Logistical challenges in the food and beverage industry

Every industry has its logistical challenges which can arise from all directions; products, consumers and market conditions to name a few. The food and drink sector is no different and although businesses within the supply chain can plan for disruptions, there are some challenges that just can’t be expected.

To be able to face these challenges, a business has first got to identify them. Here are some of the challenges the food and drink supply chains are currently facing and could face in the future.

Market instability

One of the biggest challenges in the food industry is understanding the market demand and having products to hand to meet this demand, without too much wastage in the end. This is normally a challenging situation but has been even harder recently following COVID-19 and other global events; the Ukraine war and unforeseen changes in weather.

With the impact being felt throughout the sector, it’s vital that all within the food and drink supply chain have visibility. Having sight of the situation enables them to see the big picture, receive accurate data and build a better understanding of the environment. Building a thorough understanding makes it easier to adjust to future disruption and minimise the impact.

Food traceability

Consumers are caring more and more about their lifestyle choice, including where their food comes from. This “farm to fork” trend not only stems from the public wanting to know more about what they’re consuming, but they’re also more aware of potential contamination which can occur during the supply chain. The combination of the two has driven the increase in food and drink traceability.

Businesses like distributors and manufacturers have to match the increased demand for traceability, not only to ensure they can satisfy consumer needs but that their products meet food safety regulations. Consumers need peace of mind that their food adheres to food safety standards and businesses can only ensure this by tracing all aspects of the food supply chain. The tracing protects businesses from consumer questions and, in legal terms, food safety and transportation law.

Electronic Proof of Delivery (EPOD) software plays an important part in tracing the entire supply chain. At TouchStar, our EPOD system seamlessly integrates with your existing systems to create a digital record of the product’s journey, from point of delivery to the customer. This helps demonstrate compliance with regulations and is easily auditable should it be needed. 

Temperature control

The demand by consumers for fresh and less processed goods is growing and the perishable nature of goods within the industry means it’s having to adapt. This means introducing more specialist equipment within the supply chain and temperature-controlled transportation is key for logistics.

The wrong temperature or issues with humidity can impact the product’s quality and shelf life, costing the business money. Throughout the supply chain, these temperature controls need to be tracked so food is safe, especially during distribution. This can impact the supply chain’s efficiency and make it hard to optimise operations. For example, a business may not be able to deliver to as many customers as before because the products would not stay within the regulated temperature range. Therefore, more than one journey is made which is less efficient and more costly.

An EPOD system can help with this by being able to prove cold chain compliance. Our PODStar system is able to capture the temperature of goods whilst they are in transit and on delivery. We are also able to attach photo evidence to the electronic receipt and digital file, ensuring it’s not lost.  

Growing regulations

The need for regulations within the food and drink sector is understandable; they’re put in place to protect consumers. However, they can mean increased costs and difficulties for businesses that must adhere to them. In the UK, the range of regulations across the food and drink supply chain is vast and, within transportation, includes vehicle maintenance & cleanliness, contamination, temperature and employee training.

For businesses within the supply chain, ensuring compliance for each delivery and each vehicle can be resource-heavy and impact the effectiveness of operations. There is also an additional cost associated with these regulations such as vehicle maintenance and employee training. Using software such as EPOD can be valuable when it comes to vehicle inspections and maintenance as it offers regular reminders for servicing and allows drivers to log any issues all in one place. This prevents lost paperwork and increases the accuracy levels of these reports.

Find out more

There are many potential issues that a food and drink business could face. But introducing an EPOD system to your operations could help mitigate some of these and help your business become more efficient in its way of working. Integrate our PODStar solution into your existing business to benefit from real-time data, vehicle inspections and optimal control over your operations.

If you are a business in the food and drink sector and are looking to make business-critical efficiencies by introducing an EPOD solution, contact TouchStar today.