Every industry is unique and has certain nuances that set different ERP software solutions apart from one another. Our experience in the food distribution industry reveals that this is true for this vertical as well. Distribution software for a food producer or wholesaler has different requirements than in other industries.
In addition to general criteria we evaluate for any company evaluating potential ERP solutions, we closely consider several criteria that are unique to food distribution companies.
Three Differentiating Factors for Food Distribution Software
1. Food distribution lot traceability. The FDA requires transparency to the manufacturing and supply chain process, especially in the event of a recall. Lot traceability is not something that all ERP solutions do well, so this area should be carefully examined relative to your needs.
2. Process manufacturing capabilities. The manufacture of food is very different than producing a widget, so it is important to consider functionality that is unique to process manufacturing and food distribution. For example, most food manufacturing and distribution companies need flexible units of measure and the ability to track the “recipes” of their products within the bill of materials.
3. Sales and financial reporting. Companies within the food industry often have more complex reporting requirements than other distribution companies. Sales and financial results often need to be sliced and diced in a number of ways, such as by region, by product line, by brand, etc. Not all enterprise software can handle this reporting complexity.
Although there are dozens of others, these are just three examples of unique factors that need to be considered when evaluating food distribution software such as ERP or CRM.