Food and beverage manufacturers are under great pressure from
both the external environment and the markets. Here is what you
need to know and do in order to succeed.
Slow market growth both locally and nationally, raw material
price fluctuations, international agreements, the strength of the
dollar, health and environmental standards requirements, new
technology, provincial, national and international policies, among
other factors, have a profound impact on the food and beverage
manufacturing and distribution sector, which is Canada's second
largest industry .
Businesses are facing growing worldwide competition.
Consolidation has given the retail and wholesale distribution
channels significant leverage over small and medium businesses, and
consumer tastes and demands are changing rapidly, giving rise to
new and even more widely scattered market segments.
Manufacturers must constantly assess the effects of these
factors and, furthermore take advantage thereof. Successful
entrepreneurs will understand how their companies can benefit from
seemingly insurmountable obstacles and turn them into
In fact, opportunities abound, but is your company prepared and
ready to stand out so as to be able to reach its business
Since time and money are scarce and non-renewable resources, a
strategic planning exercise and initiative involving an
organization's managers and directors will help minimize
strategic errors, thus avoiding operating blindly and without a
roadmap. A strategic planning exercise allows for making
fundamental decisions on the company's future. The business
environment is more complex and profitability is often elusive; in
Canada, the industry has posted an average annual growth rate of
2.6% from 2004 to 2011, with an average net earnings increase of
2.7% per year.
Clearly, the complexity of today's business world requires
companies to develop a strategic vision to help them stand out,
often based on their approach to innovation. Competitiveness
depends in large part on the ability to offer innovative products.
At the MNP Round Table organized in collaboration with CTAC , food
industry leaders reiterated the importance of innovation and
emphasized the importance of greater collaboration.
How will your company position itself? In what markets? With
what kind of products? What are the available resources? What
opportunities would benefit your company in the current
environment? The following examples offer avenues for
Innovation lies at the heart of the process of adapting to new
realities; it can focus on products, processing methods,
distribution, marketing, etc.
The rigorous food safety standards our companies must comply
with certainly provide us with a competitive advantage in several
Many countries offer good opportunities for growth; China
represents a very promising market for some products, Russia and
Mexico for others, etc.
New niche segments, focused on ethnicity, convenience,
pleasure, non-GMO foods, health, gluten-free, trans fat-free, etc.,
are all experiencing solid growth in several markets.
Once strategic planning is complete, it's important to make
sure the plan can be executed. Implementation remains the
cornerstone of any strategic planning process. Success depends as
much on the quality of the planning as on the practicality of its
execution. Is your company able to adapt to change? How can you
mobilize your human resources? Is your current business model
viable given today's reality?
Given all these factors, how can our companies not only survive,
but grow and prosper? The answer is as follows: First, you need a
clear vision of your role, your position on the world stage and
your goals; then it's a matter of planning and putting into
place an innovative plan that will help you stand out. In short,
it's up to you to position yourself accordingly.
Effective September 1, 2016, the Disposition of Surplus Real Property Regulation to the Ontario Education Act was amended with the intention to reduce barriers to the formation of health and community hubs in Ontario.
Health Canada is proposing to change the way that it regulates non-prescription drugs, natural health products and cosmetics in Canada, which will now be referred to collectively as "self-care products."
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