Integrated Food ERP Software Solutions from Crop to Plate

The Internet of Things is transforming the way farmers, food manufacturers and distributors produce, process and sell food. It all starts at the field, where farmers optimise yield, reduce the usage of scarce natural resources and make the most efficient use of existing arable land by leveraging IoT technology. The use of GPS services, smart equipment, sensors, drones and satellite imagery collects and combines real-time data on crop growth, moisture level, soil characteristics, weather conditions and more.

Decision support systems translate the input data into agronomic advice. With this information, the farmer can precisely determine when to plant, when to irrigate and what crop protection to use. The “Food Supply Chain 4.0” continues with transportation companies, who have connected their cargo with sensors and apply predictive analytics: not only to track locations and provide their business partners with real-time delivery information but also to monitor the freshness of the products by monitoring temperature and humidity level in their containers or trucks.

Food manufacturing companies use the IoT to connect with their business partners and achieve full supply chain transparency – improving food safety and reducing the probability and the impact of recalls. Manufacturers also streamline their own operations by connecting their machines and tools. Required maintenance can be signalled before a machine actually breaks down, which reduces downtime. Quality issues can be reduced by the use of sensors: eg. by signalling the door to a refrigerator room has been left open too long. Inventory and storage conditions can be optimised.

Last but not least, the consumer experience is transformed due to IoT. Fresh food boxes with recipes delivered at home; QR codes on a food product, allowing the consumer to get detailed product information; personalised coupons; personalised nutrition information; scan-and-go apps using smartphones… Also, grocers are experimenting with determination of food freshness by using video analytics and gas sensors; all in order to avoid spoilage and optimise the consumer experience.

The Connected Food Supply Chain transforms the way of doing business for farmers, food manufacturers, food transportation companies, CPG brands and consumers. NTT DATA’s solutions are designed to support you in this transformation. Our technology platform enables you to process data from any kind of machine, mobile device or sensor – merging it with transactional business data, geographical services or unstructured information from social media; then turning it into relevant business steering information.

Transparency across the food supply chain is not only driven by regulation, but also by consumer demand. Consumers want to know exactly what they consume: from which grower in which country and which region is the product? Is it grown, harvested and processed in a safe and environmentally-friendly way? And in a way that optimises the nutritional value?

Consumers also want clean labels: detailed specifications in comprehensive language, which indicate at a glance if the product is meeting their expectations (e.g. biological, gluten-free, halal, without preservatives, …).

NTT DATA Business Solutions with SAP Food ERP Software is tailored to support all these demands. Our industry solutions are based upon the SAP S/4 HANA platform, enabling seamless integration with your business partners. Our Global Batch Traceability solution graphically displays all steps in the supply chain, from raw material to end product, on batch level. Source data is coming from our ERP solution but can also come from other sources like co-packers, suppliers or quality control agencies.

Food companies have specific planning challenges that stem from working with fresh raw materials/livestock. Being its seeds, flowers, vegetables, dairy or meat: the supply of raw material is always fluctuating. This can be due to seasonal patterns, changing growing or harvest conditions, volatile market prices…In any case, long-term supply can only be planned at a high level (e.g. estimated volumes, period, quality) whilst detailed material specifications are often only known upon material receipt.

Demand in food is, on the other hand, getting more and more specific: both private label and retail customers are improving their labelling and quality requirements. Balancing make-to-order and make-to-stock is, therefore, a key requirement for success.