Thursday, May 1, 2025

Outdated systems slowing innovation in the food sector, research finds

A new study by TraceGains has revealed that the food and beverage industry is struggling to modernise, with many businesses still relying on outdated tools like spreadsheets, fax machines, and email to manage critical operations.

The report, which surveyed 165 senior leaders in food safety, quality, and innovation, found that 69% of companies continue to use manual processes, despite 82% identifying technology adoption as a top priority.

However, digital transformation efforts remain stalled. Around 60% of organisations are stuck in the implementation phase due to system complexity, limited internal resources, and reliance on legacy consulting models. Nearly a third of respondents admitted their current operational methods are inefficient, which increases risk and reduces agility.

While economic uncertainty is a key concern for 62% of respondents, regulatory compliance is also a major driver for tech investment. About 24% said they would accelerate purchasing decisions to meet compliance demands.

Speed and usability have overtaken traditional return-on-investment metrics in importance. Over half of decision-makers (57%) now cite implementation speed and process efficiency as their main reasons for adopting new tools. Only 22% place the highest priority on cost.

TraceGains recommends businesses begin digital upgrades by centralising supplier and ingredient data, enabling quicker wins and a scalable path to broader digital maturity.

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