Products under FMCG category passes through numerous stages before it finally reaches the store shelves. An FMCG company deals with multiple product categories, making inventory management is crucial. The industry in this sector must control the flow of work while maintaining customer loyalty. Some major challenges faced by this sector are:
- Manual Management of Inventory: The core issues dealt in this space are product identification and geolocation, product expiry date, manual assessment of inventory data, managing POS, restocking decisions and logistics management
- Lowering COGS: Businesses that rely on E-commerce or inventory have erroneous financials without proper COGS and inventory values each month, which leads to high costs and poor business decisions.
- Disrupted Supply Chain: From procurement to demand management, along with the correct documentation, can be some of the top challenges when FMCG firms are trying to keep their supply chains intact.
- Maintaining High Standards of Quality: Constantly evolving and expanding client demand induce pressure on companies to supply high-quality items in a timely and hassle-free way, especially in the consumer goods sector.
- Control Workflow: There are several operations taking place in an FMCG company, such as managing the stocks, receiving and sorting data from the sales, etc, and they need to be in sync and flow.
- Transportation Management: Managing your supply chain and logistics with accuracy, speed, and flexibility raises fresh challenges every day.
Process Streamlining with ERP
- Forecasting, Planning & Budgeting: With ERP system, businesses can get insights from past data, check the trends using various criteria like product category, seasons, holiday etc. to derive plans and budgeting for demand and supply. It also helps them plan for expenditure, income in addition to revenue & cash flow forecast.
- Batch Process Management: To achieve consistent quality, taste & standard, mostly chemicals & food businesses use set proportions and formulas when using components for stage-wise processing. In such cases, ERP allows operational efficiency with quality monitoring, batch traceability and tracking, production management and batch recipe management
- Multi-level BOM & Sales Order Management: ERP plays a major role in generating BOM and directing Sales Order to the assembly line. With ERP system, these processes can be configured in the workflow and automated easily.
- Cloud-based Access: FMCG is a dynamic industry where trends and opportunities must be spotted with high accuracy. With Cloud based access, these data can be constantly accessed to ensure easy teamwork even from a distance. How can ERP system Resolve Problems for FMCG?
Challenges resolved with New Horizon ERP
Challenges resolved for FMCG with New Horizon ERP are:
- Multi-channel Sales Integration with E-commerce
- Enhanced Inventory Management
- Helps Lower the COGS
- Supply Chain Management
- Customer Relationship Management
- Quality Control and Testing
- Regulate Industry Workflow
- Transportation Management