MEAT+POULTRY - July 2015 - 47

S M A L L B U S I N E S S M AT T E R S

in value-added specialty items like sausage.
Effective use of all that comes in the door is
essential to everyone.
"We all have to deal with the same cost
issues, but the consensus seems to be that
good equipment upgrades will get us through
these higher pricing periods," Haun adds. "We
all value our employees, but have to realize
that the custom-trade processing costs can't
get too prohibitive or that customers will go to
big box stores and buy smaller quantities. So
the bottom line is to keep an eye on total labor
costs and install better equipment when it can
do the job more effectively."

MAKING ADJUSTMENTS
Jeff Sindelar, associate professor and meat
extension specialist at the Univ. of WisconsinMadison, agrees that many small processors
have been forced to absorb some of the margin
when their most popular proteins have been
priced beyond customer expectations.

"Some of the processors we work with
have opted to go to smaller-size packaging
and moved to more poultry when beef and
pork prices hit the roof," he says. "They had
to change their product offerings and are still
doing so as pork has come down and poultry
seems to have risen."
Sindelar says most of the smaller plant
operators have a good confidence level with
the quality of their products and are reluctant
to lower their standards. He notes that many
have taken their higher-end cuts and put them
on sale and are stocking more offerings to give
customers greater price options.
"These are among their top strategies, but
offering their customers more specials seems
to be the way most are weathering the high
cost period," Sindelar explains. "They seem to
find a way to balance their product lineups to
help offset price increases, but they have been
able to sustain the high quality that keeps their
base clientele coming back."

"The
processors
I've talked to
are investing
in more
efficient
equipment to
reduce overall
labor costs."
-Jerry Haun

ON DEMAND
"Before 2009, we formed all burgers by hand for a home-made look
ok and taste.
As demand increased to thousands of burgers a day, we needed to
o step-up
production while maintaining the quality that brought us success."
s."

ON QUALITY

Pat LaFrieda

"NuTEC Patty Formers with their NuTECtured system gave
LaFrieda Meats the closest thing to a hand-made patty. We purchased
hased
one machine in 2009 and then two more by 2011 when we expanded."
nded."

ON RELIABILITY
"I admit - we were hesitant to sign with NuTEC.
TEC. From
a service
servic standpoint, distance was a concern.
ern. But we
put th
them to the test. Any time we called,
d, day or
night
night, they worked through service details
ails with
us. And
An if they couldn't solve it over thee phone,
they were on the next plane out."
th

www.meatpoultry.com | 07.15 | MEAT+ POULTRY

((815)722-2800
815
www.nutecmfg.com
mfg.com

47
http://www.nutecmfg.com
MEAT+POULTRY - July 2015

Table of Contents for the Digital Edition of MEAT+POULTRY - July 2015
