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Cost Control for Food Distribution and Processing

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:. CC4F MISSION STATEMENT .:

To provide information to the Food Distribution and Processing Industries at no charge to aid in the reduction of Operating Costs for that Community. This information will not be limited by subject but will attempt to cover all areas of operation that can hopefully see a reduction in operating costs using this information.


Paul Hernandez-Cuebas

 

Issue 350 - Quality Control and Traceability

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I recently met with a SQF consultant for lunch and he reviewed with me the hoops processors must go through to get certification. As we have discussed before major food chains are demanding SQF certification to do business. Well in his opinion the main reason for this demand is risk aversion from an insurance standpoint. Simply sated the insurance carriers who insure these large chains for liability want to remove as much risk as possible from their clients being sued for food safety issues. This makes a lot of sense from a financial standpoint. He went on to say when Walmart demanded SQF certification from their suppliers most major food retailers fell in line.

In talking to a Canadian colleague that specializes in traceability, which is a major part of the  SQF process, he said Canada is way ahead of the USA in Food Safety.  He feels their Government sees Food Safety as a major component of their strategy to become a world wide leader in food exports. He went on to tell me the Canadian government is giving grants to small businesses to implement Food Safety procedures and equipment.

In the last quarter I have seen a lot of interest in traceability from my market, so trend is up, demand is up, laws are in place and it is now becoming a necessity to do business.

Below is an update on where we stand from a Government standpoint entering 2012.

Paul H-C

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Tools to Cut Costs

Video Highlights

 Concern: Cost of Goods Sold doesn't give effective profit management.
VictualNet - THE Web-based alternative to installed-software for food distributors and processors to manage order entry and inventory.
VictualNet Features:
  Order Entry and Inventory Management
   For Food Distributors using QuickBooks

 

VictualNet Feature: Sales Analysis Cost

 

Solution:  To properly manage profitability in the food industry a sales management platform must support both a Cost of Goods Sold and a Sales Analysis Cost.  The Sales Analysis Cost allows managers to estimate the total cost of sale.  The ability to manage multiple cost streams enables you to maintain accurate accounting figures for your bookkeeper while providing realistic profitability for your sales managers.

 

Watch the video to see how easy VictualNet profit management when using a Sales Analysis Cost