Kudler Problem Statement

Kudler Fine Foods- Problem Statement

Kudler Fine Foods- Problem Statement

Situation and Background

Kudler Fine Foods (KFF) is a gourmet food store established by Kathy Kudler in 1998. The Kudler Fine Foods Strategic Plan (2007), identifies the following as the mission and vision of the store:

Mission- Kudler Fine Foods is committed to providing our customers with the finest selection of the very best foods and wines so that your culinary visions can come true. Vision- Kudler Fine Foods will be the premiere gourmet grocery store for those savvy shoppers who are searching for the finest meats, produce, cheeses, and wine.

Kathy’s goal is to continue providing excellent foods and services at her existing stores, while expanding to new locations. In order to achieve this, KFF will have to look at the issues within its existing stores. Currently, the stores are not being run in a cost-effective manner, and there is a weak contingency plan in case of unexpected events. If these problems are not addressed, KFF will not be able to continue to pursue its mission and vision.

KFF has three stores located in southern California. Each store stocks a wide variety of perishable items including 350 types of fresh produce and 250 varieties of cheese. The items stocked in the stores do not use preservatives. They have a short shelf life resulting in high turnover and waste. Twelve percent of the perishable goods are disposed of every 2-3 days. Although the stores try to be socially conscious and donate foods still acceptable for use, much of the product must be thrown away. KFF has begun to track sales more diligently based on time of year to assist with proper ordering, but there is no program in place to eliminate poorly selling products or reduce expensive inventory.

Each store employs a manager, assistant manager, cashiers, and...