The bread and bakery products sector is a dynamic, innovative industry supplying food to millions of consumers every day. Profitably producing premium-quality bakery products while using state-of-the-art technology, quickly delivering fresh products to customers and subsidiaries, complying with legal requirements and establishing product transparency for consumers. Baked goods manufacturers and processors are facing increasing business pressures. Fluctuating commodity and freight costs have put added pressure on managing gross margins, more so than the common food processor. Running a profitable business has become more challenging than ever.

Thus bread and bakery producers are looking for a solution that helps with efficient management of the bakery inventories. As the bakery inventory is filled with products of a perishable nature, it becomes too complex in monitoring the inventory flows, their storages and quite challenging in meeting the increased customer demand and supply. Any inventory losses or other damages result in serious losses to the baking industry. The Solution should thus help in eliminating every complexity in manufacturing, inventory flows, distribution process etc.

Benefits offered by SAP for
the Bakery Industry

  • Effective production management, keeping focus on production efficiency and eliminating risks and additional expenses.
  • Improved inventory management, facilitating operational performance.
  • Visualization of real-time data insights pertaining to production, sales, and distribution
  • Detailed view of product costing to help deal with fluctuating commodity costs, allowing you to respond to price changes quickly.
  • Real-time production and shop floor reporting to capture consumption and production output in real-time on the floor.
  • Seamless handling of invoicing and business accounting.
  • Quality control management in each manufacturing stage.

SAP for the Baking Industry


  • Increased effectiveness of the company’s logistics processes, thanks to comprehensive support of the planning, procurement, inventory management and sales and distribution functions.
  • Integration of the logistics processes in one IT system, which helps to obtain complete information about the availability of materials in stock, facilitating the processing of customer enquiries.
  • Integration of all areas of the company’s operations, which ensures easy information flow between individuals and facilitates work. Each system user can access data entered by people from different areas of the company within a single report and can quickly retrieve the source documents.
  • Reduction in the costs of producing goods through the integration of production activities with logistics processes in accordance with MRP II standards.


  • Improved management of the company by ensuring ongoing control over the utilization of available resources.
  • Automated order entries to allow for more accurate real-time order management analysis to maintain a high quality of service for consumers.
  • Delivers improved daily in-stock percentages – which helps build consumer confidence and prevents loss of revenue. Since having overstock is wasteful - especially when dealing with perishables, minimizing the excess and obsolete inventory will have a direct impact on the manufacturer’s bottom line.


  • Helps in streamlining the planning and scheduling of manpower and other processes which in turn, helps to reduce the costs of labour and purchased inventory as well as reduce the overhead costs of clean-downs and changeovers.
  • Enables Inventory monitoring, quality control and firmness tests to reduce incurring costs of potentially perished products which are unfit for consumption.


  • The Quality Management module supports key quality assurance initiatives, including HACCP, SQF, GMP, and more.
  • Simplified adaptations and adjustments in the event of changes in the economic environment and in tax regulations and other legal acts