TraceGains, a provider of compliance, quality and innovation solutions for the food and beverage (F&B) industry, this week released a new report, “Digital Drag: The Growing Gap Between Tech Priorities and Implementation in the Food and Beverage Industry” measuring insights from 165 food safety, quality and innovation leaders.

Despite nearly two-thirds (62%) expressing concern over economic uncertainty, in terms of tech preparedness to handle such disruption 60% remain stuck in implementation on the road to modernization with 69% continuing to rely on outdated manual processes citing complexity (40%) as a reason for the delay.

The pressure to modernize is mounting, but most F&B companies remain mired in legacy systems. These outdated workflows slow down daily operations and increase the risk of errors, regulatory non-compliance, and inefficiencies that can hinder innovation.

• 69% of F&B brands still rely on manual processes such as paper documents, spreadsheets, fax and email to manage day-to-day external work and document exchanges.
• Over half (55%) are either somewhat or not at all automated.
• Just 6% report having “fully integrated” digital solutions, while 60% admit they're stuck in the implementation phase.
• Nearly one third (29%) acknowledge their current operational management methods are inadequate and inefficient, noting these methods have caused significant internal challenges.
• 23% pointed to ingredient and material availability issues and their impact on innovation and new product development.
• Compliance and regulatory concerns were also cited with nearly a quarter (24%) indicating they would fast track the purchase of new technology within 90 days if it was required to meet a mandate.
• Despite these worries, 82% of companies say implementing new technology remains a top business priority, outpacing other strategic initiatives. 

Operational ease makes the difference between moving forward and standing still, with brands ranking the ability to improve daily operations and deploy solutions quickly above long-term planning considerations.

• 57% cited improved process efficiency and ease/speed of implementation as the top factors driving tech adoption decisions.
• 52% stated they would be most likely to invest in new technology if it delivered immediate operational improvements, outranking return on investment (34%) and overall cost (22%).
• 60% indicated they would be significantly or somewhat more likely to adopt a solution if it could be implemented in weeks rather than months.
• For 40% of respondents, perceived complexity and implementation challenges were the biggest blockers to adopting new tools, outweighing even cost. 

About TraceGains
TraceGains, a Veralto company, is transforming the food and beverage industry with the first Source-to-Shelf global business ecosystem powered by AI. We digitize compliance, audits, labeling, product development, ESG, and packaging processes into integrated modular solutions that give customers efficiencies and a competitive edge. 1,500 global brands, including half of the top 100 food and beverage manufacturers, rely on TraceGains to accelerate innovation, reduce costs, and ensure safer, compliant products. Our vast network connects buyers, suppliers, and service providers across 90,000 supplier locations and 600,000 ingredients to safeguard the supply chain.