OSI Industries, LLC, the parent company of OSI Food Solutions, a global leader in the provision of high-quality meat products is growing. Currently, the group has more than 65 facilities employing around 20,000 employees in 17 countries and not only does it process meat products; it also produces quality custom food products, it also serves as a packaging partner to large-scale Foodservice and Retail clients among them Subway, Starbucks, and Pizza Hut. The company is also a supply chain expert, from sourcing raw materials, to value addition and retail.
The success of OSI Food Solutions Europe is founded on the good rapport with customers, suppliers, and employees. The core values of the company are, food hygiene, quality assurance, and sustainability, one of the ways the company remains sustainable is the preservation and efficient use of resources and a commitment to environmentally friendly concepts. This dedication to the management of environmental risks led to the nomination of the company for the Globe of Honor Award for 2016, an award that is given by the British Safety Council and it aims at rewarding organizations that display excellence in the management of environmental risks. This award was not the first for the company having won it previously in 2013 and 2015.
Recently the company made a couple of acquisitions in an expansion spree that saw it also double the production capacity of processed chicken products. First, the company injected €17 million into the company’s plant at Toledo, Spain, 20,000 square feet were added to the floor space and a high-capacity production line was installed. This doubled the annual amount of processed chicken and also translated to new jobs for the locals.
The next step on the company’s list was the finalization of the purchase of Baho Foods, a Netherlands based meat processor. This not only increased the company’s asset base, but it also increased the presence OSI Food Solutions had in Europe. Before the purchase of Baho Foods, OSI Group acquisitioned a 200,000 square foot food processing and storage plant from Tyson Food Group. The plant, which was selected for its proximity to OSI Group’s Chicago facility. Still not completely sated, OSI Food Solutions went on to acquire Flagship Europe, which they renamed Creative Foods Europe. As the company settled down to celebrate, Chief Executive Officer Sheldon Lavin not only got the Global Visionary Award rewarded by India’s Vision World Academy and but also an award for community service.
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OSI Group has developed into a worldwide concern as one of the preeminent food processors as they build on their company’s rich and varied history. Their capabilities in production and culinary creation help set them apart as a quality partner to many top brands. They have 65 facilities in 17 different countries as well as approximately 20,000 employees who are enthusiastic about their work.
The origins of OSI Group go back more than 100 years when they were known as Otto & Sons. Otto Kolschowsky was a German immigrant looking for an opportunity in America and he landed in Chicago. In 1909 he opened a butcher shop and a meat market which served local residents successfully for many years. As the business grew, he eventually expanded into the wholesale meat business as well.
Ray Kroc of McDonald’s was searching for a meat supplier to take care of the first franchise in Des Plaines, Illinois. He selected Otto & Sons with a handshake agreement and a historic partnership was formed. Both companies grew at an electric pace as the years went by. The franchising business model was new to the United States and both companies flourished with it.
The use of flash freezing that was implemented by the company was an early example of their reliance on technological innovation. This process enabled Otto & Sons to supply beef to distant franchise locations and gave them more business. By 1973, the company required a new plant that would be wholly devoted to their business with McDonald’s.
Sheldon Lavin came aboard as a financial expert to help the company expand with this project. His experience in banking and investing proved invaluable and the plans came to fruition. He stayed on as a partner and became the visionary to guide the company to higher levels of growth.
In 1975 the company was renamed OSI Group which honored their founding by Otto Kolschowsky. It also reflected the international nature of their business and the increased scope of it. With the company prospering like never before as Lavin made crucial decisions, the original owners decided the time was right to retire from business. Sheldon Lavin then assumed total ownership and guided them successfully for decades.
The expansion and increased abilities of OSI Group has been strategic in nature. Lavin and David McDonald have made sensible purchases that enhance and improve their capabilities. They have succeeded in building an outstanding global brand that stands for quality and innovation.
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Tyson Foods is a premiere supplier of meat products within the United States. This company normally serves hospitality and grocery industries with products. However, the company had to sell off one of its factory locations within the Chicago area because it was not able to keep up with the current demand. OSI Group LLC. or OSI Food Solutions acquired the plant from the Tyson company. OSI brought the facility for $7.4 million dollars.
OSI Food Solutions is another Illinois based processed meat and food suppliers. They provide a wide variety of meals to restaurants and grocery stores. This organization also markets meals in the hospitality and food and beverage industry. Many chain restaurants such as Subway, Papa John’s and Pizza Hut; purchase many of their menu items from the OSI Group.
The Tyson plant in Chicago has been struggling to keep up with the changing demand for food products in the Windy City area. The company tried to implement different strategies to meet consumer expectations, but they just did not have the right type of facilities to make this possible.
The organization had no choice but to relinquish one of it operational facilities. OSI Food Solutions purchased the plant and have added it to its own growing enterprise. OSI is doing quite well in the market. They are consistently expanding at home and abroad.
OSI has added some former Tyson employees to its payroll. Some individuals who left the former Tyson plant are now employed with the OSI Group. This move by OSI Food Solutions to keep many people from being unemployed and it helped to keep the facility operational since there were experienced workers who knew how to manage it. OSI Group’s acquisition of the Tyson Food plant helps the organization to maintain its market share in a very highly competitive field.
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A century in business is something few businesses can possibly say about themselves. Most businesses never go beyond a decade even with the best strategy. The origins of OSI Industries are incredibly easy to relate to within the context of America. It was the meat deli of Otto Kolschowsky and his sons. Originally from Germany, Otto wanted to find a way to make it in America and he decided the best way to do so would be to open up his own deli and give people a way to purchase the meats they loved for themselves. His plan worked and brought us the seed that would create the corporation we know today.
OSI Industries was able to emerge from the suburbs of Chicago in order to make something more of itself as a result of the sons of Kolschowsky. They wanted to find a way to turn the family business into a national operation and they had the tools to do it. They used cryogenics in order to help them preserve the meat and gain an advantage over their competition. The competition had no way of handling this and eventually went out of business. OSI Industries simply emerged stronger.
OSI became the international corporation we know it as today when the Kolschowsky brothers asked for the assistance of financial experts who knew how to expand their business. These business experts helped OSI purchase foreign delis and food processors that had the potential to give OSI something it would’ve never had without them. This is how OSI gained a foothold in Europe and China where it continues to expand and dominate business. To increase its profitability the corporation has even begun to sell frozen dough, vegetables, and other goods that complement the meat OSI originally became famous for selling to fast food chains.
OSI isn’t finished yet by any stretch of the imagination. It is worth at least $6 billion with the potential to gain even more wealth. The fast food industry has always needed suppliers and it just so happens that OSI is one of the most respected suppliers out there. Nobody out there seems to have the same drive or the motivation as OSI. Other companies have copied OSI Industries in hopes of flipping the table on them to no avail. While every corporation faces challenges, it seems that OSI Industries always emerges stronger than ever before after every decade.
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