How to account for product losses in traceability?

We are a dry blending company and have about 1-2% product loss when batching (pulling) ingredients. How can I account for this in my trace?

Weigh up your floor sweepings and such, and build in a small amount of predicted waste into your production builds.

We have them built in the production builds and the accounting system pulls it out of inventory but if it is really not "loss" then over inventory is incorrect?

You can write it up as "waste."

Just ensure that you document on a batch/load/processing day the amount of waste that occurs and keep those records --- cause during an audit when the Auditor asks how you determined 2% waste you can pull your records out and you'll be covered.

You can write it up as "waste."

 

Just ensure that you document on a batch/load/processing day the amount of waste that occurs and keep those records --- cause during an audit when the Auditor asks how you determined 2% waste you can pull your records out and you'll be covered.

This is the easiest and simplest way to account for loss. Thank you.

If you are weighing your finished packaged product and you know the weights of all material inputs you can conduct a study to verify the amount of actual waste.  As Glenn said, record it and keep those records.  It is always good practice to check it on a certain frequency to make sure nothing has changed.  Most food companies monitor "scrap" which this would fall into I presume.  An uptick in scrap should send a notice to re-evaluate the process and determine if actual yields have changed.

Use this scrap factor, or yield as part of your recall to balance.  If your scrap is 1.5% you should be able to recover 98.5% of finished product to material inputs during your traceability.