When OSI Group McDonalds was chosen as the supplier of food products for the Olympic Village during the 2008 Beijing Olympics, it highlighted the company’s growing influence not only in the Chinese food market but also its soaring global brand. OSI Group’s metamorphosis from a family-owned corner butchery into a global leader in the value-added food products is the product of strategic marketing and partnerships. One such collaboration that played a vital role in the growth and development of the company’s fortunes and brand is the century-old symbiotic partnership it has with the fast food giant, McDonald’s. Even with technological revolution sweeping across the food processing such cryogenic food processing, the partnership has held steady with both partners reaping big. Read this article at Gazette to know more
One of the longest business partnership globally, OSI Group McDonald’s relationship began in 1955, just over four decades after Otto Kolschowsky had founded OSI Group McDonalds. The partnership was necessitated by McDonald’s move to open a new outlet in Des Plaines, Illinois. By this time, OSI Group’s reputation for high-quality meat and meat products was growing fast, and the company had opened new operations in new locations in Illinois in addition to Oak Park where it started. The Group easily became one of McDonald’s suppliers of meat and processed meat products.
Partnership beyond Illinois
When Ray Kroc, the founder of McDonald’s franchise in Des Plaines took over McDonald’s, the relationship between Kroc and Otto Kolschowsky’s grew further and became even more personal. Also as McDonald’s franchise grew with the opening of new franchises and restaurants all over the country, OSI Group McDonalds adopted new technologies and ramped up its production capacity to meet the ever-growing demand for McDonald’s signature meat-based meals such as hamburger. The partnership continued with McDonald’s expansion to new markets overseas including China where the Group became the supplier choice for other fast food companies such as Subway and Burger King among others. To further cement its partnership with McDonald’s globally while also increasing its presence, OSI Group McDonalds has entered into other strategic alliances and business deals including the purchase of Baho Foods and Flagship Europe. Additionally, the company has formed mergers with other companies. These partnerships have enabled the company to expand its product range to suit it better client base including McDonald’s.
OSI Industries started out as a humble, corner butcher shop that was founded by the German immigrant, Otto Kolschowsky. While it is known, today, as one of the largest custom food providers in the world, its roots go back to the west side of Chicago, or more specifically, oak park, where it served local customers. During the early part of the 20th century, Otto Kolschowsky came to the United States with hopes to start a new life. He was part of the large number of immigrants who were coming to Chicago from Germany, and it only took him a couple of years to establish his butcher shop. Due to his excellent business practices and offerings, his business would grow to include wholesale offers just ten years after it was started up.
In 1928, Otto Kolschowsky decided to rename his business to Otto & Sons in order to represent his two sons whom were now working with him. After a handshake agreement between the owner of McDonald’s and Otto Kolschowsky, Otto & Sons would become one of the earliest suppliers of beef for McDonald’s. Who would of known that McDonald’s would grow so rapidly and become the king of fast food, but it did so, and this forced Otto & Sons to expand their business even further. Over the next twenty years, the company transformed from being a local supplier to a global supplier, and in 1974, Otto & Sons constructed a facility that would be dedicated to only providing McDonald’s with the products it needed.
Throughout the 1970’s and 1980’s, Otto & Sons would continue its expansion by building new facilities in the United States. They also expanded into Spain and Germany where McDonald’s was doing the same. During this time, Otto & Sons changed their name to OSI Industries as the new CEO, Sheldon Lavin, took over some of the duties for the two brothers. A worldwide expansion began to take place and OSI Industries moved into Mexico, Hungary, Brazil, Austria, and Poland. Later on, the company expanded into the Philippines and China and also continued to fill-out its operations in the United States. With strong leadership guiding the company, there would be no slowing it down.
Today, OSI Industries is a global force to be reckoned with, and it all started out with the story of a German immigrant who had big dreams to make it in the United States.
The world is in constant motion and just like a shark, if the world stops moving, it will surely die. Though that statement is harsh, it is about 99.9 percent accurate. Money, power and food makes the world go around. Food is definitely the most important feature of the three because you can actually live without money, and you can live without power. Did you know that supermarkets and food retailors receive the majority of their rood products from foodservice suppliers? Yes, and these suppliers can come in a huge size as well as come in a small size. OSI Food Solutions just so happens to be on the larger side of things as it has complete dominance of the food service industry in general terms.
Why is OSI so special? Well, this Aurora-based food supplier is a giant to say the least. In 2011, the company brought in an estimated $3 billion in revenue, which placed it on the Forbes list at the 136th position. Fast-forward to 2016, OSI Food Solutions has progressed up to the 58th position by bringing in an estimated $6.1 billion in revenue. This company has been gaining ground in a number of ways. One of the major reasons for this increase is that the company has up to 65 facilities. Many of these wonderful facilities are loaded with advanced technologies. Some of the locations for these facilities is in Ukraine, in Austria, in Australia, in Brazil, in Poland, in Germany, in Canada and in Japan.
China’s economy has grown substantially thanks to OSI. The company has been conducting business with this nation for more than two decades, and it has become China’s biggest producer of poultry thanks to its 10 facilities. OSI Food Solutions also supplies many of the top fast-food restaurants, which includes McDonald’s, KFC, Burger King, Yum, Papa John’s Pizza and Pizza Hut. The sky is the limit thanks to the company’s CEO Sheldon Lavin as well as the company’s President David McDonald.
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Leadership is the core controller of an organization. With excellent leadership, an organization is set to expand its operations to better levels. Only a good leader can grow a firm to excellence. That explains the story of David McDonald, a lead executive at OSI Group. David McDonald has been at OSI Group for more than ten years. He holds an important leadership position that OSI Group has thrived on. David’s journey has not been easy. He harbors excellence and stellar reputation. His character depicts commitment.
David’s Journey to OSI Group
David McDonald holds a special position at OSI Group. He owes this to his academic credentials and experiences. David’s experience in leadership defines his ability to move the company to international service and production. He has vast knowledge in holding various positions. He has been part of the global production for years. David has increased the firm’s visibility in many ways. He has also attracted many investors that have contributed to OSI’s growth. David McDonald believes in team work. He has always advocated for teams and their input in the business. He believes that with strong teams, a lot can be done.
OSI Goes Global
OSI Group began production at a boutique level. With time, it garnered sufficient materials and resources that elevated it to international level. In China, OSI Group was in charge of food supply at the Beijing Olympics. The company received positive feedback from clients. With the assistance of David McDonald, OSI Group acquired Baho Foods. This was another expansion strategy that the company managed because of excellent leadership. The business has now taken an international position in order to supply products to large markets.
The Input of David McDonald
McDonald’s input crops from his knowledge. He was a student at the prominent Iowa StateUniversity. With an experience that borders 30 years, he has been moving the company to even, better, production platforms. His roles are appended to expansion. He runs the company with expansion as the key agenda. David owes his appointment as chairman to his experiences. He has been able to serve as a board member as well. His input is unmatched.
OSI Group has been trending on global expansion. David McDonald speaks a lot about the availability of resources to further the expansion. To David, international production is no longer an issue for OSI Group. It is possible because of the availability of good leadership and sufficient resources.