How a food and beverage ERP can help prepare for recalls

Due to the nature of the products and materials used by the food and beverage industry, as well as the consumption of the products by consumers, food and beverage companies face strict regulations to ensure the safety of the public. In the event there is a problem with a product, a recall may be unavoidable. For some companies facing a recall, it may not be a big deal. For others, a large-scale recall could potentially bankrupt the company. Fortunately, there are ways to minimize the possibility of a recall and to prepare in case a recall cannot be avoided. Using an enterprise resource planning (ERP) system can help food and beverage companies be much better prepared to weather the storm; whether big or small.

Risk assessment

Even before a recall occurs, it is crucial to have a comprehensive risk assessment plan in place. This will help protect the company from recalls and provide a systematic action plan for navigating a recall should it occur. The goal is to gain the ability to find areas in your operations that have a higher risk of a food safety hazard and rectify any issues in those areas to help prevent one. Your company may already have this in place if required by the Hazard Assessment Critical Control Point (HACCP) system. There is also increasing legislation that is moving all food and beverage companies into a risk assessment program, so if you don’t have one it will help to get ahead of the game before it becomes a requirement. All of this can be easily managed through a dedicated ERP system for food and beverage.

To be prepared

Many companies conduct drills to ensure all employees stay safe and calm in the event of a fire or storm. However, few companies have drills to keep the company safe in the event of a recall. Having a recall drill is a great way to make sure your employees know what actions to take and how to deal with a highly stressful situation. Drills should try to be as realistic as possible and take place unannounced. Also, change the situation or the product for later exercises. Try to avoid having to handle the exact same situation every time.

Traceability is absolutely crucial

Most people who work in the food and beverage process manufacturing industry will agree that a substantial traceability program is not just a good idea, it is an absolute necessity. Having a tracking system that keeps everyone who needs to know things like expiration dates, what ingredients are in contact with each other, and many other things related to food and beverage safety informed. You cannot have any control over a withdrawal should it occur. Without it, you can’t identify where the problem occurred, determine how big or small the recall should be, and how to prevent the problem from happening again. The best way to have a strong traceability program that will help prevent a recall, but also better manage it if it does occur, is to have an ERP system in place.

An ERP will provide the right information to the right people at the right time, allowing them to make the right decisions and minimize the negative impact on the business. And an ERP designed specifically for the food and beverage industry will have the necessary framework and features to ensure your system is just right. With an ERP, risk assessment, preparation, and traceability program, your business will be ready in case you face a recall.

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