It’s no secret that food waste is a massive issue in the food industry. About 30-40% of food supply ends up as food waste, and nearly 75% of that is avoidable. It’s a damn shame, but here’s the good news: distributors are uniquely positioned to help operators minimize waste by boosting efficiency, starting with the ordering process. The key? Using the right tools, data insights, and communication strategies.
So, how do we ensure that the food produced and distributed is used wisely? Food waste happens at every stage of the supply chain, from farm to table. Here are some key areas where distributors can implement smarter systems to drastically reduce waste and maximize profits.
Poor inventory management: A major culprit
One of the biggest causes of food waste is poor inventory management. Operators often over-order, thinking it’s safer to have too much than too little, only to watch excess food spoil. This is where distributors can step in and provide solutions to optimize the ordering process.
By offering inventory management software or integrating with existing systems, distributors can enable real-time inventory tracking for operators. These tools give operators a clear view of what they have in stock, when it’s expiring, and what they actually need to reorder. With a dashboard that shows inventory levels, upcoming deliveries, and historical usage patterns, operators can make better, data-driven decisions.
For example, predictive analytics can track past ordering habits and peak usage times, preventing over-ordering before it happens. This helps operators save money, reduce food waste, and avoid the dreaded sight of a walk-in cooler full of food on the verge of expiration.
Communication breakdown: Over-ordering happens here
Let’s face it: communication between distributors and operators isn’t always as efficient as it could be. Miscommunications often lead to over-ordering, with operators placing duplicate orders or miscalculating their needs due to a lack of visibility into their own stock.
The solution? Better, streamlined communication systems. Providing operators with access to real-time ordering tools allows everyone to stay on the same page. An intuitive digital ordering platform can track orders, offer automatic reorder reminders, and flag if an operator is trying to reorder items they already have plenty of. Modern e-commerce platforms are usually well-equipped to provide these communications tools which make it much easier to do all these tasks in a highly intuitive and systematic way.
Additionally, offering operators direct communication with a dedicated customer service representative can help clarify any confusion about stock levels or order quantities. This human touch can go a long way in preventing those “I forgot we already had that” moments.
Accurate forecasting: Predict what’s needed, not what you think you need
Operators don’t always know how to accurately forecast their needs, especially with seasonal trends, special events, or menu changes. However, with the right forecasting tools, distributors can help them avoid guesswork and get their orders right the first time.
Distributor most likely have access to advanced forecasting tools that predict future demand based on historical data and market trends. Sharing these insights with operators can help them order only what they need, when they need it, reducing the risk of surplus stock going to waste.
These insights can also help operators align their ordering with actual demand. Let them know when demand is likely to surge for a particular product or when things might slow down. This helps fine-tune their purchasing and avoid panic ordering or overestimating. Such predictive tools are usually a part and parcel of some of the modern e-commerce solutions out there available to distributors.
Clean data: The key to tracking food and reducing spoilage in transit
When clean data is in place, everyone in the supply chain—distributors, operators, and even transportation partners—can better track food as it moves through the system. Currently, about 30% of food perishes during transportation, often due to inadequate tracking of shelf life, expiration dates, and storage conditions. A major contributor to this problem is the lack of data transparency throughout the supply chain.
With clean, real-time data, distributors can monitor the exact location of shipments and know how long the food has been in transit. This means they can take immediate action if there are any delays that might push the product closer to expiration. In addition, having this data allows distributors to prioritize deliveries based on which items are more time-sensitive, ensuring that perishable goods are delivered first to avoid spoilage.
Actionable steps to eliminate avoidable waste
Here are some actionable steps distributors can take to help their partners waste less and save more:
- Offer or recommend inventory management software. Provide an easy-to-use platform that allows operators to track inventory and make smarter purchasing decisions.
- Implement digital ordering platforms with smart features. Make it simple for operators to place orders with a system that includes automatic reorder reminders, inventory flags, and historical usage data.
- Improve communication. Ensure operators have access to a dedicated rep or a live chat feature to resolve questions about order quantities and keep everyone aligned.
- Share data-driven insights. Leverage your market knowledge to help operators forecast more accurately, reducing waste and improving order precision.
- Offer product-specific guidance. Help operators understand how to store, manage, and use products efficiently. Educating them on these points can go a long way in reducing spoilage.
Conclusion: Working together to solve the food waste problem
Reducing food waste is a team effort, and distributors play a critical role in leading the charge. By giving operators the right tools, insights, and communication pathways, distributors can help them streamline processes, minimize waste, and save money. With the combination of technology and better collaboration, we can tackle the 75% of avoidable food waste and make a real impact—both on the environment and the bottom line.
