The food industry has one of the most complex and dynamic supply chains. The pressure for growing product proliferation, due to constantly changing and variable consumers’ preferences, has created a global network of producers, processors, distributors and retailers who need to align their operations to meet expected demand. At the same time, the perishability of food products is exposing respective supply chains to a higher level of vulnerability than others, dictating the adoption of unique storage and logistic requirements.
The rapid advancement of technology has moved shopping outside the working hours of a physical store area, inside a computer’s screen 24/7. Cost optimisation is driving supply chain decisions as consumers expect products to be always not only in stock but also at an affordable price. Lack of information sharing constitutes the primary reason for food supply chain disruptions, responsible for extra warehousing costs, unnecessary inland transportation and warehouse congestion. The geographical dispersion of processes along with the perishable nature of fresh produce, require a synchronous inventory management across producers, distributors, and retailers. Huge innovations are taking place around grocery retailing in the field of logistics and replenishment systems to achieve the desirable level of efficiency and reliability.
Working for over 30 years in the distribution of Italian (and in general, Mediterranean) food products in the United States, Agrilogistica (IT) has developed an innovative Cloud Sourcing Intelligent (CSI) software and Automated Replenishment Program (ARP) to ensure the continuous flow of inventory and the maximisation of each purchasing order. Central to this multi-vendor program is the simultaneous collection, analysis, and process of data from retailers, distributors, importers, and producers that comprises the supply chain, facilitating the planning of their exact weekly needs in order to replenish distribution centres. The starting point is the customer, usually a retailer, who shares inventory, analyses of sales data, promotions, and new openings. The CSI analyses this data and proposes a purchase order proposal. Upon its approval, Agrilogistica facilitates the management of integrated production, orders, pick-up and freight consolidation, custom clearance, and deliveries, minimising not also the risk associated with inland and ocean freight as well as customs detentions costs and lump charges.
We feel very honoured to have Agrilogistica as a partner of the ProCEedS project. We will have a chance to learn more about their operations thanks to a seminar they will deliver about their innovative Cloud Sourcing Intelligent (CSI) software and Automated Replenishment Program (ARP), to see first-hand how logistical operations can be optimised across different continents. We look forward to the seminar and the fruitful discussion that will follow, thus expanding our knowledge horizons.