The Importance of Lot Traceability in Food ERP Systems

Mar 22, 2021 03:20 PM EDT | By Ernest Hamilton

The Importance of Lot Traceability in Food ERP Systems

(Photo : The Importance of Lot Traceability in Food ERP Systems)

The food industry is regulated very closely by the FDA and other regulatory bodies. This is because most products from these industries are perishable and may pose a potential danger to the consumers if not scrutinized. All food industry activities are closely watched from the material acquiring stage to the production of products and waste. These requirements have caused the rise of many ERP systems in the food industry. These systems support most food processing organizations. in ensuring compliance, quality, and success of the business. Food traceability software has several benefits that can be reaped by businesses employing it within their processes. Lot tracking is one of the most important functions of a food ERP, as it aides in accurate food recalls. 

Lot Tracking

The traceability aspect of an ERP is a vital function for food distributors. Maintenance of a proper lot tracking system is essential to ensure that a business complies with the regulatory body's requirements. Manufacturers, distributors, and wholesalers are always required to trace the goods from the supply stage until they are received by a customer. Manual tracking of products is tiresome and wastes a lot of time hence the process is very costly for most ventures. The use of automated software to track lots for more accuracy in the recalls and to fasten the delivery process. 

Lot tracking helps businesses to keep records of items released from the manufacturer or distributor such that they can be traced in case of any emerging issues. The lot numbers are usually indicated according to the period the batch is released by the supplier to the consumer. Whenever a part of the batch has been proved to be unsafe for consumers, it can be very costly to the business. The software however helps business owners to ensure that the released lot is of good quality and their tracking and tracing can be done quickly and accurately in case there are any recalls.

The ERP software for food traceability includes the following to simplify the tracing process.

  • Internal and external tracking numbers for each lot
  • Pre-assignments of lots to facilitate compliance check methodology by regulatory bodies.
  • Lot management for best before and expiry dates.
  • Autogenerated lot numbers whenever they are needed.
  • Simplified product recalls and warnings
  • Tracking of the product through each step from the supplier's warehouse to the delivery to customers.
  • Tracking of either a few or several items as per the business requirement
  • Accurate margin calculations
  • Automatic printing of lot numbers to packaging slips and invoices.


The batch tracking system has enabled many businesses to keep a record of lot information that can be referred to whenever there is an issue concerning a particular lot. The software also provides the business with the opportunity to track numerous units of a batch at the same time. This information provides businesses with the opportunity to control stocks and know the status of the products released to consumers.

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