Food wastage has been a longstanding issue that has plagued humanity for years. Globally, it is estimated that around one-third of all food produced is wasted each year. Considering the large number of people who still go hungry daily, these troubling statistics provoke us not to stay indifferent and stop pretending that this global problem does not concern us.
Besides the social and economic ramifications, food wastage contributes significantly to greenhouse gas emissions and global warming. When food is wasted, it ends up in landfills, decomposing and releasing methane, a potent greenhouse gas that significantly contributes to global warming. According to the Food and Agriculture Organization of the United Nations, if food wastage were a country, it would be the third-largest emitter of greenhouse gases after China and the United States.
Food waste optimization through automation
The use of technology in the food industry is not new, but the increasing availability of affordable and advanced automation technology is a game-changer.
With the growing concerns about food wastage and the need for increased efficiency and productivity, automation offers a viable solution to address these challenges.
- Paul Hawken, in his book „Drawdown: The Most Comprehensive Plan Ever Proposed to Reverse Global Warming,” emphasizes the role of digital solutions in reducing food waste at production, distribution, and consumption stages as one of the 100 solutions to reverse global warming.
Digital technologies can provide new tools to reduce food waste. For example, smart sensors can monitor food quality and freshness, enabling better inventory management and reducing waste. Data analytics can also help retailers and manufacturers identify trends in consumer demand and avoid overstocking while reducing food waste at the distribution stage. In addition, mobile apps and online platforms can connect farmers with consumers, reducing food waste by making it easier to sell products that might otherwise go to waste.
- There are digital tools, solutions, and automated processes available for every phase of the food life cycle. Each of these solutions can help to reduce food waste, improving the well-being of both people and the planet and promoting sustainability in different ways.
Significant benefits of automation for manufacturers from the food and beverage sector
By automating the process, manufacturers can more accurately measure and control the number of raw materials used in production, reducing waste. In addition, automated systems can monitor and adjust the temperature, humidity, and other environmental factors that can affect the shelf life of products, reducing spoilage.
The food and beverage industry can achieve greater efficiency and productivity with bar-coded inventory, robotic picking, automated process control, automated warehouses, and in-line testing and verification for QA/QC.
Collecting and analyzing data from the manufacturing process can identify areas where wastage occurs and make informed decisions on how to mitigate it.
One example of how analytics is being used to reduce food wastage is in the food retail industry.
Retailers are using data to optimize their supply chains, control inventory, and reduce spoilage. By identifying the products that are most likely to go to waste, retailers can reduce the amount of surplus that they stock, and in doing so, reduce wastage.
All that can be supported by:
- Food Safety Inspection App: A Power App can be created to help organizations conduct internal food safety inspections. It automates the inspection process, provides a centralized platform for data collection and issue identification, and allows businesses to customize their inspection checklists. The app can send notifications and alerts to ensure timely issue resolution and track compliance with food safety regulations, reducing the risk of product recalls and legal liabilities.
- Computer vision and AI to analyze food quality and reduce waste in the agricultural supply chain and is provided by AgShift. Their technology can analyze images of food products to determine quality, freshness, and other characteristics that affect the shelf life. The platform can detect any signs of spoilage or damage that may indicate a shortened shelf life, and alert relevant stakeholders to take action.
- Another way data and analytics are being used to optimize food wastage is through predictive analytics. Analyzing supply and demand trends, weather patterns, and consumer behavior makes it possible to predict food waste before it occurs. As a result, it enables retailers and producers to adapt their operations and reduce the amount of food that goes to waste.
Predictive analytics powered by:
- Azure Machine Learning – a cloud-based platform that enables businesses to build, train, and deploy machine learning models. It can be used to analyze food production and storage data to predict demand, identify potential bottlenecks, and optimize resource allocation. Such solutions can help businesses avoid overproduction and food waste while reducing energy consumption and greenhouse gas emissions. This allows them to adjust their inventory levels and reduce waste caused by overstocking and spoilage. Additionally, Azure ML can be used to implement object recognition. This means that food suppliers could check the quality of vegetables and detect signs of rot by collecting and labeling a large dataset of images of vegetables at different stages of freshness and decay and using that data to train the model to recognize these patterns. With this capability, food suppliers can improve their quality control processes by automatically identifying spoiled vegetables and removing them from their inventory. By doing this, they can reduce costs associated with spoiled produce and increase customer satisfaction by ensuring that only the freshest vegetables make it to the market.
- Power BI – a business analytics service that provides interactive visualizations and business intelligence capabilities. It can be used to track and analyze data on the waste throughout the food production process, identifying waste areas and developing strategies to reduce them. By monitoring key metrics such as inventory levels, expiration dates, and production efficiency, businesses can make data-driven decisions to optimize their operations and reduce waste.
- Dynamics 365 Supply Chain Management: an end-to-end solution for managing production, inventory, and supply chain operations. It includes predictive analytics tools that can be used to optimize production schedules and inventory levels, reducing the risk of overproduction and waste. By integrating data from across the supply chain, businesses can gain a holistic view of their operations and make informed decisions to optimize efficiency and reduce waste.
Furthermore, data and analytics can also help ensure environmental regulation compliance. Many countries are implementing policies to reduce food wastage and incentivize sustainable practices. By analyzing data on food waste generation and disposal, regulators can monitor compliance and enforce penalties for non-compliance.
Food distributors can reach for innovative solutions connected with natural food coating and systems automating food tracking
Companies like Apeel Sciences and Sufresca are developing plant-based coatings for products that can extend the shelf life of fruits and vegetables, reducing the likelihood of spoilage and waste. There are Food Traceability System, using barcodes, RFID tags, or other technologies to track the movement of food items through the supply chain, enabling distributors to quickly identify and recall products that may be contaminated or at risk of spoilage
Other devices like IOT sensors can be used to monitor temperature, humidity, and other environmental conditions that can impact food quality and shelf life, enabling distributors to take proactive measures to prevent spoilage. Cloud-based Collaboration Tools, like MS Teams enable food distributors to share data, collaborate with suppliers and customers, and streamline their operations, by chat, video conferencing, file sharing, and task management. By adopting these innovative solutions, food distributors can play a critical role in reducing food waste and promoting sustainability in the food industry.
Food consumers have lots of options to use to save the planet:
- Food waste tracking apps: Apps such as Too Good To Go,Food Cowboy, and Winnow help reduce food waste by enabling retailers and restaurants to sell their surplus food at discounted prices, preventing it from going to waste.
- Digital recipe and meal planning platforms: Platforms like Mealime, Paprika, and MealBoard can help users plan meals, create shopping lists, and reduce food waste by suggesting recipes that use ingredients already on hand.
- Power App platform for food donation management: A Power App can be created to help organizations manage food donations. The app can track food donations, including the type and quantity of food, the donor information, and the recipient organization. By controlling food donations more efficiently, organizations can help prevent food waste.
Access to digital solutions, tools, and automation can be a game-changer for organizations looking to effectively impact the fight against global warming.
However, if we know the value of available technology, why is not enough done to create sustainable living? How can we encourage all companies in the FMCG sector to take proper actions toward a more sustainable food system?
To answer these questions, we need to identify and overcome the obstacles that hold us back. Here are some thoughts on the barriers we may encounter and solutions to address them.
- Cost concerns: FMCG companies may not prioritize reducing food waste as they see it as an extra expense that doesn’t align with their profit margins and is a lower priority than other business expenses. Therefore, they may not allocate sufficient resources to address the issue.
To make informed decisions about IT investments, organizations should assess potential solutions that align with their strategic goals and offer a positive return on investment. This can involve evaluating costs and benefits and developing a business case to obtain stakeholder buy-in. The business case should outline the investment’s potential benefits and cost savings, as well as its impact on operations and the bottom line. Alternative funding sources, such as grants or partnerships, can also be explored to supplement the IT budget and provide additional financial resources for strategic IT investments.
- The complexity of the supply chain: The food supply chain involves many stages and people, from production to distribution and consumption, making it a complex process. Managing and controlling food waste throughout the entire chain can be challenging, and knowing where to begin can be difficult.
However, by introducing data analytics tools, it is possible to better track and manage the supply chain and identify areas where food waste occurs. Food companies can collaborate with suppliers and customers to share data and implement sustainable practices throughout the supply chain. This approach can help measure all crucial factors and take control of the entire delivery process. They can also consider implementing cost-effective solutions, such as optimizing supply chain logistics and investing in sustainable packaging.
- Regulatory compliance: Some food manufacturers may focus solely on regulatory compliance and may not consider reducing food waste as a requirement. They may only see direct consequences for their business if they do address food waste.
However, by not thinking about the long-term benefits of reducing food waste, such as increased customer loyalty through the promotion of eco-friendly products and reduced expenses in waste disposal, these manufacturers are missing out on potential advantages. Consumers are becoming increasingly concerned about sustainability and are more likely to support companies that prioritize sustainability initiatives.
Therefore, investing in digital solutions to reduce food waste and combat global warming can improve a company’s brand reputation and attract more customers.
- Perceived consumer demand: In today’s world, consumers are becoming increasingly aware of their purchases’ impact on the environment. That is why food manufacturing companies should monitor whether there is a growing interest among consumers in products that are produced using sustainable methods or that have a minimal impact on the environment.
By considering the impact of their products on the environment and taking steps to minimize it, businesses can demonstrate their commitment to responsible and ethical practices.
- Resistance to change: Employees may resist changes in the organization’s processes that are required to implement new IT solutions. The reason for this resistance could be because they question why something that works needs to be changed. Change can often be associated with negative thoughts and feelings, as it disrupts familiar routines and creates uncertainty about the future. New technologies may also cause workers to fear job loss, and older workers may struggle to adapt to new ways of doing things.
To help employees adapt to change, it is crucial to provide training and support. Open communication can also be helpful in building trust. By involving employees in the selection and implementation process, their buy-in can be increased, and resistance reduced. This can also help employees understand the benefits of the new IT solutions and how they can help improve their work.
It is important to remember that change can be an opportunity for growth and innovation if approached with a positive mindset.
- Lack of expertise: Organizations must keep up with the latest IT solutions to remain competitive, but not all businesses have the expertise to implement and maintain them in-house. To address this, they can hire or partner with external IT experts or invest in employee training programs to enhance their team’s skills.
Collaborating with knowledgeable and cooperative partners can create a co-creative work environment where the internal IT team and external partners work together to design and implement solutions tailored to the organization’s specific needs. This approach provides access to expertise, helps identify potential roadblocks, and fosters a culture of continuous learning within the organization.
- Data privacy and security concerns: Implementing new IT solutions can potentially put sensitive data at risk, making data privacy and security a top concern for organizations.
However, implementing robust cybersecurity protocols and partnering with reputable IT vendors can mitigate such risks. By working together, IT vendors can provide high-level security protocols and ensure compliance with data privacy regulations. Regular security audits and penetration testing can identify vulnerabilities and prevent cyber-attacks, saving the organization from potential data leaks and financial loss. Additionally, implementing security measures such as encryption, firewalls, access controls, and authentication protocols can help protect sensitive data.
- Integration with existing systems: Integrating new IT solutions with existing systems can be challenging for organizations due to various reasons such as the complexity of the existing system, compatibility issues, differing data formats, security concerns, disruption of the operations leading to downtime and additional costs or proper scalability to meet the organization’s changing needs and growing customer demands.
To overcome these challenges, organizations can take a comprehensive approach that involves assessing the existing system, developing a detailed integration plan, testing the integration, ensuring proper scalability, minimizing disruption to operations, and providing communication and training to stakeholders. By implementing these steps, organizations can successfully integrate new IT solutions into their existing systems and meet their changing needs and growing customer demands.
Summary
Reducing food waste is not just a moral obligation but an urgent need to protect our planet and secure our children’s future. Unfortunately, many food manufacturers may view this as an additional cost that aligns differently from their current profit margins or a lower priority than other business expenses. However, this shortsighted view can lead to long-term consequences for the environment and their bottom line.
By implementing digital solutions and sustainable practices, food manufacturers can reduce their environmental impact, increase their profits, and improve their reputation. By minimizing food waste, they can save on production costs, improve supply chain efficiency, and ultimately increase their bottom line. Additionally, implementing eco-friendly practices can help attract environmentally conscious consumers and enhance brand image, reputation, and customer loyalty by demonstrating their commitment to sustainability. Collaborating with stakeholders across the supply chain, utilizing technology to track and optimize production and distribution, and investing in employee education and training can contribute to a more sustainable food system. By taking action in investing in new technologies, food manufacturers can play a vital role in protecting the planet and ensuring a brighter future for the next generations.
Key Takeaways from this Article
- Food wastage is a significant issue that contributes to greenhouse gas emissions and global warming, and addressing it is crucial to achieving a sustainable food system,
- Data Analytics, along with automation technology, offer viable solutions to reducing food waste and increasing efficiency and productivity in the food and beverage industry,
- Predictive analytics can help to predict and prevent food waste, and compliance with environmental regulations is essential to reducing food wastage,
- Investing in food waste reduction technologies is necessary to ensure a brighter future for our planet and achieve a sustainable food system.
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