Addressing Australian cereal product supply chain challanges using supply chain and network theory

Drawing from a qualitative Australian cereal product industry (ACPI) supply chain study involving interviews and site observations, the paper discusses the application of collaboration and network activity as a means of addressing current overall ACPI competitiveness challenges. The ACPI is important to Australia's economy and there is enormous potential for ACPI growth in catering to world food trends. However, supply chain streamlining, or 'cohesiveness' is a challenge for the complex ACPI supply chain and an industry in a state of turbulence. There is a growing body of academic theory on business networking that augments and informs supply chain theory in the search for competitive business advantage. The themes of building on supply chain relationships and leveraging from the strengths of other businesses in order to win-win and increase competitiveness for the various parties are clearly evident. From the findings of the ACPI study, collaborative challenges were particularly noted at the upstream extremity of the supply chain. Some of the challenges found along the supply chain included a lack of understanding of other supply chain sectors, surviving in the face of competition from major players, meeting local retail demands, uncertainty concerning industry consolidation and coordinating the industry to effectively and competitively participate in meeting worldwide consumer demands. Joint strategic planning at industry and government level in conjunction with the food industry and appropriate follow-up action are essential for the ACPI to meet global demand challenges in the future.