Three Ways ERP Software Can Help Companies in the Event of a Food Recall – and Help Prevent Future Recalls from Occurring

In the wake of yet another FDA recall (this time for food products containing HVP), now, perhaps more than ever, is the time for food manufacturing and distribution companies to get serious about using technology to improve their overall level of lot tracking and traceability, quality control processes, and internal product recall procedures. Let’s examine how ERP software can help food companies improve in the following areas:

1. Lot tracking and traceability. An ERP system with fully-integrated lot traceability software functionality can help food processors and distributors track the lot numbers of raw ingredients received into inventory, when the ingredients were received, the lot numbers of the raw ingredients that were consumed in manufacturing, lot numbers of finished goods that were produced, and the lot numbers of finished goods that were shipped to customers. In the event that an ingredient supplier should initiate a recall for a lot or group of lots for a particular ingredient, a food processor would be able to use its food processing software solution to see if and when the recalled ingredient lot was used to produce finished goods, all of the finished good lot numbers that were produced using the recalled ingredient lot(s), and all of the organization’s customers that received finished goods that were produced with the recalled ingredient lot(s), allowing the food processor to initiate its own recall and notify its customers to return or destroy the potentially contaminated lots.

2. Recall Management. A food manufacturing or food distribution software solution with an integrated recall management system can allow organizations to build their product recall plans directly into the ERP system, establish notifications and alerts to be sent to specific individuals during each step or phase of the recall, and simultaneously track all costs incurred as a result of the recall, significantly improving an organization’s readiness to respond to an unforeseen FDA-requested mock recall or an actual product recall should one need to be initiated. For additional information on developing recall procedures, please visit http://ohioline.osu.edu/aex-fact/0253.html.

3. Quality Control Processing. An ERP system can help organizations to automate their quality control activities. Using an ERP system, food processors and distributors can specify certain raw ingredients to be placed on hold automatically each time those ingredients are received into inventory and alert QC personnel that the ingredients need to be tested. QC personnel can then record test results directly in the system, release the ingredients into available inventory for future consumption in production, or reject the inventory to be subsequently shipped back to the supplier. Similarly, manufactured items can be placed on hold automatically following production, and the ERP system can alert QC personnel that the items are to be tested immediately.

By taking advantage of such software features in an ERP system, food processors and distributors can better prepare themselves for product recalls and implement the necessary quality control procedures to minimize the likelihood of a food recall.