The Company operated in three main business segments (sausage, bakery and pickle processing) while also distributing a variety of other kosher food products manufactured by other companies.
Fort Dearborn was hired to conduct a strategic planning process to address the current business environment; evaluate critical issues facing the company; define corporate goals; and prepare work plans to support each functional goal.
FDP worked with management to:
–Perform a distribution channel analysis which identified the true profitability and growth segments for the business, leading to the aggressive pursuit of warehouse club sales and the food service channel;
–Begin a bakery operation with the introduction of a new product at the time (the “mini” bagel dog) and its geographic roll-out for the warehouse club channel;
–Refine marketing programs to warehouse clubs and supermarkets through the introduction of new “bakery” products, targeted advertisement, and promotional programs for product line extensions;
–Implement a regular product pruning process to simplify product-line offering;
–Initiate a program to better manage new product introductions through:
•Implementation of a product development and testing process; and
•Implementation of line extension procedures using sales/volume requirements and cost feasibility.
–Address manufacturing capacity constraints through a two-year plan of facility layout redesign and targeted capital expenditures.
Management adopted many of FDP’s proposals and realized significant sales gains in the warehouse club and food service channels. After reviewing its plans for growth, ownership concluded that partnering with a Company more established in these channels would accelerate growth and penetration. Based on our intimate knowledge of the Company’s strategies, Fort Dearborn ultimately acted as the Company’s advisor in its sale.