The Future of Food Chains

For example , why would you spend significant money on channelling low value non-perishable stable demand products such as jam, through the same lean, high tech expensive supply chain used for high value fresh perishable goods such as Avocados, when you can channel these through low cost facilities, with storage solutions optimised specifically for these goods types, at a lower trunking cost?

Structural change in supply chains, like diets, is likely to be gradual and incremental. In order to transition to specialised segmented supply chains the industry must collaborate, and where necessary gain the advantages of expertise and economies of scale externally from the 3PL and 4PL sector.

However, disaggregating and broadening supply chains also comes with considerable challenges and cost, owed to a need for a greater number of supply chain assets, and various operating models and procedures both at the distribution centre level and retail level.

Y CHAIN IMPLICATIONS. EACH FOOD GROUP HAS A DIFFERENT LEVEL OF RISK, EITHER ORIGINATING FROM CAN IDENTIFY SPECIFIC REAL ESTATE NEEDS.

OSS MATRIX

FOOD CHAIN IMPLICATION MATRIX

E DEMAND

VOLATILE DEMAND

POTENTIAL FOR WASTE - H

'RAPID RESPONSE', SHORT SUPPLY CHAIN REQUIRED.

UTILISE IN-STORE STORAGE CAPACITY TO MAXIMISE SALES WITH LIMITED RISK OF WASTE

FREQUENT, QUICK REPLENISHMENT

POTENTIAL FOR MISSED SALES - H

LONG SHELL-LIFE

PERISHABLE

PERISHABLE

POTENTIAL FOR WASTE - H

UTILISE IN-STORE STORAGE CAPACITY - REPLENISHMENT TO MAXIMISE VEHICLE FILL

REPLENISHMENT ON A CONSISTENT BASIS, TO MATCH SHELF LIFE

POTENTIAL FOR MISSED SALES - L

STABLE DEMAND

DEMAND

47 FUTURE OF FOOD CHAIN |