OSI Group President, David McDonald Discusses Logistics Involved In Being a Global Food Distributor

Global companies have a large network of people ensuring that day-to-day operations run smoothly. All the people in the network depend on the company to earn a living with the majority of them indirectly benefiting from the company’s operations.

Factors such as government regulations, talent pool, and cultural nuances affect the operations of a company. Thus, the president of OSI Group Mr. David McDonald has come out to discuss such issues and shed light on the mammoth of a task it is to run a successful business in different continents let alone different countries.

OSI Group is a meat processing company that services the food industries all around the globe. It is headquartered in Aurora Illinois and has a presence in the United States, Europe, and China operating over 50 facilities in 17 countries. The meat processing company has a rich history having being founded in the year 1909. OSI currently has a global workforce of about 20,000 people. In 2015, it recorded $6.1 billion in revenues.

In the food industry, diversifying the menu is vital as people have different tastes; that is why OSI Group has a wide variety of foods for selection. Some of their products include bacon, meat patties, pizza, hot dogs, poultry, fish, and a wide range of fruits & vegetable products.

Mr. McDonald started by saying that the OSI team located in the offices and facilities around the world are responsible for facilitating the large-scale operations of the company. The company had a global logistics team that operated closely with the local management teams that have both the expertise and knowledge of the markets on the ground. According to Mr. McDonald, that partnership with the local management allows operations to run smoothly due to their comprehension of the local cultures and tastes.

OSI Group has grown with the Chinese economy for the past 20 years with eight factories and two more being constructed. With the ten facilities, OSI Group will be the largest poultry producer in the region serving international clients such as Yum, McDonald’s, Saizeriya, Starbucks, Burger King, Subway, and Papa John’s among others.

Mr. McDonald declared China as OSI’s main focus with its large population which is growing. The consumer market in China is also growing providing an attractive destination to sustain the company’s growth. The company’s recent partnership with DOYOO Group will allow the company to realize its goal of becoming the largest producer of poultry by fully integrating their poultry operation in the country.

With its focus also on expanding its Europe market, the company made an announcement in August 2016 that it had acquired Baho Food, a Dutch food processing company that deals with deli meats and snacks. Mr. McDonald discussed the acquisition claiming that it bolster OSI’s position in the European market. He added that the Dutch company’s menu complimented OSI’s menu that serves a great diversifying opportunity to meet the ever-evolving needs of their consumers. Baho Food will keep its employees as well as the managing director, John Balvers and work in unison with OSI to develop growth strategies.

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