Evolving risk management systems

The current reality is that food supply chains are global, complex and sometimes opaque. They are also highly reactive, as regulatory, market, technical and social requirements keep evolving and sourcing links become increasingly fluid. In addition, the challenges that present risk to food products and food companies also shift. Some challenges are historic, for example, food safety and food crime, but others are new and contemporary. In the future, evidence suggests that the speed of change will accelerate even faster, requiring businesses to be more resilient and agile. This is the first in a series of planned articles and papers on the theme of risk management in food supply chains

How Blockchain Facilitates the Transition toward Circular Economy in the Food Chain?

Food loss and waste are two of the many problems that modern society is facing. To date, among many solutions, the circular economy is the one prevailing. A successful transition toward a circular economy (CE) requires the food sector to overcome the challenges of today's complex food supply chains such as information asymmetry, poor cooperation among stakeholders, and concerns about food safety. Blockchain, a form of distributed ledger technology, has been progressively gaining traction in supply chains in areas like data management, certifying product provenance and tracking products. Despite its importance, knowledge around the potential of the blockchain technology in facilitating the transition towards a circular economy in the agri-food sector is fragmented. This review provides evidence-based insights into the blockchain implementations in the food supply chains and the implications for CE. Our findings indicated four major areas that blockchain could accelerate CE in the agri-food sector: improving data utility; supply chain management efficacy; enhanced eco-efficiency; and superior traceability

Supply Chain Design for High Quality Products: Economic Concepts and Examples form the United States

The food system is undergoing significant structural change at local, national, and international levels. As the food system evolves, some segments along the chain between producers and consumers are disappearing. Others are being transformed. Supply chain concepts are useful for identifying and assessing alternative designs for the reconfiguration of food product production systems. Changes in the food system will require farm managers to adopt new ways of thinking and new perspectives on collaboration with trading partners. They also will require farm management economists to draw on a wider set of economic theories and concepts than we have in the past. This paper begins with brief descriptions of emerging supply chains for high quality food products in the U.S.: (i) a branded product chain, (ii) a genetics-based chain, and (iii) a production-practice based chain. These illustrate the variety of emerging supply chain structures and the challenges firms face in designing new supply chains. The next section presents an overview of key elements of four theoretical frameworks that are helpful in supply chain analysis and design: (i) transaction cost economics, (ii) agency theory, (iii) property rights theory, and (iv) the resource based view of the firm. Concepts from these theories are used to explain structural differences in the three illustrative cases. Looking to the future, key challenges include improving system-wide efficiency through information sharing and logistics management, promoting transparency and trust among trading partners, and designing incentive systems that ensure an equitable distribution of costs and returns.Farm Management,

Governance for quality management in smallholder-based tropical food chains

The paper provides a framework that focuses on the linkages between several key dimensions of supply chain organization and performance of perishable tropical food products. The focus is on the relationship between governance regime and quality management. However, two other but related variables are taken into account because they impact on the relationship between governance and quality management. These variables are channel choice and value added distribution in the supply chain. Governance regime is reflecting how to enhance coordination and trust amongst supply chain partners and how to reduce transaction costs. Quality management is dealing with how to manage food technology processes such that required quality levels can be improved and variability in quality of natural products can be exploited. Governance regimes in relation to quality management practices are discussed to the extent that supply chain partners are able, or are enabled, to invest in required quality improve¬ments. Reduction of transaction costs, creation of trust-based networks and proper trade-offs between direct and future gains may offer substantial contributions to effective quality management and enforcement. This framework has been applied to nine case studies on smallholder-based food supply chains originating from developing countries (Ruben et al., 2007). Three of these case studies are discussed in this paper to illustrate what challenges can be derived from the case studies. The selected case studies concern fish originating from Kenya, mango originating from Costa Rica and vegetables produced in China.Agribusiness, Agricultural and Food Policy,

Governance for quality management in smallholder-based tropical food chains

Abstract The paper provides a framework that focuses on the linkages between several key dimensions of supply chain organization and performance of perishable tropical food products. The focus is on the relationship between governance regime and quality management. However, two other but related variables are taken into account because they impact on the relationship between governance and quality management. These variables are channel choice and value added distribution in the supply chain. Governance regime is reflecting how to enhance coordination and trust amongst supply chain partners and how to reduce transaction costs. Quality management is dealing with how to manage food technology processes such that required quality levels can be improved and variability in quality of natural products can be exploited. Governance regimes in relation to quality management practices are discussed to the extent that supply chain partners are able, or are enabled, to invest in required quality improve-ments. Reduction of transaction costs, creation of trust-based networks and proper trade-offs between direct and future gains may offer substantial contributions to effective quality management and enforcement. This framework has been applied to nine case studies on smallholder-based food supply chains originating from developing countries (Ruben et al., 2007). Three of these case studies are discussed in this paper to illustrate what challenges can be derived from the case studies. The selected case studies concern fish originating from Kenya, mango originating from Costa Rica and vegetables produced in China

Review of Postharvest Loss Effects, Magnitudes, Challenges and Management Practices in Ethiopia

This review was aimed to recognize the effect, challenge, magnitude and management practices of postharvest losses in Ethiopia. Global efforts in fight against hunger to raise income and improve food security especially in world poorest country should give priority to the issue of postharvest loss.  Postharvest loss is major problem to persistence food insecurity to meet food demand of rapidly growing population. An average magnitude of postharvest losses along value chain of selected (horticultural and cereal) crops has been estimated 10 to 50 % in Ethiopia. Major challenges facing in postharvest handling include lack of: - awareness, communication, targeted policies and strategies, evidence-based postharvest loss assessments, institutional and organizational arrangements, targeted financing and investment in postharvest handling to ensure food security of Ethiopia. Hence, improved postharvest handling practices, better education to farmers, improved infrastructure in order for products to reach markets, developed value chains, collaboration between actors in supply chains and improved technologies must give attention to reduce postharvest loss to achieve improved food security in Ethiopia. Keywords: - postharvest loss, effects, challenges, magnitudes, management practices DOI: 10.7176/FSQM/101-03 Publication date:September 30th 202

Feeding Ourselves Thirsty: How the Food Sector is Managing Global Water Risks

The global food sector faces extraordinary risks from the twin challenges of water scarcity and water pollution. Growing competition for water, combined with weak regulations, failing infrastructure, pollution and climate change impacts threaten the sector's water security and contribute to a water availability emergency that was recently ranked the world's "top global risk" by the World Economic Forum.This report examines how water risks affect the profitability and competitive positioning of 37 major food sector companies in four industries: packaged food, beverage, meat and agricultural products. It evaluates and ranks these companies -- the majority of which are U.S. domiciled and publicly-traded -- on how well they are positioned to anticipate and mitigate these risks, as well as contribute to improved water resource management.The report provides recommendations for how analysts and investors can effectively evaluate food sector companies on their water risk exposure and management practices. It also provides recommendations for how food companies can improve water efficiency and water quality across their operations and supply chains to reduce risks and protect water resources

Utilizing Blockchain and IoT in Food Network: Systematic Literature Review

Food is required by everyone daily and because of this various supply chains have to operate smoothly to deliver quality goods to nearby stores. These operations contain several different parties and each one of them performs critical tasks. These supply networks can become very complex and their management can be a hassle. This complexity creates several challenges that could be solved with a single common platform that everyone involved uses. This approach, however, would be flawed with a centralized solution, so we need to turn into decentralized solutions like distributed ledgers. Currently consumers do not know much about the food products that they buy and eat. The goal in this thesis is to research how using blockchain technology could improve food supply chains since they face several issues currently and anything that can solve or even alleviate those would over time have a big positive impact. Currently the exact origins of products are mostly unknown due to lack of transparency and lots of food is wasted and thrown away due to various reasons which is not sustainable. Technology can provide new solutions for these issues which also involves IoT devices. Combining blockchain and IoT together can provide much safer and more transparent food supply chains for the masses. There are also several other related issues with food that could be improved, including supply chain optimization, collaboration and better data sharing. The used research method in this thesis is Kitchenham's systematic literature review. The results in this thesis cover extensively how distributed systems can benefit the parties involved in the food value chain and how these could be utilized for several things. Some potential concerns with the performance of these distributed systems and their security are also discussed

Digital technology enablers for resilient and customer driven food value chains

Food production chains have to respond to disrupted global markets and dynamic customer demands. They are coming under pressure to move from a supply to a demand-driven business model. The inherent difficulties in the lifecycle management of food products, their perishable nature, the volatility in global and regional supplier and customer markets, and the mix of objective and subjective drivers of customer demand and satisfaction, compose a challenging food production landscape. Businesses need to navigate through dynamically evolving operational risks and ensure targeted performance in terms of supply chain resilience and agility, as well as transparency and product assurance. While the industrial transition to digitalised and automated food production chains is seen as a response to such challenges, the contribution of industry 4.0 technology enablers towards this aim is not sufficiently well understood. This paper outlines the key features of high performing food production chains and performs a mapping between them and enabling technologies. As digitalisation initiatives gain priority, such mapping can help with the prioritisation of technology enablers on delivering key aspects of high performing food production chains