US Dairy Company Improves Hedging Effectiveness and Risk Management with Eka
Dairy companies need to continuously monitor and react to rapidly evolving consumer markets. Food fads and trends, population growth, and the expanding middle class in developing nations have led to significant market shifts. To ensure profits remain on target, dairy companies need to aggressively manage margins. They must continuously evaluate risks while quickly responding to market shifts, yet most dairy companies rely on spreadsheets to analyze data. The process of collecting data from various sources, including market data, and updating spreadsheets is time-consuming. It wastes time and money and results in missed opportunities.
The solution was deployed in eight weeks and started providing benefits immediately. It has enabled faster, better decision making by providing real-time analysis of position and risk.
The company has access to instant executive dashboards and gets real-time alerts for breaches of risk limits so the company can quickly respond to increased risk. With the Eka Risk app, the company can aggregate data from disparate systems, helping it to mitigate risk exposure.
The management team can evaluate budgeted spending, actual spending, projected spending, and coverage across the organization in real time. With Eka’s Consolidated Position and Consolidated Mark-to-Market apps, the company can now view exposure at the click of a button instead of waiting days for manual reports. The solution also eliminates any chance of human error while it aggregates, blends, and analyzes inputs from all data sources to provide one, accurate visual representation of position in real time.