Saturday, November 29, 2014

How Dig Inn Restaurant Is Working to Make Organic Food Available And Affordable


Crafting a delicious menu has been a top priority for many lately because of the Thanksgiving holiday, but for Adam Eskin, Founder and CEO of Dig Inn Seasonal Market in New York, creating the perfect menu is his passion. “How we eat is broken,” says Eskin.  And Eskin believes his line of Dig Inn restaurants is one way to fix what has been missing on the lunch table.  Dig Inn is a fast-casual restaurant serving an organic, locally sourced lunch, and dinner menu with items priced at around $10.
Eskin’s mission to change eating habits through affordable high-end food, started after working in finance at Merrill Lynch and spending four years at Wexford Capital working in private equity. Eskin says he always had an interest in healthy living.
Adam Eskin, Founder and CEO of Dig Inn Seasonal Market
Adam Eskin, Founder and CEO of Dig Inn Seasonal Market
Eskin knew he wanted to capitalize on healthy living in some way. He eventually decided to get a team TISI -1.43% together and invest in a small group of five restaurants, which at the time, catered to a bodybuilding crowd. Looking back though, Eskin says buying those restaurants was not the best decision.
“We should have never bought that business,” says Eskin. “We didn’t’ think it was viable over the long-term.” Eskin says what was supposed to be a one-year stint soon forced him into an option to either shut down or reposition the business. He chose the latter. His former company provided the capital and the building of his new food concept began. “We closed all the old restaurants, and developed a new business style.” Dig Inn launched soon after in 2011.
But it didn’t come without its share of challenges. There were so many hurdles to work through, according to Eskin. He knew that restaurants had the highest failure rate and that he was going into a tough market. He also knew that his business model required working with food that needed to be fresh and in season. While continuing to move forward in the restaurant industry was risky, in and of itself, Eskin felt confident that his model would hold strong.
Part of making his model succeed, included not only preparing food using ingredients sourced fromlocal LOCM +1.41% farms, but serving it timely, and most important–affordably. He called his idea a farm-to counter movement, with a goal of making reasonably priced, yet fine-dining quality food, “accessible to anyone who wants to enjoy it,” he says.
So far Eskin’s idea has led to $2 million in series A round funding and another $4.5 million in series B round funding. Eskin’s commitment to change the way people eat has also been recognized by organizations who hope to change the food industry. Eskin recently spoke at Slow Food New York’s Sustainable Farm-to-Restaurant Producer Summit as a guest on the ingredient sourcing panel. Slow Food NYC is a non-profit organization that seeks to counteract the culture of fast food and introduce a good, clean, and fair food system.
At the backbone of the Dig Inn movement is Eskin’s direct relationship with farmers. Menu items such as flame-grilled wild salmon, pan-sauteed kale, Sicilian roasted cauliflower with chickpeas, and cranberry brussels sprouts are becoming mainstays with locals. Eskin says delivering high-quality food is directly related to contracted deals he has with local farms. The menu even boasts its brussels sprouts are from Bayview Farm in Jamesport, Long Island and the free-range roasted turkey is from Koch’s Turkey Farm in Tamaqua, Pennslyvania.
Dig Inn routinely contracts with small-scale farms, normally between 10 to 100-acres in size. “In terms of what we do, it takes a long time,” says Eskin. Dig Inn has to factor in the growing seasons. “There is a trust factor,” he says. “It takes years to build trust and it’s an investment.” Eskin says he has people on teams who work with the farmers to build relationships.
And then there are the logistics of constantly keeping the restaurant stocked with fresh food on a daily basis. The restaurant serves its food in an assembly line model, so fresh food combined with speed is essential. Eskin says moving a high-volume of people through the line, and maintaining quality has it challenges. The vegetable business is a hot ticket, according to Eskin, but they turn over quickly. “We have to produce live,” says Eskin. For example, Eskin says he keeps four to six burners of kale going at a time. Another aspect in keeping vegetables fresh is changing the menu seasonally. For example, Dig Inn only serves brussell sprouts in Fall through early Spring. The vegetables have become the main attraction that keeps locals coming back.
 
Rodger Pichardo, a patron who frequents Dig Inn during lunch hours says he likes it because it’s fast, organic and fresh. He says he loves the brussels sprouts, beets and cauliflower. He also loves the salmon and meatballs. Pichardo says there is always a long line but it goes by quickly. “I definitely think there is a lunch crowd who prefers to eat something fresh and healthy, “says Pichardo.
Today, Dig Inn has ten restaurants scattered throughout Manhattan. The tenth location opened recently by kicking off a guest kitchen dinner series, featuring Chef Dan Holzman of The Meatball Shop.
Chef Dan Holzman, The Meatball Shop, and Adam Eskin, CEO Dig Inn at launch of Dig Inn Guest Kitchen Dinner Series
Chef Dan Holzman, The Meatball Shop, and Adam Eskin, CEO Dig Inn at launch of Dig Inn Guest Kitchen Dinner Series, Nov. 12, 2014
Dig Inn also collaborated with The Meatball Shop to offer a special turkey quinoa meatball made of turkey, pork, quinoa, cranberries, and toasted almonds served with caramelized onion gravy. A percentage of sales will go to the Team Tassy Charity. The new location also offers local wine and beer on tap. And keeping with Eskin’s intent to serve affordable meals, everything will be offered for under $20. The turkey quinoa meatball is available at all locations through November 30.
While Dig Inn is continuing to grow, Eskin says he has no plans of franchising the restaurant. He does have plans to branch into Boston as a second market though. “Operationally its just a train ride away,” says Eskin.
But for now, Eskin likes the niche he’s carved in Manhattan. “It’s just a big market with an unbelievable amount of density,” he says.   “It makes sense for us to continue to build in this market.” Eskin plans to expand Dig Inn to 15 locations within the next 12 months.

The Top 20 US Grocerants for 2014 According to Foodservice Solutions®


The United States is a melting pot of food flavors, styles of food service, and one of the most competitive food marketplaces in the world.  The Grocerant niche is driven by multi-generational families, multi-ethnic families, and a cultural convergence of consumer’s exposure to global flavors, active lifestyles, and limited time / skill-set for cooking from scratch.  The Grocerant niche is filled with Ready-2-Eat and Heat-N-Eat fresh prepared food.  This Thanksgiving an our research shows at least one grocerant meal component will be on 84% of US Thanksgiving tables this year. 
Alice May Brock said: “Tomatoes and oregano make it Italian, wine and tarragon make it French, sour cream makes it Russian, lemon and cinnamon make it Greek, soy sauce makes it Chinese, garlic makes it good.”  Our Grocerant Guru™ said “Ready-2-Eat and Heat-N-Eat meal components make every meal a happy meal.”Here is our 2014 top 20 Grocerants in the US:


  1. Eatzi’s www.Eatzis.com
  2. Green Zebra Grocery www.GreenZebraGrocery.com
  3. Whole Foods, www.Wholefoods.com
  4. Hello Fresh www.HelloFresh.com
  5. Hy-Veewww.hy-vee.com
  6. Central Marketwww.centralmarket.com
  7. Sprouts Farmers Markets www.Sprouts.com
  8. Mariano’s www.Marianos.com
  9. Wawa  www.Wawa.com
  10. Walgreens / Duane Reade  www.Walgreens.com
  11. Plated www.Plated.com
  12. Sheetz  www.Sheetz.com
  13. Dominos www.Dominos.com
  14. Costco www.Costco.com
  15. McDonalds www.McDoandls.com
  16. Papa Murphy’s www.Papamyrphys.com
  17. Lunds and Byerly’s  www.lundsandbyerlys.com
  18. Bristol Farms  www.bristolfarms.com
  19.  Trader Joe’swww.traderjoes.com
  20. Zoes Kitchenhttp://zoeskitchen.com/Catering.aspx

Innovating in Food Supply Chain: Big Data and Optimization Based Decision Making

Posted by  on Nov 13, 2014 in Blog | 0 comments
big data agriculture bThe use of big data as a strategic tool is increasing. And it’s no different in the food industry. As gathered in an article published in Innovation Excellence, 60% of the senior corporate executives from Fortune 1000 companies reported in a 2013 survey that they had recently implemented at least one big data initiative in their companies. Within the food supply chain, big data is gaining ground in areas such as security and traceability management, customer service, or production improvements. An analytical approach to the different sources of information that a company handles allows them optimization-based decision making, which in turn leads to revealing opportunity areas to innovation and an improved and sustainable supply chain. Here are examples of how big data is impacting food businesses.

More safety and better traceability
The latest years’ news on food frauds as well as different research about food contamination has proved how difficult and time consuming the traceability of food sources and the confirmation of food product authenticity are. SAP and Tru-ID, a new member of the SAP Startup Focus program, are working on DNA-based verification testing and product authenticity certification to introduce more transparency and accuracy into the food supply chain, helping companies identify the source of the adulteration among their suppliers. This tool shall permit food companies to increase the quality and safety of their products while reducing risks of contamination.
In a similar line of work, IBM has created a system that automatically identifies, contextualizes and displays data from multiple sources to determine contamination provenance, as indicated by the company in this article.

More sustainable agricultural systems
One of the companies that have made positive steps in this line is Intel. Working around the concept of precision farming, they want to create an accessible and reliable platform for worldwide scientists. As stated in this information published byTechRepublic, Intel is collaborating with academia and research institutions for applying big data analytic solutions to significant and world challenging problems.
agriculture bPrecision farming aims to increase the world’s food supply by measuring and responding to field variability for crops. The tools for doing so are sensors to monitor the crops, the implementation of smarter farm machines, cloud technology, GPS, webs compiling useful information, and the creation of specific software to analyze the collected data. This can lead to the increasing the farming capacity or a better use of hydraulic resources or risk related to weather conditions assessment, for instance.
A good example is Agralogics, the so-called “the Internet of food”. This software combines weather data, satellite images, and other operational insights to help schedule harvests and provide information for those growing or consuming foods, among other things.
Apart from Intel and Agralogics, Monsanto, Dupont Pioneer, John Deer and small farmers in different parts of the world are moving towards a data-based agriculture as well. They look for trust in data aggregation and predictive analytics, as mentioned in this other article published by Tech Republic.
Also IBM has put its confidence in the power of big data to create a more sustainable food value chain. They talk aboutsmart food and, as referred in this post, they have their own project regarding the big data agriculture tendency: Deep Thunder by IBM Research. “Measurements of the weather and soil, including data from sensors dotting a farm, multi-spectral images of fields taken from satellites or airplanes, characteristics of irrigation systems, requirements for fertilizer and pesticide coupled with precise weather predictions can help optimize a farmer’s decisions about what to plant, when to plant, when to water, when to fertilize and when to harvest”, they say. 
Better customer services
Under a completely different perspective, McDonald’s resorted to Big Data to change their organization into a more information-centric one that makes data-driven decisions. Since this decision was taken, McDonald’s tracks and analyzes vast amounts of data to better understand what is happening in their restaurants and identify and implement the best practices overall in their food establishments. This way, they are able to improve their company as well as their customers’ experience.
They started creating multidisciplinary leading teams to, finally, extend to the whole organization their data strategic model.

These examples show how more and better-quality circulating information can help to connect different areas of the food supply chain, making it shorter and more efficient, or improve specific links.

What It's Like Inside One Of Amazon's Massive Warehouses

jeff bezos amazonREUTERS/Rick WilkingAmazon CEO Jeff Bezos
Tis the season for holiday shopping.
Black Friday followed by Cyber Monday and then several more weeks of last minute holiday shopping make for the most lucrative time of year for online retailers like Amazon. 
Already, Amazon's Thanksgiving sales were up more than 25% year-over-year, according to ChannelAdvisor
Amazon's magic happens inside its more than 90 fulfillment and sortation centers located all around the world. There are 50 in the US alone, with 15 more sortation centers completed by the end of 2014 (the company spends billions of dollars on its infrastructure). 
Disclosure: Jeff Bezos is an investor in Business Insider through his personal investment company Bezos Expeditions.

Amazon calls its warehouses "fulfillment centers" or FCs. It also has sortation centers, where prepped packages are sorted before being shipped to individual post offices. Note all the loading docks in the FC below:

Amazon calls its warehouses "fulfillment centers" or FCs. It also has sortation centers, where prepped packages are sorted before being shipped to individual post offices. Note all the loading docks in the FC below:
Google

Amazon's "Peak Season" happens around the holidays.

During Peak (November through December), employees sometimes work 12 hour days.

Most are hired through a contractor, not by Amazon itself. This year, the company hired 80,000 seasonal workers for its sortation and fulfillment centers.

Most are hired through a contractor, not by Amazon itself. This year, the company hired 80,000 seasonal workers for its sortation and fulfillment centers.
Reuters
Amazon warehouse workers pack boxes at their stations.

Generally, FC employees get paid between $11 and $14 per hour.

Amazon's largest fulfillment center is in Phoenix, Arizona. It's so big (1.2 million square-feet) it could hold 28 football fields.

Working in an Amazon warehouse is, as you'd expect, very physical work. Employees need to be able to lift up to 49 pounds and stand or walk for 10-12 hours per day.

Working in an Amazon warehouse is, as you'd expect, very physical work. Employees need to be able to lift up to 49 pounds and stand or walk for 10-12 hours per day.
Reuters

They may walk between 7 and 15 miles every day inside the warehouses.

Products in Amazon's FCs aren't organized by type. Instead, identical products are scattered throughout the warehouse, to minimize the distance workers will have to walk to find what they need.

Each time someone orders something on Amazon, that order will get pinged onto an employee's handheld scanner or "pick mod." It will direct them to the areas where each item is located. Employees scan the item, place it in a tote, scan the tote, and then send it on a conveyor belt for shipping prep.

The warehouses' conveyor belts move fast. The one in Campbellsive, Kentucky, handles 426 orders per second.

The warehouses' conveyor belts move fast. The one in Campbellsive, Kentucky, handles 426 orders per second.
Reuters

"Pickers" are the ones putting all the products someone has ordered together in totes. "Packers" then put those products into Amazon boxes.

"Pickers" are the ones putting all the products someone has ordered together in totes. "Packers" then put those products into Amazon boxes.
Getty

Amazon packers are told to "treat every package like it's someone's Christmas present."

Algorithms determine the right type of box for each order.

Generally, software plays a huge role in the fulfillment centers. Anything that can get optimized or automated by an algorithm, is. "An Amazon fulfillment center is like a giant robot," according to Wired.

Generally, software plays a huge role in the fulfillment centers. Anything that can get optimized or automated by an algorithm, is. "An Amazon fulfillment center is like a giant robot," according to Wired.
Matt Cardy/Getty Images

Employees are expected to be incredibly efficient. Their pick mods will tell them how long it should take them to retrieve each product.

Some employees have said that Amazon tracks their every step throughout the fulfillment center and will put them on alert if they're not as productive as their counterparts.

Some employees have said that Amazon tracks their every step throughout the fulfillment center and will put them on alert if they're not as productive as their counterparts.
Reuters

Others have complained that because the warehouses are so massive, they waste their breaks just walking to the proper areas.

To enter and exit each day, employees pass through metal detectors. In a recent lawsuit, workers in a Las Vegas warehouse said the security screening at the end of the day can take as long as 25 minutes. Amazon contests that postshift security takes "little or no wait."

A few years ago, a source told us about some of the strict rules at fulfillment, like that employees aren't allowed to wear lipstick, and they can only drink water from clear bottles so floor supervisors can tell what the liquid is.

A few years ago, a source told us about some of the strict rules at fulfillment, like that employees aren't allowed to wear lipstick, and they can only drink water from clear bottles so floor supervisors can tell what the liquid is.
Rexall
Source: Business Insider