S3P T&BD
Peter LENGYEL, Szilvia BOTOS and Tünde SZABÓ
University of Debrecen / University of Debrecen / Hajdú-Bihar County Government
Thanks to its strong agri-food character, Hajdú-Bihar County is committed to building and maintaining an efficient, accountable and traceable supply chain, strengthened by responsible and knowledgeable actors. Beyond the leading agri-food companies performing high-quality digital solutions, the University of Debrecen is a key player in the research of safe, transparent and sustainable food supply, and its leading experts in the field have been working for years to find appropriate answers to new challenges, considering that big data analytics and digital traceability ensure proper tracking and management of the entire value chain of food. Research concerns a wide range of topics, including the impact of technophobia on vertical farming, trends and developments in digital transformation in the agri-food industry, and the opportunities and challenges for SMEs in digitized value chain in food industries.
The activities of the Department of Agricultural and Business Digitalization, Faculty of Economics and Business cover several key topics:
Agrifood value chain traceability is the business strategy of monitoring the journey of the food products from the farm through processing and transportation to the final consumer. Traceability capability is a prerequisite for controlling the hazards of food safety exposure, food origin identification, and regulatory accountability (Kale & Rathod, 2023). Most traditional traceability systems were paper or primitive digital database-based and had weaknesses with respect to data access in real-time and pervasiveness (Rajput et al., 2023). Such weaknesses are being successively addressed through the adoption and installation of more advanced digital traceability systems (Babu & Devarajan, 2023; Moysiadis et al., 2022).
One of the most promising innovations in enhancing traceability is the application of blockchain technology. Blockchain offers a decentralized and immutable ledger that records every detail of every transaction in the supply chain. This technology provides such enhanced data reliability and transparency that it enables tracking the source and path of food products with an unprecedented level of precision. For instance, the implementation of blockchain has demonstrated significant improvements in product authenticity and safety. It ensures that all data points in the supply chain are accurately and immutably recorded, thereby enhancing traceability. (Bosona & Gebresenbet, 2023; Cozzio et al., 2023; Joshi, 2023)
Big data analytics is the process and analysis of massive data sets that are generated throughout the entire value chain. This data set involves data from sensors, satellites, market intelligence, and consumer perception. Big data application in agriculture, or AgriTech, facilitates the decision-making process, helps in optimizing resource use, and aids the supply chain process. The convergence of the data streams aids the stakeholders in getting an all-around view of the production process, environmental variables, and supply chain trends. The usage of big data analytics, for instance, can aid in providing more accurate resource management and agriculture for a rise in the level of sustainability and efficiency. (Thaler, 2022; Yao & Zhao, 2023)
The digitization by traceability systems and big data is also in line with global sustainable development objectives. Technologies of this nature help in reducing food wastage, maximizing resources, and lowering the carbon intensity of food production. Through digital traceability, better logistics and inventory management can be made, which lowers the chances of food spoilage during transit and storage. More so, digital technologies have the potential to empower consumers by providing them with detailed information regarding products they buy that enhances trust and sustainable consumption behavior. (Kumar, Kumar, & Singh, 2021; De Bernardi & Azucar, 2020)
Despite these developments, the successful deployment of digital traceability and big data in the agrifood industry is subject to a number of challenges. The main challenges are high implementation costs, the need for the standardization of data formats, and privacy and data security concerns. The need for training and capacity building among the stakeholders in order to be in a position to successfully use these technologies is also a challenge. In order to address these challenges, there is a need for collaborative efforts among governments, industry stakeholders, and research organizations. Future research and development initiatives should be directed toward improving the level of interoperability of traceability systems and the elimination of barriers to adoption. (Cachada et al., 2022; Hasan, Habib, & Mohamed, 2023; Moysiadis et al., 2022)
Focusing on enterprises belonging to the food supply chain and analysing some indicators supporting the information flow within the company and with partners, the Institute of Applied Informatics and Logistics, Faculty of Economics and Business examined the readiness for ICT based B2C information flow through a survey to map ICT usage and attitude by enterprises operating in the agri-food sector.
The importance of some ICT indicators supporting information flow in the chain has been evaluated, determining that competitive advantage may be reached using ICT solutions for widening and maintaining relations through a more effective information flow with partners and consumers.
To explore in depth the agri-food aspects of the digital transition, a systematic literature review of agrifood sector's digitalisation took place. The primary objective of the research was to map the research work on the agri-food sector with digitalisation. The activities involved a systematic literature review using the PRISMA (Preferred Reporting Items for Systematic Reviews and Meta-Analyses) methodology and the keywords digitalisation and agri-food.
Research was also conducted to study the role of digitalization in the decision background of agriculture, presenting the structure of a process-oriented data warehouse created according to the OLAP (online analytical processing) principle that enables simple process controlling in crop production.
Concluding the main findings of the research activities so far, the incorporation of digital traceability systems and big data analytics within the agrifood sector is key to achieving improved food safety, transparency, and sustainability. Employing such technologies offers all-in-one solutions to efficiently monitor and trace the food supply chain. With a vibrant industry, more cooperation and innovation would then need to be put in place to ensure that the benefits accruing from such innovations are maximized and, eventually, a more sustainable and resilient food system supported.
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