Australian Food Manufacturers Faced Productivity Woes
New research shows that the vast majority of employees in the sector report persistent inefficiencies.
Updated on Oct. 14, 2026 in Manufacturing
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Over half of Australian food and beverage manufacturing workers believe their organisations are becoming less productive. The decline is largely attributed to manual processes and the failure to update workflows when new technology is implemented.
Why it matters
The findings highlight a disconnect where businesses introduce new tools without streamlining existing operations. This leads to widespread work duplication and prevents employees from realising the efficiency gains promised by modern technology.
A total of 81.8 percent of staff spend at least a quarter of their week on manual or repetitive tasks, while 95.8 percent reported work duplication across systems. Furthermore, 82.4 percent of organisations have implemented AI only to a limited extent or not at all.
The players
Argon & Co
This global management consultancy firm specialises in supply chain and manufacturing operations and conducted the research on the Australian food sector.
The details
Employees frequently enter data into multiple systems and maintain spreadsheets alongside enterprise platforms. This occurs because 76.4 percent of manufacturers introduce new technology without changing their corresponding processes, responsibilities, or ways of working.
Timeline
The research report was published on 14 October 2026.
Market Landscape
This report illustrates how the broader Australian manufacturing sector struggles to convert digital investment into actual output. By failing to integrate systems, these companies are falling behind competitors who prioritise operational efficiency alongside technological upgrades.
The widespread reliance on manual data entry suggests that shoppers and clients may encounter higher prices due to operational overheads. Furthermore, the lack of effective AI integration may limit the speed at which manufacturers can respond to supply chain fluctuations.
The takeaway
Organisations should prioritise improving existing workflows before purchasing new software to ensure technology is a tool for progress rather than complexity. Simplifying data entry and system integration remains the most effective path to recapturing lost productivity.
Further reading
For more information on sector trends, visit the Manufacturing section.
Source note: This article includes information reported by Food Processing.
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