By Bianca Davis, consultant, Myrtle Consulting Group
In an effort to ensure F&B products meet the required product label claims, manufacturers often overuse expensive raw materials. This results in higher costs and reduced margins. However, measuring and tracking key ingredient contents and using precision formulation can reduce giveaway of expensive raw materials while ensuring accurate product contents. The results: savings are directly linked to your bottom line.
Seeking Operational Improvements To Reduce Cost And Waste
Rising food costs, supply volatility, food safety concerns, and climbing energy prices are forcing F&B manufacturers to operate with more precision than ever. Hoping to turn around declining product margins, a global manufacturer of nutritional beverages needed to identify potential areas to achieve operational efficiencies and cost savings.
After an evaluation, ingredient optimization was identified as a potential source of cost and waste reduction. With a four-step ingredient optimization process, the manufacturer was able to implement a solution yielding long-term financial benefits.