Mass balance approach is widely used across the globe and is useful for industries that want to track the flow of materials within a closed system. This ISCC-certified approach helps industries and manufacturers to maintain sustainable product development.

Let’s dive deep into the mass balance concept and its use in bookkeeping for effective manufacturing.

Identifying inputs and outputs in mass balance bookkeeping

The most important step in using the mass balance approach for bookkeeping is identifying the inputs and outputs in a system. Once this step is complete the entire process becomes more efficient resulting in sustainable product development.

Inputs refer to all the materials or substances that enter a closed system. These can include raw materials or any other substances introduced into the manufacturing process.

Outputs on the other hand are the materials or substances that exit the system. These can be products, by-products, waste, or any other materials that leave the manufacturing process.

The inputs and outputs in a system can be understood by referring to the universally used mass balance equation given below:

Input + Generation – Output – Consumption = Accumulation

• Input here is the material that is entering the system.
• Generation refers to material produced within the closed system.
• Output is basically material leaving the production system.
• Consumption is the material used up or consumed within the system.
• Accumulation is the final product or material that builds up within the closed system.

How to track material flow in mass balance for effective bookkeeping?

Now that you are aware of the input, output, and other parameters that are involved in mass balance calculations, let’s move a step further and explain the details that will help you keep track of materials and their flow in the mass balance formula.

The below-mentioned steps will provide a better understanding of the tracking process:

Step 1: Identify all the inputs and outputs in the system:

Start by creating a list of all materials entering and exiting the system. This list includes raw materials, intermediate products, and output products.

Step 2: Establish a robust documentation process:

Documentation is of utmost importance to record all transactions. One can either use a manual or a digital system to record details. Make sure to pay attention to detail that involves the entry and exit of material, for example, source/destination, quantity, and date.

Step 3: Utilize units consistently:

Make sure that the materials are measured in consistent units to avoid inconsistencies. Use conversion metrics for different units to a standard unit if required.

Step 4: Incorporate a tracking software:

To track the progress of the process during mass balance, a dedicated software is required. This software uses enterprise resource planning (ERP) can help you automate data entry and also track material flow to generate comprehensive reports.

Step 5: Timely auditing and cross-checking information:

Ensure a proper audit process is in place for the verification of your records and reconcile any discrepancies in the system between recorded and actual data. This method helps in the efficient maintenance of your bookkeeping system.

Step 6: Compliance and certification with authorities:

Any system that is coordinated with the government, as well as environmental standards, eventually becomes sustainable as well as productive. An ISCC PLUS certification is something that is considered the gold standard.

Carboledger’s mass balance software and its key features in mass balance bookkeeping

X is a software that helps industries and manufacturers to automate the mass balance bookkeeping process. This software comes in handy when the entire process is very complex and involves multiple levels of the supply chain. This software allows businesses to effectively track the flow of materials.

Some key features of the X software are:

Provides business with centralized material management

X helps to effectively manage multiple production sites and units via a single platform. This centralization process of tracking ensures a transparent overview of raw materials across multiple locations.

Helps in automating record keeping and other tasks

X automates the entire bookkeeping process that involves booking and allocation of raw materials by using preset standards and conversion factors. This ultimately reduces the need for manual data entry resources and reduces the risk of human error.

Compliance with the standards and reporting to authorities

The software is an amalgamation of concepts that helps ensure compliance with standards like ISCC PLUS is maintained by creatively adapting to new rules. It not only simplifies the sustainability development process but also helps in generating audit reports, making it easier for the business to meet regulatory requirements.

Integration of resource planning

This tool efficiently integrates with existing ERP systems or new ones, which helps in maintaining organized data flows. This integration helps streamline the operations in a manufacturing unit and enhances the overall efficiency of the mass balance bookkeeping process.

The bottom line

The mass balance bookkeeping process is necessary for businesses to maintain an effective flow of materials from start to end. Utilizing tools like X helps is the effective management of all the tasks as well as resources to ensure that process quality standards are maintained and the overall process becomes sustainable.