP, Food and Beverage
November 21, 2019

A 2019 poll by Food Engineering Magazine reported that 22% of respondents had installed advanced automation capabilities.

Food manufacturing machinery.

Thin profit margins make automation increasingly important in the food and beverage industry.

Automation makes sense in the food and beverage industry, where margins are slim and requirements for consistency and regulatory compliance are exacting.

But automation doesn’t mean pushing a button and watching magic happen. Automation in the food and beverage industry requires precise orchestration so that quality is never compromised, and so that businesses can operate profitably while adhering to all regulations. Enterprise resource planning (ERP) software is the key to this meticulous choreography of supply chains, inventory, data gathering, and reporting.

Automation in finance

Because of its slender profit margins, successfully operating a food and beverage company requires that finance be managed with precision. The right food and beverage ERP software sharply reduces manual data entry, so that data entry errors are less likely to enter the system and propagate, causing further problems.

Tight management of supplies and inventory levels also requires exceptional financial management. Keeping inventory and supplies at optimal levels requires understanding purchase cycles and ensuring resources are bought strategically and in the right quantities. An outstanding food and beverage ERP system, like Sage X3, empowers businesses to not only take control of finance but to generate valuable and insightful data from every financial process.

Automation for safety and quality assurance

Few industries are more beholden to safety and quality assurance standards than the food and beverage industry. Enterprise resource planning includes gathering safety and QA data and monitoring it at all times so that raw materials are used properly and so that waste is kept to an absolute minimum.

Bottling plant.

Enterprise resource planning means prioritizing safety and quality while minimizing waste.

The right food and beverage ERP is also audit-ready – something that is non-negotiable when it comes to the products people consume. Compliance audits and customer audits are part of the food and beverage business, and when an ERP does the heavy lifting of audit compliance, companies are freer to focus on core business activities.

Automation in operations

Automated operations depend on a well-managed supply chain. Supply chain transparency is aided by an outstanding ERP system like Sage X3. Materials requirement planning must be done with the utmost attention to detail so that all points in the supply chain can be optimized. The right ERP software not only assists with this, it also collects valuable data that informs future decision-making.

Many food and beverage corporations are automating production lines to improve flexibility as well, allowing them to retool and meet changing needs quickly. For this to work, these businesses need an ERP system that can keep up.

The right ERP system orchestrates it all

Sage X3 addresses financial, supply chain, and production management, helping food and beverage businesses minimize waste while reducing risk and improving regulatory compliance. Additionally, Sage X3 offers users focused insights on quality and cost, so businesses can fill orders efficiently, plan production optimally, and ensure the highest quality products.

The right Sage X3 implementation partner makes all the difference. NexTec works closely with food and beverage manufacturers and has a keen understanding of their particular challenges. With NexTec as a strategic partner and Sage X3 as the ERP solution, food and beverage businesses have the tools they need to make an increasingly automated industry operate efficiently and exceed customer expectations.

If you’d like to learn more, we invite you to read our recent study on the food industry.

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