Chris Holden

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OSI Group Maintains its Expansion as a Leading Food Processor

by Chris Holden - June 23rd, 2018.
Filed under: Business, COMPANY. Tagged as: .

OSI Group is an eminently capable food processor with an international scope and a bent for strategic expansion. They also have a substantial history behind them as their founding goes back more than one hundred years. The twin prongs of tradition and innovation have helped them grow to impressive levels.

The founding of what became OSI Group happened in Chicago when a German immigrant named Otto Kolschowsky opened up a butcher shop and meat market. This occurred in 1909 and he provided excellent service and quality meats for local neighborhoods. Many of his customers were also German emigrants and he thrived for several years in this way.

He wasn’t content to rest on his laurels, however, and when the opportunity for expansion arose he grabbed it. Near the end of World War I he entered the wholesale meat trade to help his business grow more rapidly. It is the earliest example of a powerful concept that still drives the company today.

The corner meat market became Otto & Sons in 1928 when his two sons joined the business. They were successful in this configuration for several decades. The trust and value that they provided the local community were vital to its vibrant nature.

Ray Kroc was also working for a family business named McDonald’s and the two companies crossed paths in 1955. It was to be an amazing combination as the franchise restaurant concept was wildly successful. Otto & Sons became the first meat supplier to McDonald’s as they serviced their initial franchise in Des Plaines, Illinois. A handshake agreement led to a partnership that continues to this day. Furthermore, it has propelled both companies to unprecedented levels of growth.

An innovative technique helped this partnership flourish as Otto & Sons adopted a technological breakthrough. Flash freezing procedures allowed the company to ship burgers to distant McDonald’s locations. It also reveals their continual aim to improve operations by enabling greater efficiency. OSI Group acquires Baho Food

A key partner named Sheldon Lavin was the deciding factor in Otto & Sons pursuing international expansion. He eventually acquired the company when the sons of Otto Kolschowsky retired. His vision for global growth was implemented and made possible due to his banking and investing skills. In 1975, Otto & Sons became OSI Group which detailed the new international scope of their business.

The expansionary mode of OSI Group continues in today’s age as they continue to enter new markets. They have a strong presence in Europe and Asia among many other places and continue to work with top brands. OSI Group buys former Tyson Foods plant in Chicago

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