How can implementing an ERP help my agri-food company?

To make it easier to read, we have divided this guide into several sections. First, we will explain what an ERP is and what its role is in the agri-food sector. We will then analyse some of its direct benefits before finally talking about the SAP Business One solution and explaining how it adapts to all kinds of companies. Don't miss it!

The functions of an ERP in an agricultural company

ERP stands for Enterprise Resource Planning. Simply put, it is a system for planning business resources. In short, it is a software suite that makes it easier to manage a company's various resources. Thanks to its integrated utilities, it can be used to manage any process more effectively, from manufacturing a product to hiring personnel.

Sometimes people mistakenly associate ERP systems with industries and offices. Nothing could be further from reality. As we have explained, the main mission of an ERP is to manage resources and processes, whatever they may be. And absolutely every business has resources and processes to manage.

This reasoning leads us to the central point of this article. Can an ERP improve the operation of a company in the agricultural sector? It sure can. We'll go over some of the most relevant functions and clear everything up for you.

The importance of data

As the saying goes, information is power. Having data, reports and statistics helps optimise processes in companies in the agricultural sector. Similarly, when the ERP runs in the cloud, all the employees work in sync because they have access to the same information in real time.

Process management made easy

Companies in the agricultural sector rely on multiple processes that need to be managed. This sector faces the challenge of having to respond to a fast-moving market.

Faced with this challenge, it's essential to have tools that automate and simplify tasks. Order management, inventory, relationship with suppliers, invoicing... An ERP covers all the processes involved in the activity of a company in the agricultural sector.

Boost sales

As in any other business, sales are the cornerstone of agri-food companies. ERP software has a system to manage this aspect of the business. As a result, all the processes involved in product marketing become more efficient, reducing the time invested and, of course, increasing returns.

Accurately manage the supply chain

ERP software in a company in the agricultural sector provides many benefits when it comes to managing the supply chain. The potential of its tools ensures resupply, which guarantees that production won't be interrupted or delayed.

In addition, by monitoring activities in real-time, an ERP lets you assess if the chain is properly optimised and detect potential bottlenecks anywhere in the process.

Advantages of implementing an ERP in a company in the agri-food sector

Having reviewed some of the most interesting features of an ERP for a company in the agricultural sector, it's time to take a look at its main benefits. After all, implementing a system of this kind is an investment. Is it really worth it?

Resource optimisation

The agriculture sector is vital to our society, and in recent years, it has had to step up to meet the demands of a growing population.A demand that various studies have predicted is set to increase.

In response to this, and due to various events that have occurred in recent years, this sector, like many others, is facing the problem of having to respond to this increase in demand in a scenario of decreasing resources.

An ERP is designed to make the most of the resources we have by identifying any possible inefficiency in how the resources that are available in any part of the process are used. As a result, we can do more with less and in less time.

Efficiently manage production

The main benefit of an ERP to an agricultural company is increased efficiency when managing production. By giving you a full overview in real time of your activity, the system can detect any possible bottleneck or failure involved in your processes.

Many processes are hampered by a lack of information flow or failures in the data recorded, something that doesn't happen when you have an ERP. In short, you will know how and where to take action. This benefit takes on added significance now due to rising production costs.

Capacity to adapt

If there is one thing that characterises this new market reality, in addition to the aspects mentioned above, it is the rising speed with which changes are taking place.

Part of surviving in the market depends on the capacity to adapt. If the Covid-19 pandemic has shown us anything, it is that this new scenario is far from static, and we must be prepared.

ERP is a technology designed to deal with changes, to adapt to needs and trends, and even to be able to anticipate them. ERPs are systems that collect data to provide useful knowledge to make decisions and keep up with the sector.

Raise the standard of quality

There is a growing trend in society toward food quality and safety. The new consumer is a much more demanding and informed user in terms of the products they purchase.

Because of this, production has to rise to this new standard. ERPs give you more exhaustive controls to ensure you are complying with this standard throughout your entire activity.

The system monitors your processes and evaluates them via indicators to guarantee that the final product is made in keeping with the guidelines you have set. If any setback is detected, you can respond quickly and minimise or neutralise its impact.

SAP Business One and SEIDOR: two reliable partners for the agriculture sector

SAP Business ONE is a highly customizable ERP that adapts to your company. At SEIDOR, we specialise in implementing solutions of this type in all kinds of companies, regardless of their area of business.

Contact us now and let our team of experts advise you. We will analyse your case to determine how best to implement an ERP in your agricultural company with SAP Business One.