The food supply chain is like no other. The life cycle of goods can be short and the journey from production to consumer is full of challenges. So how can the food supply chain look towards innovation and new technology to create greater flexibility and build increased resilience?
Food shortages have escalated in recent years and it’s no longer rare to see products missing from retailers’ shelves. This has led to an increased focus on the food supply chain and a greater understanding from consumers of how critical they are for us to get the goods we need.
Businesses are embracing new technologies to improve the speed, quality, and cost-effectiveness of their operations. Artificial intelligence (AI), robotics and automation, and predictive analytics and demand forecasting, are just some of the ways technology is being introduced to revolutionise the way food is produced, processed, and distributed.
Similarly, businesses have been forced to analyse their suppliers in greater depth and take a longer-term view when it comes to their supply chain strategies. From dual sourcing so supply chains are diversified, to increasing inventory, today’s focus is on building greater resilience and reducing any single points of failure1.
“The potential of AI to help strengthen and optimise supply chains, to be able to forecast and predict impacts on the production of food – upstream and downstream – is really important.”
Real-time tracking allows businesses to monitor the movement and condition of food as it travels through the supply chain. By utilising data analytics and tracking systems, organisations can receive updates on temperature, humidity, and other critical factors that affect food quality. This immediate insight helps businesses to reduce spoilage and waste.
Inflation in transport costs and the risk of supply chain disruption are also forcing businesses to re-evaluate delivery routes and logistics operations, helping to reduce transport emissions. Distribution warehouses in strategic locations that are located close to key infrastructure are important in achieving greater speed to market, improving consumer satisfaction, and reducing transport emissions.
Increasing efficiency for fresher food
Automation and robotics are transforming warehouse operations with intelligent systems that can navigate warehouse aisles, locate specific items, and perform tasks such as picking, sorting, and packing. Companies are also increasingly using a variety of cutting-edge features to optimise a product’s shelf life and keep goods fresher for longer. Examples include:
- Grading visibility technology to reduce handling and minimise food damage
- Advanced testing machinery to determine stages of freshness with precision
- Specialised heating and cooling systems to maintain quality.
These features are being implemented to help businesses optimise their operations and provide customers with a year-round supply of fresh food.
Incorporating technology and robotics into warehouse workflows is unlocking additional benefits including boosting productivity, improving safety, and minimising human errors. By automating labour intensive tasks, businesses are focusing on improving the customer experience, doubling down on efficiency and sustainability, and prioritising areas that have the biggest impact2.
For more insight into the future of supply chains, watch our latest Thought Starters series and explore the innovations that are helping today’s businesses to become more efficient, productive and sustainable.Â
1 Goodman – Thought starters – How do retailers implement AI
2Â Harvard Business Review –Â How Automation Drives Business Growth and Efficiency
