Dr. Liliana Casal-Wardle presented on navigating supply chain constraints. She discussed the increasing complexity of global supply chains and challenges presented by the COVID-19 pandemic, natural disasters, and changes in the workforce and transportation. She emphasized the importance of supplier approval programs, monitoring supplier performance, and being prepared for emergency sourcing situations. Dr. Casal-Wardle also provided tools for managing supply chain risks, such as databases for ingredient sourcing and tracking supplier audit results, recalls, and complaints. She stressed the critical role of food safety culture and continuous improvement programs across the supply chain.
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FSMA Webinar: Navigating Supplier Constraints
1. FSMA Fridays Webinar Series
Monthly Industry News, Updates & Trends for Food, Beverage, & CPG Manufacturers
Navigating the Perfect Storm of
Supplier Constraints
Dr. Liliana Casal-Wardle
Executive Senior Director Food Safety & Supply Chain Risk Management
The Acheson Group - TAG
2. Monthly Industry Update:
✔FSMA Related News
✔Regulation Changes & Updates
✔Industry Trends
✔Q&A with TAG
What is FSMA Fridays?
FSMA FRIDAYS
3. Meet Your FSMA Friday Speaker
FSMA FRIDAYS
Jim Albright
FSMA Friday Host
Dr. Liliana Casal-Wardle
Executive Sr. Director Food Safety &
Supply Chain Risk Management
Dr Liliana Casal-Wardle, Ph.D. has twenty-five years of
experience in managing supply chain food safety and
product quality.
Her specific expertise include Supply Chain Food Safety,
Food Safety Culture, Food Science, Food Defense,
Cleaning and Sanitation practices, Environmental
Microbiological Monitoring Programs, GFSI
requirements and Quality Assurance, amongst others.
4. FSMA FRIDAYS
Regulatory Updates
● FDA Issues Guidance on Refusal of Inspection by a Foreign Food
Establishment or Foreign Government
○ October 20, 2022
Dr. Liliana Casal-Wardle
Executive Sr.Director Food Safety & Supply
Chain Risk Management
5. What are the Drivers of Consumer Behavior?
Negative
perceptions
based on
failures to the
consumers
Positive
perceptions
based on
consistent
good delivery
to the
consumers
Consumer are loyal but not forgiving
7. • Sourcing of ingredients and
raw materials
• Production
• Processing and packaging
• Storage
• Wholesale distribution
• Retail redistribution to
consumers
The 6 Steps of the Supply Chain
The Perfect Storm
8. Global Supply Chain: Evolution and Complexity
Supply chain participants are no longer limited to the first-tier supplier, the
manufacturer, and the distributer
Everyone involved from “farm to fork” in the growing, harvesting, processing,
packaging, transporting, holding, and selling of a food product
A participant can have multiple roles within the same supply chain
One of more ingredients or raw products are sourced from non-domestic entities
Communication is faster but there are multiple channels, language barriers and a
complex network
Regulatory environments are diverse, sometimes less straightforward, sometimes
less predictable and more time consuming
As the complexity of sourcing grows, natural disasters become a more relevant factor
9. Food Supply Chain: Emerging Challenges
Covid-19 Pandemic and quarantine requirements
Natural disasters
Changes in workforce
Transportation challenges
Financial and political risks
Challenges in demand
Inability to forecast accurately
Constrained availability
Rearrangement of consumer habits
10. Challenges in Supply Chain Management
Companies are not equipped to manage external partners and
suppliers risks in the same way that they manage their own
Less resources to manage supplier risk than internal ones
Usually monitoring 1st-2nd tier suppliers
Suppliers are managed through contractual arrangements
Companies source raw materials through brokers and agents
Constraints in sourcing require last minute changes
11. Emergency sourcing
for water deficient
areas or droughts
Watch the Water Agricultural
water
Treated
water from
treatment
plants: how is
it used?
Public or
well water
12. Provide information to expedite sourcing:
specifications, country of origin, supplier information
The watch out: understanding the vetting process for
food safety and quality
Regulations that drive compliance for those
ingredients
Management of the database: frequency of updates
and resources used to update it
Management of change for constraints in sourcing
What’s the Toolbox? Databases
Databases for ingredient sourcing:
13. What’s the Toolbox to help? Trends of Data
History of recalls and
regulatory failures
• Are they recent?
• Size and global impact
• Which ingredients were
impacted?
• Were you informed in
advance?
• Trends of number of critical,
major and minor
nonconformities
• Do some of these occur in
consecutive audits?
• Do you know how they were
addressed?
• How are these managed
and addressed?
• Do they trigger change?
• Any social media feedback?
GFSI Audits
Consumer and customer
complaints
14. What’s in the Toolbox? Food Safety Culture
Importance of the role of the leaders to drive the culture and set
the standards: the value of cross functional teams
The people are key: empower, recognize educate and train
Export and integrate food safety culture and its dimensions to grow and evolve
together with your suppliers
Communication can be designed to overcome language barriers, and local
culture driver
Use the food safety culture to change behaviors into habits for your team and
your suppliers
Hazard risk and awareness: use tools to track and trend performance of the food
safety programs tied to the tools that track behaviors.
15. Implemented
GMP
programs
Recall
programs
in place
Hazard
Analysis
and Food
Safety Plan
Copies
and
CAPAS of
regulatory
audits
Allergen
Management
3rd Party
Certification:
GFSI
Internal
audits
and
CAPAs
Inspection
and
sampling at
receiving
CoAs
Supplier Approval Program: Understanding & Managing Risks
Suppliers
Manage their risk
establishing
programs, practices
and drivers of
behaviors to control
these
Understand the risks
of their suppliers and
establish supplier
control programs for
new and existing
suppliers with
verification practices
Management
of complaints
Validations
for critical
programs
that control
the risk
History of
recalls
Verification
of labels
Compliance
with MSS
EMP
Their own
Supplier
Control
Program
Cleaning and
Sanitation
programs and
practices in
place
Verification of
specifications
Traceability
Sampling
and
testing
programs
16. Supplier Performance Monitoring System
Focus on Performance and CHANGE
● Review performance by developing integrated scorecards
together with the cross functional teams
● Review compliance to the programs, management of
deviations, and completed corrective actions
● Updates to food safety plans and implementation
Review trends of performance for internal leading indicators:
● EMP
● Preventive Controls Compliance
● Master Sanitation Schedule Compliance
● Management of incidents and near misses
Work with your suppliers to implement Continuous Improvement Programs
● Food Safety capital investment programs
● Incentives and recognition programs for the workforce
● Education and training
● Empowerment of the workforce: understanding the programs and their
roles and responsibilities
17. Managing Your Emergency Sourcing
Be ready: manage emergency sourcing like a crisis:
DEVELOP A PROGRAM
Do not improvise or respond to pressure
Establish tighter controls for those lots
Communicate throughout the process with all the cross
functional teams from the supplier side and yours
Establish a contractual responsibility with responsibilities
towards food safety
Traceability is key. Keep the supplier informed of its performance
Keep the supplier informed of its performance
Establish specific KPIs for this activity with potential incentives of
integrating this supplier to the network
18. Be Ready for the Unexpected
Proactive
start
Work with procurement
to have more than one
supplier for each
ingredient
Start the process of
approval for new ones,
even if sourcing is not
immediate
Manage the
emergency
Food safety comes first
Check on history of
recalls
Communicate with the
potential supplier
Incorporate emergency
sourcing as part of the
crisis manual
Establish key
stakeholders for the
process
Guardrails
ready
Enhance sampling and
testing
Request history of GFSI
audits
Review specifications
SAY NO IF YOU
HAVE TO
20. Keep an Eye On: E-Commerce
Temperature management: controls, validation
and verification
Allergen management considerations
Fully cooked and Ready To Eat proteins
Use of ghost kitchens
Ownership and management of the process
POSES HIGHER RISK- NOT FEDERALLY REGULATED
21. FSMA FRIDAYS
Summary
Dr. Liliana Casal-Wardle
Food Safety Director
Establish
expectations
and reward
performance
Expect
consistency
on
compliance
Communicate
success and failure
and expect the
same
Manage
data and
track
performance
Be
adaptable
and expect
the same
Managing
Change:
Build
Trust