ppt

1. BAHIR DAR UNIVERSITY
BAHIR DAR INSTITUTE OF TECHNOLOGY
School of Chemical and food Engineering
Advanced food supply chain management and logistics Assignment 1
Titles- Defining food supply chain management by Dr Abdi Haleem and Mohd Sufiyan
By : Hiwot Mamo
Submitted to : Biteha (PhD)
July , 2022

3. Food supply chain management (FSCM)
 FSCM is ensure proper food quality along the supply chain up
to the point consumption
 It is the management of supply and demand
o By using resources effectively and efficiently
o Strategic coordination and collaboration
o Create value for improving its performance
o Providing safe and quality food

4. Food supply chain management (FSCM)
On time deliverance and safety of the food is the main peoples
concern.
Supply chain management is a prerequisite in the food sector.
SCM consist of several stake holders in complex network
For safeguarding the quality of the product reaching the final
consumer.
 In FSCM there must be strategic coordination of all the business
activity

5. FSCM
activities
Forecasting
Procurement
management
Inventory
management
Production
management
Logistic
management

6. Cont…
 Food quality and safety and waste generation along FSC are the
key factors that differentiate FSCM with non FSCM.
 Characteristic features of food product such as quality
deterioration with time, seasonal harvesting, have made FSCM
complex.

7. Perishability
Cold chain requirements Safety and seasonal
product
Shelf time
In FSCM and non FSCM have lot difference in food quality and
safety and the need for proper waste management.
FSCM has to deal with some of the critical issues owing to unique character
of the FSC

8. FSC
 FSC includes companies that are converting the raw materials emerging from primary
sources such as
 agriculture and forestry in to final products feasible for direct consumption.
 Agri food supply chain as the set of activities in a farm to fork sequence.
Farm to Fork
sequence
Farming
Logistics ,
Warehousing
and Marketing
Inspection
and Testing
Processing

9. FSC

10.  FSC affected by how stakeholders are embedded in the chain
 The poor management of the FSC leads to more waste generation in
the food sector.
FSCM ; collaboration needed to reduce cost , increase profits and
safeguard food quality and sustainability
In SCM there is strategic management of supply, movement, and
storage of material and information throughout the supply chain.

11. Key characteristics of FSCM
Key
characteristics of
FSCM
Coordination and
collaboration
logistics
Efficiency
Supply and
demand
management
Quality and
safety
Sustainability

12. coordination
 coordination is managing communication among the chain
actors who work together for a goal, as per their mutual
consents.
 It characterized by effective communication , exchange
information, partnering and continuous performance
monitoring .
 Coordination is maintained by market mechanism, supply
chain contract, information sharing , joint decision making ,
collective learning

13. Collaboration
 Collaboration means working jointly to fulfill consumer needs
 Due to collaboration stake holders start sharing their assets , capabilities, share
risk and cost , serve the customers and satisfy them
 Collaboration can be used for managing the commonly present uncertainties in
FSC
 The 3 interrelated dimensions of collaboration
1) information sharing
2) desecision synchronization (jointly making planning and operation sharing )
3) incentive alignment (degree of sharing cost, risk, and benefit)

14. Quality and safety
 Food quality include intrinsic well as extrinsic characteristics
 product safety, sensory properties and shelf life , reliability and convenience
 production system and environmental aspect
 The food quality and safety is the most influential issue in implementing the
effective traceability system
 An effective tracing system identifies specific areas of problem origin such as
packing device, farmer, the place of cultivation, thus improving the food quality
 Effective FSCM must be developed to control to control the potential food safety
Hazards

15. Sustainability
 Sustainable FSCM is an issues that are;
 to save food
 money, and
 achieving environmental and social benefits
 To make sustainable FSC the company must
focus on food waste reduction , ensure safe
environment,
 For having sustainable FSC the food sector
companies need to include social
,environmental and economic objectives

16. Logistics
 Logistics management manage the product movement along the entire supply chain,
 to provide safe and quality food to the customer at the least cost.
 It ensure proper relationship management between suppliers and customers.
 In food product , logistic management needed to ensure,
 proper transportation system.
 effective controlling temperature and humidity.
 Logistic management is an essential part of SCM
 Logistic is responsible for the efficient movement and storage of goods, services,
and related information along the supply chain.

17. Demand and supply management
Supply and demand management is the process of balancing supply with demand in
order to meet the needs of an entire market.

18. Efficiency
 The effective performance is directly linked to the satisfaction level of
all the major stakeholders involved in FSC
 Good coordination improves FSC performance

19. Conclusion
 The literature review address the critical characteristics of the FSC
and FSCM. It focus on agro foods but the definition can work for
any types of foods.
 FSCM must have proper waste management for sustainable
environment.
 In general there are 3 aspects that SCM differs from traditional
SCM
o Food quality and safety
o Food logistics
o sustainability