When the Numbers Don’t Sit Still

Amid industry challenges, food industry finance and internal audit leaders must move beyond static spreadsheets toward flexible forecasting, adaptive controls and peer-driven insights to navigate ongoing uncertainty.

By: Rebecca Daniels, Director, Education, FMI

The spreadsheet used to feel like a place of certainty.

For many financial executives in the food industry, the past few years have changed how planning works at a fundamental level. Inflation no longer feels temporary. Cost increases no longer come one at a time. And supply chain disruptions no longer qualify as exceptions.

Food companies now operate in an environment where input costs fluctuate quarter to quarter. Freight rates remain unpredictable. Labor expenses are elevated due to wage pressure and turnover. Insurance, utilities and shrink add additional strain. Even when inflation slows on paper, cost structures rarely reset. That reality leaves finance teams managing margins that face pressure from every direction.

Pricing decisions have become more complex as well. Finance leaders often balance margin protection against volume risk, knowing that one misstep can affect customer loyalty or long-term brand equity. Forecasting now depends less on a single annual plan and more on rolling scenarios that account for supplier instability, geopolitical risk and shifting consumer demand.

Supply chain volatility continues to complicate cash flow and working capital management. Late deliveries, short shipments and last-minute sourcing changes affect inventory levels and payment terms. Companies carry more safety stock to avoid disruptions, which ties up capital. At the same time, finance teams face pressure to improve efficiency and reduce waste. These competing priorities force difficult tradeoffs that spreadsheets alone cannot solve.

Internal audit teams feel these pressures just as acutely. Many organizations have built controls and risk models for a more predictable operating environment. Today, auditors must reassess controls around procurement, vendor management, inventory accuracy and fraud risk while keeping pace with faster decision-making. Audit plans require flexibility, not just compliance, and closer alignment with finance and operations.

What often gets overlooked is the isolation that comes with these challenges. Finance and audit leaders rarely have time to step back and compare notes with peers. Yet many organizations face the same questions. How do you forecast when assumptions change midyear? Where should audit teams focus when risk appears everywhere? How do you protect margins without sacrificing resilience?

The answers come from shared experience and conversations with peers who understand the realities of food retail, wholesale and manufacturing offer perspective that no report can provide. That exchange of practical insight matters more than ever. In an industry where uncertainty has become routine, learning how others navigate day-to-day challenges can help finance and audit leaders move forward with greater clarity and confidence.

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