Omni-Channel Challenges

Introduction

Food and beverage companies and their 3PL/warehousing partners are confronting a new and changing landscape.

Current trends include:

  • Increased demands for e-commerce and omni-channel fulfillment
  • Ongoing SKU proliferation
  • Continued demand for faster inventory turns
  • New regulations such as the Food Safety Modernization Act (FSMA), which emphasize tracking and tracing of product throughout the supply chain 

All are having a large effect on food and beverage distribution.

System Complexity 

Current customer needs and expectations are causing major changes for material handling and logistic suppliers in the food and beverage distribution network. Systems must handle greater complexity and become more flexible and scalable to handle a variety of order sizes and the growing number of SKUs. 

SKU proliferation is mainly due to constant changes to packaging, products, and labeling. Millenniums require healthier food and drink choices along with new and exciting packaging. As the number of SKUs grow, shelf space at retail locations becomes highly competitive. 


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