How Technology Can Help in Modernization of Slaughter Houses


A slaughter house is considered to be more of a traditional approach when it comes to adoption of the technology. With new market trends and regulation policies it has become inevitable for business houses in slaughtering to keep them self away from these technologies. The different type of areas for the technology adoption are:

  • Rearing Farm Evolution
  • Supply chain handling/processing equipment
  • Business Process such as finance, sales, purchase etc.

Here we shall be talking of point no: 3, the evolution of technology in Business Processes of Slaughter Houses. An end to end ERP solution such as MS Dynamics can work as slaughterhouse production management software, supply chain management software. These solutions not only integrate all the processes but also provide the required information in a centralized structured data. A process wise benefit summary of using this software for slaughter house is:

Rearing Process: The software can assist you in capturing the information related to herd, flock, individual animal and assist you in publishing/calculating key parameters such:

  • Mortality Ratio
  • Feed Conversion Ratio (FCR)
  • Sexing Error
  • Weight Gain
  • Vaccination schedules etc

Now a day’s mobility solutions are available to capture the data at the remote locations of the farms.

More over these key parameters can also assist in better planning of the feed as per the schedules. It can also help in keeping the traceability of the origin of flock, herd etc. Procurement Process: Purchase of the animal is done from the farmers and agents by the slaughter houses. Which is mostly done in cash hence it is important for the business owners to have control on the procurement process. The software such as MS Dynamics can help in:

  • Capturing Mandi/market vs actual purchase price
  • Capturing real time information of the end supplier to keep track
  • Approval process for any deviations
  • Integration with weighbridge

Meat Processing/ Inventory Management: With typical variable list of outputs such as meat, fat etc., accounting of the inventory is always a challenge in this industry. With use of the software this issue can be handled by predefined expected outcome and reporting actual output. This helps in further defining the costing of the whole process along with the overheads. A proper accounting of the inventory also helps in keeping the data as per industry standards for compliance’s for example: Shelf Life, Bar Codes, Traceability, lot number etc. Hence with effective inventory management tool, production units can:

  • Perform Lot Traceability
  • Manage location wise, plant wise inventory
  • Support Multiple products with single application

Sales/Customer Management: Right from customer schedules to dispatch schedule along with integration with Finance, software helps in keeping your customer happy. You can keep your customer credit limits in control while keeping the business as usual. The demand segregation as per the requirement of the customer through sales order is another area which enables users to plan the cuts well in advance. ATP can also be performed during order entry as the whole system of production plan to the inventory is centralized and information is available to end users. Over apart from a happy customer you get:

  • Effective control on the receivables
  • Better planning for dispatch
  • Effective order booking along with the traceability

Finance Management: As all the business processes end result is finance, using a ERP software helps you in tight integration of all the activities with the finance. Right from the inventory valuation to fixed asset accounting everything is done in single integrated software. In fact your multiple businesses can be on a single instance which further help you in faster consolidation of the books at group level. A data capturing at every stage helps in creating better costing and financial reporting. In a brief finance management helps in:

  • Better cash flow projections
  • Statuary reporting
  • Integrated financial reporting with sub ledger drill down.
  • Easier management of the books

As explained above if you are growing organization in business of Poultry, Rearing, Meat Processing, You can migrate the traditional processes on new generation software without any hassles & disturbing the core objective. Adoption of new technology will help you in creating more business opportunities with higher returns.

Source by Anubhav Maheshwari

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