Case Study

Curtis 1000 Reduces
Food Service Organization’s
Internal Costs By $1 Million

Fewer Vendors Increases Leverage of Buying Power

Situation

A leading food service organization, with annual revenues of $16 billion, was determined to get back to their core business after concluding they were investing too much in hard and soft costs in various support infrastructures, causing a distraction from their core strategic efforts. The main area defined as non-core was their print shop.

Repercussions of this distraction resulted in:

  • Routinely carrying 1,500 unique items in inventory resulting in over $100,000 in excessive obsolescence costs annually.
  • Spending $1 million per year in human resources, equipment and facility costs to provide printing and graphic support.

Solution

By focusing on non-core objectives, we were able to:

  • Provide print, inventory and distribution services, as well as local representation and support for custom print requirements.
  • Facilitate the purchase of the company’s production assets, merging them into the Curtis manufacturing platform.
  • Employ technology to drive out internal costs.
  • Identify and eliminate obsolete products.
  • Use digital print technology to lower inventory levels and still meet internal print customers’ needs.

Outcomes

The food service organization was able to reduce its internal costs by $1 million annually. Reduction in the number of vendors and increased volume leverage allowed the organization to repurpose key staff to satisfy its own clients’ needs. Since program inception, the company has reduced overall print costs by 25%.