Food buyers must collaborate to guarantee supply

13 October 2008
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14 October 2008 | Jake Kanter

Buyers in the food sector should collaborate with other functions to reduce supply chain risks.

Speaking at an industry event in London last week, Alex Hindson, head of enterprise risk management at consultancy Aon, said organisations are failing to assess risks in their supply chain and face the possibility of not being able to secure the commodities they need.

He said increasing scarcity and cost of raw materials must prompt organised action in the food sector. "It tends to go against popular thought or perception, but efficiency resilience and sustainability can in fact be common objectives for supply chains," he said.

"Key to a more robust and productive framework is more collaboration between functions, particularly risk, supply chain and procurement, as well as business partners. Equally important is investing in improved communication throughout the supply chain and less reliance on formalistic supplier audits, which often have limited value."


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