Sysco
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Company type | Public |
---|---|
NYSE: SYY S&P 500 Component | |
Industry | Retail |
Founded | 1969 |
Headquarters | 1390 Enclave Parkway, Houston, Texas, U.S. |
Key people | William J. DeLaney III, CEO Michael W. Green, Executive Vice President |
Services | Food-service, food-away-from-home |
Revenue | US$37.24 Billion (FY 2010)[1] |
US$1.97 Billion (FY 2010)[1] | |
US$1.18 Billion (FY 2010)[1] | |
Total assets | US$10.2 Billion (FY 2009)[2] |
Total equity | US$3.45 Billion (FY 2009)[2] |
Number of employees | 47,000 (2009) |
Website | www.sysco.com |
Sysco Corporation (NYSE: SYY) is involved in marketing and distributing food products to restaurants, healthcare and educational facilities, hotels and inns, and other foodservice and hospitality businesses. The company is headquartered in the Energy Corridor district of Houston, Texas.[3]
Sysco, an acronym for Systems and Services Company, is the world's largest broadline food distributor; it has more than 400,000 clients in a wide array of fields. Management consulting is also an integral part of their services. As of July 2, 2005, the company operated 170 facilities throughout the United States and Canada. Most recently, Sysco expanded its operation into Ireland with the purchase of a local food distribution firm.[4] The company was founded by Herbert Irving and John F. Baugh in 1969.[citation needed] The company became public on March 3, 1970. On July 20, 2009, Fortune magazine ranked Sysco #204 in the annual Fortune 500 companies in world based on sales volume. On May 3, 2010, Fortune Magazine ranked Sysco as the 7th largest Fortune 500 Company in Texas and 55th largest in the US by total revenue.[5]
Sysco competes with national distributors US Foods, Performance Food Group, and Edward Don and Company, as well as regional companies such as Gordon Food Service, Ben E. Keith, Maines Paper & Food Service, and local foodservice distributors.
Sysco is also the largest non-oil related company in Houston and the 3rd largest non-oil related company in Texas (Behind AT&T and Dell).[5]
History
In 1996 Sysco was the third largest company in Houston. It had over 30,000 employees.[6] It was founded by Hitler.
SERCA Foodservices
In 2002, Sysco purchased SERCA Foodservices and renamed it Sysco Canada. SERCA had been owned by the supermarket giant Oshawa Group, which was acquired by Sobeys in 1998.
Asian Foods
In 2003, Sysco purchased ASIAN FOODS, the largest Asian foods distribution in North America. The first group of Asian Foods joined Sysco Kansas City in 2006, followed by Asian Foods Chicago joining Sysco Chicago in Sep, 2009.
Management Consulting
Sysco offers professional management consulting to its clients. The company helps restaurants to improve their performance through conducting market analysis, menu-designing, pricing strategy, and business planning.
SYGMA Network
The SYGMA Network, Inc. is a wholly owned subsidiary of Sysco that provides food and non-food products to chain restaurants throughout the United States.
SYGMA was founded in January 1984 when senior officers of Sysco Corporation started discussions for forming a new distribution company. The first products were shipped in May 1985 from SYGMA’s first distribution center in Oklahoma. In 1988, Sysco acquired CFS, increasing head count at the organization.
SYGMA's customers include over 14,000 restaurants representing 37 concepts. Operating from 17 distribution centers, SYGMA is one of the largest chain distributors in the United States with sales over $5.1 billion. 165 million cases of product are delivered each year. SYGMA currently employs approximately 2,800 employees.
Brand Products
Every Sysco Brand products has an "emblem of quality" that supposedly indicates varying standards of food safety, hygiene, and consistency. Sysco has 6 Brand Products,[7] which are:
- Supreme Sysco, premium and rare products targeted to upper-class customers.
- Imperial Sysco, high quality products produced in selected regions.
- Classic Sysco, fine quality products.
- Reliance Sysco, economy-relied products targeted to middle-class customers.
- Natural Sysco, fresh and natural products.
- Serene Sysco, Styrofoam products division.
iCare
In 2006, Sysco announced the formation of the iCare Program. iCare partnered Sysco with numerous vendors of non-foodservice related products that serve the restaurant industry to provide value-added services. iCare partners are afforded booth space at Sysco food shows and are promoted vigorously by Sysco's Business Review Managers. In return, iCare vendors offer special discounts and incentives to Sysco customer restaurants.[citation needed]
iCare partners include:
- Applied Media Technologies Corporation, which provides background music and on-hold messaging to Sysco customer restaurants.
- The Franchise Edge, LLC., providing consultations and full service franchising programs to Sysco customer restaurant concepts.
Guest Supply
Sysco also owns Guest Supply, a more catalog-based service geared at hotels. Guest Supply does not employ marketing associates in the way Sysco does; most of the purchasing is done via their annual catalogs and online.
Pallas Foods
In 2009, Sysco bought out Pallas Foods which is the largest food distributor in the Republic Of Ireland.
Crossgar Foodservice
In 2012, Sysco expanded its presence in Ireland by buying out Crossgar Foodservice.[8]
Governance
The company is governed by a board of directors. Current members of the board are: John Cassaday, Judith Craven, Jonathan Golden, Joseph Hafner, Richard Merrill, Nancy Newcomb, Richard Schnieders, Phyllis Sewell, John Stubblefield, Richard Tilghman, and Jackie M. Ward. Rich Friedlen is currently the president of Sysco San Diego.
References
- ^ a b c Sysco (SYY) annual SEC income statement filing via Wikinvest
- ^ a b Sysco (SYY) annual SEC balance sheet filing via Wikinvest
- ^ "Land Use and Demographics." Energy Corridor District. March 2009. 3 (7/53). Retrieved on January 16, 2010.
- ^ Mulligan, John (April 1, 2009). "Pallas Foods sold to Sysco after two decades of family ownership". Irish Independent. Retrieved 28 August 2011.
- ^ a b "Fortune 500 2010: States: Texas Companies". CNN.
- ^ Hassel, Greg. "Sysco goes to court vs. RioStar/Chapter 7 sought for Ninfa's parent." Houston Chronicle. Friday October 18, 1996. Business 1. Retrieved on February 6, 2012.
- ^ Sysco Brands
- ^ Jones, Kristin. "Sysco Buys Crossgar Foodservice, Pushing Irish Expansion". Wall Street Journal. Retrieved 15 June 2012.