Overview of the Food Industry
A gluten free eating regimen is medically acclaimed for patients experiencing celiac diseases, for individuals suffering from inflammatory diseases, and auto immune diseases. The growth of the gluten free foods market can be attributed to the rising concern for health coupled with the increasing instances of gluten sensitivity among the populace. Moreover, the medical benefits associated with gluten free products are compelling prominent organizations to maintain sustainability in their product offerings. The relentless growth of innovations is also compelling prominent businesses to retain the price, quality, and service for the products to meet the rising demands of the target audience.
Here are some of the factors that may influence the growth of the industry over the years:
- Nutrient deficiencies: Gluten free foods might not contain the necessary nutrients that are found in food products that contain gluten. This situation can lead to nutrition deficiencies, where it becomes essential for organizations to include vitamins such as calcium, iron, B vitamins, vitamin D, and fiber into their product offerings to ensure minimal nutrient requirements. Moreover, organizations will also face intense pressure to re-define their product offerings to meet the global demand for fiber-rich
- High risk of cross-contamination: While the majority of the people in the household shift toward gluten free foods owing to its health benefits, it’s not necessary for everyone to follow a gluten free The preparation of both gluten free and gluten products in the same colanders, toasters, and condiment containers can result in cross-contamination. So, it becomes essential for organizations to thoroughly maintain their wash counters to ensure that there are fewer chances of the food being contaminated.
To counter such challenges and mitigate potential risks in the supply chain, organizations are leveraging risk analysis solutions. A risk analysis solution helps businesses identify, assess, and mitigate risks to reduce vulnerability and ensure continuity. The risk analysis solution also helps businesses revisit their risk models and devise robust risk mitigation strategies to curtail potential risks.
The Business Challenge and the Journey
The client, a renowned gluten free foods producer, wanted to evaluate each supplier and understand the typical risks associated with the key suppliers. Moreover, by gaining insights on the industry best practices, the client wanted to identify the impact of the risks on the supply of new products and services. The gluten free foods producer also wanted to identify the risk mitigation strategies to curtail supply chain disruptions. The primary concern of the client was to reduce risks to successfully deliver products to the end-users.
To understand the current landscape, the procurement experts at SpendEdge carried out extensive research comprising interviews and discussions with leading stakeholders in the gluten free foods space. To determine the supplier’s health, the experts also compiled information from a wide array of reliable sources such as trade shows, newsletters, and magazines.
The risk analysis solution offered by SpendEdge helped the gluten free foods producer identify the macro and micro-economic risks and the regulatory environment. The solution also helped the client develop a financial restructuring plan to adequately allocate their resources to meet the business requirements.
Fundamental questions answered in this risk analysis include:
The solution offered by SpendEdge assisted the gluten free foods producer to gain comprehensive insights into the currency and interest rate risks in the industry. With the help of the risk analysis solution, the client was further able to profile the right suppliers to prevent supply disruptions. Moreover, the gluten free foods producer was able to streamline their marketing efforts to improve the return on investment.