According to ING, technology can help businesses to produce more food in less time, while ensuring quality and affordability. Using tech in food can improve processing and packaging – but there is more to it than just that.
The food production industry is going through a massive digital transformation. Better efficiencies, food safety, traceability, - the list of benefits is endless.
What is Digital Transformation?
Digital transformation is the use of technology to resolve challenges for serving customers better and improving profitability. However, the use of technology is not the driver for digital transformation.
Rather, various challenges in the food production industry can be solved using technology. Digital transformation first identifies the shortfalls of a business and then uses the right technology to bridge the gap and improve efficiency.
As a result, it doesn't have any fixed definition. Each business is unique and needs a different process and set of technologies for transforming digitally.
Why is Digital Transformation Crucial for the Food Production Industry
The food production industry has depended on manual activities and processes for a long time. However, with its unpredictable demand and need for accountability, the modern market has landed businesses in trouble.
On top of that, old systems create silos and a range of inefficiencies that add to the company's cost. Digital transformation can help businesses improve their supply chain, meet customer demands, and improve service to a large extent.
Technology can equip a company to meet market changes and rise above the competition for a larger market share.
Challenges Digital Transformation Can Solve for the Food Production Industry
A number of challenges specific to the food production industry can be resolved through digital transformation.
Businesses in food production and processing have always struggled with forecasting demand. This forces businesses to invest more money in buying and storing products.
Software with AI capabilities and strong analytics can automatically forecast demand for all seasons. The company can make sense of the demand in advance and maintain optimum inventory to reduce risks and costs.
Digital transformation driven by NeuSwyft for Champion Pet Foods used end-to-end M3 ERP and integrations to reduce inventory holding costs by 20%.
Another big challenge is transparency and accountability. Food products generally travel through a long supply chain. They begin at a farm at one end of the world and end up on the store shelves at another end.
Naturally, tracing the origins of food products for assessing safety is a challenge. Thankfully, you can use technology like blockchains to establish traceability with logs of each step of the supply chain. Customers can just scan the product to get a complete record of the chain of custody.
Benefits of Digital Transformation
You can look forward to resolving business challenges and improving your operations with digital transformation. Businesses can improve their products and services and meet the changing demands of consumers. They can even boost production and ensure the safety of each food item. Best of all, you can even expect substantial savings, just like NeuSwyft helped Champion Pet Foods save its costs!
Contact us today to transform your business digitally.