The F&B industry today is all about connection. Along with hardware and software innovation, the internet of things (IoT) presented to connect the whole system to the Internet.
Smartphones and the internet, which entirely alter the way we interact with surrounding objects. While in the past, we had to express opinions to small groups of peoples, technology evolution allows massive information sharing throughout the internet
Appreciating the innovation, F&B companies emerges the transformation in approaching their customers. Likewise, system infrastructure has to foster to follow those changes. In which, applying smart algorithms in managing several aspects in Food and beverage business is on high demand, covering production, inventory, and collaboration. IoT has engaged extensive attribution, solving the complicate F&B questions of how to make the ocean of tasks done smoothly. In fact, IoT solutions integrate into the intelligent connection between partners generate the aggregated insight regarding inventory reduction, efficiency improvement, food waste reduction, and quality control. Industrial reports mention that the expected IoT growth will reach a rate of approximately 10% in the next five years. It means IoT applications tend to the core investment sectors of foods and beverage companies recently.
Food and beverage companies need effective inventory management
The majority of food and beverage retailers have suffered from common issues of inventory control. Associated with short shelf life and a large volume of products, food producers such as supermarkets and groceries have lost an enormous amount of cost in inventory management. Due to the increasing demand for fresh food and drinks, companies have to control the product flow on a just-in-time basis. The fast-moving process involving in real-time product monitoring requires warehouse optimization solutions. In this case, IoT innovations generate a real-time tracking system, allowing smooth operations in warehouse control. The accurate unit number associated with identified products will display in the IoT system. This concept inspired the application of pressure-sensitive sensors. Companies will receive alerts regarding the stock status, which allows timely clear or restock. Furthermore, IoT insight provides data and evidence to predict customer purchase patterns or future purchase trends. Thanks to IoT innovations, F&B companies could release plans with more accurate reactions to the upcoming market situation. In general, the IoT solution enables smart inventory involving cost reduction, more efficiency, and real-time stock management.
Efficient collaboration and automation came from IoT applications
Industrial internet of things (IIoT) tends to be listed in the software outsourcing trending topic in 2020, which indicated the mass network of partners, devices, infrastructure, and technology. IIoT constantly changes the form of collaboration from day-to-day. In terms of the F&B industry, IIoT brings producers, retailers, intermediaries, logistics providers together by communication technologies. Thereby, the collaboration among industry would be supported by productivity and efficiency. IoT could increase operational efficiency by enhancing automation and reducing manual tasks. Additionally, data gathering from IoT solutions leads to a high level of consistency among partners, which properly reduces operational loss.
Let’s take farming as an example, agriculture companies using autonomous tractors to profit maximization, which engages with stability and scalability, in comparison with human-based tractors. Those tractors claimed to probably defeat the adverse effects that came from weather and common natural accidents. Moreover, autonomous tractors associated with the IoT system have improved the accuracy in production, which promised to save at least 50% of the time and operation cost.
IoT grows with the innovative Food waste reduction
IoT application in warehouse management linked with expiry date detection reduce the waster volume before spoilage. Smarter stock operation leads to better storage conditions. Foods and beverage status regarding quality and quantity would be control in IoT systems, which allow users to maintain the ideal condition for product preservation. Moreover, F&B companies could reduce waste from optimizing logistics or supply chain processes. IoT innovation could predict the market demand and request properly, saving producers from excess supply.
One typical application of IoT in logistics called Radio frequency Identification (RFID), generating benefits for both consumers and companies. With the RFID process, customers got exhaustive details of product origin, reducing the doubt of poor-quality goods. Thereby, companies gain more trust and reputation. Along with automatic delivery and shipping powered by RFID tracking, firms could reduce the waste that came from manual processes. Another example could name Zest Intelligent Pallet Routing (ZIPR) developed by Zest Lab. ZIPR provides tools to identify logistic stages, in which potential wastage occurs. ZIPR assist retailer controlling the supply chain, ensuring the freshness of foods.
IoT solutions improve Food quality standard
The food safety regulations are increasing tightened in many nations, especially in developed countries, in which citizens are more conscious about food safety standards. Those policies deter the export activities between Asia and other continents. The evidence is that approximately 20 billion pounds of foods were refused trading to the US in 2018. Major Asian suppliers got trouble in ensuring food quality follows different inspections from different areas. Obviously, each specific food or drink requires a distinct reservation temperature in maintaining the proper quality. IoT provides temperature and humidity sensors, monitoring the storage environments. Likewise, temperature-sensitive foods are stored under appropriate conditions, which deters inspection failures. Data gathering from the mentioned sensors reveals potential issues and accidents related to contaminations. By which, companies can promptly implement proper remedies.
Final words: IoT applications might not be a weird concept in the global market. However, not every firm own sufficient ability to combine IoT in their business. In fact, IoT solutions require a high level of technology involvement. It is time to get an assistant from a professional software development company. Vietnam Outsourcing market hot highly recommended for IoT innovations. In which, firms can find the most suitable partners to fulfil their IoT plan.