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ERP System for Dairy Industry In India | Tritan ERP

Our ERP system for the dairy industry supports you in the optimization of your processes.

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ERP for the dairy industry – increase efficiencies, decrease costs, and assure compliance

India is one of the biggest producers of milk and is now preparing to become the biggest food manufacturer in the world. But in its course of the voyage to the zenith, the Indian ERP dairy industry encounters a multitude of challenges and opportunities in the procurement and packaging of raw milk and processing it into products such as consumer milk, butter, cheese, yogurt, condensed milk, dried milk (milk powder), ice cream, etc., utilizing varied procedures such as chilling, pasteurization, and homogenization et all. There is an obvious demand-supply gap in the household milk scenario.
There is moreover the compulsion to give lower prices to retailers because of their boosting negotiating capacity that has built margin pressures. The industry is battling with production planning and processing due to the fluctuations in quantity and quality of the non-standardized and perishable raw material. Recent advancements in production technologies can satisfy the demand for foods with lower carbohydrates or products with a long shelf life but, the major difficulty is to have productive product innovation processes to give the advantages related to speed to market.
The emphasis of Milk Dairies on boosting efficiencies, decreasing costs, and assuring compliance with food laws over the whole supply chain is hindered by various non-integrated processes and systems which is influencing the efficiency as well as all-around growth of the organization. To overcome these roadblocks there is a need to formalize all the scattered procedures and data on a single platform.
The progress of the milk dairy business since ‘Operation Flood’ or ‘White Revolution’ directed by Dr. Kurien through the highly creative cooperative model has built an extraordinary model for the milk industry. This model is not just extraordinary in India but moreover to the world. Now, even private dairies strive and follow a similar model for milk collection from villages and give related services. Therefore, the smallest farmer or cattle owns a share of the company gets to profit from its growth. As this is an extraordinary Indian model, no standard management solutions or IT solutions can match it readily.
Due to its distinctive business model and the background of stakeholders, the functional style of the members in this eco-system is unique too. Apart from professional executives dealing with the operations, the workers and operations people are easy village people with limited literacy and computer literacy who have enrolled in the dairies as partners of co-operative societies. Any vendor giving ERP solutions for the dairy industry has to bear in mind that it should have handily adaptable business strategies and at the same time should have the flexibility of transforming Business Practices to the certain requirements of Dairies.
The people operating these dairies and the procedures also require various approaches to train the manpower and have to be sensitive to their problems. Most Dairy organizations have well-defined systems under ISO certification. Some people in this huge network of ERP systems for the dairy industry are already utilizing IT in the main way in Societies and plants for milk procurement and billing system and accounts. Some Milk dairies or federations have partial automation with isles of computerization along with manual systems. Still, very few Milk Dairies are utilizing an ERP to automate their whole set of operations.



Characteristics of an ERP for the Dairy Industry:

  • For Milk procurement which is the most complicated function in a dairy, one needs to specify Co-operative Societies (Suppliers) attached to a local district or region’s Union’s Dairy and details such as Address, Route, Milk Collection time, and society data like date of registration, Membership, directors, Bank Accounts, etc.
  • Routes can be characterized on characteristics like Societies covered, Distances, Truck arrival time, category of milk, Transporter, and contract details.
  • Details of Transporter containing the details of the vehicle, the route which they cover, contact data, etc.
  • Daily Milk Receipt quantity requires to be captured automatically from the Milk Weighing machine with details like Fat, cream and SNF contents, etc.
  • Many Unions have High Chilling plants in remote locations if distances are higher and milk has likelihoods of getting contaminated in the bargain. These chilling plants need to apprehend similar data and work online or give data upload at any provided duration that can be automated or done manually.
  • Quality Control – Set of quality parameters can be specified for milk with basic data like Cow milk, Buffalo milk, or mixed milk, apprehend the quality of milk from individual societies for all elements like Fat content and SNF. The data may be entered manually or can be apprehended from the instruments rapidly if the milk analyzer gives interface files. Raw milk procurement rates are associated with quality parameters of milk for billing objectives.
  • Society-wise Billing cycle of their milk consumption can be made 3 times in a month or weekly etc. This billing has to take into account different deductions or dividends etc. for supplies served to the society while assembling these bills, apart from quality-based billing, etc.
  • The billing cycle is completely incorporated with Finance, general stores and cattle feed plants to capture details of supplies done to societies. This can moreover be linked to the veterinary services module if it is functional within the ERP so that medical services can moreover be debited to society's account.
  • Cattle feed manufacturing, procurement for its raw material, and distribution/sales is a distinct business procedure that is built and incorporated with the ERP. The procurement cycle requires to cover the elements of weigh-bridge integration, quality-based rate variance for billing objectives, and its linkage to society accounts for milk supplies given to them.
  • Veterinary services are a significant service given by the Unions to their members to take care of their cattle stock. ERP should be able to plan and regulate field visits, medicines supplied, vehicle management and their spares, expenditures monitoring operations. It can give data about the prevalence of milk diseases, their seasonal effect, spread across many local villages, and Doctors’ performance. It needs to be associated with stores, finance, and HR.
  • Being a perishable commodity and low margin activity due to the nature of business, the system would require to keep track of wastages due to spoilt milk or different products that may turn sour due to constraints of expiry, returned goods. These significant problems can give or take away hidden margins not commonly visible in normal operational data.
  • Packing material consumption, its rejection due to quality problems, spares consumption that could problems with any plant machinery moreover form a critical part of ERP.
  • At the macro-level an ERP for dairies would require to keep an eye on expected production from provided quantities of procurement, variance from the standards, therefore provide indicators about the health of operations at procurement and manufacturing phases, losses due to returns, tracking sources of such losses and cost escalation can give the right type of controls needed in ERP Solutions for the dairy industry.

A comprehensive ERP solution meeting the particular requirements in the dairy business

Cost and quality pressure, expedited delivery cycles, resource-efficient management, laws, and policies, product transparency for customers. The list of requirements for dairy businesses is lengthy. If you want to monitor your dairy company successfully, you need coherent procedures from starting to end. This is crucial to solve these primary challenges with ease. With our ERP software for the dairy industry, you completely utilize the optimization potentials in your business procedures.
  • Our ERP system for the dairy industry helps you in the optimization of your dairy methods
  • Procurement including milk entry and milk payment statements
  • Coverage planning and scheduling
  • Milk Output Planning and Control
  • Sales with picking, dispatch, and route management
  • Quality Management
  • Transparent traceability across all value-adding phases – from farmer to consumer.
  • Automation and intralogistics regulation.
  • Controlling

Tritan ERP provides you the flexibility to all characteristics of your daily operations. Tritan ERP is developed on Tritan Solutions, which is globally one of the most prominent developers of ERP systems. It enables organizations to organize their dairy functions optimally and enhancing efficiencies by executing the following:
  • Finance & Accounts
  • Budgeting
  • Milk Procurement
  • Village Level Centers for Milk Collection
  • Quality Labs
  • Diary Material Management
  • Inventory Management
  • Shelf Life Management
  • Diary Production Management
  • Processing, Packaging & Distribution Management
  • Sales & Marketing
  • Export
Tritan ERP solutions are scalable from small to medium dairy companies. Indian localization of the ERP solution is available and given by Tritan Solutions. Tritan ERP system has been developed by experts having vast experience of operations of working in distinguished organizations across the world.

Advantages of executing an integrated Tritan ERP software solution.

  • Detailed payments to milk suppliers
  • Valid and reliable decisions on selling rates and procurement rates
  • Deduction in data entry points, because of single integrated application at all locations
  • Online availability of financial and operational data
  • Reasonable internal controls & financial discipline
  • Modification in inventory management
  • Enhanced performance management of sales & different staff
  • Product-wise packing wise profitability analysis to facilitate optimum product mix strategy
  • Simpler handling of business activities during peak season
  • Record of quality data for each dairy products batch and each milk tanker
  • Protection of economic and operational data of the dairy company.
  • Business and financial estimation for better decision making
  • Statutory duties to be executed with peace in the dairy business



Key characteristics of Dairy ERP Software.

The characteristics and functionalities of Tritan ERP for the dairy industry have been built and developed keeping in mind the FDA and FSSAI laws.

  • Recipe and Formula Management of dairy products
  • Analyze packing material consumption, its rejection due to quality problems, and spares consumption
  • Evaluate and control losses due to returns, tracking sources of such losses and cost escalation
  • Track on wastages due to spoilt milk or different dairy products
  • Illustrate a set of quality parameters for milk like Fat, strength, SNF, source as cow or buffalo, etc.
  • Execution of controls needed by FSMA and preparation for SQF Level 3
  • Specify the procedure loss and take punitive action for the same
  • Tracking the raw milk from suppliers to customers
  • Supervise best-before effectively with least waste
  • Specify and handle product shelf-life efficiently with an expiry-based lot system
  • Comprehensive stock position, along with the quality of the dairy stock, lot-wise
  • Allergen Management In Dairy Products
  • Hazard Analysis and Critical Control Point (HACCP)
  • Master Production Scheduling (MPS)
  • Material Requirement Planning (MRP)
  • Quality Assurance (QA) & Control
  • Supplier/ Vendor Management
  • Reliable Inspection Planning and Inspection Schedule
  • Nutritional Labelling Of Milk Products
  • Milk Content Ingredients Statement and Report
  • Corrective Action Preventive Action (CAPA)
  • Non-Conformance (NC)

Conclusion

After going through the blog, we have understood to organize the supply chain, logistics, milk procurement, expenditures, cattle feed, veterinary and operation to cost controlling and corporate assistance, an Integrated software solution like Tritan ERP for the dairy industry can give a single integrated platform. The Tritan ERP for the dairy industry can extensively enable dairy companies to enhance their operational efficiencies specifically in the areas of milk procurement, distribution, transactions with various milk Cooperative societies, and dairy products Manufacturing firms.

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