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Kudler Fine Foods ¡V Operations Management. Kudler Fine Food - Operations
Kudler Fine Foods, a specialty foods store located in ...
... v. Conclusion ... Introduction Kudler Fine Foods founded by Kathy Kudler in 1998 to provide
ingredients ... Kudler’s idea to but directly from the local farmers is a ...
... Tactics to implement the strategy v. Continuous improvement ... Conclusion Kudler Fine
Foods model can be seen as ... Kudler Fine Food method of seeking legal counsel ...
... to other catering services v. Place and ... Operations Management for competitive advantage
(11th ed.), (pp 1 ... Kudler Fine Foods accessed through the University of ...
Submitted by coxcuthie on January 27, 2008
Category: Miscellaneous
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Kudler Fine Food - Operations
Kudler Fine Foods, a specialty foods store located in La Jolla, Del Mar and Encinitas currently offers the consumer a place to purchase gourmet foods, specialty products and a diverse beverage line. (University of Phoenix, 2006). In order for Kathy to remain a leader in her goals and services available she has decided to expand its customer base by contracting with local organic farmers to provide fresh organic produce in its stores. This paper will examine the affects this decision has on Kudler¡¦s business processes, supply chain activities, and quality control systems. Today, roughly three-quarters of conventional grocery stores carry natural and organic food, according to a 2002 Food Marketing Institute study. (Harrison, 2002)
While initially it may appear to be an easy decision to choose to add organic produce to the product line currently offered, it will take considerable changes within the core operations to achieve this new venture with success. The current operational plan at Kudler indicates the individual locations are responsible for the purchasing and stock retention of product for that specific location. The three departments within each store that are responsible for ordering, and while this may be efficient at present, the plan to add new items will certainly need to be restructured. The current cost of organically grown foods is approximately 10 to 30 % more than conventional grown products. According to Steven Blank, an agricultural economist at UC-Davis, most organic farms in the U.S., for instance, are still small, often family-run operations that do not necessarily fit the economy-of-scale model, because they do not usually have high distribution costs that could be cut as demand rises. Many rely on farmers' markets, community-supported agriculture, and other small-scale distribution channels.
With these higher costs associated with organic, consolidation of the...
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