insights into the mesa food safety guidebook
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Insights into the MESA FoodSafety Guidebook: AchievingCompliance and Traceability in SMB
Matthew LittlefieldPresident and Principal Analyst
Mike RobertsResearch Associate
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Agenda
About LNS Research
Purpose of the MESA Food Safety Guidebook
Overview of SMB Processors
Key Takeaways from MESAs Food Safety Guidebook
Regulation
Industry Standards
Leadership
Technology
Traceability and Granularity
Apply findings to SMB Processors
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About LNS Research
Founded in Boston, MA, 2011
Provides executives a platform for accessing unbiasedresearch and benchmark data to improve businessperformance
Covering topics related to Quality, Manufacturing,Sustainability, and more
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Matthew Littlefield
Matthew Littlefield is President and PrincipalAnalyst for LNS
Previously spent the past five years asSenior Analyst at Aberdeen where he led
Aberdeens Manufacturing practice.
Prior to Aberdeen, spent five years workingfor global manufacturers, including Unileverand HP Hood, in production and continuousimprovement team roles.
Holds a BA in Economics and an MS inIndustrial Engineering and OperationsResearch from the University ofMassachusetts, Amherst.
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Mike Roberts
Mike Roberts is a Research Associate forLNS.
Previously worked in both Financial Servicesand Health Care Industries identifying and
mitigating financial risk.
Worked as a freelance journalist for threeyears, writing frequently for high level onlineand print publications.
Holds a BS in Economics and an MS inFinancial Economics from Boston University.
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Research Model
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Purpose of the MESA Food Safety Guidebook
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Created by FS&T Committee at MESA International
High profile events sparking change
Educating food processors on FS&T across the value chain
Regulation
Industry Standards and Associations
Leadership
TechnologyTraceability and Granularity
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SMB F&B Processors Today
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Define typical small-to-medium sized business
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SMB F&B Processors Today
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Challenges
Regulation
Industry and third party standards
Cost efficiency needed in F&B
Global price competitiveness
Global supply network
Changing habits/tastes of consumers
Selecting the right technology
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Key Takeaways from MESAs
Food Safety Guidebook
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Current Regulatory Environment
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Food Modernization and Safety Act (2011)
Prompted FDAs Special Report Pathways to Global ProductSafety and Quality
Other notable regulation changesBioterrorism Act of 2001
Created stricter recordkeeping requirements to protect U.S.food and drug supplies after 9/11
European Food Safety AuthorityMultinational effort created in 2002 to address foodborneillness originating in EU
Non-governmental and third party regulations
Various organizations created to strengthen food safety inless strict industries/countries
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Role of Industry Standards and Associations
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Global Food Safety Initiative (GSFI)
Created to assess and benchmark food safety standards andpractices around the world
GS1 StandardsInternational association aiming to design and implementsupply-chain standards
Product Traceability Initiative (PTI)
Organization focusing on standardizing food traceability in thesupply-chain
Institute of Food Technologists (IFT)
Established by FDA to examine food safety recommendsgovernments set benchmarks and allow industries to adapt
Supply-Chain Council (SCC)
Organization targeting improvements in supply-chainmanagement
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Role of Leadership
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Top-down initiative to ignite bottom-up buy-in
Board of Directors (BOD)
Stay current with emerging food safety trends
Create organizational metrics surrounding food safety
Strengthen internal food safety education
Visible dedication to change
Make traceability and safety a departmental requirement
CORPORATE
BOD
CEO
1. REAFFIRM FOOD SAFETY PRIORITY
2. COMMUNICATE LINKAGE BETWEEN
PRODUCTIVITY, CORPORATE HEALTH &
REGULATORY COMPLIANCE
3. CULTIVATE A FOOD SAFETY CULTURE
4. BENCHMARK BEST FOOD SAFETY PRACTICES
5. AUTHORIZE INVESTMENT IN; EDUCATION
PROCESS RE-ENGINEERING AS REQUIRED &
CAPITAL EQUIPMENT ACQUISITION
6. MANDATE SUPPORTING MEASUREMENT &
PERFORMANCE METRICS
Source: MESA International FS&T Guidebook
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Role of Leadership
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CEO
Prioritize internal FS&T improvements by using externalbenchmarking and audits
Develop food safety plan and budget with senior managementCreate internal marketing plan to facilitate culture shift
Make performance-based incentives packages for FS&T
Source: MESA International FS&T Guidebook
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Technology and Food Safety
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Automated Data Collection
IT advancements moving into manufacturing
Manufacturing Operations Management (MOM)
Defining and managing production and processes
Source: MESA International FS&T Guidebook
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Technology and Food Safety
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Enterprise Quality Management Software (EQMS)
Centralizing global quality information
Enterprise Resource Planning (ERP)
Can be customized to envelope MOM and EQMS capabilities,as well as SCM, finance, accounting, customer service, risk,compliance, inventory, and more
Source: MESA International FS&T Guidebook
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Traceability and Granularity
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Inspector Generals Field-to-Fork study
Issues with food safety are directly related to traceability
How do we track contact with people, plants, and equipment?
Traceability Metrics
Dating Methods
Lot Traceability
Item Traceability
Why is traceability important?
Staying within compliance
Centralization of data for quicker decisions
Recall accuracy
Adverse event response time
Source: MESA International FS&T Guidebook
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Applying Findings to SMB
Food F&B Processors
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Making the Cultural Shift
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FS&T as a way of thinking, not a responsibility
Use BOD and CEO buy-in to generate interest throughout thecompany
Upper level management should be visibly on boardCompany-wide initiative as opposed to siloed efforts
Bring together cross-functional teams for planning and input
Create ownership through internal marketing
Use education and communication
Utilize incentives and performance-based rewards forimproving FS&T
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Become Part of the Community
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Stay up to date with changes by joining industry and standardsassociations
GSFI, GS1, PTI, IFT, SCC, etc.
Build regulation and compliance updates into monthly meetingsUrge employees to partake in events, forums, and webinarsheld by associations
Use this as a way to be proactive in strategy
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Leverage the Right Technology
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How do you assess, monitor, and enhance FS&T?
Best of breed versus single solution
Multiple applications may be overkill for SMB
Choose the right solutions for your needs
Source: MESA International FS&T Guidebook
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Leverage the Right Technology
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ERP should be sufficient for SMB needs
Systems can be customized for MOM, QMS, SCM, CRM, andother capabilities
Emerging batch-process ERP systems have the capability tomanage lot traceability
Source: MESA International FS&T Guidebook
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Ensure granularity up and down stream
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Make traceability an initiative
Success depends on high quality products while staying cost-efficient and compliant
Data granularity is the root of major regulation and complianceshifts
Embrace industry changes
View regulation as a guide for improving FS&T within yourcompany
Take a proactive approach to regulation
Regulation is only getting more strict
Implement strong traceability and data granularity applicationssooner than later
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Focus on both Cost and Compliance
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Factors of competition in F&B
Ability to realize economies of scale
Low operating margins
Cost-efficiency
Leveraging global supplier network
High Quality Products
Create strategy for cost-efficiency as well as compliance
Use regulation as a benchmark/standard to drive cost strategy
Implement the right technology
Communicate from field and shop floor through the enterprise
Reduce supplier risk with global implementationsEmploy traceability/automation capabilities to centralize datacollection across all plants/processes
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Closing Thoughts
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Make a culture that supports FS&T
Promote continuous learning
Join industry and standards associations
View regulation as a guideline, not a burden
Choose the right mix of technology for your needs
Take advantage of traceability and granularity
Focus on both cost and compliance
Source: MESA International FS&T Guidebook
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Questions?
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Thank You!!
For More Information -
Contact:Matthew LittlefieldPresident and Principal Analyst