Deadline passes, but companies still working on PTI - The Packer

Deadline passes, but companies still working on PTI

01/18/2013 10:57:00 AM
Jim Offner

The Produce Traceability Initiative is now five years old. The deadline for meeting seventh and final milestone — tracking data on outbound packages — has come and gone with the end of 2012, and receivers are still working to get into compliance.

The program gets high marks from growers, shippers and PTI planners.

Dan Vache, the United Fresh Produce Association’s vice president of supply chain management and co-chairman of the PTI Technology Working Group, says he gives PTI a rating of “about a 7” on a 1-10 scale.

“On the supply side, I’d give it more like an 8, and on the receiving side, more like a 6,” he said.

The lower rating for receivers is understandable, since the first milestones were meant to apply to suppliers, Vache said.

“They had to get their ducks in a row, make some investment in their business,” he said.

The first milestones passed and suppliers started getting their systems set up, and then they started to communicate with their trading partners, which slowed up the process, Vache said.

“There was a slight gap on the supply side and the buy side in who actually was working on the PTI,” he said.

One problem was information technology personnel sometimes weren’t part of the communications chain, and PTI is an IT issue, Vache said.

“The majority of communication between trading partners is between the seller and the buyer. The IT people and operations people don’t talk,” he said.

But IT personnel are central to moving PTI forward, Vache said.

“When it comes to traceability, those groups are the ones that have to do traceability, not the salespeople or the buyers,” he said.

The buying side made some progress in implementing PTI. It just that much of it was behind the scenes, Vache said.

“It’s a lot of systems changes for them in their IT groups and their receiving process,” he said.

The system also required capital expenditures, installations and learning curves, Vache said.

Retail distribution center are catching up quickly to where the supply side is, he said.

“And we now see anywhere, depending on what DC you walk into, you’ll see anywhere from 20% to 40% of the produce cases are currently being labeled with a PTI-compliant label,” he said.

The bottom line: Where PTI is concerned, don’t be fooled by appearances, Vache said.

“If you took at a distant look at it, it doesn’t look like it moved very fast, but it was,” Vache said. “It’s like a duck that doesn’t seem to be going anywhere in the water, but beneath the water line that duck is paddling away. With PTI, there’s a lot going on under the water line.”

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