12/02/2015
Dairy Costing now available as part of SAP® Dairy Management application by msg
MUNICH – February 12, 2015. msg systems ag today announced Dairy Costing to help dairy companies maintain an overview of their process costs, profit margins and raw material usage, allowing them to make process improvements and reduce costs. Depending on a dairy company’s starting situation, when using Dairy Costing, they may be able to reduce their raw material usage and material costs by up to 0.2 percent, while increasing efficiency by more than 2 percent – which could result in savings of up to two million Euro per year for each billion of kilograms of raw materials. Dairy Costing is the third in a series of capabilities available from msg to dairy companies – complementing the already available Dairy Production Planning and Dairy Plant Operations solutions. All three of these capabilities are also provided in one industry-specific solution resold by SAP globally as the SAP® Dairy Management application by msg.
“With Dairy Costing, we are able to round out our solutions for dairy companies – including SAP Dairy Management by msg – adding some very important functions that allow the dairy industry to optimize their processes, while increasing their operating efficiency,” said Frank Plechinger, member of the Board of Directors and head of the Food Division at msg systems ag. “Through this latest development, we can further support those in the dairy industry, promoting growth, innovation and sustained success through a true and standard software solution for the industry."
Since October 2013, SAP has been reselling msg’s Dairy solutions as SAP Dairy Management. The solution covers the entire production process used in the dairy industry – from raw milk purchasing to processing, as well as delivery to wholesalers and retailers. It also includes several planning and controlling tools. The solution is based on the long-established and widely installed industry solution FELIX® by GKC Dr. Öttl & Partner – Dairy and Food Consulting AG, who worked with msg to further develop the solution according to the business requirements and SAP standards and guidelines. Today, this high-performance and scalable standard software solution is being used internationally. Although Dairy Costing is a fully integrated part of the solution, it can also be used as a standalone product.
New core functions of Dairy Costing include the following:
- Raw material, material and process quantity calculations – Continuous quantity calculations for finished products, semi-finished products and co-products, as well as process quantities and factor consumption
- Process cost accounting – Exact allocation of different services to cost centers using sophisticated processes
- Logistics process and sales cost account – Allocation of logistics, sales and administration services, such as order processing or transportation and process cost accounting or cost center allocation
- Customer/article profit margin accounting – Presentation of the full cost results for each customer/article ratio across multiple profit margin levels, including fluctuations in raw material price, employment, consumption and processes, as well as deviation of planned and target from actual
- Settlement periods, simulated invoice – Continuous redetermination of quantities, processes, cost rates and profit margins with full cost savings
- Primary cost and quantity calculations – Raw material, ingredients, materials, personnel, power, maintenance and write-offs are calculated using cost centers, semi-finished products, stock, finished products and customer/article. Dairy Costing calculates raw material usage all the way to the finished product, thereby enabling key figures associated with the exploitation of the raw material to be identified
- ERP integration – Dairy Costing is integrated with ERP applications including those for financials, materials management and sales and distribution
Availability
Dairy Costing is available now from msg as well as from SAP as part of the SAP Dairy Management application by msg.
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