Chicago May 21, 2002 Nestle FoodServices, a division of Nestle USA, has invested in, and will become a member of, the electronic supply chain network, or EFS Network (EFS).
Allan Lutz, president of Nestle FoodServices, will occupy an observer seat on EFS' board of directors.
Nestle FoodServices joins other foodservice companies with existing investments in EFS Network, including Sysco, Cargill, Kraft Foods, Tyson and eMac Digital LLC, a partnership between McDonald's and Accel/KKR.
Chicago-based EFS is an electronic supply chain network for the $411 billion foodservice industry. The EFS electronic order management system is intended to eliminate costs from the foodservice supply chain and enhance the trading relationships between foodservice distributors and suppliers. EFS will replace manual processes with electronic processing, which the network said is able to reduce the costs associated with ordering goods and managing supply chain transactions.
"EFS Network addresses an urgent industry need and offers pragmatic tools that work to reduce costs and inefficiencies," said Lutz. "As an investor, Nestle FoodServices will help to shape and develop future EFS offerings. As an EFS member, Nestle FoodServices will utilize the network as an important step in reducing our costs and enhancing our current trade relationships."
"It is very gratifying to have Nestle FoodServices as a member and investor," said Hank Lambert, CEO of EFS. "We look forward to leveraging their industry knowledge, as well providing them with value-added solutions that enhance relationships and collaboration with their trading partners."