thought for food

Innovate or Die?


The competitive environment for UK food manufacturers has never been fiercer, driven by such phenomena as globalisation and retailer consolidation. In this scenario many businesses go into “survival” mode, focussing on costs, supply chain efficiency and factory utilisation. Incremental innovation (variants and line extensions) may continue to take pace, but thoughts of breakthrough innovation (i.e. new business streams) usually go on the back burner.

A strategy of cost reduction is a necessity, but it is only a winning strategy if you can achieve “lowest cost producer” status in your category, something a UK-based manufacturer finds difficult to achieve in the face of global competition. The only other strategies for winning are supply chain domination (rare), creation of niche markets (i.e. new differentiated offerings) or competitive advantage through ownership of intellectual property. The latter two depend upon real innovation, and here new science & technology can play a vital role in sustained competitive advantage.

The food industry increasingly recognises the vital role of genuine innovation in business strategy, and Food Chain CIC is well placed to be a strategic “partner in innovation” for food science & technology.

Further Information
Contact Dr Arthur Day, Industrial Member, Food Chain CIC Steering Committee and Former Head of Innovation, Nestle Rowntree on 0113 343 7593 or via email