Tufts University
Patti Klos, Director of Dining and Business Services
In 2005, the head of food and supplies purchasing for Tufts University Dining Services retired after 35 years. As a result in the change in leadership, in 2007 the group embarked on an 18-month review of its purchasing processes.
It’s not that anything was wrong, according to Patti Klos, Director of Dining and Business Services at Tufts. In fact, the consensus was that Tufts was getting good pricing and service from suppliers on their $5 million per year in food and beverage purchases.
“We just weren’t sure we were taking full advantage of best practices in purchasing,” said Patti. “Although we were an industry leader in our meal plans, marketplace dining and several other areas, our supply chain management had room for improvement.”
A new approach
Tufts Dining Services had a distinct set of needs. Located in a metropolitan area with limited storage space, they needed a nearby warehouse that could deliver at the last minute. They were willing to look at fewer deliveries, but did not want to sacrifice quality, their signature programs, or customer satisfaction. They also needed minority vendors, sustainable options and locally-grown products.
Beyond reduced food costs, they wanted to improve quality, streamline business processes, and take advantage of incentive-based programs. In short, they were looking for a strategic partner to help Tufts manage their supply chain rather than a traditional supplier/customer relationship.
Customized analysis and support
As part of the supplier evaluation, Avendra conducted a Discovery analysis that brought a team of specialists on-site for two days to review Tuft’s existing processes, advise on product savings and mitigate risk through better practices. This detailed investigative process demonstrated how continuous improvements could be made based on Tufts’ strategic goals.
The team was impressed. Patti summarized, “Avendra took the time to get a sense of how we operate and asses what is important to us.” Once selected, Avendra worked closely with the Tufts team to update the school’s product database, document compliance with the school’s nutritional requirements, and communicate with the team to make the transition seamless.
Resulting benefits
Did it make a difference? In year 1 of the relationship, Avendra’s programs with both the master food distributor and produce supplier, plus actual item level changes, produced savings of approximately 8%.
In addition, Tufts and Avendra partnered to boost Quality Assurance services, perform disaster/pandemic planning, and produce tangible efficiencies in planning, supplier relationships and key processes.
In other words, Tufts Dining Services fulfilled all of its objectives by rethinking its approach to procurement. According to Patti Klos, “We really felt we had made the right decision and had the strategic, long-term partner we set out to find.”