Food & Beverage Firms Turn to Automation to Tackle Supply Chain Volatility
Food and beverage companies face increasing challenges in maintaining reliable supply chains due to global disruptions. Automation is now crucial for ensuring product consistency from source to shelf.
The pandemic, geopolitical tensions, and port congestion have exposed supply chain fragilities. Events like the Suez Canal blockage have exacerbated these issues. Rising demurrage and detention fees, along with declining OTIF performance, further strain profit margins.
Automation offers a solution. Transportation Management Systems (TMS) platforms, such as Project44 and Transporeon, enable faster, data-driven decisions. AI-enabled planning systems can adjust strategies in real-time, enhancing supply chain resilience. PillPack, with Chief Supply Chain Officer Ian Perotto, is one company embracing these technologies. Despite reduced ocean freight costs in some routes, significant efficiency gains remain elusive. Thus, strategic automation is vital for the food and beverage industry to navigate volatile supply chains.
Automation is transforming supply chain disruptions into resilience for food and beverage companies. By leveraging TMS platforms and AI-enabled planning systems, these companies can better navigate global challenges, maintain product reliability, and protect profit margins.
