Our Analysis for a Global Food Manufacturer on a Shortage of Corned Beef Extract and the Threat it Posed

Client:  Global Food Manufacturer

Service: Supplier Intelligence

Geography:  Brazil, Ireland, Spain, Switzerland, Netherlands

Problem & Objective

Our client was worried by a shortage of corned beef extract and the threat it posed for its Bouillon product range.  Intelligentsia was tasked to research how other food manufacturers planned to mitigate the shortage and which alternative suppliers they are using.

Research Challenge

There was little published information about the shortage of corned beef extract, which was caused by production cutbacks and other problems at JBS in Brazil (JBS had a virtual monopoly) or how food manufacturers intended to mitigate the escalating problem.

The Resolution 

Intelligentsia’s strategy was to interview food manufacturers’ executives.  We focused on executives responsible for sourcing corned beef extract and managing bouillon products.  Our approach was to discuss the shortage and how the industry should respond to the crisis.  

Our research strategy worked.  We learnt how the percentage of Creatinine and the intensity of flavour differs between corned beef extract and other beef cuts.  We uncovered the three strategies manufacturers were pursuing to mitigate the shortage and which companies were more or less seriously affected.  We were able to build a list of alternative suppliers of non-corned beef extract and to understand the associated cost and taste issues. And we gathered the industry’s feedback on our client’ risk reduction strategies.

The Result

Our client received a comprehensive survey of industry opinions and strategies for dealing with corned beef extract shortage.  Significantly, the research endorsed some but not all of our client’s risk mitigation strategies.  Also the report suggested new approaches and potential partners which our client hadn’t considered and which it found to be valuable.

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