To comply with global traceability requirements as well as legal obligations, Yara needed to improve its operational and administrative processes. Challenged by manual supply chain processes, the company has now implemented a more technology-enabled operating model as the basis for compliance and a data-driven supply chain.
Global directives (GMP, FDA, FEEM e.g., European Directive 2008/43/EG) require stringent traceability of fertilizer, food & feed grade and industrial products. Driven from a safety, security, and quality perspective, Yara was challenged to prove compliance due to time-consuming, manual, and inconsistent supply chain processes. Risk of human error was high in performing important supply chain tasks such as handling of fertilizer bags, package loss, tracking and resolution of traceability errors.
To resolve the traceability issues with the best technology enablement, BearingPoint worked closely with the client to identify a clear set of business requirements, created specific demo scenarios and workshops involving candidate software vendors. In less than six months, a short list of vendors was created and the optimal one selected. BearingPoint then designed and supported the development of a prototype leveraging radio frequency identification (RFID) & Barcode technology to enable Yara to validate the solution for complete traceability. Leveraging an agile approach, a new operating model across the legally affected business segments was implemented. This way, future business changes can easily be accommodated.
Yara has achieved 100% compliance with legal obligations and directives. The company now has full control over the content and end-to-end production and delivery process of each compliance affected asset at any given time, from factory to farm. Yara can track, trace and recall, if needed, any individual bag or pallet easily. An automated digital process based on RFID and real-time reporting ensures traceability compliance. As a result, site operations are significantly more efficient. It also positions Yara for horizontal integration between all key supply chain partners.
Quality assurance and chemical compliance are important cornerstones of Yara’s strategy. In Europe it is mandatory to trace certain products through the supply chain and we expect legislation to become stricter in the future. Track, Trace and Recall (TTR) is an effective digital monitoring system which allows us to comply with such legislation.
Rune Bratteberg, Head of Chemical Compliance, Yara International
Yara International ASA is one of the world’s leading crop nutrition companies, with a strong focus on sustainable solutions. With an annual revenue of $13.1 billion USD, the company has a worldwide presence with operations in 60 countries and more than 17,000 employees. Yara is organized in three operating units: Sales and Marketing, New Business and Production.