Confidential and Proprietary to Food & Restaurant Solutions Int'l LLC Copyright 2010
“CASE STUDIES”
January 1, 2010
Confidential and Proprietary to Food & Restaurant Solutions Int'l LLC Copyright 2009
1
Restaurant Manufacturing Plant
Business Consulting
Confidential and Proprietary to Food & Restaurant Solutions Int'l LLC Copyright 2010
Reduce manufactured cost of precooked chicken product. Also, identify costs of each process unit, assign cost impact to finished product, and make recommended cost reductions (Activity Based Costing – ABC).
• Finished product food costs were reduced 15+ percent.• Manufacturing costs were identified and assigned to each unit process
- based on costs for ingredients, indirect and direct overhead, equipment, G&A, etc.
CASE STUDY: Food Process Cost Analysis
ObjectiveObjective
ApproachApproach
ResultsResults
• Implemented PROCAM (Process Cost Analysis) Methodology to food manufacturing processing line.
• Developed an “As-Is” and “To-Be” Process Map of existing process with recommended process efficiency improvements
• Implemented and tested process efficiency improvements, conducted preliminary food cost Proforma
• Completed Statistical Process Control (SPC) Analysis• Conducted a Process Cost Analysis of recommended “Gold Standard”
process, then compared to food cost margin success criteria• Made final process adjustments basis Process Cost Analysis of “Gold
Standard” process, then revalidated manufacturing cost performance data.
Process Cost Reduction
Confidential and Proprietary to Food & Restaurant Solutions Int'l LLC Copyright 2010
Develop a high margin poultry snack food product from underutilized dark meat within 90 days for national test market.
• Finished product was developed and store tested within 30 days, then placed into two different geographical test markets within the next 60 days. Finished product delivered a 80% gross margin after 20% food cost.
CASE STUDY: New Poultry Product Development
ObjectiveObjective
ApproachApproach
ResultsResults
• Developed an internal multi-department product team in partnership with selected outside suppliers
• Conducted a series of “Ideation” sessions that utilized divergent and convergent ideation methodologies
• Implemented a new, efficient, three-sided “Culinary Food Development Process” that included internal R&D experts, external consultants, external supplier experts.
• Implemented Project Management Program managed by independent Project Manager
• Implemented Store Operations and Equipment Requirements Discovery Phase at the beginning of the project
• Incorporated “Rapid Deployment Supplier Manufacturing Teams”• Evaluated ROI on custom solutions during initial store test, and before
market test• Re-evaluated custom solutions during market test, and validated projected
Proforma costs
New Product Innovation
Confidential and Proprietary to Food & Restaurant Solutions Int'l LLC Copyright 2010
Develop a new rotisserie cooking oven for chicken and turkey products that reduces energy costs, increases cooking capacity, reduces HVAC installation costs, reduces R&M costs, and meets or exceeds internal ROI standards.
• New rotisserie cooking oven resulted in a 40% lower energy cost, a 33% higher cooking capacity, a $5,000 lower HVAC installation cost per restaurant, a 10-fold lower R&M cost, and an ROI payback that exceeded internal specification standards.
CASE STUDY: New Rotisserie Oven Development
ObjectiveObjective
ApproachApproach
ResultsResults
• Developed an internal multi-department product team in partnership with selected outside suppliers
• Implemented Project Management Program managed by independent Project Manager
• Conducted a series of “Ideation” sessions that utilized divergent and convergent ideation methodologies to identify technologies required to fit equipment performance criteria
• Developed upfront “Equipment Prototype Specification Standard” • Implemented an equipment development program based on functional,
performance, and ROI specifications, not on design specifications• Co-Tested product in multiple stores and in “Accelerated Performance Test”
scenarios• Developed and tested custom solutions• Deployed solutions with supplier ownership
New Equipment Innovation
Confidential and Proprietary to Food & Restaurant Solutions Int'l LLC Copyright 2010
Develop a “Gold Standard” poultry inject marinade process that significantly reduces product variation (or defects), and improves finished product quality so that it meets or exceeds consumer expectation standards.
• A
CASE STUDY: Poultry Marinade Process Improvement
ObjectiveObjective
ApproachApproach
ResultsResults
• Developed an “as-is” process analysis of three different processing plants• Conducted “Best Practices” evaluation of the same poultry process (using
sometimes different equipment) at two separate competitor plants• Conducted Statistical Process Control (SPC) analysis of processing lines in all
three manufacturing plants• Conducted Process Capability Study Analysis of all SPC data, then developed a
“Gold Standard Process” based on best equipment, best practices, and SPC data• Implemented “Gold Standard Process” in model plant, revalidated performance
data, trained employees on best practices, then developed a training program with a training manual for deployment at other manufacturing plants.
• Implemented “Gold Standard Process” in remaining two processing plants with employee training program, then revalidated performance data against Model Plant
• Conducted consumer taste panels to validate food quality performance
Process Quality Improvement
• A “Gold Standard” manufacturing process was developed and implemented based on internal and external “Best Practices”.• Statistical Process Control (SPC) data demonstrated that data from 3 diverse production plants fell within the 95% Confidence. Interval.• Consumer taste panel data further verified that product variation was minimized to internal standards.
Confidential and Proprietary to Food & Restaurant Solutions Int'l LLC Copyright 2010
Re-engineer restaurant food preparation processes that increase net operating profit through reduced labor cost while maintaining internal food quality standards. Final food costs were also expected to be lower those experienced in a competitive food commissary concept.
• A
CASE STUDY: Restaurant Process Re-Engineering - Outsourced Food Preparation
ObjectiveObjective
ApproachApproach
ResultsResults
• Developed an internal multi-department product team in partnership with selected outside suppliers
• Implemented Project Management Program managed by independent Project Manager
• Conducted a series of “Ideation” sessions that utilized divergent and convergent• Developed an and acceptance• Identified test stores with specific performance strengths in food and labor cost
management• Developed and consumer tested outsourced food products• Evaluated food, labor, and operations performance tests in a sequential manner in
stores with strengths in those areas• Deployed and tested “Best Practices” identified in diverse test stores in a final
“Model Test Market”, then revalidated cost Proforma
Process Re-Engineering/Cost Reduction
• A national outsourcing program was developed and implemented that resulted in a net operating profit increase of 1% (based on total store sales) through a 2%labor reduction and a 1% food cost increase.
• Outsourced food costs were a full 2 - 4 percentage points lower than food costs in commissary food concepts.
Confidential and Proprietary to Food & Restaurant Solutions Int'l LLC Copyright 2010
Develop an integrated supply chain between several food manufacturing locations and restaurants located 600 miles away. The supply chain must be able to deliver fresh-prepared food products with a maximum 36-hour shelf-life on a daily basis (24-hour delivery cycle).
• An integrated food supply chain was developed that delivered fresh-prepared food with a 36 hour shelf-life on a 24-hour delivery cycle.
• Order fulfillment accuracy was reduced to 99%, and in-store waste reduced 30 percent.
CASE STUDY: Restaurant Concept Re-Engineering - Supply Chain Development
ObjectiveObjective
ApproachApproach
ResultsResults
• Developed an internal multi-department product team in partnership with selected outside suppliers
• Implemented Project Management Program managed by independent Project Manager
• Developed an “as-is” and “to-be” food preparation process map and product specifications
• Identified and developed a “Fresh Food Delivery Model” from manufacturer to customers with performance success criteria for deliver times, order accuracy, delivery cycles for products that were shelf-life dependent.
• Implemented a special “Corrective Action” Team focused on identifying supply chain bottlenecks, executing corrective action, and validating Proforma results
• Conducted “Supply Chain Isolated Stress Tests” to validate supply chain performance against unexpected challenges.
Food Supply Chain Development
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Our Clients
January 1, 2010
Confidential and Proprietary to Food & Restaurant Solutions Int'l LLC Copyright 2009
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