Quality and Challenges Lebanese Agro-Food Sector Arab Quality and Food Safety Conference Place: Beirut Date: 15 June 2006

Lebanese Industrialists Strong belief in importance of quality and quality systems Strive for adoption/implementation of quality systems and standards Acknowledge need for better consistency Reliance on export markets and meeting consumer demands for higher product quality Facing challenges head on

Definition Common definitions of the term “Quality”: Reduction of variability or compliance with specs ISO: ”degree to which a set of inherent characteristics fulfils requirements” Products or services that meet or exceed customers’ expectations There is a two dimensional model of quality: Must-be quality Attractive quality

Challenges Globalization and need for exportation Complex international regulations Mandatory HACCP requirements Labeling and packaging requirements Faster promulgation of standards and Regulations

Challenges-Cont’d Traceability requirements Technological advances Stringent customer requirements/specifications Service delivery and turn around time (effective and efficient supply of requested information)

Short-Term Implications Financial Need to upgrade facilities and equipment to meet stricter standards Invest in better caliber staff Adopt automation and computerized systems Human Resources Reduce gap in educational background between middle management and supervisory level Training of staff and personnel “brain” drain or “talent” drain of skilled workers due to poor economic conditions Time Implications Adjustment periods to new quality standards Downtime or inefficiency during training periods

Benefits and Conclusion 6 ∑ example Significant cost reductions: Lower wastage Fewer product refusals and recalls Lesser product rework Improved consumer satisfaction and loyalty Improved brand image Economic growth