Thirteen independent communications agencies have set up the Crisis Management Network to offer support to global food and drink industry players. This would include ingredients, flavours and raw materials, as well as big brands.
It was formerly the European Crisis Management Partnership but now includes Latin America and Australia, as well as Europe.
Recent European food scares include Salmonella in eggs and dioxins in animal feed, which lower consumer confidence in the food supply chain and regulatory agencies.
The idea of the network is to protect and enhance “the reputation of the corporation, brands and products by crisis preparation and communication”.
Chris Woodcock, heading the UK team, Razor and College Hill, told FoodNavigator.com that supply chain issues were “growing by the week, given the complexity of the supply chain and the increasing level of public scrutiny - plus the higher end user expectations of sustainable behaviour”.
She said: “Many food businesses have tried to optimise their business through outsourcing, consolidating suppliers, adopting Just-In-Time (JIT) or lean manufacturing techniques. Others have shifted production to low cost countries.
“All of these are sound and calculated commercial decisions. However, those choosing such options increase their risk profile and are more likely to experience supply chain disruption, primarily due to transport network and supplier insolvency.
“Meanwhile, for JIT/lean manufacturing, the trends show that adverse weather is often the main cause of issues that need inter-country management. Add labelling and declaration demands, and varying regulatory climates to this, and you have situations that can spiral out of control when being managed and communicated across country boundaries.”
Food and drink manufacturers also face sustainability issues with the potential for dangerously high levels of adverse media coverage and brand reputation damage.
Woodcock said: “Cross-country coordination and consistency are vital in addressing such issues and finding a credible and honest response. They need to work with a network of advisers who understand their local terrain but can also appreciate national differences and subtleties.”
She added that companies can protect themselves with regular risk assessment and mitigation actions, conducted with the Boardroom and as part of the annual business management cycle.
“The risk register needs structure and needs to be aligned with business growth priorities.”
One technique hailed as a useful tool by experts in crisis management is social networking and platforms such as Twitter and Facebook.
Meanwhile, the European Commission funds the FoodRisC project, which aims to map out the networks and information sources contributing to food risk and benefit communication in Europe.
It claims that common approaches and coherent messages can prevent the spread of misleading messages leading to “a reduction in the proportion of negative consumer reactions and unjust consequences for actors within the food supply chain”.