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OSI Group: From Butcher Shop to Meat Market of the World

The OSI Group is one of the few companies in the world that has been able to achieve the enviable accomplishment of surviving for more than a century. This is a feat in and of itself to be certain, but to also be a global industry leader in one of the most competitive business sectors around, it makes the accomplishment even more impressive. Like so many other companies, the OSI group has grown to its sizeable power and influence gradually over the years, starting out from humble beginnings, and making key decisions along the way. It was the principles of its founder Otto Kolschowsky, that has guided those decisions always, and of course, a good bit of luck is as always an important part of the equation and more

Otto didn’t start out with a dream of being the worldwide leader in the protein supplier industry. All Otto wanted to do was make a living for his family. He grew up in Germany and immigrated to the United States near the turn of the 20th century. Like so many who came to the new world looking for a future, he brought with him very little in terms of possessions, but a wealth of knowledge and skills that he could use to build his life. In the case of Otto, he brought with him the skills that had been handed down to him from the long line of Kolschowsky men before him, the skill of butchering.

He settled in the German immigrant-rich area of Chicago known as Oak Park, on the west side. His skills were in high demand and after working for a couple of years in various butcher shops and meat packing plants, he decided to set out on his own and open a shop. He had a wife and children after all and he needed to provide the best life he could for them. His new storefront “Otto’s Meat Market” was a hit and soon he had more business than he could handle, but he never thought that was a bad thing. He even found himself starting to get big orders from the local restaurants and hotels. The word of his exceptional quality, fair prices, and excellent customer care had gotten around and now everyone wanted Otto’s meat in their kitchens. He brought his sons into the business and expanded to include a wholesale division as well. It was a good time for Otto and his family, but even better times were just around the corner and from a most unlikely and unexpected source.

About the same time Otto & Sons was taking off, another small business was growing like wild weeds all over the country, McDonald’s. When the hamburger and fries franchiser wanted to increase their production levels, they started to turn to local distributors to help them keep up with the demand. In the upper Midwest, they partnered with Otto & Sons and it was a decision that would change both companies forever. Within a few short years, McDonald’s was everywhere and they started to depend on Otto & Sons more to help them feed the millions and millions of people who were hungry for their signature sandwiches every year all around the world. Soon, Otto & Sons, by then known as OSI, had become the sole provider of proteins to the McDonalds system in North America and a leading supplier for them overseas. This led OSI to expand their production even further and begin supplying to other food outlets as well. Everyone in the world, it seemed, wanted to have OSI as their meat supplier, and OSI was more than happy to oblige.

Today, thanks to the expansion that was made possible by the relationship that OSI had and still enjoys with McDonald’s, the OSI Group is the global leader in supply chain origination for service ready and process ready proteins around the world. The OSI group operates in 17 countries and employs more than 20,000 people directly and thousands more indirectly from their own upstream supply chain which includes local ranchers, processors, and logistics partners. With more than 65 currently operating facilities and new ones opening every year, it’s no wonder why the company is the most recognized and trusted name in food protein product origination. It’s been a great 100 years for OSI and it’s certain that the next hundred will be even better!

Sheldon Lavin steers OSI Group to the global Scene

Sheldon Lavin is an epitome of the fact that focus and discipline are essential for long-term career success and achievements. Mr. Lavin who is the CEO of OSI Group has been in the business world for over four decades. He has been credited with effective growth strategies tailor-made for the various organizations. In particular, he has been a critical pillar in propelling OSI Group to the global business arena.

Sheldon Lavin worked as a consultant in the financial sector having studied accounting and finance. It is during this time that he was engaged by OSI Group which was then known as Otto & Sons. He assisted Otto & Sons, which was primarily a small family owned business, secured some finances for expansion.

The transaction was successful, and he resolved to become actively involved in the business. His entry into the scene in the late 1970s heralded a significant change in the business’ fortunes. Mr. Lavin initially acquired a 50 percent stake and later 100 percent of the company. Although the company was doing business with renowned entities like McDonald’s, it had a low presence in the food service industry.

Sheldon Lavin took steady steps towards establishing OSI Group as a global brand. One of the main strategies was to build a unique culture as well as motivating all employees. It is a culture that is well-inculcated in all its outlets around the world. In essence, OSI Group ensures that each outlet resonates to the local culture and regulatory framework. It allows the company offer excellent services that are suited to the local needs, tastes, and preferences. The approach is also employed in instances where the company has acquired new brands in different parts of the world.

The growth experienced under Sheldon Lavin has also received recognition from different quarters. For instance, OSI Food Solutions UK was honored by the British Safety Council in 2016 for having instituted credible safety, environment, and health risks management measures. The award, known as Globe of Honor, also acknowledged the company’s role in creating job opportunities around the globe.

Sheldon Lavin has also received awards for his remarkable expansion strategy at OSI Group. He won the Global Visionary Award from India’s Vision World Academy in 2016. The award is known to recognize individuals who have overcome various obstacles to realize their dreams in their respective careers. Although Mr. Lavin is 81 years of age, he continues to inspire and steer OSI Group to greater heights. He is also active in charity work cutting across various social issues.

For More info: www.crunchbase.com/person/sheldon-lavin

How OSI Food Group Is Expanding Its European Presence

OSI Food Solutions is an American privately held food processing company. They have global operations across North America, Europe, and Asia. Their main products are protein-based including beef, pork, chicken, turkey, and seafood. They do also provide vegetables, marinades, sauces, and other food product to their clients those. They provide food to many fast food chains as well as large grocers.

One of OSI Food Solutions production plants is located in Spain. This production plant supplies chicken to their clients in both Spain and Portugal. In recent years people in these two countries have increased the amount of chicken they are eating. The managing director of this plant, Jose Maria Del Rio, said that over the past 10 years the demand for chicken has increased by an average of 6% each year. This demand, he says, has accelerated over the past three years because each of those years saw an 8% increase in poultry eating.

In order to keep up with demand, this food processing plant added a high capacity production line which has been outfitted with the latest technology. OSI Food Solutions spent €17 million on this line. The result of putting this in the plant is that it can now process 24,000 tons of poultry annually versus 12,000 tons before, a doubling of its production abilities. Adding in the other proteins they produce at this plant it can now produce over 45,000 tons of food each year.

OSI Food Solutions has also been making acquisitions of other European food processing companies in recent years. In August 2016, they acquired a Dutch food processing company called Baho Foods. The purchase included all five of their subsidiaries as well as their production facilities located in both Germany and the Netherlands. At the time of this acquisition the president and COO of OSI Food Solutions, David McDonald, said that what they offer to their clients would be enhanced by adding in what Baho Foods offers.

Another company that OSI Food Solutions bought in 2016 was Flagship Europe. This company is based in the UK and was previously owned by a Denver, Colorado company, Flagship Food Group. This purchase included all of Flagship Europe’s subsidiaries such as Calder Foods. A few months after the purchase was finalized this company was renamed as Creative Food Europe.