The Impact of AI in the Food and Beverage Industry: An Expert Q&A With Benny Dor and Chad Merck

In a matter of years, artificial intelligence (AI) has evolved from a common element in science fiction to a disruptive technology with considerable benefits for businesses that adopt it. In the food and beverage industry in particular, AI has the potential to automate processes, enhance decision-making and holistically transform operations, making its use a competitive advantage for companies in the market.

Here at Aptean, we’re committed to empowering our customers with cutting-edge technology, so AI capabilities are now embedded at the core of our products. At the same time, we know that many food and beverage companies are still unsure as to how AI will fit into their future plans, so sharing our expertise is also central to our mission.

That’s why we recently hosted a webinar in collaboration with Microsoft entitled “Fresh Ideas, Faster Results: How AI-Powered Solutions Are Future-Proofing Food & Beverage Businesses.” Benny Dor, Aptean’s technical product management, analysis and architecture leader for the food and beverage segment; and Chad Merck, data and AI specialist at Microsoft; shared their expert insights during the event.

With this blog post, we expand upon the topics discussed and cover some additional points with Dor and Merck. Read on for more—and if you find this discussion interesting, don’t forget to watch the recording of the webinar on demand.

Benny Dor on AI’s Impact and Aptean's Strategy

To begin, we asked Dor about the realities of AI implementation for businesses. He shared with us some of the unique implications and applications of AI in the food and beverage industry, as well as Aptean’s mission to empower customers on their journey.

Q: How is AI adoption impacting the food and beverage industry differently compared to other sectors?

BD: The food and beverage industry—which is deeply intertwined with consumer trends and sustainability goals—is experiencing a unique transformation through AI adoption. Unlike industries like manufacturing or finance, where AI often focuses on automation, it serves as a bridge between innovation and operations in food and beverage.

For example, AI helps predict consumer preferences, enabling faster and more targeted product launches. It also addresses industry-specific challenges such as reducing food waste and ensuring compliance with safety regulations . While adoption may be slower due to fragmented supply chains and tight margins, the impact is profound, particularly in driving sustainability and personalization efforts.

Q: Can you discuss a case where AI significantly improved outcomes for an Aptean customer?

BD: One of the most compelling examples of how AI in the food and beverage industry has improved outcomes for our customers lies in the vast amount of data collected within our ERP system. Our solution captures detailed information across production, pricing, quality, sales and more, creating a treasure trove of data. However, the true value lies in turning this data into actionable insights.

For instance, a mid-sized food processor faced challenges in managing production efficiency and pricing strategy. By leveraging AI within our ERP, they gained the ability to analyze production data in real time, identifying bottlenecks and inefficiencies that had previously gone unnoticed. Simultaneously, AI-powered pricing tools analyzed historical sales and market trends, enabling them to adjust prices dynamically to remain competitive while maintaining margins.

That said, we're not just helping customers adopt AI at Aptean—we’re also using it internally to enhance the quality and speed of our support services. By analyzing customer interactions, common support queries and system telemetry, we're uncovering patterns that help us proactively address issues before they escalate. This ensures our customers receive faster resolutions and more personalized service.

Additionally, we're exploring new use cases internally to refine how we implement AI across our platform. This continuous innovation means we’re always ready to offer customers tools and solutions that align with the latest advancements in AI, helping them unlock even greater potential from their ERP systems.

Q: What are the biggest hurdles food and beverage companies face in adopting AI, and how does Aptean help overcome these?

BD: Adopting AI in the food and beverage industry comes with unique challenges, including fragmented data systems, lack of AI expertise and concerns about ROI. At Aptean, we address these challenges head-on by providing industry-specific AI capabilities built into our ERP solutions. Our tools are designed to integrate seamlessly into existing workflows, ensuring that data is unified and ready for analysis.

We focus on providing cost-effective, scalable solutions that deliver quick wins, such as improving production line efficiency or enhancing quality control. And to ensure success, we partner with our customers, offering training and change management resources to help their teams embrace AI as a powerful tool for growth, rather than something to fear.

Chad Merck on AI Transforming Operations and Microsoft’s Ethical Standards

The next set of questions went to Merck, whose current focus is working with independent software vendors like Aptean to help them build data-centric solutions enhanced with advanced AI capabilities. He gave us some of the “how” behind AI’s transformational effect on the food and beverage industry, as well as insight into Microsoft’s approach to ethics in AI.

Q: How is AI reshaping industries at large, and what unique opportunities does it bring to sectors like food and beverage?

CM: We are seeing AI have an impact on every industry. You’re already seeing the impact in food and beverage, from improving quality to iterative innovation. The ability to improve quality by detecting contaminants through computer vision, supporting compliance with health regulations, is huge.

Having cameras and sensors feeding data to central systems also enables more proactive monitoring of crops. And on the innovation side, companies are using AI to quickly iterate on new flavors and come up with more personalized marketing campaigns.

Q: What advancements in AI in the food and beverage industry should businesses prepare for in the next three to five years, particularly in operational efficiency?

CM: This space is moving quickly, but one thing that’s certain is that progress will continue in improving AI models and outcomes. To prepare, businesses should centralize their data, make sure it is clean and put proper privacy controls in place. These steps will allow companies to take advantage of the huge productivity gains from AI.

Q: How does Microsoft address ethical concerns and data dependency challenges in AI implementation?

CM: Fortunately, Microsoft created a “Responsible AI Standard" before the recent surge driven by generative AI. Everything we do is guided by the following principles:

• Fairness: AI systems should treat all people fairly and avoid biases.

• Reliability and Safety: AI systems should be reliable and safe, ensuring they function as intended.

• Privacy and Security: AI systems should protect user privacy and secure data.

• Inclusiveness: AI systems should be inclusive and accessible to everyone.

• Transparency: AI systems should be transparent, providing clear explanations of how they work.

• Accountability: AI systems should have mechanisms for accountability, ensuring that there is oversight and responsibility for their actions.

Dor and Merck on the Aptean-Microsoft Partnership, ROI and Digital Transformation

Our last questions were for both of our presenters and touched on different topics, including Aptean’s partnership with Microsoft, optimizing return on investment (ROI) from AI investments and the technology’s role in digital transformation.

Q: How is the partnership between Aptean and Microsoft driving innovation in AI in the food and beverage industry?

BD: AI as a topic is interesting, but where the real value comes is when you can combine this with your data and a partner that understands your specific business challenges. This is what makes the partnership between Aptean and Microsoft so exciting. Aptean is able to bring the latest AI models and solutions to our customers’ existing ERP systems, generating tangible value.

CM: The strength of the partnership between Microsoft and Aptean lies in bringing together two worlds—Microsoft’s advanced technologies and Aptean’s in-depth knowledge of the food and beverage industry. Microsoft provides a solid foundation with AI solutions, cloud platforms and data analysis tools. Aptean adds its specialist expertise on the specific processes and challenges within the sector, such as quality control, traceability and supply chain efficiency.

It’s precisely this combination that makes the difference. Microsoft delivers innovative technology that works, while Aptean ensures that this technology is truly applicable in the day-to-day operations of food and beverage businesses. Together, we help businesses work more efficiently, reduce waste and better respond to market developments.

In short, Microsoft’s technology and Aptean’s industry expertise form a powerful combination that genuinely drives innovation in the sector.

Q: For companies new to AI, what steps should they take to ensure a strong ROI and alignment with business goals?

BD: AI is no different from other technologies. All evaluations should start with determining the desired business outcomes and working with a partner that has deep expertise in the technology and the customer’s business segment.

CM: For companies starting with AI, the key is to start small and keep it practical. Focus on straightforward use cases that deliver clear efficiency gains. By automating repetitive tasks or improving decision-making with AI, businesses can quickly see the benefits. The time and resources saved can then be reinvested to further develop and expand AI applications.

It’s important to avoid getting stuck in endless experimentation without real progress. AI is evolving rapidly—what’s not possible today might be feasible next month. Instead of aiming for perfection from the start, businesses should embrace an iterative approach in which they implement, evaluate and adjust. By staying flexible and focusing on real impact, companies can ensure AI aligns with their business goals while maximizing return on investment.

Q: What role do you see AI playing in the broader digital transformation of the food and beverage industry?

BD: AI brings great opportunity and some challenges, but it seems that we spend more time talking about the risks. I am excited to see how many routine tasks can be automated to free up employees to focus on more valuable tasks, as well as what new innovations will be possible.

CM: AI is the next revolution in the food industry, creating a clear divide between early adopters and those who lag behind. Companies that embrace AI will gain a competitive edge through efficiency, smarter decision-making and better responsiveness to market demands.

Due to the rapid pace of AI development, agility is essential. Businesses must be prepared to adapt quickly and continuously explore new opportunities. AI will not only bring more innovation but also free up valuable time for employees. Instead of focusing on routine tasks, they can concentrate on work that truly differentiates the company—whether it’s product quality, customer experience or sustainability.

To summarize, AI is not just an addition to digital transformation; it will be a key driver of change in the food and beverage industry.

Future-Proof Your Food and Beverage Business

Aptean is an AI-first, customer-focused provider of industry-specific software. We’ve served the food and beverage market for decades, and our dedicated teams know the industry and its unique challenges thanks to first-hand experience.

To ensure that our customers around the world and across the spectrum of sectors have the capabilities they need, we’ve acquired and developed purpose-built technologies that streamline and simplify the specialized processes of food and beverage businesses.

AI is a big step forward in terms of our systems’ features and functionality, but there’s much more to love. The award-winning Aptean Food & Beverage ERP also has the advantage of being built on the Microsoft Dynamics 365 Business Central platform, known for its ease of use, modularity and best-in-class cybersecurity.

Better still, our solution has been developed over a number of years with consistent investment to combine the most robust and advanced food and beverage ERP functionalities in one offering, meaning it checks all the boxes. You can even opt for a flexible cloud deployment and save on up-front costs and IT requirements.

Now, if you’d like to learn more about Aptean’s AI strategy and how we’re using it in our food and beverage software, check out this infographic. You can also contact us or request a personalized demo.