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How OSI Group Diversified from Chicago to other parts of the World


OSI Group began in 1909 as Otto & Sons as a small butcher shop in Oakland Chicago. The company’s expansion started in 1955 when Ray Kroc appointed it the supplier of ground beef to his McDonald’s restaurants. In 1973, the company opened a branch in Chicago purposely to cater for the supply of McDonald’s restaurants. The business continued to prosper, and in a move to improve its brand, Ossi & Sons was rebranded to OSI Group in 1975. The company extended its operations to Germany in Utah in the late 70’s and continued to serve McDonald’s business. The 1980’s saw the company’s growth to Austria, Taiwan, Spain, and Brazil. In the 90’s the company spread its operations to Mexico, Philippines and in Europe in general. Currently, the company has over 65 facilities in its network spread in over 17 countries worldwide. The award-winning company has also made various acquisitions and purchases to cater to its large customer base.

OSI Group purchased Tyson Foods, a Chicago based poultry Products Company in 2017. The 200,000 square feet space owned by Tyson Foods would enable OSI to extend its production in a more significant way. Although former Tyson Foods produced poultry products only, OSI intends to continue the production to other products to cater to the North American market demand. In Europe, OSI Group acquired Flagship Europe to provide for the European market. The deal with the company, which distributes sauces, frozen poultry products, pies, and dressings, was sealed in December 2016. However, the company had entered into a business partnership with Calder Foods before OSI came in. Calder Foods was a supplier of dips, sandwich fillings, and sauces among other products. This means that the acquisition of Flagship Europe, which was renamed as Creative Foods Europe in early 2018, was an added advantage to the OSI shelves.

In another significant move, OSI Group acquires Baho Foods to cater for the Netherlands and German markets. Baho Foods has other subsidiaries, and this deal would improve capability to serve its customers. The availability of Baho Foods subsidiaries would also strengthen in marketing OSI products. The five Baho subsidiaries, which are spread across 18 countries across Germany and the Netherlands, is a strong market base for the company. Additionally, the retention of former top Baho executives was a right decision because they have the experience and are acquainted with the market in those two countries. They expressed their satisfaction that the deal was good for the two companies because of their market strength.

Learn More: www.bizjournals.com/chicago/cotm/detail/316/OSI-Group

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