Flexibility Requirements in the Food Industry and How to Meet Them

This paper discusses the emerging need for mass-customization, flexibility and responsiveness in the food industry, and argues that this can be achieved by utilizing concepts from lean production and socio-technological design. The rationale for this focus is found in the emerging market situation in Norway, characterized by: • the market segments for high-volume foods with predictable demand is declining • the market for low-volume innovative food with unpredictable demand is increasing • fiercer international competition • an increasing demand for private labels Furthermore, it is found that Norwegian companies are using mass production principles and functional work-organization. This cannot fulfill the emerging requirements to flexibility and responsiveness in the market. A redesign of routines, layout, product design, control principles and information technology is necessary to meet the new challenges