Transporting food from where it is produced to where it gets processed and/or ultimately sold and consumed is complicated under any circumstances, but the challenge increases with time-sensitive products, strict quality standards, and specific temperature requirements to maintain. While food loss and waste through distribution activities are comparatively low across the supply chain, delays or damages in the transportation process can lead to waste downstream.
"Enhancing product distribution" means maximizing freshness and selling time by harnessing the power of technology to create smart systems to efficiently move products. Solutions in this action area include technological tools, such as intelligent routing and sensors that aid in cold chain management, but these innovations must be situated within updated management procedures that prioritize remaining shelf life and intelligent routing practices that shorten transit times. These solutions lead to improved freshness and quality, so both suppliers and buyers have much to gain.
With a majority of product distribution solutions geared towards increasing the efficiency of internal operations, nearly 75% of the financial investment in this action area should come from Corporate Finance and Spending. The companies that adopt solutions should invest in building the necessary infrastructure and, at times, financing the products under development in order to implement and reap the benefits.