Implement

Private Institutions: Enter Purchasing Commitments

After determining who will manage food operations and defining vendor eligibility requirements, the next step is to establish purchasing agreements with vendors. Purchasing commitments, when formed strategically, can drastically increase an institution's values-based purchasing.
  • Private Institution
  • Self-Operated
Implement: 

Purchasing for a Traditional Distributor

Most institutions purchase through a broadline, or “traditional,” distributor. This is true regardless of whether an institution is working with a management company or is self-operated. While values-based purchasing is not typically part of these purchasing relationships, there are several ways to advance values-based purchasing goals even when working with a traditional distributor.

For many small, values-based vendors, getting approval to sell to a distributor is often easier than getting approval to sell to an institution or management company. Food service management companies and self-operated institutions can have strict, complex approval processes that are difficult for small, values-based vendors to navigate. Because of this, often the best way for values-based vendors to reach institutional markets is through distributors. Working with broadline distributors can be an effective way to increase values-based purchasing.

Values-based considerations are important when an institution is selecting a new distributor. In addition, even under existing distributor contracts, there are several ways to increase the values-based food the distributor sources.

Purchasing from a traditional distributor can be done in two ways: 

  1. Hiring a new distributor
  2. Working with an existing distributor