Strategic Recommendations for In-Office Foodservice Company’s Production Center Post-Acquisition

SITUATION
Heritage Restaurant Consultants was engaged by an in-office foodservice company to optimize the operational efficiency of their production center, which was acquired by P/E firm in 2019. Our task was to assess the facility’s underutilization and develop a strategy to enhance productivity or propose alternatives to ensure maximum profitability and effectiveness.

PROBLEM
The production center faced several challenges: low employee morale and high turnover, a lack of menu variety and innovation, inconsistent availability of rotating menu items, outdated and unappealing packaging, outdated machinery and frequent equipment breakdowns, and low customer satisfaction.

SOLUTION
To address the challenges, we created a positive work culture by raising employee salaries to industry standards and implementing performance incentives. We completely revamped the existing menu, and introduced a high-end concept titled “Harvest & Main” which provided alternative products for customers desiring healthier, natural options. Additionally, we replaced old packaging with modern, appealing, and tamper-free designs.

BENEFITS
The solutions led to significant benefits: increasing employee salaries boosted production, and reduced turnover by 70%. Sales dramatically increased due to increased customer satisfaction with the revamped menu and the introduction of “Harvest & Main” products. Purchasing new equipment increased efficiencies, resulting in 50% more output, reduced labor costs, and an overall 186% increase in EBITDA.

For more information, contact Agostino DiGiacomo at 747-249-4320 or [email protected] .