Industry experts have identified scenario planning, visibility, and traceability as core requirements for food supply chains, according to a panel session at the Food Manufacturing Summit. The discussion was reported by Food Dive.

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Data quality was described as the most critical factor in food manufacturing. Technology is seen as a method to address supply chain problems using demand planning and network models.

Panelists emphasized that visibility should extend beyond a company’s own operations to include upstream and downstream integration, facilitated by technology for end-to-end coordination.

Technology Tools for Planning and Optimization

Food manufacturing brands are reportedly implementing four main types of technology tools for demand planning and inventory optimization.

Digital Twins

Investment in digital twin technology is occurring among several food manufacturers. This technology creates simulations of the complete supply chain network to examine disruptions as they happen and support mitigation efforts. Large-scale network models that form the basis for planning are considered suitable for such simulations.

RFID

Visibility remains a key concern for food supply chains. Technologies including radio-frequency identification and sensors can offer insight into stock levels, inventory location, and the status of product shelf life. This enables quicker decision-making for product routing, particularly for items nearing expiration.

Cold Chain

Investing in cold chain infrastructure can assist in preserving and prolonging the shelf life and quality of goods like fresh produce and protein. These capabilities also support the safe transportation and storage of such products.

Planning Systems

Food manufacturers are allocating resources toward more powerful and resilient planning systems. A robust planning layer can aid in managing inventory decisions in real time.

Source: IndexBox Market Intelligence Platform