The Story Behind the Strong Relationship Between OSI Group and McDonalds

OSI Group is a leading food provider in the world. Its humble background dates back to 1909 when it started as a neighborhood butcher shop. Otto Kolschowsky worked around the clock to see the business grow and a decade later, it became a meat wholesaler at Maywood. In 1928, Otto Kolschowsky rebranded the business into Otto & Sons.

Otto & Sons thrived and a few years later, OSI Group McDonalds business partnership ensued. OSI Group McDonalds have come a long way. Then, McDonald’s was partly owned by Ray Kroc. The meat company supplied fresh ground beef to McDonald’s restaurant. When McDonald’s became McDonald’s corporation with Ray Kroc as owner, the partnership between the two startups became stronger. As McDonald’s chain of restaurants increased, the demand for meat products also increased and Otto & Sons was the main supplier. This saw the two companies grow at almost the same rate.

McDonald’s franchising model dictated each restaurant to provide consistent products. The model required Otto & Sons to supply quality, affordable as well as consistent products to each restaurant. In early 1960s, flash freezing technology came up. The technology enabled the food provider to reduce costs and as a result, it was able to supply affordable, consistent and consumer-driven products. The technological breakthrough opened more doors for Otto & Sons.

When McDonald’s reduced the number of suppliers, Otto & Sons was among the main 4 groups. OSI Group McDonalds business relationship grew bigger to an extent Otto & Sons had to build a facility dully dedicated to McDonald’s products. The facility which was located at West Chicago, Illinois had sophisticated machinery capable of processing products enough for McDonald’s chain of restaurants.

In 1984, Otto & Sons rebranded into OSI Group. By then, it was a manufacturer on its own and it became a two-track company. When Otto Kolschowsky’s sons were about to retire, there was need for a member with the expertise of Sheldon Lavin to come in and take the company global. Sheldon Lavin came on board right on time when the company looked to expand to West Jordan, Utah. In 1978, OSI Group McDonalds expanded into the Germany market together. Headquartered in Aurora, Illinois, OSI Group operates more than 65 facilities in 17 countries today.

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