Market Update
DIGITALIZATION
IN THE BEVERAGE
INDUSTRY
By : ANU BHUSHANI - R&D Manager, Pellagic
Food Ingredients Pvt. Ltd. Bangalore
I
n the world of
digitalization, our
day-to-day activities
are either directly or
indirectly dependent
on technology. Digitalization
has a pivotal role in many
industries and businesses,
including the food and
beverage industry. So what is
digitalization? Digitalization is
the use of digital technologies
such as big data analytics,
IoT (internet of things),
artificial intelligence, IT/OT
convergence, blockchain,
digital twin, robotics, etc., to
optimize business models,
thereby providing scope for
overall profit.
The needs and challenges
faced in a food and beverage
industry are unique in their
own way. For instance, in
any F&B industry, there
is a requirement for
differentiated stock keeping
unit and detailed end-to-
end traceability record for
all ingredients used in the
product. The key areas that
can benefit from digitalization
are as below:
• Supply Chain: Today’s
consumers demand
information about the
product they consume and
its supply chain. Digitalization
can aid in farm-to-fork food
tracking by using blockchain
technology, IoT and advanced
analytics. Alcoholic drinks
are exempted from EU rules
in revealing the ingredients
and nutritional information
in their label. However,
distilleries are starting to
adapt blockchain technology
to gain buyer’s confidence
regarding the ingredients of
the product. For instance,
Ireland craft beers use
blockchain technology to
provide information on the
making of their beer to the
consumer. Similarly, IoT
and advanced analytics are
used to track the product
specifications (temperature,
moisture, etc) during transit
and trigger alarms if any
deviations are recorded.
• Production: The concept
of ‘smart factory ’ (also
known as industry 4.0 or
fourth industrial revolution)
is gaining attention among the
beverage manufacturers. In a
smart factory, cyber-physical
systems, internet of things
(IoT), cloud computing and/
or cognitive computing, are
used to automate the entire
production process. Here,
machines are augmented
with web connectivity and
connected to a system that can
schedule production process
and also provide scope for
predictive maintenance.
Based on the dynamic market
requirements, production
quantity can be easily
manipulated in a smart factory
setup. Apart from this, the
use of conventional robots
and collaborative robots
(cobots) have promising roles
in the non-alcoholic beverage
industry.
• Inventory and Warehouse
Management: The alcoholic
and non-alcoholic beverage
industries face ever-shifting
demand for products and this
compels companies to turn
to automated warehouse
management systems.
An automated storage
Attractive packaging and
informative labelling are
important aspects of product
marketing and sales
Drink Asia
14
September-October 2019