Food Recalls: Effective Supplier - Retailer Partnerships
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Food Recalls: Effective Supplier/Retailer Partnerships LeAnn Chuboff | David Guilhaus | Holly Mockus June 19, 2015
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Transcript of Food Recalls: Effective Supplier - Retailer Partnerships
Food Recalls: Effective Supplier/Retailer Partnerships LeAnn Chuboff | David Guilhaus | Holly Mockus
June 19, 2015
Webinar Logistics
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• All lines are in listen-only mode
• Post your questions early and often!
• A link to the webinar recording will be emailed shortly after the event
Today’s Speakers
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LeAnn ChuboffSafe Quality Food
Institute
Holly MockusAlchemy
David GuilhausPublix
Agenda
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• Food Recall Challenges
• Food Recalls Insight
• Manufacturing Best Practices
• Retailer Perspective
• Q&A
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Food Recall Challenges
Holly MockusAlchemy
Food Recall Challenges
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$10 Million Average direct cost to a food
company of a recall
Allergens #1Leading cause of recalls for both the
USDA and FDA
http://www.foodonline.com/doc/my-two-cents-are-you-prepared-for-the-high-cost-of-a-food-recall-0001?sectionCode=Articles&templateCode=Single&user=3098071&source=nl:43110&utm_source=et_6212916&utm_medium=email&utm_campaign=FOL-E_2015-06-
04&utm_term=e6a99a48-6ca0-4d99-be13-aa9501d0ea29&utm_content=My%2bTwo%2bCents%253a%2bAre%2bYou%2bPrepared%2bFor%2bThe%2bHigh%2bCost%2bOf%2bA%2bFood%2bRecall%253f
20%Consumers state they wouldn’t purchase any brand made by a company affected by a recall
7230.1 FSIS Directive Ongoing Verification of Product Formulation and
Labeling Targeting the Eight Most Common (“BIG 8”) Food Allergens
New Regulatory Developments As Of May 2015
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• FDA Guidance for Industry Questions and Answers Regarding Mandatory Food Recalls Draft*
• Legislation Introduced by Sen. Kirsten Gillibrand (D-NY)
• Give U.S. Department of Agriculture mandatory recall authority over contaminated meat and poultry.
*http://www.fda.gov/downloads/Food/GuidanceRegulation/GuidanceDocumentsRegulatoryInformation/UCM445437.pdf
Food Recall Insight
LeAnn ChuboffSQF
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The SQF Program• Global program based in the United States
• Owned by the Food Marketing Institute
• Modularized to provide a farm to fork solution
• Designed around the GFSI Industry Scopes
• Includes 35 different food sector categories to meet the needs of all suppliers
• Auditors are credentialed in specific food sector categories
• 3 levels of certification with a unique approach to food quality
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Top Causes for Global Food Recalls - 2014
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SQF Non-Conformances
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2.8.2 Allergen Management 2.8.2.2 Allergen Labelling2.4.1.1 Food Legislation
2.4.2.2 Food Safety Fundamentals2.4.3 Food Safety Plan (M)2.5.2 Validation & Effectiveness2.5.6 Product Sampling, Inspection, Analysis11.7.4.3 High Risk Processes
Disconnect Between Non-Conformance & Reality
Recall: Mislabeling of allergens Non-conformance: 2.8.2.1 - Cleaning and sanitation between change-overs rather than 2.8.2.2 - Product ID and Labeling
Recall: Listeria monocytogenes and environmental monitoringNon-conformance: 11.7.4.1 - Staff access points rather than 11.7.4.1- Environmental Monitoring Program
Recall: Incoming raw materials/ sources Non-conformance: 2.3.3.1 - Contract Service Providers rather than 2.4.5.4- Incoming Goods and Services
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Best Practices
Prevent recalls and withdrawals by reviewing your food safety system
– Focus on implementing effective food safety systems, not just meeting the SQF Code
– Conduct internal audits– Revisit your approved supplier program– Conduct validation activities
• Don’t forget about the allergen program and finished product labels• Include a review of the EMP
– Conduct a traceback exercise• Include a review of all related processes• Check incoming ingredients to specification
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Retailer Survey In Progress
• Survey to retailers and manufacturers
• Gain better understanding of the frequency and type of recalls/withdrawals
• How to improve the supplier/buyer relationship
Full results to be shared at Alchemy Conference - September 21st – 23rd
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SQF Resources
• SQF Training Centers
• Online Training through Alchemy
• SQF Website- www.sqfi.com
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2015 Upcoming Events
• Learning Lunch Webinar– July 22nd Creating an effective Quality Program
• Lead SQF Auditor (5-day)– August 24-28, Oakbrook, Ill.
• SQF Packaging Auditor– Fall class date TBD- check website
• Alchemy Conference – September 21 – 23rd, Austin, TX
• SQF International Conference– November 3 – 5, Indianapolis, IN
www.sqfi.com/events
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Manufacturing Best Practices
Holly MockusAlchemy
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Manufacturing Best Practices
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• Use Mock Trace to find and fix gaps!– Make it hard– Off shifts– Review ALL documents– Interview employees– Review training– Observe the operation– Bulk is not off limits– Rework only– Allergens– Raw material to finished good– Finished good to raw materials– Processing aids– Traffic pattern (cooler, oven)– Packaging included– Cleaning / Maintenance chemicals
• Mock Trace is a powerful tool!– 100% plus or minus??– 2 hours? 4 hours?– Work sheet?– Plant / corporate metric?
• Review templates at each exercise– Press releases– FAQs– Customer letters– Agency communications– Employee communications
• Retrospective for each exercise– Continuous improvement– Inclusion of all departments
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Communication is Key• Do you have business relationships with your customers?
– Contact info– Periodic updates– Network– Share best practices
• Customer Communication– Complete– Accurate– Timely– Exact
• Avoid the rolling recall conundrum!!
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Retail Perspective
David GuilhausPublix
Publix Supermarkets Background
• Employee-owned supermarket chain based in Lakeland, Florida
• $31 billion in revenue
• 85th anniversary
• 1,102 stores throughout Southeastern U.S.
• 11 food manufacturing facilities
• #2 on FORTUNE’s “Most Admired Companies”
• FORTUNE’s 100 “Best Companies to Work For”
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How Should Suppliers Support Retail During Recalls?
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Don’t have any!
How Should Suppliers Support Retail During Recalls?
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In reality, when they do happen, up-front transparent communication is key.
Food Safety as our Strategy
Corporate Food Safety Objective
Food safety is a top priority. We do this by training our associates on food safety standards, monitoring compliance
with standards, having a best-in-class recall program, and following clear processes to elevate significant issues to company officers and/or the board of directors.
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Recall Trends at Publix
2010 2011 2012 2013 20140
50
100
150
200
250
Severity 1Severity 2
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Recall Trends at Publix
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Quality35%
Misla-belling
28%
Undeclared Allergen12%
Pathogens7%
Foreign Material4%
Underweight1%
Other12%
2014 Recall Reasons by Count
Recall Information Sources
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• Food and Drug Administration
• U.S. Department of Agriculture
• Centers for Disease Control
• Consumer Product Safety Commission
• Environmental Protection Agency
• FoodTrack
• Rapid Recall Exchange
• Suppliers
Recall Information Resource
• Rapid Recall Exchange (RRE)
Rapid Recall Express (RRX)
• RRX is– fillable standardized form – sponsored by GS1 US– advocated by FMI and GMA who promote the use of GS1
business standards– available to all suppliers free of charge
• www.rapidrecallexchange.org
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Recall Management at Publix
• Product Response System
• Remove product within 3 hours
• Report units recalled
• Assist– Audible alerts for retail associates– Lock-out at the point of sale register– Verify 100% completion– Account for all customer returns– Recall reports for regulatory
• Consumer notification– Publix has no loyalty cards– Signage, Website, and Social Media
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Recall Communication Board
• Located at all Publix retail stores
• Can hold up to 24 recall announcements
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Recall Communication Board
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Retail Best Practices
• Importance of an effective recall management system
• Prompt removal of recalled product from the market place
• Necessity for all stores to report the units removed at the time of the recall and with any customer returns
• Provide premier service and assist customers, stores, and regulatory officials
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Q & A
Upcoming Events
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• Network with industry leaders• Master best practices• Discover new technologies
http://www.alchemysystems.com/alchemy-conference/
SQF International Conference – Nov. 3-5, 2015
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• Key Benefits– Hear the latest food safety
information– Updates to the SQF Program– Network with your peers– Meet new contacts and experts– Learn about innovative solutions to
everyday problems– Become a more effective leader
• Who Should Attend– Food Safety Professionals at all
levels of supply chain– Individuals from companies seeking
to enhance current programs– Companies beginning to implement
a food safety program– Food safety auditors, consultants,
and trainers
www.sqfconference.com
THANK YOUTelephone: 888.988.8832
http://blog.alchemysystems.com/
LeAnn [email protected]
David [email protected]
Holly [email protected]
