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DistributionDiva

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Posts: 79
Reply with quote  #1 
Someone spill the beans. Sounds like the was a bloodbath today?  Decentralization. Four regions. What else?
0
FoodserviceProud

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Posts: 3
Reply with quote  #2 

Today's announcement:

Sysco Colleagues,

Last week, President & CEO Kevin Hourican shared perspective on Sysco’s roadmap to the future and how we must “go further” when it comes to serving and supporting our customers and setting them up for success. The COVID-19 crisis has only accelerated our need to innovate and transform our business, including the ways we think and work together, and redefine the “food away from home” experience. Now, more than ever, our customers need us to support their success, given the significant impacts of the pandemic. But we need them, too. Because when our customers succeed, we succeed.

Transforming Our Business
The time to act is now. We must position ourselves to not only recover from the crisis, but to go further than we ever have before. Our transformation consists of a set of key initiatives that will deploy in the coming weeks and months, including: implementing a new leadership structure for our U.S. broadline business, redesigning our Sales Model to provide increased expertise and support for both our Sales Consultants and customers, and enhancing the online shopping and onboarding experience for our customers.     

New Regionalization Structure
The first critical step in our path forward is to regionalize our USBL structure. The new structure will enable more common and consistent processes and ways of working together across sites, it will increase our speed of decision-making, and it will simplify how our customers do business with us, enabling us to support them in a way that extends beyond the limitations of a single operating company.

With regionalization, we will move from our current 6 markets comprised of 76 operating companies to 4 markets that consist of regions, each made up of 1-3 operating sites (formerly operating companies). See a map graphic of the new market and regionalized structure here. The 20 regions we announced today will be activated August 16, 2020, with remaining regions announced this fall.

Each region will consist of one Region President and one cross-functional leadership team responsible for leading the regions multiple operating sites. Regions will be referred to as the (name) region, such as the “South Texas Region.” And operating sites will be referred to using their current name, such as “Houston.” Because we are all part of Sysco, there is no need to include “Sysco” with these new names. More details about the regionalized structure will be shared soon.

You can see an organizational chart of Market Presidents, Market Functional Teams and Region Presidents here. The respective Region Leadership Teams will be announced shortly. While some process changes will be re-focused on a region instead of a single OpCo, much of the way we work will remain the same. For example, our Transportation, Warehouse and Maintenance organizations will experience little impact from these changes; however, there will be other functional areas that might experience additional changes. Details of any future changes will be shared soon.

Going Further
Overall, regionalization lays the necessary foundation for all future transformation initiatives and is a first step in accelerating Sysco’s ability to go further than ever before. As we look ahead, we need your active engagement and commitment; you are vital to our success and, importantly, our continued ability to provide our customers with exceptional service.   

You will learn more about our transformation initiatives in the coming days. I am excited about what lies ahead for us as a company. We are the undisputed global leader in foodservice, with the best talent in the industry, which will enable us to reach new heights.

The future is ours! Let’s go further, together.

Greg

This message was sent to all U.S. associates.


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FoodService Proud!
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formerdsr

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Posts: 176
Reply with quote  #3 
This sounds like what US Foods did a couple of years ago. It was a "hub and spoke" system where they eliminated presidents in several divisions, and made them subordinate to one division. In Southern California, San Diego and Corona had their division presidents demoted to VPs of Sales. They reported to the Area President and Area VP of Sales in La Mirada.
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Dreamer81

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Reply with quote  #4 
Sysco welcome to the US Foods world. All the lies you were told to encourage you to dominate your local markets, talking down on US Foods.......guess what now you’re in the same predicament, LOL!!!
1
tread

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Posts: 38
Reply with quote  #5 
Weren't OpCo "presidents" to vanish years ago?
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formerdsr

Senior Member
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Posts: 176
Reply with quote  #6 
Remember when USF was going to "merge" with Sysco? Well, it happened. Just not the way anybody thought it would. I heard your new pay plan is as sucky as USF's.

Quote:
Originally Posted by Dreamer81
Sysco welcome to the US Foods world. All the lies you were told to encourage you to dominate your local markets, talking down on US Foods.......guess what now you’re in the same predicament, LOL!!!
0
Dreamer81

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Posts: 7
Reply with quote  #7 
I’ve heard the new Sysco pay plan is horrible compared to how it use to be back in the “Good Ole Boy Club” days. Mediocre MAs that were always giving the new/profitable accounts went from making 120K to now being tier 2 making 75K a year.




Quote:
Originally Posted by formerdsr
Remember when USF was going to "merge" with Sysco? Well, it happened. Just not the way anybody thought it would. I heard your new pay plan is as sucky as USF's.

0
dawg1981

Senior Member I
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Posts: 207
Reply with quote  #8 
The links did not work, can someone post them so they will?
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FoodserviceProud

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Posts: 3
Reply with quote  #9 
It isn't the good 'ol days for anyone in our business right now, is it? There's no "told ya so" moment here, the business we all love has been turned upside down and leaders on all reaches of the supply chain are making changes accordingly. Whether you agree with Sysco's strategy or not, we can all agree that bitching about lost commissions in the middle of a crisis that will shutter an estimated 50-80% of the independent restaurants is stupid.

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foodpricingguy

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Posts: 5
Reply with quote  #10 
Quote:
Originally Posted by FoodserviceProud

Today's announcement:

Sysco Colleagues,

Last week, President & CEO Kevin Hourican shared perspective on Sysco’s roadmap to the future and how we must “go further” when it comes to serving and supporting our customers and setting them up for success. The COVID-19 crisis has only accelerated our need to innovate and transform our business, including the ways we think and work together, and redefine the “food away from home” experience. Now, more than ever, our customers need us to support their success, given the significant impacts of the pandemic. But we need them, too. Because when our customers succeed, we succeed.

Transforming Our Business
The time to act is now. We must position ourselves to not only recover from the crisis, but to go further than we ever have before. Our transformation consists of a set of key initiatives that will deploy in the coming weeks and months, including: implementing a new leadership structure for our U.S. broadline business, redesigning our Sales Model to provide increased expertise and support for both our Sales Consultants and customers, and enhancing the online shopping and onboarding experience for our customers.     

New Regionalization Structure
The first critical step in our path forward is to regionalize our USBL structure. The new structure will enable more common and consistent processes and ways of working together across sites, it will increase our speed of decision-making, and it will simplify how our customers do business with us, enabling us to support them in a way that extends beyond the limitations of a single operating company.

With regionalization, we will move from our current 6 markets comprised of 76 operating companies to 4 markets that consist of regions, each made up of 1-3 operating sites (formerly operating companies). See a map graphic of the new market and regionalized structure here. The 20 regions we announced today will be activated August 16, 2020, with remaining regions announced this fall.

Each region will consist of one Region President and one cross-functional leadership team responsible for leading the regions multiple operating sites. Regions will be referred to as the (name) region, such as the “South Texas Region.” And operating sites will be referred to using their current name, such as “Houston.” Because we are all part of Sysco, there is no need to include “Sysco” with these new names. More details about the regionalized structure will be shared soon.

You can see an organizational chart of Market Presidents, Market Functional Teams and Region Presidents here. The respective Region Leadership Teams will be announced shortly. While some process changes will be re-focused on a region instead of a single OpCo, much of the way we work will remain the same. For example, our Transportation, Warehouse and Maintenance organizations will experience little impact from these changes; however, there will be other functional areas that might experience additional changes. Details of any future changes will be shared soon.

Going Further
Overall, regionalization lays the necessary foundation for all future transformation initiatives and is a first step in accelerating Sysco’s ability to go further than ever before. As we look ahead, we need your active engagement and commitment; you are vital to our success and, importantly, our continued ability to provide our customers with exceptional service.   

You will learn more about our transformation initiatives in the coming days. I am excited about what lies ahead for us as a company. We are the undisputed global leader in foodservice, with the best talent in the industry, which will enable us to reach new heights.

The future is ours! Let’s go further, together.

Greg

This message was sent to all U.S. associates.

0
foodpricingguy

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Posts: 5
Reply with quote  #11 
Can you attach the pdf's?  The links are password protected.
0
LyingTed

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Posts: 5
Reply with quote  #12 
It was a great day at Sysco Detroit as the self centered, narsistic Ted Behen was showed the door, now just need his brown nosing VP of sales to see the same fate. Hopefully as a sales force we will see a new day with market relevant pricing and real market share growth instead of the manipulated backside margins requiring endless deals just to be competitive on common items. Corporate finally had the will and desire to get rid of the problem that has been plaguing Detroit since Tom Barnes pushed pennies to maximize his bonus. Remove the handcuffs and let the best Salesforce in the industry go after new business, Ted and his ilk stifled real growth for far too long, but finally every dog has day. See you later Lying Ted, don't let the door hit you on the way out.
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Dreamer81

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Posts: 7
Reply with quote  #13 

Houston OpCo is patiently waiting for their lying dogs to have their day. Troy, John M, and all the useless BDM team.


Quote:
Originally Posted by LyingTed
It was a great day at Sysco Detroit as the self centered, narsistic Ted Behen was showed the door, now just need his brown nosing VP of sales to see the same fate. Hopefully as a sales force we will see a new day with market relevant pricing and real market share growth instead of the manipulated backside margins requiring endless deals just to be competitive on common items. Corporate finally had the will and desire to get rid of the problem that has been plaguing Detroit since Tom Barnes pushed pennies to maximize his bonus. Remove the handcuffs and let the best Salesforce in the industry go after new business, Ted and his ilk stifled real growth for far too long, but finally every dog has day. See you later Lying Ted, don't let the door hit you on the way out.
0
FoodPeddler

Junior Member
Registered:
Posts: 10
Reply with quote  #14 
So if I understand this correctly, OPCO's are basically run and overseen by a REGIONAL President now comprised of many former stand alone OPCO's?  SO the command structure of the OPCO has been taken over and managed by the REGIONAL management team?  As and if that is the method I see the current OPCO as basically a depot for sales force pickers and storage and not much more at this point.  This is stripping a whole management group out of each OPCO and cutting massive salary and redundant structure.  It will be interesting to see how this plays out.

The way I see it the localized sales manager for each territory will have much more responsibility and management coming his or her's way.....

Thoughts? 
0
MA in Florida

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Posts: 4
Reply with quote  #15 
Foodpeddler, you pretty much hit the nail on the head. My opco president is one of the best, but chose to retire. One VP of sales and one president per region now. Not sure about the number of regional managers yet. I'm guessing they will be given a number to work with from corporate and decide from there. There are also opcos not currently affected by this change, but a "Phase 2" in October is coming, with details to be released at a later time. All kinds of speculation and rumors are flying about what Phase 2 might be...they said our industry has contracted by 40%, so they have to shrink expenses and get back to profitability asap. I am still wondering what Sysco plans to do with the $6 billion credit line.
0
formerdsr

Senior Member
Registered:
Posts: 176
Reply with quote  #16 
Your new organizational map will look the same as US Foods. It's called "hub and spoke". When I worked for USF, our division became the hub. Our Division president became the regional president. Our VP of Sales became the regional VP. The presidents of the "spoke" divisions became VPs of Sales. The day-to-day life of the TMs didn't change that much with everything run through Salesforce. Another thing that happened was that all district and general sales meetings were created in Rosemont (meeting in a box), and all divisions had the same meetings on the same Friday. Say good-bye to the individual selling style you developed over the years. The new way is "This is what we want you to sell, and this is how we want you to sell it".

Quote:
Originally Posted by FoodPeddler
So if I understand this correctly, OPCO's are basically run and overseen by a REGIONAL President now comprised of many former stand alone OPCO's?  SO the command structure of the OPCO has been taken over and managed by the REGIONAL management team?  As and if that is the method I see the current OPCO as basically a depot for sales force pickers and storage and not much more at this point.  This is stripping a whole management group out of each OPCO and cutting massive salary and redundant structure.  It will be interesting to see how this plays out.

The way I see it the localized sales manager for each territory will have much more responsibility and management coming his or her's way.....

Thoughts? 
0
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