Food & Beverage CFO Challenges

A recent study performed by Plante Moran and The Ohio State University Fisher School of Business takes a look at the challenges that food and beverage CFOs are facing in today’s market.  With soft demand and rising commodity prices, hedging is one of the leading issues for mid-sized companies followed closely by escalating labor costs in food manufacturing.

Source: GE Capital

The study identifies three “key growth ingredients” for food and beverage companies to maintain their competitiveness.  First, consumers tastes are changing which is forcing more product innovation to remain relevant and competitive.  Developing new products that taste great, promote good health, and come from sustainable resources is important, but they must also be profitable.  Compliance issues are also an important factor, and one that can drive costs into the production and supply chain.  Finally, understanding the effects of changing commodity prices, go-to-market and labor costs is paramount to remaining competitive.

Source: GE Capital

To read more of GE Capital’s study, click here.  And to learn about how ImpactECS helps food and beverage companies get a better understanding of their costs and profits, visit our Food & Beverage overview.