Simple solutions that matter

Sustainability initiatives increasingly focus on biomass/ biofuel generation and composting as a way to utilize food waste. Other practices such as environmentally friendly packaging, government initiatives to reduce food waste, and promoting responsible consumption practices among consumers are also attempting to curtail waste in the food and beverage industry.

Another solution that targets food waste reduction is supply chain and inventory management. Food and beverage companies are driven by stakeholder pressure, government regulations, and their bottom line. Reducing food waste and smart inventory management to meet sustainability obligations may sound difficult, but with the right strategies, it becomes easier.

People, planet, and profits all deserve our attention equally. The wellbeing of people is a priority in the food and beverage industry; products must meet stringent health and safety standards. The industry is cognizant of the need to protect the planet, given its contribution to environmental degradation. And as with any industry, the competition is relentless. Meeting high sustainability standards and maintaining the trust of customers is one way of gaining the edge – and ensuring success for the longer term. The best way for companies to do so is to have the relevant information. The food and beverage industry can tap into the industry-specific capabilities of Infor M3 and CloudSuite Food and Beverage to address their specific concerns and challenges. Today’s consumer wants to learn more about the supply chain and how their food is produced. Given the economy’s volatility and inflation, along with changing dietary preferences, food and beverage manufacturers must be agile to introduce new products quickly. Food and beverage manufacturers also have to pay attention to safety processes and perform regular testing to ensure the high quality of their products.

An ERP empowers you to do all this and more. The end-to-end supply chain visibility afforded by an ERP allows you to improve your inventory management processes, manage the product lifecycle, and meet your food waste reduction targets. Managing supply and demand becomes less challenging with the right ERP solution and will help to simplify:

• Warehouse management – You can automate tasks such as product counting so that you have real-time, accurate data on all your product inventory. This will also help you to understand how many products eventually ended up as excesses (and contribute to food waste) compared to products that were sent to retail outlets.
• Sales forecasting – Generate sales forecasts based on historic buying patterns and incorporate seasonal and even weather conditions. This will further aid planning and scheduling as you have more insight into customer orders over time. Furthermore, you can use this information in your manufacturing processes to lower the likelihood of overproduction – which ultimately saves money and energy consumption for you, while limiting food waste.
• Traceability of raw materials – When you have more supply chain visibility, you can trace the origins of raw materials and understand if suppliers meet your food safety standards or not. This can help minimize the need for product recalls in the event of a contamination, which in turn helps avoid the chances of food going to waste. You can also ensure that you only order from suppliers who are in line with your sustainability commitments and quality standards.

These are some of the ways that an ERP solution can help you. Technology will provide you with a way to set clear targets for food waste reduction and help you achieve them in a cost-effective way. And while we cannot eliminate food waste entirely, we can certainly ensure we are doing our best for the people and planet through our business practices.