Why Traceability Matters

Imagine this: You’ve built a growing CPG brand, and your products are hitting more store shelves every day. Then, you get the call every CPG founder dreads—a retailer is pulling your product due to a possible contamination issue. You scramble to trace the affected batch, but your records are incomplete. The recall expands, your costs skyrocket, and consumer trust plummets.

Traceability is about protecting your brand, ensuring food safety, and maintaining strong retailer relationships. With increasing regulations and consumer demand for transparency, having a reliable food traceability plan is no longer optional. Here’s how to develop a plan.

Sponsored by Kaizntree, which helps you pass safety audits, track inventory, automate reporting, and optimize profitability. Investing in the right systems now will save you time, money, and stress down the road.

What is a Traceability Plan?

A traceability plan is a system that allows companies to track the movement of ingredients and finished products throughout the supply chain. It ensures that if a safety issue arises or if you get audited, you can quickly identify the source, isolate affected products, and take corrective action.

Key Components of a Traceability Plan:

• Ingredient & Batch Tracking – Recording where ingredients come from and which batches they go into.
• Production & Processing Records – Documenting when and where products are made.
• Distribution & Sales Data – Tracking where products are shipped and sold.
• Recall Preparedness – Having a clear process for identifying and pulling affected products quickly.

Regulatory Requirements

Depending on your category and market, you may need to comply with specific traceability regulations:

• FDA’s Food Safety Modernization Act (FSMA) – Requires end-to-end traceability for certain high-risk foods.
• GS1 Standards – Retailers require suppliers to follow GS1 barcoding and traceability protocols.
• Retailer-Specific Guidelines – Large chains like Whole Foods and Kroger have their own traceability expectations.

Key Steps to Implementing a Traceability Plan

Step 1: Establish Clear Traceability Goals

Before setting up a system, define what you need to track. Your goals may include:

• Meeting compliance requirements
• Reducing the impact of potential recalls
• Improving inventory accuracy and efficiency

Step 2: Digitize Inventory and Batch Tracking

Manual tracking (like spreadsheets) can’t keep up with a growing brand. Instead, use inventory management software that records:

• Lot numbers and batch codes
• Expiration dates
• Traces real-time stock movements

With digital systems, you can quickly pull up records in case of a recall and maintain full visibility over your supply chain.

Step 3: Standardize Labeling and Documentation

Ensure all products and raw materials have:

• Barcodes or QR codes – Enables automated tracking
• Lot numbers – Links products to specific production runs
• Expiration or best-by dates – Helps manage shelf life and prevent waste

Step 4: Conduct Regular Audits and Mock Recalls

Testing your system before a real issue occurs is crucial. Schedule:

• Internal audits to verify data accuracy
• Mock recalls to measure response time and efficiency
• Supplier audits to ensure vendors meet your traceability standards

Step 5: Train Your Team and Ensure Supplier Compliance

Your traceability system is only as strong as the people using it. Train employees on:

• Proper data entry and tracking procedures
• Responding to potential recalls
• Communicating traceability expectations to suppliers

Holding your ingredient suppliers accountable is also key—require them to provide proper documentation and follow consistent labeling practices.

Final Thoughts: Building a Resilient Traceability System

An effective traceability plan protects your brand, enhances food safety, and strengthens your retailer relationships. Whether you’re preparing for regulatory requirements or simply want better inventory control, investing in traceability is a must.

Looking to streamline your traceability process? Kaizntree helps CPG brands manage their business operations, inventory, production, and sales—so everything operates in one place. Plus, they offer personalized onboarding to get you set up in just 3 days.

👉 Exclusive Offers for CPG Brands:

• 25% off for a year
• Chance to win a full year free