Food and Beverage
Food and beverage companies have among the most divergent needs of any process industry. Companies in this category require many unique skill-sets to make and sell their products. Among them:
- Matching the requirements of minimizing inventory while maximizing asset utilization
- Major component yield
- Distribution network optimization and management
- Tank management
- Cost management
The requirements spectrum ranges from special handling and lot tracking for meat products to tank management and commodity purchasing for other food products. In sales and marketing, information systems also need to account for rebates, contract management, trade and slotting allowances, off invoices, and the statement of volumes to comply with predefined industry standards.
In distribution, for example, food and beverage companies must have a systems infrastructure to address cross-docking, license plates, CHEP pallets, ASN's (advanced shipping notices) and supply chain optimization. To minimize transportation costs, companies must have IT capabilities to manage the mixing of weight versus volume; to know which products can be shipped together because of temperature or environmental issues; and to decide which mode of transportation is best.
Once in a warehouse, their systems must address the conditions required for storage, the location of material for quick movement; flow-through tracking for rotating stock; and the management of expiration dates.
Key industry business drivers
Following are characteristics common to companies in the food and beverage industry:
- Implications of continuous flow vs. batch environments
- Percent solution issues with recipes/formulas
- Process costing
- Joint products including bi-products and co-products
- Seasonal/regional recipe variations & alternate recipes
- Obsolescence/spoilage
- Packaging and quality control
- Compliance and FDA validation
- Yield management
- Seasonal or promotional packaging, case mixing
- Alternate unit of measures
- Flow controls and in-line measurements
- Tank management (beverage and fluids)
Our experience
Logan Consulting has assisted a marquis roster of food and beverage companies. Among them:
- Appetizers And, Inc.
- Bancroft Dairy
- Coca Cola, Atlanta
- Coca Cola Bottling, Philadelphia
- Coorstek
- Culligan
- Elan Nutrition
- Good Humor Breyers Ice Cream
- H.J. Heinz Company
- Hills Pet Products
- The Mark Anthony Group
- Michigan Turkey
- Morningstar Foods
- Nebraska Turkey
- Pepsi Americas
- PharmaNutrients
- Rich Products
- Roskam Bakery
- Teepak
- West Liberty Foods