ERP Software for Dairy Management

22 January 2019 8 MIN READ

The Indian milk producer’s federation has recognised the need for innovation and technology and have turned to SAP implementation partners in India for their support with organisational and accounting issues.

The ERP software provides the dairy industry to manage their milk production with innovative simulation, planning, balancing and controlling instruments. It enables you to co-ordinate the process right from milk procurement to processing of milk and its various products to finished products being produced at various stages and being distributed to the retailers and whole sellers.


It was becoming difficult to record the data related to the dairy farmers and their submissions. There were organisational complications, lack of paying system, lack quality standards from different working practices. The SAP implementation partners India got involved with the problems and needs accompanied by the farmers and their experiences. After a complete analysis and findings appropriate SAP software and design of required application was brought into practice.

Production planning:

SAP has enabled dairy industry to set up flexible and integrated planning process. It has covered all important aspects of dairy business including fresh/white, cheese/yellow, raw material planning and drying.

It has increased its efficiency and helps prevent material loss along with flexible raw material and production planning in all manufacturing areas.

Plant operations:

The software has streamlined and optimized the dairy production process along with dairy plant operations which includes standardized reports and robust user interfaces. It has enables the plant to operate at its maximum efficiency.

It has made losses and disruptions transparent immediately through the controlling of the department of raw material, services and ingredients on daily basis.


With the implementation of SAP, there has been a total control of the process cost. In addition a detailed and integrated financial controlling tool has been set up for the dairy costing. It also enables dairy specific variance analysis and financial forecast simulation.

SAP enables transparency into results, costs, targets and potentials for the whole dairy process.


The introduction of SAP in dairy management has brought many changes in their process.

  • It has brought transparency and improved the raw material utilisation.
  • The materials, labour and equipments are being utilised more efficiently and effectively.
  • It has reduced the cost and optimised the production process.


Thus, from the above we can conclude that SAP implementation connects processes of the industry by integrating horizontal lines of the business with industry specific solutions.

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