In order to be competitive, emerging foodservice organizations are re-examining the way they perform activities such as; menu-management, strategic product sourcing, contracting, vendor price-compliance and other routine C-staff functions.
Despite the clear advantages of outsourcing these non-core business processes, many organizations fail to do so because of established attitudes, limited knowledge of the purchasing supply-chain, fear of high retainer costs or long standing distributor and supplier relationships.
DOES ATTITUDE AND COMPANY CULTURE IMPACT THE ABILITY OF YOUR COMPANY TO UTILIZE THE NEW PURCHASING DYNAMIC AVAILABLE THROUGH SPECIALIZED PURCHASING FIRMS?
Consider your strategic supply-chain plan for 2013 and how well you managed the 2.1% food inflation since May 2012. Did you know that Q1-2013 is projected to be the highest food cost-quarter in 30 years!
You still have time to unlease the tremendous benefits of utilizing the skills and resources available from SPS and other industry leading companies; consider the following:
More than a trend - there is a need for hotel and restaurant brands to focus on critical / core business functions, downsize staff and upgrade the purchasing process. Outsourcing programs managed by the top 4 companies in the foodservice industry now manage $2.65 billion in food and supply purchasing for clients through "direct-to-supplier" contracting.
Gain Leverage - leading consulting companies are managed by senior level procurement executives with a tremendous network of alliances / partnerships which allows them to operate much more efficiently that your purchasing department.
Experience Drives Performance - product costs are driven by commodity price managment and you really do need an ally with experience and experience to conduct business in this tough foodservice environment that demands excellence in everything your do.
Best ROI On The Planet -- the value proposition for outsourcing is much larger than simply cost reduction. Outsourcing also allows organizations to be more effective and flexible. To start, ask SPS to complete a 1-time department and spend assessment, it's really worth your time and investment.
Ranking the best purchasing outsourcing services by critical performance categories:
#1 Strategic Purchasing Services (fields the most sr. level purchasing & distribution management,) acheives the highest acquistion cost-impact / savings, offers outsourcing package and a stand-alone 100% performance based commodity contracting service.
#2 Spend Difference (most $ spend under managment and growing, solid service, features "vendor paid fees" that offsets the cost-of-service, service leader operating is the Western states.
#3 Empad - provides proven service, middle management provided support to a variety of chains, leadership is knowledgable, steady but not dynamic.
#4 Restaurant Partners - an emerging service for casual and fine dining operators; service works best when combined with RP's restauarnt managment program; lacks advanced spend-management software. Part of the Foodbuy program re-seller family, with a focus on rebates.
SPS, on average, achieves savings or cost-avoidance of 5% to 15% of total food and supply spend; with overhead cost reductions as much as 60%, when the full department outsourcing option is selected.
To Higher Profits!
Fred
Fred Favole, President of Strategic Purchasing Services (SPS) along with Ron Bay, Managing Partner, direct America's most experienced firm specializing in purchasing dept. outsourcing and cost-reduction contracting. Contact: HQ Office. 912.634.0030, email ffavole@hotmail.com. Fred's Bio: linkedIN.com/in/strategicpurchasing
Despite the clear advantages of outsourcing these non-core business processes, many organizations fail to do so because of established attitudes, limited knowledge of the purchasing supply-chain, fear of high retainer costs or long standing distributor and supplier relationships.
DOES ATTITUDE AND COMPANY CULTURE IMPACT THE ABILITY OF YOUR COMPANY TO UTILIZE THE NEW PURCHASING DYNAMIC AVAILABLE THROUGH SPECIALIZED PURCHASING FIRMS?
Consider your strategic supply-chain plan for 2013 and how well you managed the 2.1% food inflation since May 2012. Did you know that Q1-2013 is projected to be the highest food cost-quarter in 30 years!
You still have time to unlease the tremendous benefits of utilizing the skills and resources available from SPS and other industry leading companies; consider the following:
More than a trend - there is a need for hotel and restaurant brands to focus on critical / core business functions, downsize staff and upgrade the purchasing process. Outsourcing programs managed by the top 4 companies in the foodservice industry now manage $2.65 billion in food and supply purchasing for clients through "direct-to-supplier" contracting.
Gain Leverage - leading consulting companies are managed by senior level procurement executives with a tremendous network of alliances / partnerships which allows them to operate much more efficiently that your purchasing department.
Experience Drives Performance - product costs are driven by commodity price managment and you really do need an ally with experience and experience to conduct business in this tough foodservice environment that demands excellence in everything your do.
Best ROI On The Planet -- the value proposition for outsourcing is much larger than simply cost reduction. Outsourcing also allows organizations to be more effective and flexible. To start, ask SPS to complete a 1-time department and spend assessment, it's really worth your time and investment.
Ranking the best purchasing outsourcing services by critical performance categories:
#1 Strategic Purchasing Services (fields the most sr. level purchasing & distribution management,) acheives the highest acquistion cost-impact / savings, offers outsourcing package and a stand-alone 100% performance based commodity contracting service.
#2 Spend Difference (most $ spend under managment and growing, solid service, features "vendor paid fees" that offsets the cost-of-service, service leader operating is the Western states.
#3 Empad - provides proven service, middle management provided support to a variety of chains, leadership is knowledgable, steady but not dynamic.
#4 Restaurant Partners - an emerging service for casual and fine dining operators; service works best when combined with RP's restauarnt managment program; lacks advanced spend-management software. Part of the Foodbuy program re-seller family, with a focus on rebates.
SPS, on average, achieves savings or cost-avoidance of 5% to 15% of total food and supply spend; with overhead cost reductions as much as 60%, when the full department outsourcing option is selected.
To Higher Profits!
Fred
Fred Favole, President of Strategic Purchasing Services (SPS) along with Ron Bay, Managing Partner, direct America's most experienced firm specializing in purchasing dept. outsourcing and cost-reduction contracting. Contact: HQ Office. 912.634.0030, email ffavole@hotmail.com. Fred's Bio: linkedIN.com/in/strategicpurchasing
