Investment in Innovation Can Help Beat the Crisis, Concludes Baking Industry Summit

6/9/2011 --- “If the food industry invests in innovation, it can beat the crisis.” This was one reoccurring, and somewhat comforting theme throughout the 3rd Annual Baking Industry Summit. Participants at the Summit, which predominantly focused on innovation and sustainability, also noted that now that consumers are eating at home, the industrial bakers need to take advantage of this. Other key learnings were that private labels are growing in popularity due to their competitive pricing, and ‘fresh’ goods are a new strategic category, with organic and provincial good being favored as luxury items.

The results of the 2011 industry survey by Novozymes were shared at the summit. The most critical challenges facing the industry were identified as being consistent quality, raw materials prices, and the ability to innovate.

Malmö’s famous HSB Turning Torso played host to some of the most innovative minds in the European baking industry during 25-26 May. The tallest building in Scandinavia proved to be a fitting venue for the 3rd Annual Baking Industry Summit - its innovative architecture, designed and maintained through 100% renewable energy, aptly captured the spirit of driving best business practices through innovation.

An inspiring mix of exciting speakers ranging from leading figures from retail to bakery ingredient suppliers, and from business thinkers to radical innovators, encouraged the attendees to learn, listen, and share their knowledge and insight into the baking industry to find new solutions to build better business. “Innovation starts with taking a step back to reflect on your business and to see how things can be done differently,” says Fokke van den Berg, Regional Marketing Manager for Novozymes’ Baking in Europe, “This is what the participants have done by attending the baking summit.”

The two day agenda was facilitated by Jonathan Banks, managing partner of his own consultancy firm and former Business Insight Director at Nielsen. He guided the attendees along a journey from the heady heights of radical innovation, where organizations can rethink their core strategies, to the subtleties of incremental innovation, where a basic packaging change can make an impact.

Rowan Gibson, best-selling author, global business strategist and expert on radical innovation, invited the audience to become ‘wave riders’ – those lucky innovators who ‘welcome change rather than resist it and make change work for them’. “The summit highlighted for me exactly how important innovation is to success,” says Leo Nieuwenhuis, Account Manager for Novozymes’ Baking, “You need to change at the speed your environment is changing, always considering who you are serving, what you provide, and how you differentiate. It’s exciting that enzymes help facilitate this innovation in baking.”

Chief organizer of the Summit, leading enzyme supplier, Novozymes, currently spends 14% of turnover on R&D. With Per Falholt, CSO for R&D at the company noting that 97% of enzymes are still unknown, there remains massive room for innovation. Collaboration and lobbying to governing bodies in getting the sustainability message across that 1 kilo of enzymes could save 3.8 tons of C02 emissions will be key, Falholt noted. He called out to industry that, “the best chance of innovation is when we partner up.”