Most supply chains are built around predictability. Manufacturers generally know what they'll produce, when production will happen and when products will be ready to ship. Planning is based on the expectation that inventory will be available when it's needed and orders will be fulfilled as expected.

Fresh produce doesn't offer that same level of certainty. Growers don't know exactly how much product a field will yield until harvest. Weather can delay harvesting by days. Product quality can vary from one shipment to the next, and transportation challenges can affect delivery schedules. Even after an order has been confirmed, the quantity that ultimately ships may change based on conditions outside anyone's control.

Those conditions have shaped the fresh produce industry for decades. They also require buyers and suppliers to work together differently than they would in a more predictable supply chain.

Planning for Constant Change 

In many industries, procurement begins with a purchase order and ends when that order is fulfilled. Fresh produce rarely follows such a fixed path.

The quantity a buyer wants to purchase may differ from what a supplier expects to harvest. By the time harvesting begins, available inventory may have changed again. Even after a shipment is confirmed, the final quantity delivered can still be different from what was originally expected.

Keeping products moving requires buyers and suppliers to communicate throughout that process. Purchase orders may need to be adjusted, inventory expectations updated and fulfillment plans revised as conditions change.

Some of the variables supply chain teams manage every day include:

• Harvest timing and crop yields
• Weather conditions
• Transportation availability
• Available inventory

These situations are part of the normal rhythm of the fresh produce industry. Processes that account for those changes help buyers and suppliers spend less time reacting as new information becomes available.

Better Visibility Leads to Better Decisions

Managing changing conditions becomes much easier when buyers and suppliers are working from the same information. If a supplier knows early in the day that available inventory has changed, sharing that information quickly allows buyers to adjust purchasing decisions before a short shipment creates a larger fulfillment issue.

The same principle applies throughout the fulfillment process. Understanding the difference between what was ordered, what was confirmed and what ultimately ships gives buyers a clearer picture of available inventory while reducing the need to reconcile information across emails, phone calls and spreadsheets.

Connecting buyers and suppliers through the same network gives both sides greater visibility into inventory, purchase orders and fulfillment status, making it easier to respond as conditions change. In some situations, that visibility also supports vendor-managed inventory by giving suppliers a clearer view of buyer inventory needs so they can help fulfill demand based on available supply rather than relying on repeated phone calls or emails.

Technology can also reduce the manual effort required to monitor changing orders and inventory throughout the day, allowing teams to spend more time responding to supply conditions instead of tracking them.

Looking Ahead

The fresh produce supply chain has never operated like a traditional manufacturing supply chain, and it shouldn't be expected to. As organizations continue evaluating how they collaborate with suppliers and manage changing conditions, improving visibility across partners can help teams respond with greater speed and confidence across the supply chain

To learn how iTradeNetwork helps buyers and suppliers build more connected supply chains, connect with our team.

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