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What Does An Ideal Supply Chain Structure Look Like for Food and Beverage Manufacturing?

As we continue through 2022, more businesses are shifting their attention and focus from expansion to refinement. A strong supply chain structure is a top priority in 2022, with many mid and large-scale food and beverage manufacturers working to create a proprietary system that suits their needs. The ultimate goal of the supply chain restructure is to end with a flexible, tailored, and recession-resistant result. As the dynamic landscape of present-day global chain fluctuation changes and evolves, you’re likely among hundreds working to optimize your structure. Below, we cover the elements that a successful supply and demand structure has for the food and beverage industry businesses, offering insights to help you reach your next level of organizational success. 

What is the best supply chain structure for food and beverage businesses in 2022? 

There is no one-size-fits-all approach to manufacturing and distribution via your supply chain structure. To unlock opportunities for higher earning potential, more streamlined processes, and a model that suits the needs of all members of the supply chain. Adopting this thought process will help you to make a more effective solution for your food and beverage manufacturing business. 

What should every supply chain model include? 

There are certain considerations and elements that should be included in every micro-scale supply chain model. We’ve listed a few of the most important ones below:

Decentralization of sourcing processes 

Having certain elements of your supply chain and sourcing process decentralized can provide you with extra protection and a “failsafe” for your business, offering you the agility and flexibility needed to navigate supply chain disruption, as we saw with the COVID-19 pandemic and the Ukrainian-Russian conflict. It may also be more financially savvy, as you can uncover new opportunities to save and refine as businesses work to become more competitive and inclusive. 

Seasonally-based launches and organization 

By planning a launch calendar around seasonal launches and organization, you can better anticipate the needs and demands of your supply chain. Creating different schedules and opportunities for strategic launching can allow you to better organize and manage your sourcing and manufacturing tasks to minimize disruption and promote organizational resiliency. It can also offer additional benefits from a marketing and sales perspective, especially if teams can effectively collaborate and communicate with launch-related tasks. 

Collection of key data and metrics 

While many business owners are aware that an effective supply chain is driven by implementing a metrics-based strategy, there may not be effective means of data collection and attribution. This can be a more visible and present area of vulnerability for small and mid-sized enterprises. Implementing software that includes automated and tailored reporting structures can more effectively harvest and later implement strategy around crucial data points. 

Metrics to consider tracking through your native reporting system include: 

  • Inventory turnover
  • Supply chain cycle time 
  • Costs per unit 
  • Costs per quarter 
  • Costs per vendor 

This list offers business owners insight and a strong place to start. It’s important to note tare many other metrics to consider trackhat can offer more comprehensive insights for supply chain management and refinement. 

Implementation of metrics and data 

Suppose you already have a system in place to track your data. In that case, the next step is to consider a way to implement strategy elements that can help you continue to refine your supply chain strategy to be more resilient and recession-resistant. When considering options for you software-based tracking and management system, you should also consider what ways the software offers of implementing and acting on the data that you find. Using an accessible and reliable cloud-based system can help you to more accurately and effectively roll out changes across your organization. 

Automation and AI support 

You can make your chain more effective by implementing the use of automation and AI-based support wherever possible. This can release your team members to complete higher level tasks, and minimize the chance for human error as you move through your internal processes. Common ares for automation and AI support in the micro-level supply chain include: 

  • Warehouse tracking and operations 
  • Fleet management 
  • Regulatory practices and reporting 

Inecta provides ERP software solutions for food and beverage manufacturers

If you’re looking for an end-to-end ERP software solution for your food and beverage business, connect with the team at Inecta today. Inecta has continued to lead the industry with over 20 years of experience, assisting thousands of businesses like yours in improving traceability, operations, and customer experience. For more information, please visit our website. 

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