IFDA Report to Members 2016
Transcription
IFDA Report to Members 2016
THE IFDA COMMUNITY meet > engage > build > grow R E P ORT TO M E M B E R S 2016 I NTE R NATI ONAL F OOD S E RVI CE D I STR I B UTOR S AS S OCIATI ON Helping Our Members Succeed THE IFDA COMMUNITY meet > engage > build > grow 4 16 10 OUR MISSION: CONTENTS: The International Foodservice 2. Message from the IFDA Chairman and the IFDA President & CEO Distributors Association provides 4. IFDA Conferences, Programs, and Forums leadership and action on industry 10. IFDA Government Relations issues most important to our 16. IFDA Benchmarking, Research, & Communications members’ success. 22. IFDA Board of Directors 23. The IFDA Community: > IFDA Distributor Members > IFDA Partners > IFDA Allied Members R E P O RT TO M E M B E R S 2 01 6 MESSAGE FROM THE IFDA CHAIRMAN and IFDA PRESIDENT & CEO The Benefits of Participating in the IFDA Community As a Board, we take our responsibility to the industry seriously, and that manifests itself in a keen focus on timely programs and services that benefit the membership. These include: • Our work in Washington with Congress and the regulatory agencies, ANDREW B. MERCIER MARK S. ALLEN, JR. IFDA has made an incredible amount of progress since becoming an independent organization thirteen years ago. We have added numerous programs and services and evolved our Government Relations presence in Washington for the sole benefit of foodservice distributors. As our influence has grown, so has our ability to invest in the future of our industry, and your success. IFDA is governed by a Board of Directors consisting of 24 exceptional industry leaders. These leaders are drawn from different parts of the country, and include broadline and systems distributors, redistributors and purchasing co-ops, and represent various size businesses in communities all across America and abroad. And although each Board member has a different set of experiences, they all have one thing in common — they are committed to creating value that contributes to the success of IFDA member companies, the industry, and the association. • Recent initiatives to build exceptional industry leaders through the IFDA Executive Development Program at UVA’s Darden School of Business, • A new online training program, Foodservice Essentials, • New benchmarking opportunities so that you can compare performance with a representative group of IFDA member companies, and • Promoting the value of distribution, such as the recent IFDA video titled “Distributors in Action.” The Board also takes its fiduciary responsibility to the membership seriously, with well thought-out budgets that support the work of the Association and ensure annual surpluses that contribute to our reserves and allows us to invest in the future of the industry. Lastly, the Board has adopted goals and strategies that will maintain IFDA’s relevance well into the future. Rapid changes in the operating environment (consolidation, growth, profitability, competition, demographics, customer SOURCES OF REVENUE shifts, consumer expectations, food safety and other regulations, etc.) are changing how distributors operate. As the foodservice landscape evolves and creates both opportunities and challenges for distributors, the IFDA Board is focused on emerging issues that could benefit from investment and create new value for member companies. IFDA is a community of like-minded distributors who have a keen focus on growth, continuous improvement and customer service. We urge you to take advantage of the range of existing and new opportunities we have developed, as we know it can benefit your company. This is an exciting time for the industry and IFDA looks forward to continuing to play a leading role in helping you succeed. Best wishes, Andrew B. Mercier President & CEO, Merchants Foodservice 2016 - 2018 Chairman, IFDA Mark S. Allen, Jr. President & CEO, IFDA IFDA Invests Membership Dues 34% Conferences & Seminars 48% Sponsorships 13% Other Programs & Services 5% 80 PERCENT of revenue into programs that directly benefit our members DISTRIBUTION OF EXPENSES Conferences & Seminars 44% Government Relations 13% Other Programs & Services* 25% General & Administrative 18% 2 I N T E R N AT I O N A L F O O D S E RV I C E D I S T R I B U TO R S A S S O C I AT I O N Graphs are based on 2015 financials. *Expenses for “Other Programs & Services” include leadership committees, research and publications, online programs and services, women leaders in foodservice initiative, staff support of the Foodservice GS1 US standards initiative, and other IFDA efforts. The IFDA Community WHO WE SERVE: ● Foodservice Distributors: Our core constituents are foodservice distributors of all sizes including broadline, systems, specialty, and convenience distributors. ● Partners: Food manufacturers, as well as paper, packaging, and sanitation/janitorial. ● Allied Members: Firms that supply goods (not for resale), technologies, and services to foodservice distributors that generally support the operations side of the business. IFDA DISTRIBUTOR MEMBERS (BY FOODSERVICE SALES) Up to $50 million 27% $50 to $100 million 24% $100 to $250 million 27% $250 to $500 million 8% More than $500 million 14% OUR MEMBERS SERVE RESTAURANTS AND OTHER PROFESSIONAL FOODSERVICE OPERATIONS IFDA IFDA B OA R D O F DIRECTORS LEADERSHIP COMMITTEES IFDA IS 100% MEMBER DRIVEN IFDA IFDA CONFERENCE PLANNING COUNCILS MEMBER FEEDBACK CUSTOMER SATISFACTION: RATING IFDA EVENTS IFDA Partners Executive Forum 4.5 4.8 IFDA SMart Conference 4.5 2 3 4.5 IFDA Distribution Solutions Conference 4.4 IFMA/IFDA/NRA Presidents Conference 4 Member Retention Rate (2015) IFDA Truck Driving Championship 4.7 1 95% IFDA Washington Insight Conference 5 Customer satisfaction ratings are based on attendee surveys. The IFDA Partners Executive Forum rating is based on a question asking attendees if they met their objectives in attending. 13 New Members (2015) R E P O RT TO M E M B E R S 2 01 6 3 IFDA Conferences, Programs, and Forums IFDA provides a number of important conferences, forums, and working committees that help improve specific areas of your business. We also provide opportunities for people to grow professionally. Within the IFDA community, members can learn from one another, gain insights to make better informed decisions, and expand their professional network. IFDA Forum Helps Distributors and Manufacturers Grow Business The IFDA Partners Executive Forum is held in January each year and provides a focused environment for foodservice distributors and manufacturers to discuss strategic goals and find collaborative ways to grow their business together. These meetings can also be an important opportunity for regional distributors to gain visibility with manufacturers. Many of the participants of this annual top-to-top forum state that this is the most important industry event of the year for their companies. Executive Development for Your Next Generation Leadership IFDA launched an executive development program in 2015 with The Darden School of Business at the University of Virginia, which is one of the most respected business schools in the world. The response from participants has been exceptionally positive. The coursework in centered on case studies and open discussions that develop and hone skills in strategy and vision, critical thinking, leadership and negotiation, and financial acumen. The program includes two sessions at the Darden campus, independent work with a team of peers, and participation in IFDA’s Washington Insight Conference. IFDA SMart Conference - New and Different Ways to Think about Sales and Marketing Exceptional sales and marketing provide a competitive market edge, deliver value to operator customers, and strengthen your brand. 4 The IFDA SMart Conference has a peerdriven agenda that can help your company’s sales and marketing pros think in new and different ways about sales and marketing. It can also help them become more effective. rigorous field course with six problems that test road skills. Yes, the competition is challenging — but it is also fun and is a real celebration of the skills of professional foodservice distribution drivers. The 2016 conference features 10 sessions, including “Moving DSRs to the Next Generation of Success” with Gerry O’Brion, which will focus on a framework for DSRs to add value by providing actionable guidance to customers for restaurant growth. The IFDA championship is the only national safety event for drivers in a single industry and proudly enters its 30th year in 2016. IFDA Distribution Solutions Conference Helps IFDA Members Work Smarter, Better, Faster The Distribution Solutions Conference is all about exposing operations people to the latest technologies and practices. The conference includes education, an expo, and networking. In addition to insights around warehouse and transportation operations, the agenda addresses key people issues and offers a number of personal development sessions that will make anyone a better manager. Most importantly, this conference provides a real opportunity for the holistic professional growth of operations people — whether those people are at a headquarter location or at a division. IFDA Truck Driving Championship Helps Support Safety Culture Foodservice distributors employ a lot of drivers and the safe operation of transportation assets is a definite priority. The IFDA Truck Driving Championship provides a unique opportunity to support transportation safety concepts and includes a pre-trip inspection, a written exam to test driver knowledge, and a I N T E R N AT I O N A L F O O D S E RV I C E D I S T R I B U TO R S A S S O C I AT I O N Foodservice Leaders Interact, Look to Industry Future at Presidents Conference This conference, supported by IFMA, IFDA, and NRA, addresses strategic industry issues and is attended by company leaders from manufacturer, distributor, and operator companies. In addition, the conference provides the latest consumer and operator research, and numerous opportunities for networking. In 2015, the program included insights from senior executives from Denny’s, Buffalo Wild Wings, and other leading operator brands. IFDA Leadership Committees Work to Benefit All IFDA Members IFDA Leadership Committees provide tangible benefits to the industry. From Food Safety to Human Resources — these committees help identify key issues that need solutions and find concrete ways to address those issues. While participation in an IFDA Leadership Committee is a commitment of time, the rewards are many. IFDA invites members to consider how thought leaders at your company can grow professionally by interacting with others in their discipline, while at the same time contributing to the industry at large. DEVELOPING LEADERS Taking High Potential Executives to the Next Level: Strategy and vision, critical thinking, leadership and negotiation, and financial acumen are the core curriculum of the IFDA Executive Development Program for Foodservice Distributors, conducted by The Darden School of Business. Above, members of the first class of the program discuss a case study with Professor Jared Harris at the University of Virginia. ACKNOWLEDGING EXCELLENCE Hormel Foods Recognized for Collaborative Efforts: GROWING BUSINESS Top to Top Strategic Meetings Provide Alignment for Growth: At the 2016 IFDA Partners Executive Forum, a team from ConAgra Foodservice, led by James Kinnerk, meet with representatives from Martin Bros. Distributing Co., led by Brooks Martin. The Forum provides a setting for strategic discussions between manufacturers and distributors to find ways to grow business together. At the 2016 IFDA Partners Executive Forum, Hormel Foods was recognized as the IFDA Partner of the Year — an award based on a survey completed by IFDA members that rates manufacturers on five key areas important to distributor success. Tom Day (second from right), group vice president of Refrigerated Foods at Hormel Foods, accepted the award on behalf of the company. R E P O RT TO M E M B E R S 2 01 6 5 INSIGHTS ON BUILDING BRAND SMart Conference Hits Hot Topics: During a panel discussion at the 2015 IFDA SMart Conference, (right to left) Andy Mercier of Merchants Foodservice, Mark Harman of Stanz Foodservice, and Terry Snyder of Pocono ProFoods talk about branding efforts at their companies and how they incorporate company culture into their customer experience. Peter Guy of IWC Food Service moderated the panel. The PEF Social: The 2016 IFDA Partners Executive Forum opened with a SMart Reception: Following a full day of sessions on sales and reception that kicked off three days of top-to-top meetings between distributors and manufacturers. Every IFDA event includes numerous opportunities for networking with peers and trading partners. marketing issues at the 2015 IFDA SMart Conference, attendees came together for a reception at the Ritz-Carlton, New Orleans. 6 I N T E R N AT I O N A L F O O D S E RV I C E D I S T R I B U TO R S A S S O C I AT I O N CELEBRATING SAFETY Safety Culture at Its Finest: Attendees from Gordon Food Service watch as one of their company’s drivers, in the 28-foot tractor trailer category, navigates one of six challenges in the field course portion of the 2015 IFDA Truck Driving Championship. Celebrating Safety at the IFDA Truck Driving Championship The 1st, 2nd, and 3rd Place winners from three categories of competition were celebrated at the closing banquet of the 2015 IFDA Truck Driving Championship. The 2016 championship marks the 30th year of this exceptional safety competition, which was founded in 1986. Shamrock Foods Hosts Tour for Distributors: Mark Engdahl (left in safety vest), VP of operations at Shamrock Foods, briefs distributors about what they will see on a tour of the largely automated Shamrock Foods Phoenix DC. This optional tour at the 2015 IFDA Distribution Solutions Conference was well received by attendees. R E P O RT TO M E M B E R S 2 01 6 7 IFDA COMMITTEES SERVE THE INDUSTRY Food Safety Leadership: The IFDA Food Safety Leadership Committee meets twice a year (or as needed) to discuss issues such as the Food Safety Modernization Act. The committee includes QA, Food Safety, and Operations leaders from 16 IFDA member companies. Above, Britt Wood of IFDA visited a meeting of the committee to brief members on a data quality analysis of GS1 US foodservice data. INTERNATIONAL ENGAGEMENT PROMOTING DIVERSITY IFDA Korea Hosts Dot Foods: During a breakfast meeting in Seoul, Committee Works to Support Recruitment and Diversity: Cullen Andrews, VP of national accounts at Dot Foods, discussed his company and the foodservice marketplace in the U.S. The meeting was coordinated by Songhwa Yang, director of IFDA Korea. The Women in Foodservice Distribution Leadership Committee has worked during the past two years to support gender diversity in distribution and to develop resources to highlight career options in foodservice distribution. 8 I N T E R N AT I O N A L F O O D S E RV I C E D I S T R I B U TO R S A S S O C I AT I O N FINDING SOLUTIONS From Heavy Equipment to Technology: The sold out DSC Expo featured leading equipment, software, and service provider companies. Here a representative from IFDA Elite Sponsor Great Dane Trailers demonstrates features to distributor attendees. BUILDING EMPLOYEE ENGAGEMENT Smarter, Better, Faster: Attendees head into the Expo at the 2015 IFDA Great Leaders Deliver a Culture of Belief: At the 2015 IFDA Distribution Distribution Solutions Conference. More than 60 percent of IFDA member companies in the U.S. (and many of their divisions) attend the conference each year, as well as IFDA international members, and other distributors. Solutions Conference, business author Adrian Gostick related fascinating stories of leaders at high-performing companies and how they build a culture where employees commit to giving extra effort. In addition to operational best practices and technologies, the conference provides leadership and professional development content. R E P O RT TO M E M B E R S 2 01 6 9 IFDA Government Relations IFDA provides significant grassroots opportunities to connect IFDA members with lawmakers. We keep our members informed about government policy. We make sure the federal government hears the foodservice distributor perspective. And we serve as a valuable resource when our members face a challenge from government. IFDA Advances Member Interests and Educates on Capitol Hill Federal government policies impact IFDA members, and with the heated regulatory environment of the past few years, IFDA’s lobbying efforts are more important than ever. IFDA’s full time staff meet regularly with Senate and Congressional offices, as well as the regulatory agencies of the Executive Branch — to advance distributor priorities throughout the legislative and regulatory process. IFDA plays an active role on issues that are important to our members including food safety, workplace regulations, new overtime regs, hours of service rules, the challenges of a driver shortage, and more. Throughout this work, IFDA strives to keep our members informed about government actions that will impact their business. IFDA Members Go Grassroots - Host Facility Visits for Lawmakers Since the start of 2015, IFDA members have hosted nearly 20 lawmaker visits at their DCs. This is an exceptionally efficient way to make an elected official understand what your business does on a day-to-day basis. It also leaves a lasting impression when they see your investment in infrastructure, hear about your customers, and meet your employees. “It is the very best way to help elected officials understand how their decisions in Washington impact your company and your employees,” said Jon Eisen, IFDA’s senior vice president of government relations. “It is also something lawmakers enjoy doing, getting out to see constituents.” 10 IFDA Washington Conference Provides Insights, Grassroots Engagement More than 90 executives from IFDA member companies participated in the 2016 IFDA Washington Insight Conference to get insights on federal policies that affect their businesses and to advocate for their companies. At the 2016 conference, IFDA members heard from representatives of General Mills and Wendy’s who discussed government actions and public activism around issues such as GMOs and calls for a $15 minimum wage. Labor and transportation updates were also a part of the program, along with talks from Rep. Peter Roskam (R-IL) and Rep. Jeff Denham (R-CA). Capitol Hill visits followed the “insights” portion of the program, and included more that 100 appointments between IFDA distributor members and lawmakers, with 58 meetings taking place with House offices and 47 with Senate offices. IFDA Government Committee Moves Public Policy Forward The IFDA Government Relations Leadership Committee actively works to move public policy forward for foodservice distributors. That includes providing feedback to IFDA staff on key issues, working to grow grassroots contact between IFDA members and lawmakers, and engaging IFDA members in the political process through IFDAPAC. Key issues discussed by the committee in the past year include the hours of service rule, overtime and other labor law changes, and federal preemption for drivers, among others. I N T E R N AT I O N A L F O O D S E RV I C E D I S T R I B U TO R S A S S O C I AT I O N IFDA Thomas Jefferson Awards Commends Pro-Business Lawmakers This IFDA program is a concrete way for IFDA members to recognize and express support of lawmakers who understand and support free enterprise. The awards are named after President Thomas Jefferson for the principles he articulated about free markets, and are presented every two years near the end of each Congress. Recipients are selected based on their voting record on legislation affecting the foodservice distribution industry. For the 114th Congress, this included 19 House votes and 10 Senate votes. “IFDA Insight” & “Capitol Brief” Decipher Washington Navigating the labyrinth of details around regulations and legislation is something IFDA takes seriously in supporting foodservice distributors. On a bi-weekly basis, IFDA provides two tandem government-focused newsletters to IFDA members. “Capitol Brief” provides commentary and insights on a single issue from Jon Eisen, IFDA’s SVP of government relations. Recent columns discussed ”Union Law Changes” and “The Safe Food Transportation Act.” The second newsletter, “The IFDA Insight,” provides updates on legislation and other issues that could impact IFDA members. A recent issue informed IFDA members of an upcoming public listening session that the FMCSA planned to hold on safety risks and possible regulatory actions around sleep apnea, plus updates on hours of service, and more. When appropriate, the newsletter also provides grassroots tools for contacting elected officials about an issue. IFDA MEMBERS GO TO CAPITOL HILL A.F. Wendling’s Foodservice on Capitol Hill: Chris and Charity Wendling met with Sen. Shelley Moore Capito (R-WV) (center holding award) during an April 2016 Capitol Hill visit. During the meeting, they discussed driver employment opportunities at A.F. Wendling’s and the ongoing professional driver shortage. IFDA’s Mark Allen (right) also attended the meeting. Wood Fruitticher Hosts Tour: Rep. Gary Palmer (R-AL) Grassroots Advocacy is Essential: During the 2016 IFDA Washington Insight Conference, Sen. Ben Sasse (center) met with Tom Henning (right) and Bill Mathis of Cash-Wa Distributing (left), as well as Bob Stewart of UniPro Foodservice and Mark Allen of IFDA (not shown). Capitol Hill meetings are a vital opportunity for IFDA members to educate lawmakers about their business and discuss key industry concerns. (on left) visited Wood Fruitticher Food Service in Birmingham in June 2015. During the visit Dave Wood, the company’s chairman, gave Rep. Palmer a tour of the distribution center. Hosting a facility tour is a memorable way to teach legislators about your business and the industry. R E P O RT TO M E M B E R S 2 01 6 11 RECOGNIZING PRO-BUSINESS LAWMAKERS Recognizing Lawmakers Who Actively Support Free Enterprise: Freshman Rep. Mia Love is presented a 2016 IFDA Thomas Jefferson Award for her 100 percent positive voting record on 19 House votes IFDA rated as important during the 114th Congress. IFDA Chairman Andy Mercier (left), president and CEO of Merchants Foodservice, and Chip Kunde, VP of government relations at Sysco Corporation, presented the award. INSIGHTS FROM TRADING PARTNERS Foodservice Under Fire: During the IFDA Washington Insights Conference, Mary Schell (right) of The Wendy’s Company and Erika Baum of General Mills discussed industry challenges coming from activists and government. IFDA’s Jon Eisen moderated the discussion. 12 I N T E R N AT I O N A L F O O D S E RV I C E D I S T R I B U TO R S A S S O C I AT I O N BUILDING RELATIONSHIPS Engaging Lawmakers: During the Thomas Jefferson Awards Reception, freshman Rep. Dave Brat (R-VA) talks with Steve and Michael Push (on left) of Legacy Foodservice Alliance and David Flitman (right) of Performance Foodservice. Since meeting at the reception, Rep. Brat has accepted invitations for a tour at Performance Foodservice and a visit to Legacy Foodservice. IFDA MEMBERS GO GRASSROOTS C.A. Curtze Hosts Facility Tour: In February 2015, Rep. Mike Kelly (R-PA) (fourth from right) visited C.A. Curtze Company in Erie, PA. During the visit, company President Bruce Kern (second from right), provided an overview of the foodservice distribution industry and a tour of the warehouse. The discussion focused on healthcare reform, tax reform, maintaining the LIFO accounting method, and hours of service rules. Ettline Foods Host Rep. Perry: In August 2015, Rep. Scott SUPPORTED BY IFDAPAC Supporting Pro-Business Lawmakers Makes a Difference: In the 2014 cycle, IFDAPAC provided the maximum allowable contribution to Sen. Corey Gardner (R-CO) in his successful race against Democrat incumbent Mark Udall. Sen. Gardner (standing foreground) spoke to IFDA members at the 2015 IFDA Washington Insight Conference. He serves on four key Senate Committees including the Energy and Natural Resources Committee, and the Commerce, Science and Transportation Committee. Perry (R-PA) visited Ettline Foods Corporation in York, PA. Ettline’s president and CEO Joe Ayoub (left) provided an overview of the company’s operations and a tour of the distribution center. A first term congressman, Rep. Perry sits on the House Transportation and Infrastructure Committee. Topics discussed included the truck driver shortage and the need for highway maintenance. R E P O RT TO M E M B E R S 2 01 6 13 BIG OPPORTUNITY TO EDUCATE LAWMAKERS Scale and Scope of Foodservice Distribution: At the 2016 Thomas Jefferson Awards reception, Ben E. Keith Foods President Mike Sweet talks to Rep. French Hill (R-AR) about the company’s Dallas/Fort Worth facility. An aerial view of the facility was part of an infographic IFDA produced that described foodservice distributor customers, the industry’s scale, and investments that distributors make. (See p. 22 for full infographic) Tom Kurz Presented the IFDA Award for Distinguished Industry Leadership: Tom Kurz (center), who recently retired as VP and deputy general counsel at Sysco Corporation, provided significant contributions to the industry through his engagement in Washington, including efforts to educate the DOD about practices in foodservice distribution. IFDA Chairman Andy Mercier and IFDA President Mark Allen presented the award at the 2016 IFDA Washington Insight Conference. 14 I N T E R N AT I O N A L F O O D S E RV I C E D I S T R I B U TO R S A S S O C I AT I O N Recognized for Distinguished Service: Rep. Jeff Denham (R-CA) (center) was presented the IFDA Thomas Jefferson Award for Distinguished Service as a key voice on fiscal responsibility and on transportation issues. Craig Saladino (third from left), president and CEO of Saladino’s Foodservice, presented the award at the 2016 IFDA Washington Insights Conference. TELLING YOUR STORY Nobody Knows Your Business Better Than You: Dot Foods and Kohl Wholesale representatives met with Rep. Darin LaHood (R-IL) (left) in April 2016 during a Capitol Hill visit. These visits by IFDA members are an important opportunity to help lawmakers understand your business, discuss the impact of regulations and other government actions on your business, and to build personal relationships. Congressman Denham Visits Sysco Central CA: Labor Update: During a labor briefing, Lisa Baily, director of procurement and training with PFG Customized Distribution, asks a question of Josh Ullman of Ullman Policy Advisors. The IFDA Washington Insight Conference is an important opportunity to get answers about where regulation and legislation might be headed and to understand the ramifications to a foodservice distributor or the industry at large. In October 2015, Rep. Jeff Denham (center) visited Sysco Central California in Modesto. Liz Aspray, president at the division, and Chris DeWitt, market president-Pacific, provided a tour of the facility and discussed a wide range of issues with Rep. Denham, who serves on the U.S. House Committee on Transportation. R E P O RT TO M E M B E R S 2 01 6 15 IFDA Benchmarking, Research & Communications IFDA provides practical and actionable members-only research about key issues, and benchmarking tools to measure performance. In addition, IFDA provides timely information about the industry and Washington, and works to share the value of foodservice distribution with all audiences. Clearly Articulating the Value and Role of Foodservice Distributors Most people can readily think of a favorite place to eat out, but know little about how food gets to professional kitchens. We have a simple message: Foodservice Distributors Help Make Eating Out Possible! Even further, IFDA has taken positive steps to articulate the value and role foodservice distributors play both economically and in people’s daily lives. In the past year, IFDA has released three communication pieces detailing the scale and scope of foodservice distribution, as well as the customers that foodservice distributors serve. The first is a video on foodservice distributor operations that reveals how products are handled from arrival at the warehouse to delivery to an operator customer (see facing page). The second is an infographic IFDA members used when talking about their company with lawmakers during the 2016 IFDA Washington Insight Conference (see pages 22-23 of this report). And the third is a detailed infographic for all audiences that is available on the IFDA website page “About Foodservice Distributors,” which is one of the top ten most visited pages on the IFDA Website every month. We invite IFDA members to visit that page and use these story lines with customers and trading partners. New Survey Provides Compensation Data for Hourly Positions The IFDA Human Resources Leadership Committee helped develop the first-ever hourly compensation survey for IFDA members to provide compensation profiles for both drivers and the warehouse workforce. Results of the survey were published in October 2015. 16 The survey was conducted by Paradox Compensation Advisors and includes data from 434 distribution facilities and more than 63,000 employees, and compensation profiles on 14 different positions. Those profiles are presented in four different ways: national, regional, state, and then by local market for major metropolitan areas. Results were provided free of charge to IFDA members that participated. A print report is available for purchase by IFDA members who did not participate. High Performance/Trends Revealed in IFDA Operational Trends Survey Warehouse and transportation operations are part of the lifeblood of a foodservice distributor’s business. Those operations provide a competitive advantage — from efficiencies that add to the bottom line to exceptional service levels provided to operator customers. Every two years, IFDA conducts the Operational Trends Survey among IFDA members. The survey captures performance results and trends in key areas including inbound and outbound warehouse operations, transportation and delivery practices, and fuel and energy metrics. The survey report also shares results around regulatory issues. Companies that participate receive the results free of charge. IFDA member companies that do not participate can purchase the report. Foodservice Essentials: Industry Knowledge Made Easy In 2015, IFDA and Technomic launched an online program to help distributors train associates on the intricacies of the foodservice business that can otherwise I N T E R N AT I O N A L F O O D S E RV I C E D I S T R I B U TO R S A S S O C I AT I O N take years to learn. Foodservice Essentials includes 12 learning modules that provide essential knowledge about all sectors of the foodservice industry, including: building trade relationships, operator segment realities, cutting edge menu insights, culinary trends, and consumer demand and demographics. This groundbreaking education can help distributor personnel work more effectively, better understand customer needs, make vital industry connections, and ultimately improve the bottom line. Training includes competency testing at the end of each module. Total training time takes approximately 10-12 hours, or about one hour for each module. IFDA Daily Update Serves as News Source for IFDA Members Now in its thirteenth year of publication, the IFDA Daily Update is an important resource that helps IFDA members stay informed about news in the food industry, keeps them abreast of developments that have implications for their business, and shares information about the IFDA community. The IFDA Daily Update has an editorial focus on hard news, including the day’s top stories about foodservice distributors, operators, and manufacturers, plus other food industry and market related news. The IFDA Daily Update has an open rate far above top industry averages and consistently receives positive marks from IFDA members. If you don’t receive this enewsletter, we recommend you try it by visiting “www.ifdaonline.org/daily-updatesubscription.” HELPING PEOPLE UNDERSTAND FOODSERVICE DISTRIBUTION Telling the “How” and “Why” of Foodservice Distributor Operations: The IFDA Operations Leadership Committee recently spelled out each step that foodservice distributors take with products — from the arrival at the dock door to delivery to a customer. IFDA transformed that into an easy to understand narrative and worked with a whiteboard animation firm to bring it to life. IFDA members are using the video to help customers and supply chain members better understand the value of foodservice distributors. Valuable HR Tool: The IFDA Human Resources Leadership Committee shaped the first-ever hourly compensation survey to provide insights on driver and warehouse workforce compensation by geographic region. This report received high participation with data from 434 facilities. Operations Leaders Shape Important Benchmarking: The IFDA Operational Trends Survey Report helps IFDA members compare their own practices and performance to a cross section of their peers. Use of the survey results can help distributors find opportunities for improvement in inbound and outbound warehouse practices. Above, a team of IFDA member operations leaders meet to review benchmarks to be captured for the 2015 survey. R E P O RT TO M E M B E R S 2 01 6 17 Women in Foodservice Distribution: To support diversity efforts in foodservice distribution, IFDA began publishing interviews with women thought leaders at IFDA member companies. In a recent interview, we talked with Lisa Dubs (center), who was hired as director of organizational development at Ettline Foods in 2012. She now also oversees the marketing and purchasing departments, and is shown here with Purchasing Manager Debra Weaver (left) and Marketing Manager Jennifer Sim. 29 PERCENT Average Daily Open Rate Hard Daily News for IFDA Members: The IFDA Daily Update focuses on delivering the hard news of the day around the food business. This newsletter also keeps the IFDA community informed of breaking news around legislation and regulations, IFDA programs, research, and benchmarking. If you wish to receive the IFDA Daily Update, go to www.ifdaonline.org/dailyupdate-subscription to sign up. 18 I N T E R N AT I O N A L F O O D S E RV I C E D I S T R I B U TO R S A S S O C I AT I O N Keeping Members Informed about Government Issues that Impact Your Business: The IFDA Insight is one of two government e-newsletters that keep IFDA members up to date on regulations and legislation, and provides resources for taking action on these issues. The above edition provided updates on hours of service, menu labeling, overtime regulation, contractor blacklisting, and more. If you wish to receive this e-newsletter, call IFDA at 703/532-9400. Bringing People Up To Speed on Foodservice: During a break at the IFDA SMart Conference, IFDA’s Mark Allen provided a demo of Foodservice Essentials, a groundbreaking online program. Foodservice Essentials provides valuable knowledge about foodservice trends, trading partner relationships, and more. Timely Supply Chain Perspectives on GPOs: Guidance on New Food Safety Regs: In May 2016, IFDA published guidance for members around FDA’s final rule for preventative controls for human food, which implements section 105 of the Food Safety Modernization Act. IFDA counsel Covington & Burling LLP prepared the manual with input from IFDA’s Food Safety Leadership Committee. IFDA released a members-only report in 2015 that provides a detailed assessment of the GPO marketplace. The study, which was a follow-up to 2013 research, was based on extensive surveys and discussions with leading operators, distributors, manufacturers, and with GPOs themselves. One of the studies findings is that “perceived” cost savings remain the driving factor for GPO usage among operators, with total savings estimated to be close to 20 percent vs. buying on their own. Despite perceived cost savings, there is noticeable erosion in satisfaction with an operator’s primary GPO, with only 68 percent of operators giving their GPO high marks, versus 78 percent in 2013 results. This comes at a time when foodservice distributors and other sourcing alternatives such as cash & carry have increased their focus on transparency and additional value creation. Major Insights on Independent Operator Views: In January 2016, IFDA released a major report on independent operator needs and preferences that was based upon a survey of 500 operators. This type of complementary, members-only research provides IFDA members with insights that can help them serve customers better and provides a competitive edge. R E P O RT TO M E M B E R S 2 01 6 19 TELLING THE STORY OF FOODSERVICE DISTRIBUTION 20 I N T E R N AT I O N A L F O O D S E RV I C E D I S T R I B U TO R S A S S O C I AT I O N Articulating the Value of Foodservice Distribution: Below is a reproduction of a 20-foot long infographic that was used at the 2016 IFDA Washington Insight Conference. The graphic provided talking points for IFDA members to share with lawmakers attending the IFDA Thomas Jefferson Awards reception, and was used in printed form as a leave behind at Congressional offices during Capitol Hill visits. R E P O RT TO M E M B E R S 2 01 6 21 2016 INTERNATIONA L FOODSERVICE DISTRIBUTORS ASSOCIATION Board of Directors Andrew Mercier, President & CEO, Merchants Foodservice, IFDA Chairman John Tracy, Chief Executive Officer, Dot Foods, Inc., IFDA Vice Chairman James Crawford, Chairman & CEO, Staunton Foods LLC, IFDA Treasurer Mark S. Allen, Jr., President & CEO, IFDA Joe Ayoub, President & CEO, Ettline Foods Corporation William B. Day, EVP Merchandising, Sysco Corporation Mark Harman, President, Stanz Foodservice, Inc. Thomas Henning, President & CEO, Cash-Wa Distributing Craig Hoskins, President & CEO, Performance Food Group - Customized Fareed Khan, Chief Financial Officer, US Foods Jeff King, President & COO, Reinhart Foodservice, LLC Brooks Martin, President & COO, Martin Brothers Distributing Co., Inc. W. Kent McClelland, Chief Executive Officer, Shamrock Foods Company Douglas Minert, President & CEO, Food Services of America Peter Mouskondis, President & CEO, Nicholas & Company, Inc. Barry O’Connell, President & CEO, HFM FoodService Stephen Push, Chief Executive Officer, Legacy Foodservice Alliance Susan Ryan, President, Upper Lakes Foods, Inc. Craig Saladino, President & CEO, Saladino’s Foodservice Distribution Bob Stewart, Chief Executive Officer, UniPro Foodservice, Inc. Malcolm Sullivan, Jr.,* Chief Executive Officer, Pate Dawson - Southern Foods Mike Sweet, President, Ben E. Keith Foods Rich Wolowski, President & COO North America, Gordon Food Service Thomas A. Zatina,* President, McLane Foodservice, Inc. *Past Board Chair The IFDA Board of Directors: Committed to Creating Value for the IFDA Community IFDA is governed by a Board of Directors consisting of 24 industry leaders. The IFDA Board meets twice a year to discuss priorities for the association, new challenges and opportunities that might be addressed through IFDA, and financial and governance issues. Though each Board member has a different set of experiences, they all have one thing in common — they are committed to creating value that contributes to the success of IFDA member companies, the industry, and the association. 22 I N T E R N AT I O N A L F O O D S E RV I C E D I S T R I B U TO R S A S S O C I AT I O N INTERNATIONAL FOODSERVICE DISTRIBUTORS ASSOCIATION MEMBERS Delivering to Professional Kitchens Around the World Foodservice distributors play a vital role in the foodservice industry, delivering food and other products that professional kitchens need. In the U.S. alone, about 225 million meals are purchased away from home every day. Whether it’s a meal at a favorite restaurant, a college, a hospital, or other foodservice operation — a foodservice distributor helps make that meal away from home possible. A.I.S. Industries Ace Endico Corp. A.F. Wendling’s Foodservice Amoje Industry Avalon Foodservice, Inc. Ballester Hermanos Inc. Ben E. Keith Foods BiRite Foodservice Distributors Blue Line Foodservice Distribution The Britt Hunt Company, LLC Brown Foodservice, Inc. Butts Foods, Inc. C.A. Curtze Company Cash-Wa Distributing Centennial Foodservice The Chefs’ Warehouse Cheney Brothers, Inc. Chex Finer Foods Inc. Christ Panos Foods Corporation CJ Freshway Colabor Group Inc. CRS OneSource Daesang BestCo Dawn Food Products DBH Distributing, LLC Deli-Boy, Inc. Dennis Paper & Foodservice Company DiCarlo Distributors, Inc. Doerle Food Services, LLC Dole & Bailey, Inc. Dot Foods, Inc. DUSO Food Distributors, Inc. DVF Foodservice Eby-Brown Company Ellenbee Leggett Co., Inc. Ettline Foods Corporation Euclid Fish Company EVCO Wholesale Food Corp. F & A Food Sales, Inc. F.A.B., Inc. Farner-Bocken Company Favorite Foods, Inc. Federated Foodservice Feesers, Inc. Flanagan Foodservice Inc. Florida Food Service, Inc. FOODMERCE FoodPRO Food Services of America Fortali Dist De Alim LTDA Frasa International Trading NV. G & C Foods Ginsberg’s Foods, Inc. Golbon Gordon Food Service Graves Menu Maker Foods H & W Foodservice (Palama Holdings LLC) Halsey Foodservice Hansen Distribution Group Harbor Wholesale Grocery Inc. Henry’s Foods, Inc. HFM FoodService Holt Paper & Chemical Inc. Honor Foods, Inc. Horeca Totaal Brugge BVBA HPC Foodservice Hyundai Green Food I Supply Co. Inabata American Corporation Independent Marketing Alliance Indianhead Foodservice Distributor, Inc. Integrated Foods, LLC IWC Food Service J & D Food Services J. Kings Foodservice Professionals Jacmar Foodservice Distribution, Inc. Jake’s Finer Foods Jangbogo Foodbank Java BVBA KAST Distributors, Inc. Keck’s Food Service, Inc. Kelley Foods of Alabama, Inc. Kohl Wholesale Kuna Foodservice Labatt Food Service Legacy Foodservice Alliance Lentz Milling Company M’s Food System M.J. Kellner Company, Inc. Maines Paper & Food Service, Inc. Maplevale Farms, Inc. Marco’s Pizza Distribution Martin & Servera Martin Bros. Distributing Co., Inc. Mattingly Foods, Inc. MBM Corporation McDonald Wholesale Company McLane Foodservice, Inc. Merchants Foodservice Merchants Grocery Co. Inc. Merlino Foods Mike Hudson Distributing National DCP, LLC Natures Cargo Nicholas & Company, Inc. Nordic Food Export ApS Northern Haserot Food Service Novick Brothers Corp. Orrell’s Foodservice, Inc. Our Home Co., Ltd. PFS de Mexico, S.A. de C.V. Palmer Food Services Palo Alto Egg Company Pate Dawson - Southern Foods Penn Jersey Paper Co. Performance Foodservice Pocono ProFoods Poultry Products Northeast Presto ‘America’s Favorite Foods’ ProPacific Fresh Proserv, S.A. Quaker Valley Foods, Inc. RDP Foodservice LLC Red Diamond, Inc. Reddy Raw, Inc. Reinhart Foodservice L.L.C. Renzi Foodservice, Inc. RRS Foodservice RK Foodland S & W Wholesale Foods, LLC Saladino's Foodservice Samyang Corp. Saval Foodservice Saville (Produce Source Partners) Schiff’s Food Service, Inc. SGC Foodservice Shamrock Foods Company Shinsegae Food Sid Wainer & Son Snow Cap Enterprises Ltd. Sofo Foods of Georgia Stanz Foodservice, Inc. Star Services Corporation Staunton Foods Stewart Foodservice, Inc. Suisan Company, Limited Sutherland’s Foodservice, Inc. Sysco Corporation Table Fresh Tankersley Foodservice LLC Thomas O. Miller & Co., Inc. Thurston Foods, Inc. Troyer Foods, Inc. UniPro Foodservice, Inc. Upper Lakes Foods Inc. US Foods Van Eerden Foodservice VIP Foodservice Wabash Foodservice Waugh Foods, Inc. Wood Fruitticher Food Service WooYang Frozen Foods Co. Ltd. Y. Hata & Co., Ltd. R E P O RT TO M E M B E R S 2 01 6 23 2016 INTERNATIONA L FOODSERVICE DISTRIBUTORS ASSOCIATION Partner and Allied Members Our sincere thanks to IFDA’s Platinum, Gold, and Silver Most Valuable Partners, and to IFDA Elite Sponsors, who provide additional support for IFDA Member Programs. PLATINUM PARTNERS GOLD PARTNERS SILVER PARTNERS IFDA ELITE SPONSORS 24 I N T E R N AT I O N A L F O O D S E RV I C E D I S T R I B U TO R S A S S O C I AT I O N IFDA Partner Members IFDA Allied Members AdvancePierre Foods, Inc. Ajinomoto Windsor, Inc. Azar Nut Company C.H. Guenther & Son, Inc. Campbell Soup Company Cargill Foodservice Cavendish Farms Coca-Cola Foodservice ConAgra Foodservice Del Monte Foodservice Dianne’s Fine Desserts, Inc. Dole Packaged Foods Dot Foods, Inc. Ecolab, Inc. General Mills GP Professional Hormel Foods The J.M. Smucker Company Keurig Green Mountain Kraft Heinz Company Lamb Weston Land O’Lakes, Inc. Lyons Magnus Major Products McCain Foods, Inc. McCormick For Chefs Michael Foods Inc. Mondelez International Nestlé Professional NORPAC Pactiv, LLC Perdue Foods LLC R3 Reliable Redistribution Resource Red Diamond, Inc. Rema Foods Rich Products Corporation Roland Foods, LLC SCA Americas Schreiber Foods, Inc. Schwan’s Food Service, Inc. Schweid & Sons Simplot Sugar Foods Corporation Sweet Street Desserts Trident Seafoods Corporation Tyson Food Service Unilever Food Solutions Ventura Foods Wayne Farms LLC WhiteWave Foods Company Whole Harvest Foods 1WorldSync AFS Technologies Allison Transmission Division Arrowstream, Inc. Assa Abloy Entrance Systems B & P Manufacturing Barnes & Thornburg LLP Cooling Concepts Trailer Leasing Crusader Logistics Group LLC EXTOL International FG Products Inc. FSE, Inc. Flagship Logistics Group Fleet Advantage, LLC Flow-Rite Controls Great Dane Trailers Groom Energy Solutions Grote Industries Gruau USA Inc. Hyundai Translead Instructional Technologies, Inc. INTELLEUM/Meal Ticket International Telematics J. J. Keller & Associates, Inc. JFE Industries, LLC Keiter Stephens Advisors Kidron Leyman Liftgates Lytx NACCO Material Handling Group Inc. NCR ORBCOMM Inc. Penske Perfect Commerce, LLC PLM Trailer Leasing Primus Builders, Inc. Printronix The Raymond Corporation REB Storage Systems International RefrigiWear, Inc. Roadnet Technologies, Inc. R.O.M. Corporation Silver Eagle SmartDrive Systems, Inc. Telogis Thermo King Corporation Thomas M. Williams & Associates, Inc. TMW Systems, Inc. Trackmax Utility Trailer Mfg. Company Vanguard/CIMC Wabash National Corporation OUR PROMISE: We care about foodservice distributors, the people who put the food in foodservice. We work proactively to ensure that our members prosper and thrive. Whenever we can help, we will help. We have the back of every IFDA member company. Helping Our Members Succeed I NT E R N AT I O N A L F O O D S E RV I C E D I ST R I B U TO R S AS S O C I AT I O N 1410 Spring Hill Road, Suite 210, McLean, VA 22102 www.ifdaonline.org / P: (703) 532-9400