Addressing HACCP Issues Within The Food And Beverage Industry Using ERP Software

W H IT E PA PE R ADDRESSING HACCP ISSUES WITHIN THE FOOD AND BEVERAGE INDUSTRY USING ERP SOFTWARE CONTENT DATA IS THE KEY TO EFFECTIVE HACCP MANAGEMENT ................................................ 1 CREATE HARDWARE INFRASTRUCTURE TO GATHER DATA RELATIVE TO HACCP PROTOCOLS ................................................................................................ 2 ERP SOFTWARE DRIVES EFFECTIVE HACCP .................................................................. 2 CHOOSING THE PROPER ERP SOLUTION ....................................................................... 3 CONCLUSION AND SUGGESTIONS ................................................................................ 4 1ADDRESSING HACCP ISSUES WITHIN THE FOOD AND BEVERAGE INDUSTRY USING ERP SOFTWARE ADDRESSING HACCP ISSUES WITHIN THE FOOD AND BEVERAGE INDUSTRY USING ERP SOFTWARE As a systematic approach to preventing contamination of food and beverage prod- ucts, hazard analysis and critical control points, or HACCP, can be used at each point in the sourcing, storage and manufacturing processes. While mandatory for some food and beverage manufacturers, such as meat and juice, HACCP is a volun- tary method for ensuring the quality and safety of final manufactured products. HACCP compliance can also be seen as a competitive advantage since many poten- tial customers require their vendors to follow the method to ensure quality. Implementing HACCP protocols within a manufacturing center is a viable strat- egy for avoiding product and material loss. An effective HACCP program also will also greatly reduce the potential of inferior or defective products reaching the mar- ket, in turn limiting the logistical costs of recalls and the virtual cost to the compa- ny’s brand. However, doing so can be difficult without the proper infrastructure, including technology and software support. DATA IS THE KEY TO EFFECTIVE HACCP MANAGEMENT Information is imperative to the creation and maintenance of HACCP protocols. The process of gathering and managing this data requires a significant amount of effort, and is best conducted with the use of updated technology and an effective enterprise resource planning (ERP) solution. While gathering data is vital to the success of a food and beverage manufacturing operation, utilizing this data in effective ways is just as important. Charting trends, maintaining detailed reporting practices and pinpointing areas of improvement are all viable uses for gathered data. Unfortunately, managing the wealth of information related to a food and beverage operation isn’t always easy. ERP solutions provide the data management and reporting functions needed to utilize information to its fullest. By maximizing actionable intelligence, organiza- tions are better equipped to manage HACCP protocols. 2ADDRESSING HACCP ISSUES WITHIN THE FOOD AND BEVERAGE INDUSTRY USING ERP SOFTWARE CREATE HARDWARE INFRASTRUCTURE TO GATHER DATA RELATIVE TO HACCP PROTOCOLS Gathering data is the first, and likely most important, step in addressing HACCP issues within any food and beverage manufacturing operation. To streamline the process of collecting real-time data, it is important to build an effective hardware infrastructure that includes: • HAND-HELD DEVICES: Arming employees with handheld devices such as tablets or barcode scanners is the most effective strategy for gathering data at each critical point in food and beverage manufacturing operations. With these devices in hand, employees can quickly and easily track information ranging from inventory shelf life, batch numbers, recipe ingredients and more. • ELECTRONIC SENSORS: Automating the information gathering process by utilizing electronic sensors at key control points ensures the accurate and timely collection of data. ERP SOFTWARE DRIVES EFFECTIVE HACCP Creating a hardware infrastructure is simply the first step in driving effective HCAAP protocols. Gathering the data from these many hardware pieces is vital to the success of these protocols; without the ability to gather actionable data, the hardware lacks a meaningful role. An effective ERP solution will bridge the gap between the various hardware devices throughout the operation, managing the processes of gathering data, tracking trends and creating useful reports. In addition to facilitating the flow of key data throughout the operation, an effective ERP solution will assist in the execution of the many steps involved in the HACCP protocol, including: • CONDUCTING A HAZARD ANALYSIS: A thorough review of operations is vital to understanding the potential hazards, including biological, chemical or physical factors that can impact the final quality of manufactured products. ERP solu- tions play a key role in tracking hazard analysis data and aid in the reporting process used to track trending hazard data over time. • IDENTIFYING CRITICAL CONTROL POINTS: Any point at which control can be applied to prevent food safety hazards is considered a control point. Identifying said con- trol points is vital in the creation of an effective HACCP plan. ERP solutions are invaluable in tracking data relating to these control points. 3ADDRESSING HACCP ISSUES WITHIN THE FOOD AND BEVERAGE INDUSTRY USING ERP SOFTWARE • ESTABLISHING CRITICAL LIMITS: The establishment of critical limits, or the level of control that must be applied to eliminate food safety hazards, is imperative in HACCP compliance. An effective ERP solution well help not only to track critical limit data, but also to create automated processes to ensure that these limits are adhered to during operations. • ESTABLISH MONITORING REQUIREMENTS: It is necessary to monitor control points to ensure that the operation’s HACCP plan is viable and effective. ERP solutions offer the functionality needed to document monitoring requirements, and aid in the creation of automated monitoring processes. • ESTABLISHING CORRECTIVE ACTIONS: Whenever a control point fails to adhere to crit- ical limits, corrective action must be taken. Identifying corrective actions prior to their need is necessary to maintain an effective HACCP protocol. ERP soft- ware is invaluable in maintaining corrective action data and to creating processes designed to address issues. • CREATE RECORD KEEPING PROCEDURES: HACCP regulation requires the mainte- nance of historical data, including those relating to the monitoring of critical control points, critical limits and monitoring activities. The comprehensive data tracking and reporting functionality inherent in many ERP solutions streamlines the reporting process and ensures tracking of accurate and timely information. CHOOSING THE PROPER ERP SOLUTION The functionality an effective ERP solution offers is invaluable for any organization attempting to enact or maintain HACCP protocols. Unfortunately, while the benefits are easy to grasp, choosing the proper solution for your ERP needs can be a bit challenging. It is important to understand your unique needs and goals before selecting any ERP solution. There are many factors to consider when selecting an ERP solution to manage HCAAP protocol, including: • TRACEABILITY: With proper traceability, ensuring that critical control points are properly monitored and that critical limits are adhered to becomes a much more manageable task. Consider the amount of traceability functionality built-in to any ERP solution you explore. • QUALITY ASSURANCE: To be fully effective at supporting HACCP protocols, an ERP solution must offer extensive quality assurance functionality. Quality assurance functionality should support quality standards compliance planning, fully integrated audit management, and integrated nonconformance reporting. There should also be mobile apps so the user can report directly from his or her cellphone if any nonconformance event should occur. 4ADDRESSING HACCP ISSUES WITHIN THE FOOD AND BEVERAGE INDUSTRY USING ERP SOFTWARE • QUALITY MANAGEMENT: For maximum effectiveness of HACCP protocols, quality control functionality should be embedded in your ERP solution. With an effective ERP solution, test results can be stored directly against every batch number, statistical process control can be supported and analysis results monitored. • DOCUMENT MANAGEMENT: Imbedded document management functionality stream- lines quality management and documentation in several ways. It allows you to document your processes, store control results, generate and keep up with work instructions, raw materials specifications and materials test results. Integrated document management also means that you can easily publish, or otherwise make accessible, quality documentation to the organization. CONCLUSION AND SUGGESTIONS Maintaining HACCP compliance in food and beverage manufacturing requires an active effort throughout the operation. An effective ERP solution will make the process of managing HACCP much more manageable by providing the information gathering, tracking and reporting functionality needed to ensure that all facets of compliance are addressed throughout the operation. En 35 28 -1 P ro du ct io n: IF S Co rp or at e M ar ke tin g, F eb ru ar y 20 15 . www.IFSWORLD.com THIS DOCUMENT MAY CONTAIN STATEMENTS OF POSSIBLE FUTURE FUNCTIONALIT Y FOR IFS’ SOF T WARE PROD - UCTS AND TECHNOLOGY. SUCH STATEMENTS OF FUTURE FUNCTIONALIT Y ARE FOR INFORMATION PURPOSES ONLY AND SHOULD NOT BE INTERPRETED AS ANY COMMITMENT OR REPRESENTATION. IFS AND ALL IFS PRODUCT NAMES ARE TRADEMARKS OF IFS. THE NAMES OF ACTUAL COMPANIES AND PRODUCTS MENTIONED HEREIN MAY BE THE TRADEMARKS OF THEIR RESPECTIVE OWNERS. 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