Operations Management Kudler Fine Foods Essay

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Operations Management: Kudler Fine Foods Retailers are aware and understand that the growth of gourmet foods is the result of interest in healthier food consumption. The Whole Foods Market, a leading Texas based retailer in the natural food division, released its own study, which stated that nearly two-thirds of Americans have tried organic foods and beverages in 2005, an increase from the 54 % of consumers who said they sampled those foods in both the 2003 and 2004 surveys; 10% of Americans consumed organic foods several times per week, which is an increase from 7% last year, according to the 2005 Whole Foods Market Organic Trend Tracker (Progressive Grocer, 2007). Kudler Fine Foods plan to increase customer loyalty by adding high margin services and providing more efficient operations. The company plans to start contracting with local organic food growers, which will call for key supply chain and operations management changes. In this selection, the current processes at Kudler Fine Foods will be examined as well as the changes the company will need to make if they are to be successful with this new plan. Quality control tools and performance standards will be discussed and need to be put in place to ensure the effectiveness of the operation. A process is defined as any part of an organization that takes inputs and transforms them into outputs that are hoped of or a greater value to the organization than the original inputs (Chase 2006). If Kudler is going to be successful in their approach of using local growers for their organic foods product line, Kudler will have to make some strategic changes within the company. First, the process that they use to make purchases will need to change or be improved. Currently, the purchasing of the inventory is separated between the three stores and each individual store handles its own

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