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Planning has enhanced and has become more reliable

Peka Kroef was founded in 1970 and originated from the wholesale corporation of Founder Piet Kroef. In the beginning the company focussed on the production of potatoes for the catering industry and cooking of potatoes for the salad industry. Later on the product range was extended with vacuum packed potatoes. Peka Kroef supplies its products to Fruit and Vegetable traders, European Retail Organisations, hotels, restaurants and the catering industry.

With potatoes as a starting point Peka Kroef has taken a lead by putting a lot of attention to mechanization and automation of production resources. This lead is facilitated by the ERP solution Microsoft Dynamics NAV. This standard ERP solution is complemented with food specific functionalities in the add-on SI Foodware.

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INSIGHT IN SEVERAL INVENTORIES

Peka Kroef has contracts with approximately 170 growers, who exclusively produce/grow the raw materials on sandy soils in the Netherlands and Germany. For the most part the harvested commodities are stored in private, conditioned repositories until further processing follows. Having insight in the different stocks is crucial, because it is the link between all business processes. They affect the placement of orders, production schedules, picking and shipping orders, transport planning, ensuring tracking & tracing and the valuation of the inventories.

According to Louis Hartjes, ICT manager of Peka Kroef, the upgrade and extension of the current ERP system to the work floor had to enable this insight: “We already used Dynamics NAV and some modules of SI Foodware within our office. By also using this application in the rest of the company we can now also register the inventory transactions real-time.”

ERP ON THE WORKING FLOOR

According to Louis Hartjes the transactions include the administrative booking of produced pallets, moving the produced pallets to the warehouse, picking of sales orders and sending out the picked sales orders. The connection of the required hardware, such as Radio Frequency (RF) scanners to the software, plays a major role in this process.

The SI Foodware module “Container Management” was implemented and integrated with SSCC and crate registrations. Container Management gives an overview which containers are in your warehouse and which articles and lot numbers are on that containers. It also states what the exact locations of the containers are at a particular moment.  The SSCC numbers of a received container as well as a shipped container can be linked to a container number. This is the unique number that is used for all internal processes.

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THE SUCCESS AND PITFALLS OF ERP IMPLEMENTATIONS

According to Louis Hartjes, the success of an ERP implementation or upgrade is highly determined by the involvement of the employees: “We added our Head of Production to the steering group and made him project owner. This way the employees on the work floor noticed that this ICT project was going to be very important. The involvement of everyone clearly increased. Therefore we will certainly repeat this method in future projects.”

Looking back on the ERP implementation on the work floor, Louis Hartjes concludes that most goals have been reached: “The final inventory is reliable. In addition, the planning has improved and become more reliable. Delivery reliability has increased and we have realized tracking & tracing from final production to final customer. Revenue loss due to destruction of products that exceeded the BBD, has been reduced immensely."