OSI Group has done a lot of good work over the years, and one of their crowning achievements is their partnership with McDonald’s. The McDonald’s partnership is something that made the company what it is today, and the people who are intrigued by the work that OSI Group does should make sure that they watch how the company has grown.
1. OSI Group McDonalds Success
The OSI Group McDonalds success and partnership is something that people might not be aware of. McDonald’s was able to grow faster and faster under Ray Croc because they were getting their food from OSI Group. OSI Group was a much smaller company when they started the OSI Group McDonald’s contract. This company became one of the largest company in the world on the strength of this deal that everyone is aware of.
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2. How Does OSI Group Deliver Better Food?
OSI Group delivers better food to the customer because they do so using local plants that do not ship long distances to customers. They have made a fresh guarantee to all their customers, and they want to be certain that they can continue to do this for all those who are ordering whether they are churches, schools, or large cafeterias.
3. Why Does The OSI Group McDonalds Deal Matter?
The OSI Group McDonalds deal matters because it shows companies around the world how they can make the same decisions that will impact their future. The companies that want to improve on how they make these choices will find that they can use companies like OSI Group to cut costs. They can offer better food to their clients, and they can get fresher products. This is a revelation for most companies, and it makes it much easier for people to order because everything is online now.
The OSI Group business model is one that a lot of people will be impressed by because they can see that it helped them make money while also providing a savings and needed service. Other firms could do the same to save money on their latest food orders.
Chicken in Spain
OSI Industries’s Toledo, Spain plant recently went through several improvements. A high-capacity production line was one such improvement. The new line was added to increase the number of chicken products that the plant produces. The plant was originally only able to produce roughly 12000 tons of chicken, however, the new production line doubles that total.
Increase in jobs
The improved plant not only increased the amount of chicken being processed, but it also increased the number of jobs. OSI Industries added 20 new employees to the 140 that already work at the plant. Only one of those jobs was a managerial position, but an important position. The new position was for a product development manager. A Century of Innovation at OSI Group.The manager’s responsibility is not only to make sure that the existing products are their absolute best, but they also have to develop new products.
Spain takes sustainability seriously, and OSI Industries wanted to make sure that the improved plant was sustainable. For example, the plant’s new equipment allowed for a 20 percent cut in energy consumption. The new refrigeration system allows for heat recovery making the plant more energy efficient. The European Agricultural Guarantee Fund gave a grant to OSI Industries to complete their project because of the company’s commitment to the environment.
Other new features
A new production line was not the only addition to the plant. A new test kitchen was added to help with the development of new products and to improve the current ones. Lighting was added for security as well as a fire system for safety. Among all of the improvements, there has been an improvement just for the employees. A social area was added to give the employees have a place to go and relax. OSI Industries’s COO, David McDonald, believes that the improvements will allow the company to grow and continue to compete in this industry.
The Gazette Day recently published Lisa Matthew’s article “A Century of Innovation at OSI Group” discussing OSI Industries growth over the course of a century. The company was founded by Otto Kolschowsky, a German-Immigrant who lived in Chicago, Illinois. It started as a single meat market with one butcher and grew to more than 65 locations in 17 different countries. It currently has more than 20,000 employees. Kolschowsky brought his sons into the business and became one of the first suppliers of ground beef to McDonald’s after Richard and Maurice McDonald opened the restaurant in 1940.
OSI industries quickly grew over the next two decades and improved on the food processing techniques to produces consistent but affordable products. It became even more important that the food was capable of being transported over large distances as McDonald’s began to grow. In the ‘60’s, an innovation in technology allowed foods to become processed in the “flash freezing” process that froze food by using liquid nitrogen. This reduced cost while also created room for product expansion. Soon Otto and Sons became one of the main suppliers for McDonald’s and opened their own plant created specifically to provide McDonald’s with meat.
In 1971, the company transitioned from Otto and Sons to OSI industries, indicating the change from a family owned butcher shop to the advanced company that had grown to the scale of a manufacturer. The next several decades saw the company grow on an international level. It quickly grew to markets in Germany and Spain. Sheldon Lavin became the chairman and CEO of the company in the early 1980’s and continued into a high-growth phase. It was able to grow beyond McDonald’s and into one of the largest companies in the U.S. It was listed as the 58th largest company by Forbes in 2016 with sales nearing $6.1 billion. It is currently expanding into more international markets, creating joint ventures with companies in Poland, Hungary, Mexico, Brazil and Austria. It has begun to diversify the products as well, adding pizza, sausage links, and hamburgers to the list. It has also added joint ventures with companies like JC Comsa in Japan and OJC foods in China.
OSI Industries was also discussed in the satPRnews article by Abhishek Budholiya called “Fresh Processed Meat Products Market Expecting Worldwide Growth by 2026”. The article discusses the improved technological advances in preserving meat which has created a counter culture that demands fresh meat. OSI Group buys former Tyson Foods plant in Chicago
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As the world’s population swells past 7 billion people, it remains pertinent that global leaders prioritize food security. If not, a global famine outbreak could happen at any moment. Aside from airborne illnesses, it remains easy for people to succumb to a sickness from their food. Moreover, food illnesses could lead to diarrhea, salmonella, or worse. In fact, food illnesses could also lead to death. Fortunately, companies such as the OSI Group exist. For those unaware, companies such as the OSI Group combat unsanitary food preparation in order to provide consumers with safe food.
Moreover, the company remains one of the most premier companies around. With that being said, the OSI Group remains an American-based company that specializes in meat processing. In addition, they serve numerous areas of the food service industry. Also, the company remains headquartered in Aurora, Illinois. Moreover, the company hails from humble beginnings. What began as a family meat market in Oak Park, Illinois, would soon become a worldwide phenomenon. As the German immigrant Otto Kolschowsky familiarized himself with America, the company opened its doors in 1909. By 1917, the company ballooned into a wholesale meat trade and relocated to a suburb of Chicago.
By 1928, the company remained known as Otto & Sons. For decades, the company enjoyed a consecutive series of growth. Moreover, it built up a reputation for offering the best quality of meat around. In fact, the business remained good enough to capture the attention of McDonald’s in 1955. Moreover, the company formed a partnership. As a result, Otto & Sons became one of McDonald’s primary meat suppliers. By 1975, the company became known as OSI Industries. Recently the company bought a Tyson food plant for $7.4 million dollars. Moreover, they purchased Boho Food as they pursue to dominate the European market.
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