FM's Top 50 Foodservice Management Companies—2009

Our annual definitive listing of the industry's major contract players, what this past year has held for them, and how they're coping with the business environment.

Gourmet Services, Inc., Valley Services, Inc., HHA Services, CulinArt, Inc., Lackmann Culinary Services

13 Gourmet Services, Inc.

ATLANTA
www.gourmetservicesinc.com

SALES VOL. 2008: $182.5

2007: $171
CONTRACTS 2008: 25

2007: 23
SEGMENTS SERVED: College/University (90%), B&I (8%), Other (2%)

Gourmet Services began in 1975 as a campus dining services provider to half a dozen historically black colleges. It expanded rapidly in that segment and into other segments, especially K-12 and B&I. To serve customers better, it also secured branding alliances with a number of notable street restaurant chains, including McDonald's, Cinnabon, Chick-fil-A and Subway.

In the past year, Gourmet Services has made a strong push for more business in the community college segment, which has been growing rapidly as students look for more economic higher education alternatives in a down economy. Among programs developed specificallly for this market are pre-plated entrees designed to increase meal variety as well as check average.

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14 Valley Services, Inc.

JACKSON, MS
www.valleyservicesi.com

SALES VOL. 2008: $181

2007: $171
CONTRACTS 2008: 350

2007: 336
SEGMENTS SERVED: Senior Nutrition/Frozen Meals (48%), Hospitals (21%), B&I (11%), Corrections (9%), College/University (8%), K-12 (3%)

Valley realizes close to half of its revenues from manufacturing and distributing meals (including some frozen meals intended for home consumption) for senior nutrition programs. That business continues to grow as the choices have expanded to encompass a Latin and diabetic menu, promting an 80,000-sq.ft. facility expansion of the central kitchen where the meals are produced.

In its managed dining operations, Valley continues to emphasize health and wellness in its menu concepts with the re-engineering of its Choice Matters program. It also enhanced its Outtakes program with a comprehensive array of premium sandwiches and salads as well as parfaits and other upscale grab-and-go options.

Operationally, the company initiated a new strategic plan integrating all sites into a comprehensive back office system, implemented a model training program for associates as well as a comprehensive, competency-based management training program, and it launched a POS system for its K-12 accounts that lets parents pay online while monitoring their children's purchases.

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15 HHA Services

ST. CLAIR SHORES, MI
www.hhaservices.com

SALES VOL. 2008: $155

2007: $147
CONTRACTS 2008: 115

2007: 101
SEGMENTS SERVED: Hospitals (90%), Senior Dining (10%)

Dining services, which HHA only began offering in 2005, now represents over a fifth of its revenues. The rest of the business consists of providing various non-food-related support services to healthcare institutions (reflected in the firm's original name and the source of its acronym — Hospital Housekeepers of America). In 2008, it updated its patient services menu portfolio to offer clients a wider range of service options at different prices.

Among its food-related services, HHA offers retail and patient dining and foodservice consulting to both hospitals and senior care centers. The company has developed a portfolio of both patient and resident dining concepts as well as retail brands. Clients include the TriHealth Bethesda System in Cincinnati, Grandview Hospital/Medical Center in Dayton and South Florida Baptist Hospital in Plant City.

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16 CulinArt, Inc.

PLAINVIEW, NY
www.culinartinc.com

SALES VOL. 2009: $142

2008: $140
CONTRACTS 2009: 117

2008: 116
SEGMENTS SERVED: B&I (53%), College/University (24%), K-12 (11%), Other (12%)

CulinArt celebrates 40 years as a dining services provider in 2009. It is also celebrating adding six new locations in California, a market it entered through acquisition in 2006, and by its more recent entry into the Texas market.

Operationally, in the past year the company launched its first Popeye's Louisiana Kitchen franchise in one of its recreation accounts. It also introduced Farmers Markets stations (complete with scales for weighing produce) featuring local and organic fruits, vegetables and breads, and promoted its 500 Calories or Less program in March (National Nutrition Month) with a loyalty card initiative (buy eight and get a discount on the ninth).

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17 Lackmann Culinary Services

WOODBURY, NY
www.lackmann.com

SALES VOL. 2009: $124

2008: $97
CONTRACTS 2009: 85

2008: 82
SEGMENTS SERVED: College/University (64%), B&I (29%), Other (7%)

Lackmann emphasized local ties, healthfulness and value in the past year, highlighting both local employees and local products in its marketing. The Dining Go Green program, with a logo developed by the students at one of the company's college accounts, focused on local produce and sustainable product.

Meanwhile, value programs like “What You Can Get for Under $1.50” and Under 3 highlighted items selling for $1.50 or less and grab-and-go options under $3 and under 300 calories, respectively.

Lackmann also launched a number of new food concepts such as Taro 13 Asian Fusion, featuring a sushi bar and Asian fsion grab-and-go options; Native Spice, featuring authentic international cuisines; Wrap It Up, featuring sandwiches wrapped to go; and UPick Chopped Salads, where guests can choose ingredients for salads made to order.

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