Institut für Produktionswirtschaft und Logistik22.01.14 1
IntroductionWorking Group: Food LogisticsSpring 2016 – Christian Fikar
University of Natural Resources and Life Sciences, ViennaInstitute of Production and Logistics
Institut für Produktionswirtschaft und Logistik
Introduction
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Institute of Production and Logistics at BOKU, Vienna − Focus on problem and
application orientedresearch
− Six main research fields− Timber Industry− Bioenergy− Food Logistics− Intermodal Transportation− Humanitarian Logistics− Sparkling Science
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Food Logistics - Motivation
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Numerous areas of importance with great research potential− Roughly one third of all food is lost or wasted world-wide (FAO, 2016)
− Lack of coordination between supply chain actors− Poor forecasting and inefficient inventory management− Mishandling and delays in transportation and logistics
Source: UN (2015)
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Food Logistics - Motivation
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− Transportation and logistics relate to 9.4% of energy consumption in the food industry within the EU (Monforti-Ferrario et al., 2015)− Inefficiencies: truck idling, low loading factors, empty backhauls
− Stake of food price related to logistics expenses range from 6.74% (GMA, 2010) to up to 48% (Schwartz, 2011)− High potential of optimisation techniques to lower costs and reduce lead times
Source: UN (2015)
Institut für Produktionswirtschaft und Logistik
Food Logistics - Motivation
Current Trends Concentration and globalisation Increased product variety
− Mass customisation, customised food Niche markets
− Lactose-free, Gluten-free, Dairy-free, etc. Stricter environmental regulations
− CO2 emissions− Food waste− Traceability
Bioeconomy strategy of the European Commission− Strong support for related research activities
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Source: Mars, Incorporated (2016)
Source: European Commission (2016)
Institut für Produktionswirtschaft und Logistik
Food Logistics - Motivation
Specifics in Food Logistics Cold chain management
− Product durability, lead times, shelf-life Food safety
− Traceability (RFID)− Quality management and assurance
Waste and hazards − Reverse logistics, milk-run− Hazardous goods transportation
Consolidation and horizontal cooperation− Collection center, distribution networks− Shared equipment and resources
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Source: Collins, E. (2015)
Source: Food Safety Magazine (2014)
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Research Fields of Focus
Supply Chain Optimisation Supply Chain Coordination Inventory Optimisation
Sustainable Supply Chain Management Green Procurement Green Logistics
Operations Research Facility Location Vehicle Routing Supply Chain Simulation
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Source: Groupe Casino (2009)
Source: Own Illustration
Source: Own Illustration
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Research Topics of Interest The impact of transport disruptions on food supply
− Food industry highly vulnerable to disruptions in transportation− Break in cold chain leads to spoilage− Food safety and traceability issues reduce flexibility − Delays reduce shelf life and value of goods− Increased costs for storage
− Impact of disruptions:− L.A/Long Beach Port lockout: Estimated loss to farmers of approximately
$500 million per week (Pullman and Wu, 2012)− Transport distances of mineral water are predicted to increases up to 90%
as a result of a heat wave in Germany (SEAK, 2015)
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Source: Fikar et al. (2016a)
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Research Topics of Interest Consolidation and distribution strategies for food deliveries
− Stricter environmental regulations and urbanisationcomplicate last mile-distribution of food products
− High potential for horizontal cooperation in the food industry to share resources
− Various solution methods in operations research available to optimise routing and scheduling of resources− Vehicle routing− Facility location planning− Multi-echelon optimisation
− Development of decision-support systemsSpring 2016 9
Source: Fikar et al. (2016b)
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Summary
Conclusions High need for research in food logistics to meet future challenges in
the industry Currently little focused research on logistics-related topics available Wide range of interesting research questions in both a domestic and
global context Large synergies with various BOKU core topics New Working Group ‚Food Logistics‘ established
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Summary
Next steps Introduction and promotion of the working group to various
stakeholders Establishment of industry collaborations and research partnerships Acquisition of research funding (FFG, FWF, Horizon2020)Questions? Contact us at
[email protected] or [email protected] Further information: http://www.wiso.boku.ac.at/en/pwl/
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References
Statistics FAO (2016) Food Loss and Food Waste. http://www.fao.org/food-loss-and-food-waste/en/ (15.03.2016). GMA (2010) The GMA 2010 Logistics Benchmark Report - Performance reaches all-time high during
economic depression. The Grocery Manufacturers Association and IBM. Washington, D.C. Pullmann, M., Wu, Z. (2012) Food Supply Chain Management. Taylor & Francis Group, New York, NY. Monforti-Ferrario et al. (2015) Energy use in the EU food sector: State of play and opportunities for
improvement. Joint Research Centre, European Commission, Luxembourg. Schwartz, JZ. (2011) Food Prices: Eating the Cost of Logistics. The World Bank, 20.06.2011.
http://blogs.worldbank.org/latinamerica/food-prices-eating-the-cost-of-logistics (16.03.2016) SEAK (2015) Vermeidung von Engpässen in der Lebensmittelversorgung. Projekt Sicherung der
Lebensmittel und Lebensmittelwarenketten. Dialogveranstaltung, 10. Dezember 2015, Hamburg.
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ReferencesImages Collins, E. (2015) France food waste law comes with fines and prison time. Politico.
http://www.politico.eu/article/france-food-waste-law-comes-with-fines-and-prison-time/ (15.03.2016). European Commission (2016) Bioeconomy - Policy.
https://ec.europa.eu/research/bioeconomy/index.cfm?pg=policy (16.03.2016) Fikar, C., Hirsch, P., Posset, M., Gronalt, M. (2016a) Impact of transalpine rail network disruptions: A
study of the Brenner Pass. Journal of Transport Geography 54, 122-131. Fikar, C., Gronalt, M., Hirsch, P. (2016b) A decision support system for coordinated last-mile distribution.
Expert Systems with Applications 57, 104-116. Food Safety Magazine (2014) IFT’s Global Food Traceability Center: Untangling the Food Supply Chain.
June/July 2014. http://www.foodsafetymagazine.com/magazine-archive1/junejuly-2014/ifte28099s-global-food-traceability-center-untangling-the-food-supply-chain/ (16.03.2016)
Groupe Casino, 2009. 2009 Annual and Sustainable Development Report. Saint-Etienne, France, http://www.groupe-casino.fr/IMG/pdf/CASINO_RA_EN_09.pdf, (15.03.2016).
Mars, Incorporated (2016) My MMs. https://www.mymms.com/configurator.do (16.03.2016) UN (2015) Sustainable Development – Knowledge Platform. United Nations,
https://sustainabledevelopment.un.org/ (16.03.2016)
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Thank you for your Attention!
University of Natural Resources and Life Sciences, ViennaDepartment of Economics and Social SciencesInstitute of Production and LogisticsManfred Gronalt ([email protected])Christian Fikar ([email protected])Feistmantelstraße 4, A-1180 ViennaTel: +43 1 47654-4426, Fax: +43 1 47654-4413
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