ERPNext Implementation. poultry, parent stock production and feed mill. HOW?

How to implement erpnext in poultry livestock broiler breeder operation.where chicken giving eggs every day which then go to hatchery for hatching then sell them in local market. where to start and how to go about it. thanks.

Okay… So there will be multitude ways to accomplish this task. I will take a crack at just one possible solution. I will do it only in general terms and not detailed setup. Also know that I am not at all an expert on chicken/livestock production, but I understand a bit about how to fit processes into ERPNext. While it is “a possible way” to do this, it is certainly only one of many.

First you have to define (at minimum) the following:

  • manufacturing stations
  • raw materials
  • warehouses (WIP, raw material storage, waste/loss, final product, etc.)
  • saleable products
  • suppliers
  • customers

Breaking each of these down will look something like this:

An example would be the hen house where the egg laying takes place. The key in this scenario is that the chickens are part of the work station. They become like parts of a machine that can fail and be replaced when they no longer are able to perform well enough to keep in production. By making the chickens part of the machine, then veterinarian bills, and anything else in support of the chickens becomes part of the expense of keeping the machine running. The chickens are then inventoried only as machine parts that wear out and must be repaired or replaced as a constant service level of the hen house.

The next workstation would be the hatchery. It will include everything that goes into the hatchery except the eggs. In this manner, all support functions to keep the hatchery running (electricity, heating elements, ventilation system, etc.) will be an expense to running that manufacturing station.

This is just an example, you may have to add more stations based on how many other processes there are in your workflow.

This will include things like chicken feed, vitamins, cartons for live chicks, etc. These items will be received directly into the Raw Materials warehouse and issued from there via Stock Entry Material Transfers.

Using warehouses helps to identify different classes of materials. Such as:
~ Waste Warehouse will be where items like eggs that do not hatch, and chicks that die will be transferred in order to keep track of the financial impact they have on the total business.

~ Raw Materials warehouse is where inbound shipments of feed, cartons, and anything else that is actually consumed in the production process be received and eventually disbursed to the manufacturing stations.

~ WIP Warehouses (like Egg Production, and Chick Production) become the location where raw materials get transferred for use in production. They are directly consumed there in the process of making the interim or final products. Interim products like eggs get transferred to the next WIP location or the next production process. Chicks then get transferred to a finished goods warehouse for sale. Work orders are executed in these WIP warehouses to generate product.

~ Finished Goods Warehouse is where your final product is sent at the end of the final production in order to keep track of the available inventory. It is sold and shipped from here to your customers. In the event of the expiration of any portion of the final product, it is again transferred to the Waste warehouse for financial disposal. Keeping all such transactions confined to this warehouse makes the financial tracking much easier.

This will be the creation of “Items” in the database that will be sold to customers. Live chicks, fertilized eggs, chicken dung as fertilizer, and anything else that becomes a saleable item. These must be created in the database in order to assign them costs and sale prices.

This will be both materials vendors (chicken feed, cartons, straw and sawdust) as well as service suppliers (municipal water ans electric companies, veterinary services, waste removal, plumbers, HVAC services). They must be defined in order to track their costs in the “Cost of Goods” as expenses in the business.

Without customers to sell and ship to, you don’t really have a business. Define them upfront and all along the way as your business grows.

** Conclusion **
This was a very simplistic diagram of one way to get yourself started. It may not really be a viable way to run the business, but it will at least get your team thinking about the possible ways to utilize ERPNext to begin tracking your business.

Hope this helps.

BKM :sunglasses: