When leading a feed or pet food production plant, your primary goal is to ensure efficient operations while maximizing profitability. Today's volatile raw material prices and increasing production costs make this more challenging. According to recent reports, slight decreases in wheat, corn, and soybean prices are expected, but demand will continue to rise, adding to market volatility. Efficiently managing these challenges requires more than intuition; it demands data-driven decisions and strategic planning.
In this ebook, we present seven cost-saving strategies to optimize feed and pet food production. These strategies cover essential aspects such as forward contracting and risk management, optimized transportation, integrated least-cost feed formulation, and leveraging an intelligent customer portal. Adopting industry-leading practices, generating value from quality control data, and ensuring regulatory compliance are crucial for streamlined operations.
By implementing these strategies with the right tools, such as BESTMIX, you can significantly enhance efficiency and profitability. These real-life scenarios illustrate how small tweaks can lead to substantial improvements, helping you navigate the complexities of today's market.
Optimal forward contracting
As a business decision-maker, you need to be able to control the raw material prices of your own contracts by keeping tabs on the international market price. An ERP system that manages contracts should provide mark-to-market reports and automatic valuation of basis contracts based on current market prices.
So now you know what you need. But where can you get it?
As a software partner specializing in the nutrition industry, BESTMIX facilitates the forward contracting process for you. By integrating contract management with purchase, sales, production, and recipe data, our software allows users to generate proposals based on sales demand and optimized recipes, while at the same time comparing contract portfolios with market prices. This eliminates the need for additional paperwork or spreadsheets, empowering you to make informed decisions on when to buy or sell, thereby reducing price and availability risks.
BESTMIX ERP streamlines commodity trading practices so that you can efficiently navigate this fast-changing environment. By providing robust software support, it enhances materials sourcing efficiency — a significant component of overall costs — ultimately leading to better purchase and sales decisions and increased profitability.
