Jan 22, 20252 min read

By: Doug Baker, Vice President, Industry Relations, FMI 

 

Supply Chain Across the World
Supply chain disruptions are a reality of today’s interconnected grocery industry. From natural disasters to geopolitical events, the ripple effects can challenge even the most resilient operations. These disruptions delay the movement of goods, reroute shipments, and create bottlenecks in warehouses and distribution centers. Ultimately disruptions impact consumers. For manufacturers and producers, this means perishable goods face spoilage risks, available inventory levels drop, and costs surge due to expedited shipping needs or sourcing from alternative suppliers. Retailers often experience empty shelves for high-demand items, further amplifying consumer concerns and straining brand loyalty and the shopper experience. 

 

 

Yet, the food industry’s response underscores its agility and problem-solving ethos. Many companies activate contingency plans, leveraging diverse supplier networks to mitigate disruptions. Businesses with robust data analytics capabilities can quickly assess inventory levels, forecast shortages, and prioritize critical shipments. Others invest in regional warehousing to reduce reliance on single points of entry, effectively shortening the supply chain. Here are three ways to ensure that we remain agile in response to crises: 

Collaboration

Collaboration plays a crucial role as well. Industry associations, including FMI, are uniquely positioned to facilitate pre-competitive dialogue between stakeholders, sharing real-time updates and advocating for solutions that balance economic and operational needs. Some companies turn to creative partnerships, sharing transportation resources or pooling orders to optimize logistics. 

Technology

Technology adoption is another key factor. Companies employ advanced tracking systems to monitor shipments and improve transparency. AI-driven modeling helps simulate “what-if” scenarios, enabling more strategic decision-making under pressure. These investments not only help mitigate immediate challenges but also enhance long-term resilience. 

Resilience

Supply chain resilience is a continuous effort. Diversification, collaboration, and innovation remain critical in navigating future disruptions. For food industry professionals, proactive planning—whether that means fostering strong supplier relationships, investing in predictive analytics, or building more flexible logistics networks—is essential. 

Ultimately, disruptions will always test the food industry, but they also reveal its ability to adapt and respond to disruptions. By learning from these challenges, we can fortify our supply chains to deliver on our promise of feeding families, even in the face of uncertainty.  

Join us at FMI's Supply Chain Forum conference in September to explore these challenges and solutions further.

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