The food and beverage industry has long been one of the largest and most crucial sectors of the global economy. In the U.S. alone, the U.S. Department of Agriculture reports that agriculture, food, and related industries contribute 5.4 percent to the gross domestic product and employ 10.4 percent of the workforce.1 Additionally, Americans' expenditures on food rose to 12.8 percent of their household budget last year, trailing only housing and transportation.
For those leading the industry, there is tremendous opportunity for growth—but with growth comes risks that can negatively impact operations, profitability, and reputation. Many of these risks are interrelated, but management would be wise to identify and mitigate these risks before they prove costly.