Food Safety Management An Enterprise And Operational Level . - Deloitte

1y ago
11 Views
2 Downloads
2.50 MB
8 Pages
Last View : 2m ago
Last Download : 2m ago
Upload by : Jacoby Zeller
Transcription

Food safety managementAn enterprise and operationallevel risk perspective

Food safety An enterprise and operational level risk perspectiveBackgroundThe food and beverage industry continuesto evolve at an increasingly rapid pace.New government regulations, alongwith expectations from consumers andstakeholders, compel food manufacturers,restaurants, and grocery retailers (referredto throughout as food companies,companies, or organizations) to sharpentheir focus on food safety. These realitiescreate an increased awareness of andsensitivity to foodborne illnesses and recalls.Meanwhile, many companies struggle tofully understand food safety risks presentedby new and innovative—yet sometimesdisruptive—operating models, and how tomitigate these potentially unfamiliar risks.The structure and management of foodsafety programs at food and beveragemanufacturers, restaurants, and groceryretailers need to transform to navigatetoday’s food safety landscape.Companies can no longer rely on a singlefunction to own quality and food safetybecause, simply put, food safety is anenterprise-level risk. They need to embrace2the scientific, operational, and consumerperspectives of food safety if they want toidentify and mitigate the myriad risks facingtheir organization. This paper describes howcompanies can embrace food safety as anenterprise-level operational risk and thekey components needed in a foodsafety program.Food safety transformational changesThere is little doubt that the food industryis undergoing transformational change,from consumers redefining food safetyand increased government regulationand enforcement to evolving operationalstrategies and models required tomaintain relevance in today’s environment.Consumers are concerned not only aboutthe immediate effects of food-borneillness or physical contamination—theyalso increasingly factor potential long-termeffects of foods and ingredients into theirbuying decisions. Further, consumer trendsbring focus to health and wellness, supplychain transparency, local sourcing, freshand minimally processed foods, andsocial impact.Meanwhile, the US Food and DrugAdministration (FDA) recently finalizedseven rules to implement the FoodSafety Modernization Act (FSMA), whichbecame law in 2011. FSMA representsthe most significant change to US foodsafety regulations in over seven decades.Importantly, FSMA brings clear focus on thefood supply chain, in-plant and in-transportfood safety controls, verification of foreignsuppliers’ food safety programs, andprovides the FDA with authority to pursuecriminal prosecution of companies andcompany officers or employees.As if changing consumer trends andincreased government regulation weren’tenough, each participant in the farm-to-forkcontinuum faces tremendous pressure toreduce costs and to achieve this in the faceof consumers demanding more varietyand customization. Food manufacturersoften turn to outsourcing arrangementsto maximize efficiencies and reduce costs,while restaurants and retailers must bequick to adapt to rapidly changing consumertastes. Cost-reduction and efficiencyimprovement initiatives have becomea normal—and necessary—operational imperative.

Food safety An enterprise and operational level risk perspectiveAn enterprise and operationalrisk food safety perspectiveFood safety should be championedand governed at the enterprise level toproperly manage the operational risks toan organization. The food safety programshould contain four components: enterpriserisk and compliance management, supplierand service provider risk management, foodsafety process controls, and analytics toand monitor existing and emergingoperational risks.Operational risk based foodsafety programOrganizations should include four keycomponents to develop and implement anenterprise-level operational food safety riskmanagement program (see Figure 1).Figure 1. Components of a food safety programFood ProgramSafeEnterpriseMan Comagem pliaentenclier & ServiceSupporP vider RiskManagementFossroceyPfet lsSa ntrood CoMoving from a purely scientific approach toone that incorporates scientific, operational,and consumer perspectives to identifyand manage food safety risks is no smallundertaking. Many companies understandthe scientific basis for identifyingmicrobiological, chemical, and physicalhazards in their foods. Howerver, identifyingfood safety operational risks is more difficultbecause of the rapid external changesoccurring in the industry. Operational risksgo beyond regulatory compliance; theyinclude customer, brand, supplier, andprocess risks posed to the organization.AnalyticsAligned . Responsive . TransparentProgramA comprehensive andintegrated safe foodprogram .ProcessProduct with a full featured set ofmanagement and operationalcontrols integrated into foodprocesses that is tailored to the specificrisk and requirements of eachproduct category.Consistently and reliably delivering quality and safe food services to our customersEnterprise compliance managementA risk and compliance program for foodcompanies assesses the company’sperformance against regulatoryrequirements and internal standards. Itshould align with the company’s enterprisecompliance management program,which includes identifying, assessing,and mitigating compliance risk. Whenidentifying potential risks for the company,it’s important to look across several factorsto gain a holistic perspective on the state offood safety compliance. Figure 2 discussesthe factors that should be assessed andhow they relate to food safety compliance.The diagram illustrates that the food safetyculture of the company is the central pointfor a food safety compliance program.3

Food safety An enterprise and operational level risk perspectiveFigure 2. Food safety compliance framework componentsCulture and strategyFramework componentsGovernancePosition food safetycompliance as a controlfunction in key risk/rewardand strategic decisionsenterprise-wideCreate and designorganizational structuresand processes throughwhich the board ofdirectors, executivemanagement, andCompliance leadershipand professionals design,implement, maintain,assess, and oversee thefood safety complianceprogramRegulatoryinteraction &coordinationEstablish routinedialogue with criticalregulatory stakeholders,both domestic andinternational, or with aregulatory communicationgroup specifically set upwithin an organizationEstablish the protocolsand scope of servicesfor who within theorganization engageswith regulators and howthat engagement processworksMaintain an enterprisewide view of recent andplanned food safetyexamination activitiesCommunication,awareness &trainingEstablish communicationprotocols with all foodsafety compliancestakeholdersFacilitate timelycommunication in thewake of business and/orregulatory changes basedon a proactive food safetycommunication planUpdate and facilitatecompliance training, asneeded, throughout theorganization, based on adefined training planEscalation,investigation &resolutionInvestigate issues raisedby employees through“speaking up” programsand other channels;prioritize remediation;and assign accountabilityfor the completion ofremediation activities anddisciplinary requirementsEstablish a consistentset of standards bywhich food safety issuesare identified, ranked,managed, and resolvedData,measurement &reportingEstablish organizationalfood safety compliancereporting requirements,including defining andregular reporting of KRIsand KPIsAssign standardcompliance metrics thatare tracked and managedover timeEstablish reportingmethodology to seniormanagement and theboard related to customercomplaintsMonitoring &testingPerform independentand periodic foodsafety monitoring andtesting of compliancecontrols, based upon anestablished scope andcadenceEstablish testingprograms within theCompliance functionthat address both thedesign and operatingeffectiveness of keyfood safety complianceprogram elementsand controls and iscoordinated qualityassurance (QA) andquality control (QC)testingIdentify processes for theongoing monitoring of keyfood safety compliancerisks and early warningsof breakdownsRisk assessments& regulatorychangeDevelop a process andapproach to appropriatelymanage regulatorychanges (e.g., newlaws, regulations, andregulatory guidance)procedures are in place,and that regulatorychanges are identified andassigned/disseminatedto appropriate partieswithin the applicablelines of business andshared services functionsto update and refineother elements of thefood safety compliancemanagement program, asnecessaryPolicies andproceduresEstablish and socializebusiness operatingprinciplesAnchor policies,procedures, and relatedcontrols documentationto regulatory requirementand guidanceDefine and documentfood safety compliancepolicies and standards,including the frameworkfor identifying, assessing,controlling, measuring,and monitoring risksacross the organizationEstablish and maintainlibrary of the company’sproducts and processesSupplier and service provider riskmanagementA supplier and service provider riskmanagement program is a foundationalcomponent for a food safety program.Suppliers and distributors provide acompany with the inputs needed toproduce the product and the means tosend products to consumers or customers.Along the supply chain, there are manyopportunities for food safety risks tooccur. A supplier and service provider riskmanagement program is needed to helpidentify and mitigate risks that may occurfrom suppliers or distributors. Figure 3below highlights the five primary stages thatshould be included to mitigate those risks.As mentioned in the compliance frameworkand demonstrated in Figure 3, a suppliermanagement program needs a foundationof food safety culture and governance.4

Food safety An enterprise and operational level risk perspectiveFigure 3. Supplier and service provider risk management programFood safety process controlsFood safety process controls must be inplace at the operational level to ensure thatthe food being produced meets regulatoryand organizational requirements and is safefor consumers. These controls are identifiedafter a hazard analysis has been completedby the company to identify and assess thefood safety risks associated with the specificingredients used and the processes inwhich their food is prepared. Examples offood safety process controls are thermalprocessing with prescribedcook time and temperature, foreign materialidentification, employee hygiene practices,product traceability, and allergen labelingand storage requirements.Once controls are established there needsto be management oversight to verify thatcontrols are being performed and areeffective to mitigate the risks. Managementcan consider using technology to providethem with near real time visibility ofrisks and control effectiveness throughdashboards and analytics.AnalyticsAnalytics is the fourth component neededin an enterprise-level food safety program.Analytics bring data to life for companyexecutives. It provides quantitative resultsthat show how each of the other food safetycomponents—compliance, supplier andservice provider risk management, and foodsafety process controls—are performingacross the organization. Analytics canprovide insight into an organization's foodsafety program across several risk domainsto help executives make real-time decisionsusing unbiased and quantified information(see Figure 4).Figure 4. Risk sensing domainsRisk domainDescriptionBrand/reputationConsumer sentiment that can influence company perception and valueMacro/externalFactors outside the organization that can impact business operationsThird-partyVendors in the supply chainwho can present unanticipated risksFraud/counterfeitManipulation of product or business integrity, such as vendor collusion, adulteration, or copyingOperational executionAreas to improve efficiency or effectiveness of controls in operational processesSafety and qualityVulnerabilities influencing operations, merchandising, withdrawals, and recallsRegulatoryNew or emerging global and local regulations that can influence the product life cycle5

Food safety An enterprise and operational level risk perspectiveAn aligned, responsive, and transparentfood safety programAn enterprise-level food safety programthat contains the four program componentsand is aligned, responsive, and transparentallows it to be agile to both internal andexternal pressures and proactively identifyand manage risks.AlignmentHaving a food safety program alignedto a company’s business strategy andobjectives assists in helping food safety bea cornerstone of the organization’s mission.Food safety initiatives, including those toidentify and mitigate new operational risks,should receive the necessary budgets, focus,and resources when the work is aligned tothe overall objectives of the organization.Additionally, food safety can be incorporated6into other company initiatives that impactfood safety or provide management ofknown operational risks.ResponsiveA responsive food safety program isessential if a company is to efficiently andeffectively respond to market forces thatimpact the food and beverage industry.By having an enterprise-level food safetyprogram, organizations can more quicklyanalyze and assess performance and makechanges to the food safety program tomitigate risks or respond to market forces.Companies need to be responsive to avariety of market forces includingsupply chain disruptions, new productlaunches, consumer preferences,government regulations, and foodsafety control measures.TransparencyTransparency across the enterprise isa vital necessity to identify food safetyoperational risks proactively. Whenexecutive leadership is involved with thefood safety program, they have timelyvisibility into how the organization and itsextended enterprise are performing againstfood safety requirements. They should havevisibility into suppliers and the risk profilepresented by the specific food supplied andthe supplier. Visibility into distribution andlogistics providers employed to move theproduct throughout the supply chain shouldalso be afforded. The opportunity to reviewand understand food safety performancein the extended enterprise can allow thecompany to understand the potential for afood safety failure and develop mitigationplans before an event occurs.

Food safety An enterprise and operational level risk perspectiveAbout usDeloitte Risk and Financial Advisory offersThese include:insights to help clients transition to an Deep subject matter specialists in diverseenterprise-level food safety program andareas of food and beverage operations,develop and implement the critical elements.including food safety, supply chain, quality,We’ve been where you are—in the fields, onresearch and development,manufacturing plant floors, in restaurantand regulationskitchens, in backrooms and delis of grocery Industry-leading field examinationstores, on trucks, and in warehouses andcold storages. We know your business and the processes and people to execute multidimensional field reviews of suppliers andchallenges you face.operational facilitiesDeloitte Risk and Financial Advisory has Technology solutions that providea portfolio of capabilities, services, andexecutives with dashboards to view how thetechnologies designed to help your companycompany and its extended enterprise areconsistently deliver safe food to consumers.performing against food safety standardsContact usTom McGinnisPartner Deloitte Risk and Financial AdvisoryDeloitte & Touche LLP 1 313 396 3309tmcginnis@deloitte.comGlenn YauchPrincipal Deloitte Risk and Financial AdvisoryDeloitte & Touche LLP 1 312 486 4477glennyauch@deloitte.comRebecca ChasenPartner Deloitte Risk and Financial AdvisoryDeloitte & Touche LLP 1 617 437 2315rchasen@deloitte.comGregory SwinehartPartner Deloitte Risk and Financial AdvisoryDeloitte & Touche LLP 1 212 436 2089gswinehart@deloitte.com7

Advanced credit risk rating platform: A launch pad for better risk managementAs used in this document, “Deloitte Risk and Financial Advisory” means Deloitte& Touche LLP, which provides audit and enterprise risk services; DeloitteFinancial Advisory Services LLP, which provides forensic, dispute, and otherconsulting services; and its affiliate, Deloitte Transactions and Business AnalyticsLLP, which provides a wide range of advisory and analytics services. DeloitteTransactions and Business Analytics LLP is not a certified public accountingfirm. These entities are separate subsidiaries of Deloitte LLP. Please see www.deloitte.com/us/about for a detailed description of our legal structure. Certainservices may not be available to attest clients under the rules and regulations ofpublic accounting.This publication contains general information only and Deloitte Risk andFinancial Advisory is not, by means of this publication, rendering accounting,business, financial, investment, legal, tax, or other professional advice orservices. This publication is not a substitute for such professional advice orservices, nor should it be used as a basis for any decision or action that mayaffect your business. Before making any decision or taking any action thatmay affect your business, you should consult a qualified professional advisor.Deloitte Risk and Financial Advisory shall not be responsible for any losssustained by any person who relies on this publication. 2017 Deloitte Development LLC. All rights reserved.8

The structure and management of food safety programs at food and beverage manufacturers, restaurants, and grocery retailers need to transform to navigate today's food safety landscape. Companies can no longer rely on a single function to own quality and food safety because, simply put, food safety is an enterprise-level risk. They need to embrace

Related Documents:

Types of food environments Community food environment Geographic food access, which refers to the location and accessibility of food outlets Consumer food environment Food availability, food affordability, food quality, and other aspects influencing food choices in retail outlets Organizational food environment Access to food in settings

Food Safety Risk Assessment Guide 7 Council’s food safety risk assessment program sets high standards of educating and assisting local food businesses to improve on food handling practices and reduce the incidence of food-borne illness. The food safety risk assessment supports food businesses by: incorporating a risk management approach

Food Preparation, Food Safety & Sanitation NOTE: This presentation is about food safety & sanitation practices in general. It does not relate specifically to the specific food safety & sanitation requirements of the Cottage Food Law Photo: National Presto Industries “Partially funded by a California Department of Food and Agriculture /p div class "b_factrow b_twofr" div class "b_vlist2col" ul li div strong File Size: /strong 2MB /div /li /ul ul li div strong Page Count: /strong 62 /div /li /ul /div /div /div

Food Fraud and "Economically Motivated Adulteration" of Food and Food Ingredients Congressional Research Service 1 Background Food fraud, or the act of defrauding buyers of food and food ingredients for economic gain— whether they be consumers or food manufacturers, retailers, and importers—has vexed the food industry throughout history.

Your best food safety protection comes from creating a culture of food safety. Together We Can Build Food-Safe Schools Creating a Culture of Food Safety PART 3 Be a resource & enlist the support of your school community PART 2 Learn more and link to resources for specific food safety areas PART 1 Assess your food safety efforts

A site’s achievement of SQF food safety certification indicates a commitment to: 1. Produce safe, quality food. 2. Comply with the requirements of the SQF Code. 3. Comply with applicable food legislation. By implementing an SQF Food Safety Management System, sites become equipped to address a buyer’s food safety and quality requirements.

Types of Food Safety Plans There are three types of food safety plans that can be used to control food safety hazards in your establishment: recipe, flowchart and process based. Recipe Based Food Safety Plans Recipe based food safety plans incorporat

analisis akuntansi persediaan barang dagang berdasarkan psak no 14 (studi kasus pada pt enseval putera megatrading tbk) kementerian riset teknologi dan pendidikan tinggi politeknik negeri manado – jurusan akuntansi program studi sarjana terapan akuntansi keuangan tahun 2015 oleh: novita sari ransun nim: 11042014