Although the processed food market is more than competitive, OSI Industries has been at the forefront of this field for years. There are certainly numerous and valid reasons for that. This company is a well-known processed food producer, but since 2016 it has been engaged in the purchasing of other related businesses as well as the expansion of food processing plants that have their distribution centers in different parts of the world. Their business whether it’s local and international is of equal importance for the company. This company began with the expansion of its activities first in Chicago, when they bought the former Tyson Foods factory. Today, this processing plant is one of the largest ones in the business world.
Growing The Food Production Business
Following this business venture, OSI Industries focused its interest on the international market. Their first business step towards an international trading was the acquisition of Baho Food from the Netherlands. This company mainly worked on the production of convenience foods, meat, and snacks. The whole business deal has been done so that OSI Industries can shift to the increase of its trade on the international market. Europe is also a fertile ground for this kind of business, which coincides with the ambitions of OSI to create a dominant position in this industry.
Expanding To European Market
Just by acquiring Baho Foods, OSI is stepping toward its goal and seeking the opportunity to expand its sales on the European market. To support this there’s a standing fact that Baho Foods has a large number of branches in both, the Netherlands and Germany, from where it can be easily reachable and more possible to conquer other European markets. On the other hand, OSI Industries did not take over the management of the Baho Foods company, but Baho’s management has remained, and it is treated as a part of its autonomy.
This primarily refers to management, but also to the joint strategy of a successful company that will ensure better positioning for both parties. The management of OSI quite certainly understands better the market demands, so for that purpose, they have the possibility to make certain decisions according to their consumer’s needs. For this particular reason, OSI Industries did not bring foreign managers but has retained its own. They did it so because their managers can recognize and satisfy the needs of their clientele and make a profit for the company – which is the final goal.
OSI Group has had a long relationship with McDonalds fast foods that spans more than 5 decades. OSI Group was established in 1909 as a butcher shop run by Otto Kowachisky and his family. The company sold meat to businesses and residents in Chicago and was successful. Otto & Sons was still a small business and had its first big break when McDonalds selected it to supply its restaurants with ground beef for their hamburgers. McDonalds which was established by Richard McDonald and Maurice McDonald in 1940 as a hamburger shack.
The business had been successful and was expanding by selling franchises in various parts of the country. Their success meant that they needed a reliable and consistent supplier for their restaurants and OSI Group was the perfect choice for the job. They began supplying MCDonalds but it soon became clear that the demand was beyond they could supply without disappointing their other customers. In 1973 they invested in a brand new facility that only supplied McDonalds. The company had also decided to use the then new flash-freezing technology.
Flash freezing refers to the process of freezing food quickly by exposing it to cryogenic temperatures by exposing it to liquid nitrogen. This ensures that ice crystals do not form in the food and that maintains its taste and texture. The discovery of this technology was good for OSI Group McDonalds and eased supply issues but due to OSI Group McDonalds rapid expansion, the company had to build a new facility.
With McDonalds fast growth they needed a company that would grow with them and OSI group has been able to do that fit into different markets. Franchises like OSI Group McDonalds are always moving into new markets and are readily accepted but setting up a meat processing company is a lot more difficult. OSI Group has a knack for it and has set up facilities in Asia and another part of the world that supply McDonalds globally.
About OSI Group
OSI Group McDonalds is a food processing company that supplies meat, vegetables, and baked goods to customers all over the world.
About OSI Group McDonalds: inspirery.com/david-mcdonald/
The relationship between McDonald and OSI Group
OSI Group is currently the largest supplier of custom value-added food in the world. The company started in a humble way from a corner shop butchery to a big corporation it is right now. The company started by taking over the American food market and it quickly expanded to the global market. OSI currently has over twenty thousand employees who are well paid and constantly motivated in order to go on delivering quality services to the company. The company also has more than 65 five facilities that are operating in more than seventeen countries. OSI is best known for processing and distributing quality food to their loyal customers in various parts of the world. See this article at patch.com
The relationship between McDonald and OSI Group
OSI Group started as a corner butcher shop that was owned by a German immigrant who had moved with his family to the United States in the year 1902. Otto Kolschowsky opened the butchery in the year 1908 in one of the suburbs in Chicago. Within a short time, the family butchery had attracted many loyal customers which triggered them to expand the butchery into retail butchery in some other part of Chicago which had mire population.
Otto & Son’s butchery started growing when Ray Kroc opened McDonald’s restaurant in the year 1955 in Des Plaines which operated as a franchise agent of the couple from California, Richard and Maurice McDonald. Since this was the first McDonald’s restaurant to be opened in Illinois, Ray Kroc approached the Otto & Sons to be among his suppliers of pure quality beef. In the year 1955, Otto & Sons’ butchery agreed to be among the four suppliers of pure and quality meat for the McDonald’s Restaurant. This deal gave Otto & Sons a chance to expand their market since the restaurant is among the most famous food Brands in America. Within a few years, Ray Kroc bought the McDonald restaurant he became the new chief executive officer of the restaurants. Immediately Ray took over the ownership of the restaurant from the couple, he made the OSI Group as their major supplier of beef products.
Read this Article: https://www.wattagnet.com/articles/27248-osi-group-buys-former-tyson-foods-plant-in-chicago