Lot traceability in manufacturing: what it is and how to start
What lot traceability means on a shop floor, the three records it needs, how a recall check works, and how to start with labels and a receipt register.
What lot traceability means
A lot (or batch) is a quantity of material that was received or made together and can be treated as the same: one heat of steel, one delivery of castings, one shift's output. Traceability is being able to follow a lot in both directions:
- Backward. For a finished part, which lots of material went into it, and who supplied them?
- Forward. For a lot of material, which finished parts were made from it, and which customers received them?
Why it matters
- Complaints and recalls. Without it, one bad lot means checking or recalling everything. With it, you contain only what was affected.
- Customer requirements. Vehicle makers, Tier-1 suppliers and export customers expect it, and audits ask you to demonstrate it.
- Supplier quality. Rejections grouped by material lot show which supplier, and which delivery, caused the trouble.
- Stock accuracy. First-in-first-out is only possible if you can tell old stock from new.
The three records it needs
Traceability does not need special equipment. It needs three records kept without gaps:
| Record | What it captures |
|---|---|
| Receipt | Supplier, date, quantity and the lot number you assign |
| Consumption | Which lot was issued to which production order, and how much |
| Dispatch | Which finished goods went to which customer, and when |
If any one is missing, the chain breaks at that point.
How to start
- Give every receipt a lot number. A simple pattern works: material, year and a running number, for example
STEEL-2026-001. - Label the material. Write or print the lot number on a tag and fix it to the bundle, bin or pallet. A barcode or QR code saves typing later.
- Record the lot when material is issued. The job card or production order notes which lot was used.
- Keep the lot visible on the shop floor. If offcuts go back to the rack without a tag, traceability ends there.
- Record the dispatch. Note which production orders made the goods on each invoice.
A mock recall
The test of a traceability system is a mock recall. Pick a lot of raw material at random and time how long it takes to answer: how much was received, which orders used it, how much is left, and which customers received parts from it. An hour is workable. A day means the records have gaps.
Doing it in an ERP
In a spreadsheet, each of the three records is a separate file and somebody has to join them. In an ERP the join is automatic, because receiving, producing and shipping are recorded in one place. In ARUKZ ERP you open a lot and see what was received, which orders used it, what was delivered, rejected or scrapped, and what remains. See lot and batch traceability in ARUKZ ERP.
Last updated 12 October 2026