Tracking progress
Businesses that operate in the food supply chain industry can always benefit from adopting modern technology. Innovative vehicle-tracking and transportation management help improve operational efficiency while lowering costs, reducing waste, and optimising delivery schedules.
With temperature-dependent and time-sensitive cargo, food supplier managers have to stay vigilant with their data. In many cases, this requires a managed transportation solution that can help leverage logistics and gain deeper visibility into their supply chains.
Leveraging technology to revolutionise food supply chains
Real-time logistics are transforming the supply chain, particularly in the food industry. Since the pandemic, resource shortages and disrupted transportation flows have continued to negatively impact businesses. Poor supply chain visibility leads to inventory losses, elevated costs, increased operating expenses, and late deliveries that impact both businesses and end-consumers.
Modern technology, like the Internet of Things (IoT) devices, vehicle sensors, global GPS tracking, and robotics are becoming hallmarks of modernised food supply chain management.
From agriculture to packaging and shipping, food supply chains are becoming increasingly more automated and integrated. As a result, managers at different links in the supply chain are gaining greater insight into their operations, along with enhanced abilities to coordinate with vendors and partners.
Moreover, robotics integration is transforming how food moves from farm or factory to table. By streamlining cultivation, washing, packaging, loading and unloading, robots allow for reduced risk of error, greater efficiency, faster deliveries, and higher overall quality.
Optimising cold chain logistics for maximum efficiency
Cold chain logistics focuses on maintaining optimal conditions for temperature-sensitive goods as they move from their point of origin to one or more distribution centres and vendors. Temperature sensors embedded in shipments and vehicles help reduce food spoilage and inventory loss, ensuring that cold chain logistics management remains streamlined and efficient.
Tracking doesn’t stop there, however. Smart sensors placed in packaging and RFID tags can monitor temperature stability and notify suppliers of changes; factors like humidity and package location can further help management identify risks in their supply chain and take appropriate action to prevent damage or loss.
Integrating these sensors with transportation management systems (TMS), warehouse management systems (WMS) and ERPs as part of a logistics technology ecosystem creates unprecedented supply chain visibility and agility.
Predictive analytics in preventing food spoilage during transit
The sensors being integrated into cold chain supply chain packaging also serve a vital role in preventing food spoilage, which accounts for $35 billion in losses each year globally. The best way for companies to prevent these losses is to leverage the power of predictive analytics.
Imagine knowing when temperatures are likely to change in a shipment, or receiving a notification that humidity levels are expected to increase during a particular transit route. Predictive artificial intelligence (AI) empowers managers by keeping them ahead of the curve. These analytics forecast potential problems by analysing historical data and developing predictions based on the most likely scenarios. Prescriptive analytics take this a steep further, by offering recommendations for corrective action for future events.
Temperature monitoring, for example, can help companies gain insight into when their food products may be at a higher risk of spoilage. This could be in a warehouse, distribution centre, loading dock, or en-route to a vendor.
Once software has had time to sufficiently monitor data, it can extract trends and notify drivers and stakeholders to take preventative action.
Implementing these technologies doesn’t just help prevent financial losses; predictive analytics that prevent food spoilage can also help improve consumer health. By recognising even subtle changes in temperature that could be conducive to bacterial growth, these analytics allow companies to keep potentially affected products off shelves. Imported goods with longer transportation routes face a higher risk of spoilage or contamination. Increased monitoring and predictive analytics can help keep customers safe, preserve brand reputation, and ultimately keep a company’s supply chain intact.
Harnessing real-time data for smarter decision-making
When it comes to the role of data analytics in food supply chain management, real-time analyses are becoming increasingly popular. In the early to mid-2000s, data was typically seen from a historical standpoint. While insightful, many conclusions came too late to prevent losses or disruptions.
Today, real-time data empowers managers and stakeholders to make more informed, accurate decisions that lead to actionable changes and benefits for the company and consumers.
New technologies allow food supply chain management teams to track a wide range of metrics in real-time, such as:
- Temperature
- Humidity
- Light levels
- Shock
- Shipment locations
- Traffic conditions
- Weather conditions and forecasts
- Equipment performance
- Vehicle performance and efficiency
Modern transportation management systems (TMS) make it easier for management to develop more strategic strategies based on performance. For example, multi-modal planning helps companies streamline their cargo’s movement across various shipping methods, including sea, air, rail, and truck.
Depending on a company’s supply chain structure, it can be helpful using real-time metrics to optimise food storage and minimise the “touches” a product undergoes as much as possible during transport. Rather than increasing risks due to increased temperature changes and exposure to different elements, management can identify the most effective and efficient parts of their supply chain and eliminate steps that lead to the greatest risks or drawbacks.
Tips for integrating new food supply chain technologies for maximum impact and minimal disruption
Integrated food supply chains need a cohesive strategy that guides the collection and organisation of data. Before overhauling a supply chain entirely, a company has to work backwards by identifying its current strengths, needs, and objectives.
To maximise success, a company should:
- Begin by identifying the most effective partners and links in its supply chain.
- Establish clear goals and key performance indicators (KPIs) to track.
- Gradually implement solutions at the lowest risk levels to support sustained improvements.
- Coordinate with partners to ensure a smooth integration of technologies and solutions.
- Evaluate system features and determine how new technologies will affect existing workflows or infrastructure.
- Plan ahead for potential disruptions to minimise negative impact.
- Establish standardised data guidelines to maintain common formats and handling protocols across systems.
Conclusion
With real-time data monitoring, temperature tracking, and robotics playing such a large role in modern food production, it’s critical that logistics and supply chain management teams continue to look for ways to enhance their operations.
By leveraging the latest transportation management systems, companies can gain greater visibility into their cargo’s status at every point in the chain. In turn, this gives stakeholders the opportunity to make strategic improvements that deliver greater results for everyone involved.
Author:
Nick Fryer has over a decade of experience in the logistics industry, spanning marketing, public relations, sales enablement, M&A and more at 3PLs and 4PLs including AFN Logistics, GlobalTranz, and Sheer Logistics.
