The Genesis Of The Close Ties Between OSI Group And McDonald’s

OSI Group is a private business that deals in the processing of meat products. This American based company has been in business for over ten decades. OSI Group was started as a retail shop by a German immigrant named Otto Kolschowsky in Chicago. OSI Group was rebranded a couple of times throughout the early years.

It was first known as Otto & Sons, later changed to OSI Industries and currently OSI Group. McDonald’s was the company’s first biggest client. By the time OSI Group was working with McDonald’s, it was known as Otto & Sons. This enterprise has had numerous clients, but McDonald’s stands out among all the others. This has erned the company the title OSI Group McDonalds as the association between the two companies continues to expand.

OSI Group McDonalds association with OSI Group

Ray Kroc opened the first McDonald’s restaurant in Illinois in 1955. During this time, Ray Kroc was still working for Maurice and Richard McDonald as a franchise agent. The establishment of McDonald’s was the first step to expanding the chain of restaurants. Before setting up McDonald’s, Ray Kroc had met with Otto Kolschowsky sons Arthur and Harry who had agreed to supply the restaurant with beef patties.

After OSI Group McDonalds had become a favorite brand and began making profits, Ray Kroc bought the company and became its CEO. Under his management, McDonald’s developed a business model similar to the one used by the previous owners of the company and included OSI Group as a significant stakeholder. This move led to the demand for more supplies from OSI Group. At the time, McDonald’s was growing into one of the most influential brands in the world.

The discovery of Cryogenic food processing technology also strengthened OSI Group’s relationship with McDonald’s. OSI group quickly adopted this method to process and preserve lots of the orders requested by McDonald’s. In 1973, OSI Group opened a branch in West of Chicago installed it with liquid nitrogen freezing equipment. This plant was dedicated to processing McDonald’s food products.

A Glenmark unit was also reinstated at the plant to cater for other clients other than McDonald’s. Since the 50’s, OSI Group has continued to work in collaboration with McDonalds chain of restaurants scattered across the United States.

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OSI Industries taking its busniess operations global

OSI Industries is a food company in the United States. Although it was founded and the headquarters are still in the country, its operations are global. More than 17 countries are currently consuming products from company. It has opened operations in these countries either directly or through acquisitions of companies which have been in the business for a long time. OSI Group is being run by a team of leaders who have a passion of seeing the company grow as well as providing food solutions to the people. Sheldon Lavin is the chairman and CEO of the OSI  Industries. He is assisted by David McDonald, the president, and COO. The two executives have led the company with passion and commitment to the cause they believe in.

OSI Industries has a long history of growth since it was started, it has been run by people who have always given their all to the growth of the business. These are people who have ensured that expansion of business is realized. OSI Group is now ranked among the biggest companies in the United States. It is number 58 according to the Forbes list of the biggest private companies in the world. The company has sales of about $6.1 billion every year. OSI Group has expanded to numerous places around the world in recent times. It has been taking its business activities in Europe where there is a ripe market for food production companies.

In Europe, OSI Industries has mainly been operating through subsidiaries. From 2016, it has acquired a number of food companies in the region with whom they will be working with. Some of the companies that they have adopted include Baho Foods and Flagship Europe. Baho Foods is a Dutch company that supplies food in 14 countries around Europe. Flagship Europe was recently renamed to “Creative Foods” after it was acquired by OSI Group. These two companies are playing a critical role in taking the business operations of OSI group in Europe. The management is committed to penetrating the market such that its presence in Europe will be formidable.

OSI Industries has also purchased a food production plant that was previously owned by Tyson Foods. The aim of the production plant was to make sure that the company is also doing well locally. The plant is one of the largest in the country and will come in handy for the company as it pushes for a bigger market worldwide.

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