FMCG batch and expiry date management system

The warehouse worker sees the quantities of lots, validity and restrictions important to a particular order. The team can trace the batch sent and hold the ineligible stock on time.

ERP, WMS and planning data do not always allow one location to see a reserved, free, road-based and validity-risked margin. The likelihood of goods shortages, surpluses, urgent sales, write-offs and sub-optimal use of batches increases.

How the solution works

  1. The accepted batch is linked to the commodity, quantity, validity and specified quality limitations.
  2. Proper batches are checked for the order according to the customer's terms and delivery time.
  3. The warehouse certifies the actual collection, and the discrepancy is returned to the order coordination.
  4. Upon receiving the expiration or cancellation signal, the team checks the stocks involved and registers the quantity actually detained or returned.

Key challenges

  • Stocks and expiration dates updated too late
  • Batch traceability depends on multiple systems and manual search

Solution capabilities

Separation of the appropriate stock

The worker separates a spare waiting for free, reserved, quality check and restricted on other grounds.

Batch selection for order

The previously expired product dispatch principle (FEFO) applies only to eligible batches after assessing the customer's requirement and arrival time.

History of the batch Movement

The actual events of admission, transfer and expulsion allow the remainder and recipients of the batch to be identified.

Validity Control Action

The team in charge sees which batch needs a permissive redistribution, commercial decision or physical check.

Execution of the revocation

The quantities, locations and recipients affected are determined for the approved withdrawal, and the unexplained differences remain open to investigation.

Business context

Stocks and expiration dates updated too late
ERP, WMS and planning data do not always allow one location to see a reserved, free, road-based and validity-risked margin. The likelihood of goods shortages, surpluses, urgent sales, write-offs and sub-optimal use of batches increases.
Batch traceability depends on multiple systems and manual search
Supplier, acceptance, batch, validity, warehouse movement and dispatch records can be stored in different locations or not linked by a uniform code. In the event of a quality incident, it takes time to determine which customers have reached the goods and how many have remained in the warehouse, resulting in delays in the necessary actions.
The batch delivered corresponds to the customer's sales time
The merchant customer evaluates both the quantity of goods and the remaining shelf life for sale. The right batch selected for the order reduces the likelihood of refusals to accept goods and subsequent returns. When a quality issue arises, an accurate list of recipients helps to provide customers with the information they need faster.

Core features

  • Separation of the appropriate stock
  • Batch selection for order
  • History of the batch Movement
  • Validity Control Action
  • Execution of the revocation

Key integrations

Enterprise resource planning system (ERP)
Products, purchases, orders, reservations, financial value of stocks and commercial rules.
Warehouse management system (WMS)
Actual warehouse stock, batches, expiration dates, locations, booking and set-up events.
Business customer portal
The client is presented with the availability status, available quantity, delivery date and alternative product proposal scenarios.
Procurement and Planning System
Addition, stock and validity risk planning solutions.
Quality and traceability system
Quarantine, quality restrictions, batch history and incident management.

Potential impact (%)

The ranges indicate an illustrative relative change in the metric under the stated assumptions. Results depend on the starting position and actual use of the solution. Percentages for different metrics must not be added together.

Part of orders with a batch that does not meet the customer's terms of validity

12–42%Decreasing

This illustrative scenario assumes that 30-60% of errors can be addressed through the data and rule checks described. That share is assumed to fall by 40-70%. Company data is needed to verify both the addressable share and the resulting change.

Due to an improperly selected batch, the number of orders corrected is divided by all orders with a validity requirement and multiplied by 100.

Time to determine the amount and recipients affected by the cancellation

12–36%Decreasing

This illustrative scenario assumes that 30-60% of manual data entry and handover work can be addressed. That share is assumed to fall by 40-60%. Company data is needed to verify both the addressable workload and the resulting change.

A trial or real recall measures the time to a verified list of affected quantities and recipients; physical completion is measured separately.

Conditional calculation scenarios. The assumptions have not been validated against client measurements.

When this solution is relevant

  • Large proportion of goods with limited validity
  • ERP and WMS show different stock situation
  • It is difficult for customers to reliably provide real availability
  • Frequent write-downs due to expiration or late realization reaction
  • Batches and expiry dates are checked manually
  • Frequent partial order executions or alternative product alignments

Implementation requirements

Batch control requires reception, movement in the warehouse and dispatch data. Quality and warehouse teams align the remaining validity, blocking of inappropriate batches and recall actions required by customers. Employees must be able to apply these rules when accepting and issuing goods.

Further development options

  • Transfer of batch validity data for planning
  • Confirmation of completion of cancellation from recipients

Frequently asked questions

Adapting the solution to your business