John Peter Koss

The relatively simple topic of space can become a major issue when analyzing and evaluating the beverage industry supply chain.

For the purpose of this discussion, water will be referred to as an ingredient, although across all segments of the beverage arena water might be labeled as a raw material.

Call it idle/lost time, productive/positive time, but the results in any case will have significant impacts on beverage producing operations that involve unwarranted expenses in machinery, materials and labor, less than desirable asset utilization and unrecoverable productive time.

Visits through beverage facilities, studies of distribution systems, acknowledgements of beverage marketplace changes and observations of work activity throughout the beverage supply chain are constant reminders of the detailed tasks involved in creating a massive array of packaged beverages for the consumer.

Because processing is the first step in the supply chain, it is important to assess how various stages have evolved — from manual batch type operations to automated, computerized and in-line processing.

Every segment of the beverage industry is a capital intensive operation. The facility, machinery, equipment and processes required to build a carbonated soft drink (CSD) plant, brewery, winery or distillery creates assets from which a return would be expected. With such important investments, the created assets must be protected to ensure maximized utilization and efficiency, as well as minimized downtime and damage.

Throughout the beverage supply chain, manufacturers and distributors have found that the SKU explosion has created impacts resulting in constantly changing operating conditions, making maintenance a necessity for a flexible manufacturing infrastructure.

Regardless of the product being manufactured, the process of converting raw materials into finished product creates residuals commonly classified as “waste.” Why is this important, and how is the issue contained?

Wherever you go, whomever you contact and everything you see in the beverage arena, in some manner, is governed by regulatory jurisdiction.

The issue of adding value can be taken for granted with a somewhat subtle acquisition of value occurring as the beverage package is being produced.