Plant-based food production is now big business. According to Bloomberg, the worldwide plant-based food market will be worth more than $162 billion by 2031. In Canada, meanwhile, demand for plant-based foods has risen significantly over the past few years: In 2021, consumer interest in plant-based foods rose by 8% and outpaced demand for conventional food and beverages.
But sustained growth doesn’t mean that getting foods to market and capturing consumer interest is easy – lacking effective policies and procedures to manage food production, quality control, and tracking, companies can find themselves fighting for a spot at the table.
Here’s how Sage X3 ERP can help.
State of the Plant-Based Food Market
While plant-based foods are becoming more popular, challenges remain in production and processes. Some of the most common issues include:
- Taste and texture
As noted by Food Industry Executive, the taste and texture of plant-based foods remain a challenge for companies. For example, seafood and cheese are often difficult to replicate – the use of new solutions such as microalgae and prolamin technologies could help align food taste and texture with consumer expectations.
- Food safety
Depending on their composition, some plant-based foods are more prone to spoilage and therefore potential safety issues. As a result, manufacturers need ways to effectively track and manage expiration dates and ingredient lists such that they can provide accurate information to consumers.
- Ingredient tracking
Just like their meat- and dairy-based counterparts, customers want to know where their food is coming from. Specifically, they want to know more about ingredient origins and producers. In addition, the Government of Canada requires food producers of any type to comply with traceability requirements.
- Cost management
Plant-based companies are also looking to control costs by ensuring production processes are as efficient as possible and ingredient spoilage is kept to a minimum.
How Sage X3 ERP can Help Streamline Food Functions
The Sage X3 solution offers six powerful capabilities to help companies better manage plant-based food functions.
Sage X3 operations capabilities include traceability management, allergen reporting, and recall management. This makes it possible for companies to improve the total visibility of ingredients, ensure that allergens are effectively managed, and ensure they’re ready to take action if recall notices are issued.
This is especially critical for long-term reputation: If businesses take action quickly to resolve issues, they’re more likely to generate consumer confidence.
- Supply chain
Sage X3 ERP can also help plant-based food producers better manage global supply chains. By making it possible to collaborate with global suppliers while remaining compliant with local food safety and distribution regulations, companies are better prepared to solve supply chain issues as they occur.
- Warehouse and inventory
As noted above, plant-based ingredients may be more prone to spoilage than their meat or dairy counterparts. Sage X3 warehouse and inventory management tools make it possible for companies to manage food inventory at scale to reduce the risk of wasted goods and increase total profitability.
- Finance and accounting
Successful plant-based food production also depends on robust finance and accounting frameworks. Sage X3 ERP offers cash flow management, profitability analysis, and compliance solutions to help companies ensure they’re making the most of the growing market.
- Sales and marketing
Seventy percent of customers surveyed said they would be open to trying plant-based products. The challenge? Getting the word out. Sage X3 helps sales and marketing teams connect with potential customers by combining CRM tools with the power of mobile for maximum impact.
- Customer service
Agile customer service can make the difference between loyal consumers and customer churn. Sage X3 offers quick access to relevant customer data, in turn making it easier for teams to manage customer requests and improve overall satisfaction.
And it doesn’t stop there. The cloud-based nature of Sage X3 ERP makes it possible for companies to scale production process monitoring and ingredient traceability on-demand, meaning businesses are better prepared to meet evolving market demand. Ready to take your plant-based food production to the next level and address emerging market challenges? Start with Sage X3 ERP – see how IWI Consulting can help.