Food Industry: Third-Party Logistics and Warehousing

Tighe Logistics is a full-service 3PL that provides tailored warehousing and logistics solutions to help food companies like yours better serve your customers and control costs.

Overview

In the food industry, logistics plays a crucial role in ensuring the seamless movement of product all the way from farm to table, producers to consumers. Efficient logistics operations are vital for maintaining the quality and safety of dry goods, canned goods, packaged goods, and raw materials for food manufacturing. From procurement and transportation to warehousing and distribution, every step in the logistics process impacts the availability and freshness of food products on store shelves. By leveraging advanced logistics strategies, the food industry can optimize supply chains and reduce costs.

In today’s fast-paced market, where grocery chains, restaurants, and food manufacturers demand precise and reliable delivery, having the right logistics partner for warehousing and distribution is paramount to success. Efficient logistics not only supports the operational efficiency of food companies but also enhances customer satisfaction by ensuring that products are delivered on time and in perfect condition. Find out more about the vital role the right 3Pl (third-party logistics) partner plays in the food industry:

Trends
Supply Chain Pains and Challenges
Industry Sub-Segments
Critical Requirements
Tighe Logistics: Food Industry Capabilities and Service
Tighe Logistics: Dedicated to Food Safety and Compliance
Why Tighe: Centrally Located to Serve New England
Key Metrics and Performance to Expect from TIghe
Case Studies

Major Trends in the Food Industry

In the rapidly evolving food industry, staying ahead requires embracing key trends that are reshaping the industry and the approach to warehousing and logistics. Among these transformative trends – which are happening in other industries as well – you’ll find a focus on increased customer satisfaction and more integrated supply chains. The use of technology is expanding as well, whether to help ensure food safety quality, predict demand and gain efficiencies through greater use of analytics or enabling the expansion into diversified channels, including traditional retail and e-commerce. Taken together, these trends are crucial for navigating the complexities of the modern food supply chain.

Customer Centricity

Putting the customer at the center of supply chain strategies is becoming increasingly important – and the food industry is no exception. With razor thin margins and intense competition, food companies are looking to tailor services to meet their customers’ demands, such as fast delivery times or delivery within precise windows, product availability on demand, direct-to-consumer delivery and enhanced transparency. This trend emphasizes creating a seamless and satisfying customer experience throughout the entire supply chain.

Integrated Supply Chains Across Partners

With supply chains becoming increasingly complex, collaboration and integration among all supply chain partners is critical. Food companies look for 3PLs that can ensure smooth communication and coordination between suppliers, manufacturing facilities, and retailers. This leads to improved efficiency, reduced costs, and a more responsive supply chain capable of adapting to changes in consumer preferences and promotions.

Food Assurance

Ensuring the safety, quality, and integrity of food products is paramount – any problems or mistakes can be disastrous to a food company’s reputation. The industry requires stringent food safety standards, robust quality control measures, and comprehensive traceability systems – and the technologies to support these. This trend highlights the importance of compliance with regulations and maintaining consumer trust by preventing contamination and ensuring the consistent quality of food products.

Predictive Analytics

Advancements in data analytics to forecast and optimize supply chain operations are relentless. Where once warehouses simply took products in and sent products out, data, automation and predictive analytics have become king. Technology is helping 3PLs, food manufacturers and grocery retailers predict and manage demand and inventory levels, as well as streamline logistics processes. These kinds of analytics help food companies and their 3PLs make more informed decisions, reduce waste, and enhance efficiency.

Diversified Channels

Expanding and managing multiple sales and distribution channels is critical in the food industry. Catering to a wide range of consumer preferences is being achieved by integrating traditional retail, e-commerce, direct-to-consumer, and other emerging channels. These channel trends require flexible logistics solutions that can handle the complexities of serving different types of markets and customers efficiently.

Supply Chain Pains and Challenges

The supply chain in the food industry faces numerous challenges, particularly when dealing with dry goods, canned goods, packaged goods, and raw materials being delivered just-in-time to food manufacturing facilities. These challenges can impact the efficiency, cost-effectiveness, and reliability of the supply chain. Here are some of the primary challenges that companies face when looking for a warehousing and distribution partner:

Quality and Safety Management

Ensuring proper storage and handling to maintain quality and safety is critical. Whether its bulk materials or products ready to be stock on grocery store shelves, all products must be handled carefully to avoid physical damage that could compromise their integrity and safety.

Transportation and Logistics

With such a wide variety of types of goods —- from bulk materials like grains to packaged goods in boxes, bottles or cans that go on grocery store shelves —- quality control and careful handling are extremely important in the food industry. What’s more, raw materials for food manufacturing — such as delivering flour to a manufacturer of baked goods — often require a JIT approach.

Regulatory Compliance

The food industry is heavily regulated to ensure safety and quality. Compliance can be complex and requires meticulous documentation, stringent adherence to standards, and the ability to track and provide data for reporting.

Visibility and Traceability

Ensuring complete visibility and traceability throughout the supply chain is crucial for managing recalls, quality control, and consumer trust. Food products have additional tracking demands, with freshness, nutrition, lots and expiration dates to consider.

Inventory Management

Balancing food inventory levels to avoid both stockouts and overstock situations is challenging. This requires accurate demand forecasting and efficient inventory management practices.

Cost Control

In an industry with razor-slim margins, managing the costs of transportation, storage and handling is vital. Managing these costs while maintaining high standards of quality and safety is an ongoing balance for most companies operating in the food industry.

Supply chain complexity

Managing a supply chain involves dealing with diverse suppliers, a variety of product and geographic-specific regulations, and shifts in consumer preferences, all of which add to the complexity.

Addressing all of these food industry challenges requires a comprehensive approach, leveraging advanced technologies, efficient processes, and strategic planning to ensure a resilient, efficient supply chain.

Food Industry Sub-Sectors

Foods that can be stored at ambient temperatures

Controlled, dry, and ambient-temperature warehouses are designed to store food products that do not require refrigeration or freezing. These warehouses maintain a stable temperature and humidity level to ensure the integrity and safety of the stored goods. Here are the different types of food products that can be handled by dry, ambient temperature warehouses:

Dry Goods

Grains, including wheat, oats, barley, cornmeal, etc.
Flours and baking mixes
Dried pasta and noodles
Dried rice, legumes and peas

Pantry Staples

Oils and vinegars
Condiments and sauces
Jarred products, like jams, nut butters, pickles
Spices, herbs and seasoning mixes

Canned Goods

Canned Vegetables and Fruits
Meat and Fish
Soups and Stews
Beans and Legumes

Packaged Foods

Snacks, including chips, pretzels, crackers, etc.
Confectionery and candy
Baking supplies, including sugar, salt, baking soda, cocoa powder, etc.
Cereal bars, granola, and packaged breakfast cereals.
Dried fruits, nuts and seeds
Instant noodles, instant soups, dehydrated foods and meals

Baked Goods

Shelf-Stable Breads
Pastries and Cookies

Beverages

Non-Perishable Drinks
Coffee and Tea

Dry ambient-temperature warehouses are equipped to handle these diverse types of food products, ensuring they are stored in optimal conditions to maintain their quality, shelf life, and safety until they reach the end consumer.

Critical Requirements Food Companies Look for in 3PL and Warehousing Providers

When food companies seek a third-party logistics (3PL) provider, they typically look for several key requirements to ensure efficient and safe management of their goods. Here are the primary requirements food companies consider:

Food Safety and Compliance

Regulatory Compliance: Adherence to food safety regulations such as FDA, FSMA, and other relevant standards.
Certifications: Possession of certifications like HACCP, AIB….
Sanitation and Hygiene: Strict hygiene and sanitation protocols to prevent contamination and ensure the safety of stored products.

Facility Specifications

Temperature Control: Consistent maintenance of ambient temperature and humidity levels appropriate for dry food storage.
Pest Control: Effective pest control measures to protect against infestations.
Security: Robust security systems including surveillance cameras, access controls, and alarms to prevent tampering or contamination.

Inventory Management

Real-Time Tracking: Advanced inventory management systems that provide real-time visibility into stock levels, locations, and movements.
FIFO/LIFO Systems: Implementation of First-In-First-Out (FIFO) or Last-In-First-Out (LIFO) inventory systems as required.
Packaging and expiration dates: Date tracking ensures products are shipped in the right order to avoid waste.
Accurate Reporting: Detailed and accurate reporting capabilities for inventory levels, stock movement, and order fulfillment.

Efficient Transportation and Handling

Efficient Transportation: Reliable transportation services that ensure timely delivery and minimize the risk of delays.
Network and Coverage: A comprehensive network that can cover the necessary regions and distribution channels.
Handling Expertise: Experienced staff trained in handling and transporting food products to prevent damage and ensure safety.

Technology Integration

WMS and TMS Integration: Advanced Warehouse Management Systems (WMS) and Transportation Management Systems (TMS) for seamless integration with the food company’s systems.
EDI Capabilities: Electronic Data Interchange (EDI) capabilities for efficient data exchange and communication.

Scalability and Flexibility

Scalable Solutions: Ability to scale operations up or down based on demand fluctuations and seasonal variations.
Flexible Contracts: Flexible contractual terms that can adapt to changing business needs and volumes.

Cost Efficiency

Competitive Pricing: Cost-effective solutions without compromising on quality and safety.
Transparent Pricing: Clear and transparent pricing structures with no hidden costs.

Value-Added Services

Labeling and Packaging: Services for labeling, repackaging, and kitting as required.
Quality Control: Additional quality control services to inspect and ensure the quality of goods before distribution.
Reverse Logistics: Efficient management of returns, recalls, and disposal of unsellable goods.

Customer Service and Support

Responsive Support: A dedicated customer service team that can promptly address inquiries and issues.
Proactive Communication: Regular updates and proactive communication regarding inventory status, order fulfillment, and potential issues.

By meeting these key requirements, a 3PL can effectively support food companies in managing their needs, ensuring product safety, quality, and timely delivery to end consumers.

Tighe Logistics: A Wide Range of Capabilities and Services

Tighe provides customers with a full service, high-quality, completely integrated warehousing and transportation solution. Tighe Logistics has the people and expertise to manage your suppliers, be your warehouse distribution hub, deliver products to your end customers, and more.

Whatever you need, from production to packaging and storage, to distribution to retailers, restaurants, and convenience stores – we can help every step of the way. Here are some of the services we offer:

Precise, Transparent Inventory Management

Our experienced team specializes in managing all types of food products with the precision and accuracy your business requires — from bulk goods that fuel your manufacturing lines to finished goods ready for the shelf. We can meet your fill rates, provide on-time delivery for manufacturing, meet delivery windows and stringent specifications for grocery chains, as well as optimize replenishment processes. End-to-end service capabilities include receiving, cross-docking, sorting, re-stacking, order management and outbound delivery.

JIT Manufacturing Expertise

We’re experts in JIT manufacturing, warehousing and transportation to help ensure an efficient, cost-effective food supply chain. JIT relies on the efficient coordination of raw materials to keep food production lines running at capacity. We can manage the transportation, warehousing, and distribution of goods, ensuring that raw materials arrive at food production locations without interruption. We also deliver finished products to the right place, at the right time, and in the right quantity.

With thorough and efficient supplier management, we help customers reduce lead times, lower inventory holding costs, and improve overall supply chain efficiency. We offer value-added services including, picking, packing, kitting, packaging, labeling, quality control to meet your specific needs.

Full Service Transportation and Transportation Management

We offer an in-house transportation fleet to serve all New England markets. As an extension of your team, our logistics experts and experienced drivers will assist you with supply chain planning and day-to-day execution that will reduce your freight costs and improve operational efficiencies. We support all types of transportation in the food supply chain, from JIT delivery to manufacturing facilities to final-mile delivery to retail grocery chains, convenience stores, restaurants, and more. Some of our specialties include:

LTL/TL. We offer flexible shipping options for both LTL and Truckload shipping. We help customers choose the right option depending on factors such as shipment size, delivery site requirements, and cost considerations.

Cross Dock/Pool Distribution is a quick, cost effective way to move product efficiently through the supply chain. With our ability to cross dock your products from inbound railcars, Tighe can help streamline your supply chain from point of origin to point of destination and reduce your costs.

Railcar Services. With facilities serviced by major rail lines including CSX, Norfolk Southern and Pan AM, Tighe offers our customers the ability to ship inventory via railcar into or out of our facilities.

Drayage Services. With our experienced fleet of TWIC certified drivers, we are able to provide extensive port and intermodal drayage service to all rail yards and piers in the Northeast. In addition, Tighe provides transloading, consolidation, deconsolidation, and warehousing services for overseas shipments.

Dedicated Fleet Services. Tighe’s dedicated fleet services and highly-trained drivers provide the benefits of a private fleet without the associated liabilities and capital investment, allowing customers to concentrate on running and growing their businesses. Tighe can provide a dedicated fleet operation of any size.

Last mile delivery. Last mile delivery refers to the final step of the delivery process, [how to explain what we do].

Value-Add Services

Tighe offers a variety of value-added services ideal for food companies — and that complement our core transportation and New England warehousing services.

Pick/Pack. Our pick/pack services ensure efficient and accurate selection and packaging of products, streamlining the fulfillment process and reducing errors.

Kitting. We offer kitting solutions that assemble multiple items into ready-to-ship kits, enhancing product organization and improving delivery speed.

Order Assembly and Fulfillment. Our comprehensive order assembly and fulfillment services guarantee timely and precise preparation and dispatch of customer orders, enhancing overall satisfaction.

Promotional Packaging, such as store aisle end caps. We specialize in promotional packaging, such as end caps, to create visually appealing displays that boost product visibility and drive sales.

Labeling/Packaging/Repackaging. Our labeling, packaging, and repackaging services ensure that products are presented professionally and meet all regulatory and branding requirements.

UPC Barcode Printing. We provide UPC barcode printing services that facilitate inventory management and streamline the checkout process, improving operational efficiency.

Overflow/Seasonal Warehousing. Our overflow and seasonal warehousing solutions offer flexible storage options to accommodate fluctuating inventory levels during peak periods.

Price Ticketing. Our price ticketing services ensure that all products are accurately tagged with current pricing, enhancing retail readiness and customer convenience.

Reverse Logistics. Tighe can handle returns, including replacing products, returning them to inventory, or disposing of them properly.

The Latest Technology to Support Your Business

With state-of-the-art hardware, software and business applications, including our WMS, Tighe is able to provide highly accurate, real-time information that can be used to integrate seamlessly with your supply chain management or ERP systems.

Real-time visibility into the metrics that matter

Tighe provides on-line access for customers, giving them visibility to all aspects of their business. In addition, customers have their own dashboard with key metrics, so they can always be up-to-date.

Dedicated to Food Safety and Compliance

Ensuring food safety and compliance is paramount in the warehousing and logistics sector of the food industry. At Tighe, we uphold the highest standards to protect the integrity, safety, and quality of the products we handle. Our comprehensive approach encompasses several critical aspects of food safety and compliance:

Food Safety and Sanitation

We prioritize rigorous food safety and sanitation protocols. Our facilities undergo annual Current Good Manufacturing Practices (CGMP) audits to meet and exceed industry standards. These audits ensure that we maintain required pest control measures, sanitation practices, and meticulous documentation. This commitment to hygiene and safety is foundational to our operations, preventing contamination and ensuring the highest quality of stored and transported goods.

Site Defense Against Food Fraud

At Tighe, we implement robust site defense strategies to eliminate any risk of food fraud. We ensure that ingredients are not misrepresented as whole, organic, or any other falsely attributed quality. This vigilance helps maintain the authenticity and trustworthiness of the products we handle, safeguarding consumer trust and brand reputation.

Allergen Segregation

We recognize the critical importance of allergen segregation in our facilities. By meticulously separating allergens such as wheat, soy, dairy, sesame, and nuts, we prevent cross-contamination and protect consumers with allergies. This rigorous approach to allergen management is an essential component of our food safety strategy.

Certifications and Audits

Tighe’s dedication to food safety is validated by our prestigious certifications. We are FDA registered and certified by AIB, and we consistently excel in CGMP food safety audits. These certifications are a testament to our unwavering commitment to maintaining and enhancing our food safety standards.

Food Accuracy and Lot Control

Maintaining food accuracy is essential for consumer trust and regulatory compliance. We implement strict lot control measures, ensuring traceability and monitoring expirations. Our lot segregation practices meet stringent requirements, preventing the shipment of mixed lots to customers. This meticulous attention to detail ensures that our clients receive products that meet their exact specifications and quality standards.

Tighe stands out for our comprehensive and proactive approach to food safety and compliance. Our unwavering commitment to these principles not only ensures the safety and quality of the food products we handle but also strengthens the integrity and efficiency of the entire supply chain.

Ideally Located in Boston. Serving all of New England

Massachusetts and the Northeast are home to a skilled workforce. Tighe can tap into a deep talent pool, ensuring that we have the expertise needed to provide high-quality logistics services. Well-connected with highways, airports, and other transportation infrastructure, Tighe can easily move goods in and out of the area, providing efficient logistics solutions to our food industry customers.

Tighe offers multiple warehouse locations in the Boston metropolitan area, including locations in Winchester and Woburn, with additional warehouses in Avon, Clinton, and Mansfield MA.

Key Metrics And Performance You Can Expect From Tighe Logistics

Tighe can provide the metrics and KPIs that help you make better decisions faster. Our teams are dedicated to providing you with the information you need — here are a few of the ways Tighe helps tech manufacturing customers stay ahead of business trends:

Access to customized dashboards

Tighe’s customized daily dashboard keeps you up-to-date on important metrics and provides complete transparency.

Conducting monthly business reviews

To review key metrics, make adjustments and smarter business decisions about what’s happening with inventory, distribution and the supply chain.

Tracking productivity by job function

We can track work-specific productivity by job function, enabling you to identify specific functional areas for improvement gains.

Identifying opportunities for improvement

By looking at different job groups, we can break down processes in a granular way and find what types of products or processes are driving costs.

Implementing best practices

Our team has the data analytics and process expertise to ensure your warehousing and transportation is operating optimally at every stage.

Case Study

Premium Tomato and Olive Oil Producer

Focus: Long-term 3PL Partnership

View Case Study

Overview:

This well-established premium food supplier prides themselves on producing the highest quality canned tomatoes and olive oil for use in restaurants across the country. As a high-end premium supplier, they sought a 3PL partner who could match the caliber and quality of their products. For the last 30 years, they have found that partner in Tighe Logistics.

Operational Profile:

260 Rail Cars unloaded per year
18,000 pallets managed per year
orders are picked and delivered to local restaurants across New England.

Case Study

Local Family Farm Food Supplier

Focus: Customer Service at Delivery

View Case Study

Overview:

This food supplier sources high-quality produce from local family farms all across the US. They had been using two different 3PLs to service their New England market, but weren’t getting the service they needed. They decided to consolidate their New England logistics needs with Tighe because of our reputation for taking care of ‘our customer’s customer’ especially at the point of delivery.

Operational Profile:

Smooth transition from a previous provider
Care & Attention given by Tighe drivers at the point of delivery
Robust KPIs that govern food-grade warehousing operation

Food Industry: Third-Party Logistics and Warehousing

Overview

Major Trends in the Food Industry

Customer Centricity

Integrated Supply Chains Across Partners

Food Assurance

Predictive Analytics

Diversified Channels

Supply Chain Pains and Challenges

Quality and Safety Management

Transportation and Logistics

Regulatory Compliance

Visibility and Traceability

Inventory Management

Cost Control

Supply chain complexity

Food Industry Sub-Sectors

Foods that can be stored at ambient temperatures

Dry Goods

Pantry Staples

Canned Goods

Packaged Foods

Baked Goods

Beverages

Critical Requirements Food Companies Look for in 3PL and Warehousing Providers

Food Safety and Compliance

Facility Specifications

Inventory Management

Efficient Transportation and Handling

Technology Integration

Scalability and Flexibility

Cost Efficiency

Value-Added Services

Customer Service and Support

Tighe Logistics: A Wide Range of Capabilities and Services

Precise, Transparent Inventory Management

JIT Manufacturing Expertise

Full Service Transportation and Transportation Management

Value-Add Services

The Latest Technology to Support Your Business

Real-time visibility into the metrics that matter

Dedicated to Food Safety and Compliance

Food Safety and Sanitation

Site Defense Against Food Fraud

Allergen Segregation

Certifications and Audits

Food Accuracy and Lot Control

Ideally Located in Boston. Serving all of New England

Key Metrics And Performance You Can Expect From Tighe Logistics

Access to customized dashboards

Conducting monthly business reviews

Tracking productivity by job function

Identifying opportunities for improvement

Implementing best practices

Premium Tomato and Olive Oil Producer

Local Family Farm Food Supplier

Let’s see how we can help you