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Food Recalls: Effective Supplier - Retailer Partnerships
The webinar discusses the essential partnership between suppliers and retailers in managing food recalls, highlighting the significant cost and frequency of recalls caused primarily by allergens. Best practices for preventing recalls include effective food safety systems, internal audits, and transparent communication during incidents. The session also covers regulatory developments and insights from major retailers like Publix on recall management and consumer communication.
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Food Recalls: Effective Supplier - Retailer Partnerships
- 1. Food Recalls: EffectiveSupplier/Retailer Partnerships LeAnn Chuboff | David Guilhaus | Holly Mockus June 19, 2015
- 2. Webinar Logistics 2 • Alllines are in listen-only mode • Post your questions early and often! • A link to the webinar recording will be emailed shortly after the event
- 3. Today’s Speakers 3 LeAnn Chuboff SafeQuality Food Institute Holly Mockus Alchemy David Guilhaus Publix
- 4. Agenda 4 • Food RecallChallenges • Food Recalls Insight • Manufacturing Best Practices • Retailer Perspective • Q&A
- 5. 5 Food Recall Challenges HollyMockus Alchemy
- 6. Food Recall Challenges 6 $10Million Average direct cost to a food company of a recall Allergens #1 Leading cause of recalls for both the USDA and FDA http://www.foodonline.com/doc/my-two-cents-are-you-prepared-for-the-high-cost-of-a-food-recall- 0001?sectionCode=Articles&templateCode=Single&user=3098071&source=nl:43110&utm_source=et_6212916&utm_medium=email&utm_campaign=FOL-E_2015- 06-04&utm_term=e6a99a48-6ca0-4d99-be13- aa9501d0ea29&utm_content=My%2bTwo%2bCents%253a%2bAre%2bYou%2bPrepared%2bFor%2bThe%2bHigh%2bCost%2bOf%2bA%2bFood%2bRecall%253f 20% Consumers state they wouldn’t purchase any brand made by a company affected by a recall 7230.1 FSIS Directive Ongoing Verification of Product Formulation and Labeling Targeting the Eight Most Common (“BIG 8”) Food Allergens
- 7. New Regulatory DevelopmentsAs Of May 2015 7 • FDA Guidance for Industry Questions and Answers Regarding Mandatory Food Recalls Draft* • Legislation Introduced by Sen. Kirsten Gillibrand (D-NY) • Give U.S. Department of Agriculture mandatory recall authority over contaminated meat and poultry. *http://www.fda.gov/downloads/Food/GuidanceRegulation/GuidanceDocumentsRegulatoryInformation/UCM445437.pdf
- 8. Food Recall Insight LeAnnChuboff SQF 8
- 9. The SQF Program •Global program based in the United States • Owned by the Food Marketing Institute • Modularized to provide a farm to fork solution • Designed around the GFSI Industry Scopes • Includes 35 different food sector categories to meet the needs of all suppliers • Auditors are credentialed in specific food sector categories • 3 levels of certification with a unique approach to food quality 9
- 10. Top Causes forGlobal Food Recalls - 2014 10
- 11. SQF Non-Conformances 11 2.8.2 AllergenManagement 2.8.2.2 Allergen Labelling 2.4.1.1 Food Legislation 2.4.2.2 Food Safety Fundamentals 2.4.3 Food Safety Plan (M) 2.5.2 Validation & Effectiveness 2.5.6 Product Sampling, Inspection, Analysis 11.7.4.3 High Risk Processes
- 12. Disconnect Between Non-Conformance& Reality Recall: Mislabeling of allergens Non-conformance: 2.8.2.1 - Cleaning and sanitation between change-overs rather than 2.8.2.2 - Product ID and Labeling Recall: Listeria monocytogenes and environmental monitoring Non-conformance: 11.7.4.1 - Staff access points rather than 11.7.4.1- Environmental Monitoring Program Recall: Incoming raw materials/ sources Non-conformance: 2.3.3.1 - Contract Service Providers rather than 2.4.5.4- Incoming Goods and Services 12
- 13. Best Practices Prevent recallsand withdrawals by reviewing your food safety system – Focus on implementing effective food safety systems, not just meeting the SQF Code – Conduct internal audits – Revisit your approved supplier program – Conduct validation activities • Don’t forget about the allergen program and finished product labels • Include a review of the EMP – Conduct a traceback exercise • Include a review of all related processes • Check incoming ingredients to specification 13
- 14. Retailer Survey InProgress • Survey to retailers and manufacturers • Gain better understanding of the frequency and type of recalls/withdrawals • How to improve the supplier/buyer relationship Full results to be shared at Alchemy Conference - September 21st – 23rd 14
- 15. SQF Resources • SQFTraining Centers • Online Training through Alchemy • SQF Website- www.sqfi.com 15
- 16. 2015 Upcoming Events •Learning Lunch Webinar – July 22nd Creating an effective Quality Program • Lead SQF Auditor (5-day) – August 24-28, Oakbrook, Ill. • SQF Packaging Auditor – Fall class date TBD- check website • Alchemy Conference – September 21 – 23rd, Austin, TX • SQF International Conference – November 3 – 5, Indianapolis, IN www.sqfi.com/events 16
- 17. Manufacturing Best Practices HollyMockus Alchemy 17
- 18. Manufacturing Best Practices 18 •Use Mock Trace to find and fix gaps! – Make it hard – Off shifts – Review ALL documents – Interview employees – Review training – Observe the operation – Bulk is not off limits – Rework only – Allergens – Raw material to finished good – Finished good to raw materials – Processing aids – Traffic pattern (cooler, oven) – Packaging included – Cleaning / Maintenance chemicals • Mock Trace is a powerful tool! – 100% plus or minus?? – 2 hours? 4 hours? – Work sheet? – Plant / corporate metric? • Review templates at each exercise – Press releases – FAQs – Customer letters – Agency communications – Employee communications • Retrospective for each exercise – Continuous improvement – Inclusion of all departments
- 19. Communication is Key 19 •Do you have business relationships with your customers? – Contact info – Periodic updates – Network – Share best practices • Customer Communication – Complete – Accurate – Timely – Exact • Avoid the rolling recall conundrum!!
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- 21. Publix Supermarkets Background •Employee-owned supermarket chain based in Lakeland, Florida • $31 billion in revenue • 85th anniversary • 1,102 stores throughout Southeastern U.S. • 11 food manufacturing facilities • #2 on FORTUNE’s “Most Admired Companies” • FORTUNE’s 100 “Best Companies to Work For” 21
- 22. How Should SuppliersSupport Retail During Recalls? 22 Don’t have any!
- 23. How Should SuppliersSupport Retail During Recalls? 23 In reality, when they do happen, up-front transparent communication is key.
- 24. Food Safety asour Strategy Corporate Food Safety Objective Food safety is a top priority. We do this by training our associates on food safety standards, monitoring compliance with standards, having a best-in-class recall program, and following clear processes to elevate significant issues to company officers and/or the board of directors. 24
- 25. Recall Trends atPublix 0 50 100 150 200 250 2010 2011 2012 2013 2014 Severity 1 Severity 2 25
- 26. Recall Trends atPublix 26 Quality 35% Mislabelling 28% Undeclared Allergen 12% Pathogens 8% Foreign Material 4% Underweight 1% Other 12% 2014 Recall Reasons by Count
- 27. Recall Information Sources 27 •Food and Drug Administration • U.S. Department of Agriculture • Centers for Disease Control • Consumer Product Safety Commission • Environmental Protection Agency • FoodTrack • Rapid Recall Exchange • Suppliers
- 28. Recall Information Resource •Rapid Recall Exchange (RRE) Rapid Recall Express (RRX) • RRX is – fillable standardized form – sponsored by GS1 US – advocated by FMI and GMA who promote the use of GS1 business standards – available to all suppliers free of charge • www.rapidrecallexchange.org 28
- 29. Recall Management atPublix • Product Response System • Remove product within 3 hours • Report units recalled • Assist – Audible alerts for retail associates – Lock-out at the point of sale register – Verify 100% completion – Account for all customer returns – Recall reports for regulatory • Consumer notification – Publix has no loyalty cards – Signage, Website, and Social Media 29
- 30. Recall Communication Board •Located at all Publix retail stores • Can hold up to 24 recall announcements 30
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- 32. Retail Best Practices •Importance of an effective recall management system • Prompt removal of recalled product from the market place • Necessity for all stores to report the units removed at the time of the recall and with any customer returns • Provide premier service and assist customers, stores, and regulatory officials 32
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- 34. Upcoming Events 34 • Networkwith industry leaders • Master best practices • Discover new technologies http://www.alchemysystems.com/alchemy-conference/
- 35. SQF International Conference– Nov. 3-5, 2015 35 • Key Benefits – Hear the latest food safety information – Updates to the SQF Program – Network with your peers – Meet new contacts and experts – Learn about innovative solutions to everyday problems – Become a more effective leader • Who Should Attend – Food Safety Professionals at all levels of supply chain – Individuals from companies seeking to enhance current programs – Companies beginning to implement a food safety program – Food safety auditors, consultants, and trainers www.sqfconference.com
- 36. THANK YOU Telephone: 888.988.8832 contactus@alchemysystems.com www.alchemysystems.com http://blog.alchemysystems.com/ LeAnnChuboff lchuboff@sqfi.com David Guilhaus david.Guilhaus@publix.com Holly Mockus holly.mockus@alchemysystems.com
Editor's Notes
- #2 Diana - 5 MINUTES BEFORE START Hello and welcome to today’s webinar Food Recalls: Effective Supplier/Retailer Partnerships The webinar will begin in approximately 5 minutes. All lines will be in listen only mode for this discussion If you need assistance for this online event, please call us at 888-259-8414 or use the chat function in your GoToWebinar window. The meeting will begin shortly. Thank you. 2 MINUTES BEFORE START Hello and welcome to today’s webinar, Food Recalls: Effective Supplier/Retailer Partnerships The webinar will begin in approximately 2 minutes. All lines will be in listen only mode for this conference. If you need assistance for this online event, please call us at 888-259-8414 or use the chat function in your GoToWebinar window. The meeting will begin in 2 minutes. Thank you. START Welcome everyone, and thank you for joining us for today’s webinar, Food Recalls: Effective Supplier/Retailer Partnerships Before we get started, let’s cover a few quick logistical details [CLICK]
- #3 All lines will be in listen-only mode for the duration of the show. However, we do want to hear from you – please post questions early and often in the GoToWebinar Question Box on your right, and we’ll get to as many as possible during the formal Q&A at the end. Last but not least: We will be sending you a link to the recorded webinar shortly after the event for your review. With that, let’s introduce our speakers for today’s discussion [CLICK]
- #4 LeAnn Chuboff, Sr. Technical Director, Safe Quality Food Institute LeAnn has over 25 years of food service experience specializing in supply chain food safety and quality assurance and is responsible for the technical elements of the SQF program including the development, maintenance and technical support of the SQF code and supporting materials. Prior to working at the SQF Institute, LeAnn worked for the National Restaurant Association Solutions as the Director of Science and Regulatory Relations. In this role, she was responsible for the technical accuracy of the ServSafe food safety program and developed program and services on food safety and food defense to fit with all segments of the restaurant industry. David Guilhaus, Supply Chain Food Safety Manager, Publix David has over 15 years of food experience including retail, manufacturing, and food service. Since 2008, he’s held the position of supply chain food safety manager at Publix Super Markets, Inc., responsible for developing corporate food safety strategies, validating existing food safety systems across eleven manufacturing facilities and over thirty distribution centers. He also serves as the subject matter expert for food safety and quality matters related to manufacturing and distribution. Beginning in 2009, David oversaw the implementation of the SQF program within Publix Manufacturing’s bakeries, dairies, deli’s and produce packing operations and continues to support their recertification efforts today. He is also a member of SQF Technical Advisory Council. Holly Mockus, Product Manager, Alchemy Holly has over 30 years of experience in the food industry with companies including ConAgra, Kellogg, and Sara Lee, holding leadership positions in food safety, quality assurance, sanitation, and plant regulatory affairs. She has authored several chapters related to the importance of recordkeeping and documentation in the food industry, and was honored with the 2013 SQF Outstanding Achievement Award. Currently, Holly works with the Alchemy systems Engineering and Creative teams to create solutions that help the food industry meet its safety, quality, and productivity objectives.
- #8 FDA Guidance Process steps Determine criteria has been met – product is adulterated and will cause SAHCODHA Provide responsible party with opportunity to cease distribution and recall Order distribution to cease and mandate recall Assessment of fees for mandatory recall
- #9 2014 recall summary Top non-conformances within SQF What are the disconnects between the results from recalls and audits? Tips on how to make your retailer happy Resources
- #13 Recall: Mislabeling of allergens Non-conformance: 2.8.2.1 - Cleaning and sanitation between change-overs rather than 2.8.2.2 - Product ID and Labeling Recall: Listeria monocytogenes and environmental monitoring Non-conformance: 11.7.4.1 - Staff access points rather than 11.7.4.1- Environmental Monitoring Program Recall: Incoming raw materials/ sources Non-conformance: 2.3.3.1 - Contract Service Providers rather than 2.4.5.4- Incoming Goods and Services Mislabel graphic Listeria image Pallet w/labeling “raw materials” – boxes piled up on pallet for third item w/her info under each
- #15 Survey Questions How many withdrawals/ recalls do you experience in one month? How many withdrawals and recalls do you experience in a year? Rate the following: Is the communication for recalls effective with all the correct information provided to you on the first try with no additional follow up required? Is the correct information provided to you on the timeframe you require? Is there follow up from the supplier to verify the communication? What would be your overall success rating for how your supplier manages recalls and/or withdrawals? What are the top reasons for recalls and withdrawals? (please be specific) What can suppliers do to help improve this relationship?
- #16 SQF Training Centers Implementation Training for the SQF Code Supplemental training internal audits validation and verification Online training through Alchemy SQF Website- www.sqfi.com 0SQF Code, edition 7.1 SQF Code, guidance document- modules 2, 11, 3 and 4 SQF code comparison to FDA’s proposed Preventative Controls Rule Pre-assessment tool
- #20 Do you have business relationships with your customers? Contact info Emergency contact? Periodic updates Network Share best practices Customer Communication Complete Accurate Timely Exact Names of manufacturers and distributors Description of product Brand or generic names Sizes(s) affected Lot or unit numbers Dates manufactured, date of expiration, use by date Distribution means, transportation entities and involved geographic areas Avoid the rolling recall conundrum!!
- #22 This year marks the 85th anniversary for Publix Super Markets. While we are well known for our dedication to providing premier customer service at our 1,102 stores throughout the southeastern United States, Publix is also a very large food manufacturer. We have 11 manufacturing facilities and 30+ distribution centers. Publix is the largest supplier of food to our own company. This year, Publix ranked No. 2 in the food and drug industry on FORTUNE magazine’s “Most Admired Companies,” and we have made the list every year since 1994. Most recently, for the 18th consecutive year, Publix was honored as one of FORTUNE magazine’s “100 Best Companies to Work For.”
- #24 160 on Friday afternoon.
- #34 Diana
- #37 Diana