Supply Chain Risk Assessment: A Case Study on How We Helped a Leading Processed Food Products Company Minimize Possible Losses and Increase Supply Chain Resilience

Supply Chain Risk Assessment: A Case Study on How We Helped a Leading Processed Food Products Company Minimize Possible Losses and Increase Supply Chain Resilience

Overview of the processed foods industry

Processed foods include food products that have been altered using food processing techniques such as drying and freezing. The global processed foods sector is experiencing an accelerated growth rate owing to factors such as changes in lifestyle, the rise in urban population, safety, and convenience. Processed foods also offer several benefits to the end-users, it includes immediate consumption, easy handling, preservation, and storage. Innovative packaging techniques are increasingly being used by processed foods manufacturing companies, which, in turn, increases the demand for the global packaging industry.

Few techniques that are used to preserve and improve the shelf life of processed foods include:request free proposal

  • Dehydration
  • Freezing
  • Canning
  • Fermentation
  • Pickling
  • Pasteurization

The Business Challenge and Journey

The client, a leading player in the food and beverage industry, specializing in the manufacture of processed foods wanted to leverage the use of SpendEdge’s supply chain risk assessment solution. The client also wanted to boost process efficiency and cost-effectiveness across their supply chain network.

The processed foods manufacturer was also facing issues related to their inefficient supply chain strategies. The company’s supply chain management executives recognized the tremendous benefits of implementing a risk assessment study. As such, they were looking at reducing the company’s risk profile by improving the efficiency of their supply chain operations.

To identify challenges in the supply chain functions, the risk assessment experts at SpendEdge carried out extensive research, comprising interviews and discussions with prominent stakeholders in the food and beverage industry. The experts also compiled information across a wide array of reliable sources such as trade shows, company presentations, industry forums.

Why is risk assessment essential for business growth?

The shrinking global economy has resulted in an increase in supplier failure rates; thereby, threatening supply chain stability. A supply chain breakdown can devastate an organization completely and can even result in extensive reputational damage. Therefore, a continuous supply chain risk monitoring strategy that focuses on supplier selection and key risk factors is essential to preventing and mitigating supply chain breakdowns. Our supply chain risk assessment solutions help organizations to achieve supply chain stability and improve their overall efficiency.

Fundamental questions answered in this risk assessment study include:

Processed Foods


The Result

SpendEdge’s risk assessment solution offered relevant insights that helped the processed foods manufacturing firm to identify the supply chain disruptions and devise appropriate strategies to the enhance the efficiency of supply chain processes. Our solution also enabled the client to identify and assess the financial and operational risks and develop appropriate risk mitigation strategies. It also helped them identify and classify internal and external risk factors.

Furthermore, leveraging a risk assessment based solution helped the processed foods company to reduce losses and enhance supply chain resilience. Also, the solution offered assisted the client in achieving breakthrough improvements in their overall supply chain performance. Furthermore, it offered relevant insights to better understand the market scenario, supplier negotiation strategies, supplier standards, and expectations.

Processed foods manufacturing industry challenges:

  • The lack of a comprehensive policyThe global processed foods sector faces major challenges due to the lack of a precise comprehensive policy. The lack of a comprehensive policy addressing the various needs of the food processing industry is a major factor obstructing the market growth. Therefore, it is essential to develop a global food processing policy to fill the policy vacuum and overcome related challenges.
  • Lack of adequate infrastructureGovernments across geographies have initiated various measures for infrastructural development of the processed foods manufacturing sector. However, such developments are not sufficient enough to meet the growing needs of the sector. The lack of cold storage facilities and road connectivity to hinterlands is still a major concern for leading players.

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