Stakeholders across the perishables supply chain should adopt a digital approach to risk management to reduce waste and create value by extending shelf life, Eric Mauroux, Cool Chain Association (CCA) Board member and Founder and Chief Executive Officer (CEO) of FreshBizDev told delegates at Fruit Logistica recently.
The industry has been slow to adopt new technologies, and a lack of standardized reporting across the supply chain means that the value proposition in perishables logistics can vary enormously across trade lanes. By sharing data and adopting common Key Performance Indicators (KPI’s), stakeholders from across the cool chain will be able to better understand which temperature excursions need action and plan for smarter logistics solutions, which will reduce waste.
“The cost of claim is not the only criteria to evaluate the cost of inefficiencies,” said Mauroux. “Value destruction related to reduced shelf-life and waste should also be included when assessing the total logistical cost of a shipment. “Having a digital approach to risk, which considers the total cost, is an opportunity to better understand the inefficiencies of the supply chain so that we can develop new solutions and build realistic business cases to invest in smarter logistics for the fresh produce trade.”
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