Recipe management in SAP: how can you benefit from it?

The basis of all compounded products is the recipe. The consumer expects a certain taste and quality of your product. In addition, there are laws and regulations regarding quality which differ between countries. You want to comply with all rules as much as possible and you do so by meticulously following the recipe on the production line.  
 To achieve this goal, the recipe must be correct in every small detail. That is easier said than done, when the same product is produced at different locations. Not only is the recipe itself stored in different places, but the ingredients are also tracked in different applications.  

Fortunately, ERP software, which is used in virtually every business process - purchasing, sales, finance, data exchange - can play an important role. It's all about a one-to-one link between recipes and raw materials. Let's take a closer look.

Recipe development and version control

Let’s start with recipe development. It has always been a complex process. A final recipe is composed of extensive tests, creating many altered versions of that recipe in between. Those versions have always been tracked by hand: substances, quantities, preparation and processing – just to name a few variables.

When recipe management becomes an integral part of your ERP software and is fully integrated with other business processes, it is possible to automatically keep track of each recipe version. Changes that are made along the way can always be tracked back. The final recipe can easily be exchanged with the production floor, and everyone will be informed how it came about. 

If you are developing a product on behalf of a customer, then you want to be sure that you meet the requirements of this customer. If it is an export product, you also want it to fit into the market of the countries it is going to. Some ingredients may be OK in one country, yet unacceptable across the border. Software for specification and recipe management that is integrated into the ERP software ensures that you can control everything from one central source.

Sustainability and origin

Another important aspect is sustainability. Consumers are increasingly aware of the importance of sustainably produced food. Supermarkets are moving with this trend. As a food production company, you want to be able to demonstrate that your product is green and has the highest possible score on sustainability labels such as Eco-Score or the Nutri-Score that will be introduced in Europe next year.

With the help of recipe management in ERP you are able to record the data about the raw materials. And with traceability, you can always show where the raw materials in your product come from. SAP in particular – in which the experts at delaware have a great deal of expertise – is fully committed to sustainability. We can help you set the software to track the sustainability levels of your end product. 

Did you know that 'traceability' is not only important for sustainability? When your products contain possible allergens, or custom products for specific diets, it is very important to keep track of the origin of raw materials / ingredients. After all, you want to be sure that no traces of allergens have found their way into products.  

With recipe management in SAP ERP software, you can be sure that your products are always consistent and you are aware of the origin of the raw materials and ingredients at all times.