eng
About   |   Newsletter
Demand & Supply Chain Management Evolution


     
Document Detail
Language: English

Supply Availability for Food and Beverage will Trump Price: Manage Your Supplier Relationships

 
 
 

Company: A.T. Kearney
Tag:



Beef, pork, lemons and limes – we can point to these products as recent examples of unavailability impacting the food and beverage industries. While each of these examples has its own unique explanation, the industry supply system is becoming more global, integrated and susceptible to shocks and changes.

Today, the world's seven billion consumers have more than 70 percent of their choices provided by 300 to 500 companies. More food categories such as vegetable oils, sugar, proteins and pasta are now controlled by fewer companies. In the future, farmers and producers are more likely to be corporations, and consumers will likely be serviced by large integrated retail and restaurant chains. In fact, future competition will not be between individual companies, but rather between integrated supply systems. As discussed in our last article, forward-thinking operators, distributors, and manufacturers are already reevaluating their sources of supply.

Industrialization is speeding up in the food system as new market demands emerge, and regulatory and resource constraints may limit the number of companies that have the internal resources to manage supply volatility, food safety and regulatory requirements. Access to approved suppliers will become more difficult; dedicated supply systems will be required to assure adequate supply and manage costs in a volatile environment. To win the competition between supply systems, successful companies will need to ensure that their sources of supply are robust; they’ll need to develop strategic partner­ships with suppliers that have the tools, resources, and agility to manage industry, climate and regulatory changes.

 

 





read the full document >>
(external link)
  
 

 

 
Consult A.T. Kearney Documents in:
 German  Italian  Polish  Spanish

Other Documents of
A.T. KEARNEY
in English
:

Achieving Excellence in Retail Operations

Assessment of Excellence in Procurement Study, 2014

Assessment of Excellence in Procurement Study: Focus on Australia

Boost Procurement's Buying Power with Analytics

Building the Brand of Procurement and Supply

Challenged by Complexity? Quantify It!

China Pursues Excellence in Logistics

Collaborative Supplier Innovation

Conducting the End-to-End Value Chain Orchestra

Destination Latin America: A Near-Shore Alternative.

Driving Spend Management Through Advanced Analytics

Driving Top-Down Change from the Bottom Up

E-Auctions in India: A Sleeping Giant

Eradicating the 'high-inventory-poor-service-level' problem

Follow the Procurement Leaders: Seven Ways to Lasting Results

How to Become a Procurement Champion

iCPO, We've Got an App for That!

In Pricing, Success Breeds Success

India's Auto Component Suppliers: New Frontiers in Growth

Indirect Procurement: Too Many Missed Opportunities

It's Time for a Step Change in Pharma Operations

Large Capex Projects: Solving the ROI Dilemma

Making Supplier Relationships Work

Making Sure Lean Stocks Are Properly Nourished

Managing a Global Supply Chain in a Globally Challenged World

Managing Food and Beverage Supply in a Constrained World: Segmenting Your Suppliers

Managing Supply in Volatile Agriculture Markets

Mid-Term Logistics Optimization in Chemicals: All for One and One for All

Minimizing Supplier Risk

Outside the Box Distribution

Planning for Success in 2010

Procurement: The Last Best Place for Results Improvement

Putting the Wholesaler in the Driver's Seat. Best practices from the retail industry to improve profitability and gain competitive advantage.

Ramping Up Supplier Capacity in Volatile Times

Rethinking Supply in Food and Beverage

Sharing Supply Chain Data in the Digital Era

Six Driving Forces in Manufacturing

Solving the Reshoring Dilemma

Sourcing Success Under Tight Time Pressure

Strategic Procurement for Financial Services. Tapping hidden savings potential

Supplier Power: The New Competitive Differentiator

Supply Chain Risks in Remote Locations

The Assessment of Excellence in Procurement Study 2017

The Case for Supplier Development

The China Cold Chain Is Heating Up

The Connected Value Chain: Creating Durable Value with Digital

The Evolution of Supply Management

The New Language of Procurement

The Procurement Leaders of Tomorrow

The Purchasing Chessboard™. Buying in turbulent times

The Risks in Remote Locations

Time To Tell Your CPOs to Collaborate With Suppliers

Total Cost Optimization. Reducing total delivered costs through improved production and distribution planning

Toward Excellence in Compliance Management

Transforming Procurement into a High Performer

Unlocking the Value of Tail Spend

Value Focused Supply, Linking Supply to Business Strategies

What Makes an Effective CPO

With Acquisitions, Procurement Planning Pays