Tyson Foods Base Case

By Baselinemag  |  Posted 2002-07-10
Organization: Tyson Foods Inc.
Headquarters: Springdale, AR 72765
Phone: (479) 290-4000
Business: Tyson Foods is the world's largest chicken producer and, through its acquisition of IBP, has become the world's largest meat processing company. Tyson produces, distributes and markets chicken, beef, pork, prepared foods and animal feed for grocery stores, restaurants, wholesalers and international importers in more than 100 countries
Size: Tyson Foods has 42 slaughtering plants and 13 further processing plants in the U.S., producing annual sales in excess of $10 billion
CIO: Gary Cooper
Challenges: Remove inefficiencies of supply chain by shifting portions of transactions to an online network
Baseline Goals:
  • Use online marketplaces to reach goal of conducting 100% of transactions with distributors electronically
  • Initially reach "critical mass" of dealing with 60% to 70% of distributors online, via Electronic Food Service Network
  • Increase efficiency in dealing with distributors, to reduce days of inventory on hand, from 20 days currently
  • Reduce costs associated with processing invoices, orders and correcting manually generated purchasing orders, lowering cost of sales from 90% of revenue currently