SchoolNutrition.Org Hurdles To Making The Numbers Work Supplier Perspective.

SchoolNutrition.Org

Hurdles To Making The Numbers Work

Supplier Perspective

SchoolNutrition.Org

In This Segment….In This Segment….

Two broad topics

Cause and some unintended effects

One perspective

Open for debate and discussion

SchoolNutrition.Org

Expansion of Menu ChoicesExpansion of Menu Choices

• Is generally a very good thing for SFS

• SFS competes with QSR and Casual Dining segments

• Multiple choices offer kids “control”

• Variety makes SFS programs stronger

SchoolNutrition.Org

Expansion of Menu ChoicesExpansion of Menu Choices

• Creates slotting issues at distributor

• Can dramatically effect bid volume by SKU

• Makes forecasting and budgeting very difficult

SchoolNutrition.Org

Solutions?Solutions?

• Make bid volume realistic• Update volume projections often• Look for total value• Link commercial and commodity where

possible• Communicate changes early and often• Be accountable

SchoolNutrition.Org

Wellness & LegislationWellness & Legislation

For Manufacturers• Multiple nutrition targets create

confusion• Manufacturers slow the rate of R&D

OR• Pass on the added cost of short runs• SKUs are subject to volume fluctuation

creating supply chain inefficiency• Not sure what position to take

SchoolNutrition.Org

Wellness & LegislationWellness & Legislation

For Schools

• May limit choices• Applied incorrectly to reimbursable• Limits former revenue sources• Confusion about what meets standards

SchoolNutrition.Org

Solutions?Solutions?

• Take positive steps toward education

• The education channel speaks with one voice (supply chain focus group)

• Third party groups provide guidance

SchoolNutrition.Org

The Whole Grains Council has created an official packaging symbol called the Whole Grain Stamp that helps consumers find real whole grain products. The Stamp started to appear on storeshelves in mid-2005 and is becoming morewidespread every day.

Identifying Whole Grain ProductsIdentifying Whole Grain Products

SchoolNutrition.Org

How Much Whole Grain How Much Whole Grain is Recommended?is Recommended?

• 2005 Dietary Guidelines Recommends that all adults eat half their grains as whole grains –

that's 3 to 5 servings of whole grains.

• American Heart Association • Department of Health and Human Services • Healthy People 2010

Recommend at least three servings of whole grains per day.

Yet the average American eats less than one daily serving of whole grains, and over 30% of Americans never eat whole grains at all.

SchoolNutrition.Org

QUALIFYING PRODUCTSBasic Stamp

• must contain at least 8g of whole grain ingredients per labeled serving and per RACC. 

• At least 51% of the grains in the product must be whole grains.

100% Stamp • must contain at least 16g of whole grain ingredients per

labeled serving and per RACC.  • 100% of the grains in the product must be whole grains. 

As this rules out any addition of grain-based starchy release agents or thickeners, vital wheat gluten, bran toppings, etc. that are not 100% whole grain, it is expected that few if any FSIS products will qualify for the 100% Whole Grain Stamp.

SchoolNutrition.Org

Healthy Choice Cinnamon BakesHealthy Choice Cinnamon Bakes contain 16g contain 16g “One Full Serving of Whole Grain”“One Full Serving of Whole Grain”

SchoolNutrition.Org

Oprah Endorses Oprah Endorses the Stampthe Stamp

“…If you still aren't sure which of your favorite foods are really made with whole grains, look soon for these stamps on products. They're going to help take out the guesswork.”Oprah Winfrey, May 3, 2005

SchoolNutrition.Org

Hurdles To Making The Numbers Work

Supplier Perspective