The Role of Cloud-Based ERP Software in Modern Food Manufacturing

From the early days when Homo sapiens roamed the earth as hunter-gatherers, food was merely a means of survival. Over time, humans discovered farming, and with building of human groups and communities, food evolved from a necessity into a craft.

Societies advanced, so did their culinary techniques. It gave birth to an industry which not just filled the stomach of people but, satiated their taste buds also.

Fast forward to the modern era where food manufacturing has become a sophisticated, global industry, driven by innovation and technology.

The simple act of producing and preserving food has transformed into a complex process. From sustainable farming practices to advanced packaging techniques, everything is designed to meet the ever-changing demands of consumers.

As the industry grew, so did the need for better management systems, which led to the adoption of technology mostly ERP solutions.

But in today’s fast-paced world, even traditional ERP systems face limitations in keeping up with rapid changes. This is where cloud-based ERP comes into play. It offers food manufacturers the flexibility, efficiency, and scalability they need to thrive in a dynamic marketplace.

Before diving into the pivotal role that cloud-based ERP plays in modern food manufacturing, let’s first explore how this industry has shifted from its humble origins to the high-tech powerhouse it is today.

What makes modern food manufacturing different from traditional food manufacturing?

Technological advancements- With advancement of science and technology, modern food manufacturing industries are more automated, and robot based. Digitization is sweeping in to avoid various redundant tasks. In older days, manufacturing and processes were mainly manual.?

Rapidly changing consumer behaviours- The internet penetration caused consumers’ evolution. Today they have many choices, options of food, they try innovative and new things, and this is pressurising food manufacturers to innovate and tap consumers faster.

Stricter laws- Compliance and regulations are becoming tighter to provide food security to end users. Traditional laws have been modified, new laws have been added, local, national and international lawsuits are more active than ever. Today, adherence to compliance is mandatory.

Sustainability pressure- The world is looking towards sustainable alternatives, packaging and greener ways to produce food. International pressures are forcing today’s food manufacturers to incorporate modern sustainable ways to produce. ?

Supply chain resilience- Modern world is extremely volatile. Wars, pandemics, geopolitical situations, climate change, etc. have disrupted entire supply chain. The need of building a resilient food supply chain was never so high in the past as it is in the modern context.

Role of Cloud-based ERP Software:

Cloud-based ERP is a business management software that requires no additional hardware support to run. It can be accessed via internet enabled device like tablet, laptop, or smart phones. Food manufacturers are looking at this technology to remain shoulder-to-shoulder with the changing dynamics and keep pace with the speed of business. This technology helps food manufacturers to:

Always stay connected with business- Cloud-based ERP systems keep manufacturers always connected to their businesses. Since the business can be accessed with the help of an internet enabled device, irrespective of location one can get crucial data just when they need it and where they need it.

This speeds up decision-making, allowing manufacturers to adapt quickly to market changes.

Get more in less- Since the technology is available in SaaS (software as a service) model, there is no fixed rental to it. Manufacturers pay only for what they use. Besides, they can save huge amount on hardware parts, as there are no additional requirements of hardware.

Food manufacturers can invest the saved money in developing new products, building stronger supply chains, bringing the products in the budget of consumers or in any other useful dimension.

Make a cohesive eco-system- Food manufacturer might use various systems and solutions for various tasks. For example, it can have inventory management software, financial software, warehouse management software, CRM, etc.

Cloud-based ERP software can integrate with various software in place and make a cohesive system to work in complete synchronization. This enhances overall effectiveness of the system and data sharing becomes easier.??

Achieve ROI faster- Cloud-based ERP takes less time to implement. This means the implementation cycle is lesser which eventually reduces waiting period. Manufacturer can start working on the system earlier and achieve ROI faster.? ?

Make real-time changes- In the highly unpredictable market, adapting as per customer needs is the key to succeed. With cloud-based ERP solutions, food manufacturers can adjust plans in real time. This flexibility helps them to cater consumers’ demands without delay which eventually increases customers’ brand tenacity.?

Shed compliant headache – Compliance is a big headache for food manufacturers. Keeping track of chancing compliance is daunting task. A cloud-based ERP software helps manufacturers to feel relaxed as it tracks all the necessary compliance and updates as per the changing rules.?

Have secured data- Cloud-based ERP software is more secured than its on premise counterpart. The main reason is that it is auto updated to fight with latest threats and it provides strong backup and recovery system. Thus, food manufacturers enjoy complete security of data with a cloud-based ERP software.?

Scale business- Cloud ERPs by-design support growth. They grow as you grow- in terms of users, company units & functionalities. This flexibility makes cl oud-based ERP software perfect ally of food manufacturers.???

Collaborate with teams- Since every team is connected, data is shared in real time, transparency is increased, and there is high degree of collaboration among all teams of the organization. This collaboration enhances efficiency of the organization and ultimately impacts the bottom-line, positively. ???

Enhance sustainability- Since in Cloud-based ERP, multiple clients share same cloud server, the energy consumption is less which adds to green production. Besides, by automating various redundant tasks, the software reduces carbon emission.

Apart from the above stated roles, a cloud-based ERP has all the other roles in modern food manufacturing industry as that of an on-premise ERP. These roles may range from traceability to inventory management, to quality checks, to procurement, to sales management, to production, to shipment tracking, shelf life determination, etc. ?

Here we highlighted only those roles which are specifically cloud-based and where its on-premises counterpart lacks.

Conclusion: ?

Food industry directly impacts society. Since the market is price sensitive, costing of the product is imperative. As cloud-ERP involves lesser cost, it brings the cost of the product down to increase the acceptability of the product in the market.

With growing challenges in food manufacturing industry in modern times, only a robust cloud-based food manufacturing ERP solution can give a better support for growth.

A solution which knows the intricacies of modern-day food manufacturing, understands the nuances of recipe management and provides a good support at time of exigency.

In this legacy, BatchMaster ERP is a prominent name, serving food manufacturers for more than 40 years. Having its presence across the globe, the software is equipped various unique features like:

Bi-directional traceability and lot recall, BOM costing, Supplier and vendor management, Nutritional labelling, Catch weight management, SuperBatch, Allergen Management, Recipe Management, HACCP and more.

With BatchMaster Cloud-based ERP at your side, you can reap various benefits like market trend alignment, rapid product introduction to market, cost control, sales forecasting etc.

So, if you are looking for an industry oriented cloud-based ERP for your food manufacturing organization, BatchMaster is the perfect choice.

Don’t wait, schedule a call with our experts and get to know how the software can catalyse your growth journey.? Write to us at [email protected] or visit BatchMaster .