RS IS urging food and beverage manufacturers to embrace external collaboration as a route to cost savings and operational resilience, against a backdrop of evolving regulation, rising costs, and skills and labour shortages.

A recent RS report, A Recipe for Resilience, sets out the key pressures facing the sector and the strategies operators are deploying to maintain growth and innovation.

"It’s a very challenging environment right now for food and beverage manufacturers that are operating on tight margins with high output facilities. Combine that with the challenges facing the wider business world and it makes for tough operating conditions," said Craig Stasik, industry sector manager for F&B at RS.

Pressures reshaping operational priorities

Rising production costs have been driven by higher energy, water and wastewater bills, as well as regulatory upheaval. Not all of these increases can be passed on to consumers, leaving manufacturers to absorb the difference. "Commodity prices are one area of concern for food and beverage manufacturers, but there aren’t many conversations where energy isn’t mentioned either. The cost of it is always a concern in this energy-intensive industry," Stasik continued. 

He also points to the cumulative weight of HFSS legislation forcing product reformulations, Extended Producer Responsibility for packaging, ESG targets and the recent rise in employer National Insurance contributions as compounding the cost pressure.

The report also highlights the pressure to drive efficiency, and one key area for this is maintenance. "Energy efficiency really jumps out as a key lever," Stasik explained. "This can mean introducing smart monitors to track energy usage and consumption, or exploring a move to LED lighting, which can be a quick win that reduces costs and supports ESG targets."

Collaboration offers fresh MRO approaches

One of RS’ customers cited in the report made a simple switch to an alternative lubricant for a canning machine after the original product became unavailable. The move saved the company £48,030 across all five of its machines. Had a fast, alternative option not been sourced, the hourly downtime cost would have been £1,333. Another customer worked with RS to get critical spares kits on site, allowing maintenance teams to act immediately when breakdowns occurred. On plants where average hourly downtime costs can exceed £5,500, the approach has materially reduced exposure.

Stasik argues that outsourcing specialised functions is increasingly logical given skills shortages. "Looking to suppliers to fill the gap makes even more sense for specialised or technical tasks you do not have, or want to have, in-house. This includes procurement, inventory and stores management, as well as maintenance solutions."

Strategic procurement and consolidating spend, the report argues, are central to resilience in a high-change environment, helping businesses stay lean and reducing exposure to disruption, while freeing resources that can be directed to more value-adding activities. 

A Recipe for Resilience is available to download here: tinyurl.com/ytybunc7​

​For more information: 

www.rsgroup.com

Tel: +44 (0)20 7239 8400