Tayana Solutions

Food Manufacturing Industry

Food Manufacturing Industry – Shift to Cloud Technology 

Food manufacturing technology is an integral part of food production. In the food process manufacturing industries, technology is a critical component. Manufacturing technologies are used in various areas from agricultural production to packaging and processing. There are many new techniques and technologies used in the food industry these days to improve the quality of premium foods like meat, egg, milk, cheese, and bakery products. In addition to new technologies, innovative logistics solutions can make a significant difference to the food processing industries worldwide.

For example, containers allowing higher temperatures transport (such as reefers), which reduce the spoilage rate (reducing food poisoning) and save cost per unit shipped. After a few decades of an industrial revolution, food process manufacturing industries have seen a shift to cloud technology due to the emergence of system complexities and costly technical setups. With this shift, companies benefit from reduced cost, improved efficiency, streamlined maintenance, scalability, and capacity to handle large operations as well as innovation opportunities. 

What is Cloud Technology? 

You’ve probably heard the phrase “cloud technology” a lot. Maybe you’ve tried to search for what it is, but you can’t really find any information. That’s because there’s so much to say about cloud technology that it’s hard to know where to start. So here are some facts and figures related to cloud technology, as well as a brief description of the market in which businesses and consumers benefit from its use.  

  • 50% of companies have already implemented cloud technology, with the majority planning to do so in the next 6 months 
  • 91% of businesses have reported better business performance since implementing cloud technology 
  • Ease of access to cloud technology has increased by 125% over the past two years  
  • Cloud technology helps businesses save 60% on capital costs while offering a 99% uptime guarantee  

In simplest terms, cloud technology refers to storing and accessing data on a remote server as opposed to a local device. The servers are maintained by third-party companies, known as cloud service providers.  

One of the main advantages of cloud technology is its portability. Users can access their data from a variety of devices and operating systems, including smartphones and tablets. They can also access it from their web browsers, which is the major form of access for most users nowadays.  

Cloud technology is not limited to storage. It can be used for managing other types of resources, such as processing power, bandwidth, etc. 

Although cloud technology is still new and growing, it has been widely adopted by businesses in the last couple of years due to its superior performance, lower cost of entry and maintenance, ease of use, and scalability. 

Cloud technology has several disadvantages as well: some users have privacy concerns about their information being stored remotely; there are security risks associated with storing data in an online environment, and disasters at data centers could affect businesses that rely on cloud services. 

Evolution in Cloud Technology 

It’s often hard to believe that the field of “cloud technology” has only been around for about a decade. During that time, it’s gone from a niche fad to an integral part of everyday life for millions of people. 

The first major cloud software was created in 2008, enabling users to access data across multiple devices and operating systems. Cloud storage is rapidly increasing in popularity, especially among companies that don’t have their own servers. In fact, a recent study showed that more than 87% of large companies use cloud storage.  

The most recent developments have been in cloud storage software. The idea of “cloud computing” is that, rather than storing and running applications on your computer, the application is run remotely. This means that the user doesn’t have to download or install any software, but can simply access the application through a web browser. 

The storage aspect of cloud computing is relatively new. Traditional storage software can be used in two different ways: local or remote. Local storage is just what it sounds like—you store information on your computer’s hard drive, and you’re only able to access that information from that same computer. Remote storage, in contrast, means you store data somewhere that is not connected to your computer and you can access it from any device with an internet connection (so long as you’ve set up an account). You could think of remote storage as a file server at work: you save files to your assigned folder on the server and anyone who logs into the server from any other computer with an account has access to those files. This allows you to access your work data from home if you need to do some work on a weekend or if you’re traveling for business. 

The world of cloud technology has evolved drastically in the last several years. In 2010, the term was barely even in use. Now, it’s everywhere. 

But what exactly is cloud computing? How does it work? And how has it changed since its advent? As with most technological advances, the answers to these questions are complicated—and they go well beyond just storing files on a remote server.  

The first major milestone in cloud computing happened in June of 1996 when Amazon first launched its Web Services platform, one of the first large-scale public cloud services available. It was incredibly primitive compared to today’s offerings—but it laid the foundation for what would eventually become a multi-billion-dollar industry.  

It wasn’t until 2004 that the term “cloud computing” started to be used widely. That year, Amazon added an elastic cloud computing option to their existing services. By 2008, Google had entered the fray with Google App Engine and Microsoft had released Windows Azure. 

This relatively recent development makes it easy to forget that there were other major breakthroughs in storage and computation before cloud technology came about. In fact, prior to 1990, there weren’t even any such things like personal computers and home internet access! 

Nowadays, most people have multiple devices that store information online 

The influence of cloud technology in the food manufacturing sector 

Food manufacturing is becoming more and more automated by the minute. Yet, the industry is still going through some growing pains when it comes to integrating its operations with technology. While there are many great options for leadership software, ERPs, CRM, inventory management software, finance and accounting software, and payroll software, there aren’t enough solutions on the market that can help manufacturers handle the cloud’s unique demands.  

The simple fact is that most food manufacturers don’t have their own IT department. In fact, according to a recent report from Food Processing Magazine, only about 50% of food manufacturers have an in-house staff dedicated to IT.  

42% of food manufacturers leave their ERP to a third-party provider  

Many of them have already adopted cloud-based ERPs for their manufacturing operations  

Manufacturers need better software platforms in order to manage all of the real-time data that cloud systems generate—data like cycle time data and product movement data—in a way that doesn’t overwhelm or frustrate employees. 

The food manufacturing sector has traditionally been a challenging space to operate in. There are numerous moving parts and many processes to keep track of. In addition, there is a constant fear of recalls and product safety issues. For these reasons, manufacturing companies rely on software systems that can help them keep track of all their moving parts. Traditionally, this has meant on-premise solutions installed at each individual site and enterprise software that requires connection to the main office at all times. 

Cloud technology has made the lives of food manufacturers much easier in recent years. Cloud ERPs for food manufacturers allow businesses to access their data from anywhere and from any device. They also allow for upgrades and enhancements at the click of a button. This means no more large installs or long waits for updates: when you need to make an upgrade or add functionality, the cloud-based software can be updated in real-time. 

Furthermore, cloud ERPs for food manufacturers can help companies with customer relationship management (CRM). Connecting with customers before they have even made their first purchase and building loyalty right from day one is an important part of retaining customers for life. If you can’t get your customer’s details, how will you know how to treat them? 

Small and medium-sized food manufacturing businesses are complex. It takes a lot to keep these companies running smoothly, especially when it comes to the logistics of getting products from A to B in a timely and efficient manner. 

This is where Acumatica ERP can help. Our ERP suite is designed for small and medium-sized businesses; we’re flexible enough to be scalable with your business but powerful enough to help you manage multiple locations and keep track of anything from inventory and orders to shipping, manufacturing, and accounting.  

In fact, one of the first things we recommend our clients do is implement a solid inventory management system—something that’s easy to use and flexible so it can grow as your business does. Why? We’ve found that by having a strong inventory management system in place, your business will have less waste—and fewer lost sales as a result. 

Acumatica ERP also makes it easy for you to create an order processing system that works well for you. In fact, with this software, you’ll be able to set up workflows that automate many of the repetitive tasks involved in managing orders—which will save you time and ensure that all your orders are processed quickly and accurately. 

Process Manufacturing Software customized for the Food Process Manufacturing Industry 

Acu Process Manufacturing software is an extended ISV solution of Acumatica ERP for food manufacturers. It maps product development to production and Quality and Compliance regulations on one single platform. Starting from regulating the production costs to safety measures, it ensures a streamlined workflow. An integrated supply chain management system will help your business gain long-term benefits and a competitive edge over others. Some of the most targeted modules for the food manufacturing industry are recipe and formula management, allergen management, Bill of Materials, quality control, EHS and Compliance, and many more.