Food Shippers Blog

Food Brands Build Future-Ready Supply Chains

Written by Brian Everett | Jul 7, 2025 5:48:54 PM

With today’s global disruption, rapid technological change, and elevated customer expectations, the concept of a “future-ready supply chain” has shifted from a visionary concept to a strategic necessity for leading food brands. Food companies are reimagining their supply chains—not just to survive, but to thrive amid rapidly changing uncertainty.

A future-ready supply chain is one that is agile, resilient, digital-first, and purpose-driven. It adapts swiftly to disruptions, leverages data and automation, operates sustainably, and delivers meaningful value to both customers and stakeholders.

Core Pillars of a Future-Ready Supply Chain

More and more, supply chain leaders are prioritizing capabilities that will ensure the success of their supply chains of tomorrow. Food Chain Digest has looked at some of the most successful food chains to identify six key pillars that form the foundation of such a supply chain.

1. Agility and Adaptability. Agile supply chains can pivot in real time. Whether it’s a geopolitical shift, a spike in demand, or a material shortage, future-ready supply chains quickly adjust sourcing, production, and logistics to meet evolving needs. One of North America’s leading branded food companies, Chicago-based Conagra Brands, takes pride in combining a 100-year history of making quality food with agility and relentless focus on collaboration and innovation. The company, along with some of its peers in the snack segment, has been facing slowing demand in an uncertain economy.

To adapt, Conagra has been offering promotions to keep demand intact.

Conagra’s CEO Sean Connolly addressed the supply chain disruptions impacting the company’s frozen and refrigerated food segments on a recent earnings call: “While shipments lagged consumption largely due to the discrete supply constraints we announced in February, we are making solid progress in restoring inventory and improving customer service levels.”

2. Digital Enablement. From AI-driven demand forecasting to IoT-enabled inventory tracking and blockchain-powered transparency, digital transformation is at the heart of modern supply chains. Real-time data enables smarter, faster decision-making.

PepsiCo is one of many leading food brands leveraging the digital supply chain. For example, the company is using AI and predictive analytics to forecast demand across SKUs and regions, optimize routes and delivery schedules, and adjust inventory in real time based on sales and supply conditions. PepsiCo also has integrated smart factory technologies, including IoT sensors, robotics, and automated production lines into many of their plants. These enhancements have resulted in reduced downtime, improved yield and quality, and provide real-time data for better decision-making.

PepsiCo also uses digital control towers to monitor its entire supply network, including supplier performance and logistics movements. This supports faster responses to disruption and better transparency.

“Digitalizing our company by leveraging cutting-edge technologies, such as artificial intelligence and machine learning, to gain more consumer insights and analytics, develop faster and more agile forecasting, and deliver better execution and performance from the plant to the shelf,” says Ramon Laguarta, PepsiCo’s Chief Executive Officer. “Accelerating and expanding our productivity, with more automation at our plants and warehouses to empower frontline decision making, greater optimization across our transportation and fleet network, and greater focus on cost management and eliminating waste.

3. Resilience and Risk Mitigation. Organizations are moving away from cost-optimized, just-in-time models and building in redundancy. Some are diversifying sourcing to avoid over-reliance on a single supplier or region, while others use modular plants and automation to allow quick adaption to supply chain needs.

“Our decentralized structure means we have deep local expertise. With short, integrated supply chains, we are close to consumers, our partners and the farmers that provide our raw materials,” says Laurent Freixe, Chief Executive Officer with Nestlé. “Our leaner Executive Board structure will increase simplicity, speed up decision-making and strengthen the momentum behind global initiatives, as we build on the strengths of our people for consistent in-market execution.” This business approach underscores Nestlé’s strategic advantage stemming from its localized manufacturing footprint, which enhances its ability to mitigate risk and withstand global trade fluctuations and tariffs.

4. Sustainability. Supply chains account for over 90% of many companies’ environmental impacts. Future-ready models emphasize regenerative agriculture, decarbonization, responsible sourcing, and circular packaging. Transparency and traceability are non-negotiable.

Unilever has long been a pioneer in sustainability efforts, with ambitious goals such as net-zero emissions by 2039 and zero waste to landfill in its production. The company focuses on responsible sourcing, reducing carbon emissions, and promoting ethical practices across its value chain.

In fact, when it comes to sustainable sourcing, over 60% of its agricultural raw materials come from sustainable sources. With climate-positive actions, Unilever is targeting a 50% reduction in carbon emissions by 2030. In the area of water resource management, the company has made significant progress in reducing water usage in manufacturing, particularly in water-scarce regions. When it comes to packaging innovation, Unilever has committed to reducing plastic waste by making their packaging recyclable or reusable.

5. Customer-Centricity. Consumer demand is shifting toward personalization, speed, and social responsibility. Future-ready supply chains respond with direct-to-consumer models, last-mile innovation, and tailored experiences.

“The journey we’ve been on to improve how we serve our customers and members while changing the shape of our business continues,” says Doug McMillon, President and Chief Executive Officer with Walmart. “The success we’re seeing is made possible by the hard work and dedication of our associates from around the world. We’re people and technology. We’re stores and eCommerce. We’re innovation and execution. We believe the combination of a purpose-driven, people-centric culture and world-class technology is the winning formula.”

6. Workforce Talent Management. Digitization brings opportunity but also fills a skills gap. Leading companies are investing in workforce upskilling, inclusive leadership, and new ways of working to stay competitive.

“The demand for top talent in supply chain is at an all-time high,” says a recruiting executive at Korn Ferry, a global organizational consulting firm that serves the supply chain industry. “Companies are looking for professionals who not only have traditional skills but also the ability to innovate, manage disruptions, and leverage technology to drive efficiency. Supply chain talent has become one of the most critical factors in determining a company’s competitive edge.”

Integrate These Pillars Into Your Supply Chain

Leading brands such as Conagra, PepsiCo, Nestlé, Unilver and Walmart place the customer at the center of their supply chain strategy and operations by prioritizing responsiveness, quality, efficiency, sustainability, and transparency. These strategies help ensure that the products customers want are available when they want them, while also meeting their evolving preferences and values.

By ensuring these six pillars are part of your supply chain strategy, you can not only anticipate future challenges but also turn them into opportunities for food chain growth and success.

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