Supply Chain Management in the Food Industry

In this modern world with the abundance of technologies and the Internet, each business must cope up with fast paced trend to be able to survive competition. The food industry is not an exemption to this. Effective supply chain management is very important and critical to this industry because of the fact the food gets spoiled.

Big companies in the food industry like Nestle, Unilever, Magnolia, amongst others utilize an efficient SCM. They take advantage of the Internet to reach out to their end user-the customers to be able to get feedback and improve the quality of their products. The satisfaction or dissatisfaction of customers can directly be linked to the performance of the supply chain of the company. Each company changes their internal structure to welcome the eMarketplace where everything can be done using modern technologies. Suppliers, wholesalers and distributors can easily be monitored here.

Why some companies lost a lot of money and even went on bankrupt when the food industry is one of the most profitable industries. Men continuously eat so there’s no reason why the industry would lose its market. This is because of ineffective and incompetent SCM. Supply Chain Consultants

SCM is not only the management of the flow of goods or services and information from manufacturers until it reaches the customers, but it is a two way management of the flow of goods or services and information. The company is the one accountable for the goods or services delivered as it will be their brand name which the consumer will remember.

A consumer doesn’t know who the suppliers of milk for his cheese nor do he cares who delivers it to the store from where he would purchase it; what matters to him is that he gets his cheese in the store when he needs it.

 

 

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