Acumatica ERP Consultant Blog

Top 10 Challenges of Using Outdated Foodservice Inventory Software

Written by Alex Kleyff | 6:06 PM on August 12, 2019

The perishable nature of food inventory makes tracking and tracing a unique challenge. Real-time data is required to prevent losses and increase profits. It’s a complex business it takes an investment in modern foodservice distribution software to automate critical foodservice distribution processes. 

10 Common Foodservice Inventory Software Challenges:

  1. Complex inventory management – It’s a fine balance between having too much inventory and too little inventory with a small margin for error. Preventing inventory losses due to overstocking or quantity on-hand meeting expiration dates will help lower costs and increase profitability.
  2. Variable demand – It’s difficult to tackle quantity on-hand with the added challenge of variable demand. It takes a robust inventory tracking system to forecast and meet delivery dates without overstocking or inventory loss issues.
  3. Managing food and beverage safety – When an order is placed, the supplier and the distributor must manage the timing to accommodate the known shelf life of each product. The whole process of procurement and distribution must coincide with the customer’s required delivery date.
  4. Poor traceability –Foodservice industry leaders got together and created the Produce Traceability Initiative (PTI). It promotes voluntary maximization of the effectiveness of track and trace procedures to standardize traceability of inventory end-to-end. Your foodservice software meets PTI standards if you can manage traceability from end-to end. This is crucial in the worse-case scenario of contamination and/or a recall.
  5. Expensive compliance – The Food Safety Modernization Act (FSMA) is an FDA regulation that adds an extra burden and cost for foodservice distributors. If your software doesn’t meet compliance standards, it can ruin your business. The focus of FSMA is preventing contamination rather than managing it.
  6. Recovering from recalls – Managing recalls effectively is at the heart of customer and brand loyalty. Managing your compliance regulations and processes within a modern foodservice software solution can be a make or break in the even of a recall. The right solution can protect you from the high expense of a recall and increase your customer and brand loyalty.
  7. Lack of integration – You know the pain of not having access to the right data at the right time if you’re running and outdated system. An integrated system improves data flow, decision making and communication across all parts of the business.
  8. Ineffective workflows and processes – Pressure on profit margins makes it more important than ever to optimize your workflows and processes. This can range from everything from procurement, fulfillment, packing, shipping, delivery and customer service. A modern foodservice inventory software solution combined with industry expert ERP consultants will help you optimize and work toward a culture of continuous improvements.
  9. Expensive investments in technology – When your business becomes less efficient and productive, it’s time to invest in better technology. This may include; new equipment, delivery vehicles, mobile access, ERP software, barcoding and other hardware.
  10. Low profitability – All of these challenges above contribute to lower profitability. Also, the rising costs of logistics, freight, employees, fuel, compliance and investments in new technology have an impact on profitability. After investment in new ERP and WMS technology, the return on investment (ROI) is expected to increase profitability if it’s the right solution implemented with experienced consultants and good training.

The solution: A modern combination of Acumatica, Prime and Dakota WMS

  • Acumatica harnesses the advantages of the Cloud, giving even small to mid-size firms all the computing power they need without having to pay the high entry costs of hardware and infrastructure.
  • Prime FoodService Software interfaces with the leading cloud ERP Acumatica and foodservice warehouse management solution Dakota WMS. Prime is a complete foodservice distribution software that will help streamline inventory, quickly create orders, and improve customer communications.
  • Manage sales margins
  • Leverage Business Insights (BI) by Microsoft for robust data analysis
  • Improve workflow throughout the company
  • Automate Inventory Management
  • Buy and sell the right products
  • Automate Catch Weight Calculation
  • Optimize Route Management
  • Improve Order to Customer to Cash
  • Determine real-time profitability by:
    • Warehouse
    • Product line
    • Location
    • Business unit
  • Dakota WMS by BFC provides advanced selection and WMS tools with voice command or scanning. The built-in production control module makes Dakota WMS’ solution fully FSMA compliant. The Acumatica, Dakota WMS and Prime combination is an end-to-end solution. Here are a few highlights of Dakota WMS features:
  • WMS
  • Radio Frequency TruckBuilder®
  • Employee Productivity Module

Dakota WMS is designed for use with any type of slotting system:

  • Fixed
  • Floating
  • PIR (Fixed and/or Floating)
  • Push Back
  • Case Flow

Every warehouse function is controlled within the Dakota Series including:

  • Selection
  • Put Away
  • Replenishment
  • Lot Control  

How to get started:  Contact our experienced AKA Consulting ERP and foodservice consulting, implementation and training experts. At AKA Consulting, we support Prime, Dakota WMS embedded in Acumatica because it’s robust, easy-to-use, modern and affordable. Optimize your food distribution inventory management with advanced business information and built-in dashboards. Prime’s native integration to Acumatica manage the entire business from a single view so that you can:

Prime and Dakota WMS builds on the industry leading cloud ERP platform of Acumatica to address the unique needs of food distributors.

Watch this 2-minute video for a short summary of Prime’s capabilities:

 

Ask how AKA Consulting can help!  AKA is experienced in helping the unique requirements of foodservice distributors. We offer a thorough needs analysis and in-depth training to ensure a successful implementation.  

Since 1995, AKA Consulting has established an outstanding reputation in the New York City Metro and Tri-State area for first-class implementation of business management systems, innovative and flexible custom software development and an unbeatable dedication to customer service. AKA offers a wide array of services and solutions to manufacturers, wholesale, distributors, importers and exporters.

AKA Consulting can be reached at 888-351-8355 or contact us.