United States

Leveraging margin optimization software for production


ERP software helps food and beverage companies maximize profit margins by optimizing production, distribution and financials. The most effective way to optimize profit margins in a production environment is to measure and manage cost to produce. Reviewing the data within an ERP system can help highlight your company’s inefficiencies and monitor the effects of modifications and improvements. This continuous improvement process is paramount in optimizing margin.

Enterprise resource planning (ERP) is essential for today’s food and beverage industry. When you have the right technology, you have the ability to measure key business drivers. It should be noted that technology is just a tool, not a strategy. With end-to-end visibility and control over your operations, your management team has the insight to make business decisions that drive increased margins.

To succeed in today’s competitive food and beverage industry, you need to know how your business is functioning, from top to bottom, from field to shelf. An effective ERP system can collect and manage this data. Business intelligence components of the system give you the information in the way your team needs to see it in order to ensure that your people, processes and tools are all designed, developed and organized for maximum profitability.

ERP helps you to monitor and track all aspects of your business—the hard and soft-cost inputs as well as revenue from the outputs—and provides essential data for highlighting inefficiencies and optimizing profit margins. This can be especially useful when the ERP solution is designed and implemented with your industry in mind—they provide tools and expertise that fit your business model.

Enterprise connectivity

You need tools that respond to rapidly changing markets to streamline environments full of complexity, linking people, data and processes across your organization. You need software that will enable your growth through sophisticated technology solutions that promote differentiation through new products and enable you to respond quickly to changing food trends.

The right ERP solution should provide that real-time information and connect your upstream and downstream business processes that impact inventory, packing and production. This gives you and other decision-makers a holistic view of all operations. By managing the production, quality and logistics in one package, ERP systems can significantly decrease data issues due to manual process errors which greatly impact margins.

Reduce performance gaps

ERP systems help leading food and beverage companies streamline business processes and eliminate faulty data flows that result in increased waste (both time and material) and errors that can lead to higher costs, inadequate traceability of product sources and handling issues, and slow responsiveness to market shifts. By transitioning to a single, integrated platform, an ERP solution can help you streamline operations and optimize margins by automating end-to-end processes throughout your supply chain operations.

Accurate data

Without an automated system in place, your business is most likely relying on manual data entry. It’s no secret that data entry errors cost companies real money. The food industry is particularly vulnerable to risk from out-of-date items, due to the perishable nature of food. This means that margins are at constant high risk of threatening profits. Having the right data at the right time to make the right decisions is critical to ensuring margins.

ERP gives you an abundance of real-time data about your production process. It is flexible and powerful offering you an array of useful information on which you can build your future business decisions. Matching that with the business intelligence functionality that top-tier ERP systems provide helps management track their business through dashboards in order to see opportunities for improvement.

Putting ERP to work for you

ERP systems connect all levels of production and processes including new orders, inventory management, accounting and supply chain management, and they connect company headquarters with production and packaging facilities, warehouses and sales offices. An ERP software system that is robust and integrated within every aspect of production will work for you to improve product quality, growth and most importantly your profit margin.


Cloud ERP Selection Guide

Download now

How can we help you?

Contact us by phone 800.274.3978 or
submit your questions, comments, or proposal requests.

Rapid Assessment®

Learn more about this "quick-hit" diagnostic of your critical areas of operations.