THE SAUDI FOOD AND BEVERAGE INDUSTRY DURING COVID-19
REZA FOOD SERVICES CO. LTD
THE KINGDOM’S Saudi Arabian food and beverage is an up-and-coming industry. We spoke to REZA Food Services Co. Ltd. about its operations across the Kingdom’s western and southern regions representing the McDonald’s brand Writer: Marcus Kääpä | Project Manager: Thomas Turnbull
2 | EME Outlook issue 41
FOOD & DRINK
KITCHEN
O
ver the past year, the pandemic has changed lives and shaped how the world has developed towards operating in a new environment. One of the industries hit hardest globally is that of food and beverage. With mass efforts to reduce the spread of the COVID-19 virus, bars, restaurants and other hospitality institutions are only recently seeing some level of recovery and revival. EME Outlook issue 41 | 3
REZA FOOD SERVICES CO. LTD
PRODUCTS AND SERVICES The first McDonald’s restaurant in the region was opened in 1994, in the Hamra store on the Jeddah Corniche. Today, there are over 130 McDonald’s restaurants across the Western and Southern regions of KSA, including in other major centres such as Medina, Mecca, Yanbu, Tabuk and Jizan. Further expansion will follow soon. McDonald’s is now a household name in the region, and actively supports the community in a number of ways: charity organisations such as The Help Center, Friends Association Charitable Society, and Jeddah Institute for Speech and Hearing, as well as many more that are supported through the company’s “Share the Goodness” CSR programme and also their employment initiatives.
Mohamed Alireza, Senior Director - Corporate Affairs Alongside this, the pandemic has ushered forward the growing digital age with substantial speed and necessity, and the realm of food and beverage has adapted to this reality. Deliveries have boomed due to a year of a relatively house-bound public. In the Middle East, the pandemic has not spared the food and beverage industry, however as the sector has taken the time to adapt to its new reality over the course of the past year, it is on the road to recovery. “The government of Saudi Arabia has done a phenomenal job managing this pandemic, protecting the people and minimising its economic impact 4 | EME Outlook issue 41
and we are very grateful for their concerted efforts,” begins Mohamed Alireza, Senior Director of Corporate Affairs for REZA Food Services Co. Ltd. Created in 1994, REZA Food Services Co. Ltd. exclusively owns and operates all McDonald’s restaurants in the western and southern regions of Saudi Arabia. It is a 100 percent Saudi and family-owned company that prides itself on being locally managed in all aspects, as well as reinvesting its revenue into the local economy. “Despite its challenges, in every crisis there are opportunities that present themselves,” Mohamed explains.
The food and beverage are 100 percent Halal, and of the highest quality, with the majority of ingredients sourced locally, regionally and internationally. All suppliers must adhere to strict global official benchmarks as well as McDonald’s internal standards, product specification and farm biosecurity policies. In addition, they must also conform to social responsibility policies.
Al Rashed Food is a company associated with the mighty Rashed A. Al Rashed & Sons Co, one of the leading industrial conglomerates in Saudi Arabia and with operations spanning the Gulf countries and the Middle East. The Group, through its financial and strategic support, has helped Al Rashed Food to quickly become a successful business within its own right. So much so, in fact, that Al Rashed Food is now a household name in Saudi Arabia, trusted by hundreds of thousands of individuals and businesses to provide a premium quality products. Our unswerving commitment to build international quality standards is helping us to continue that success. From selecting only premium ingredients to building state-of-the-art production facilities to the look of the packed product on shelf, we strive to be the best and set the benchmark in bread and confectionery products.
Al Rashed Food Company Ltd P.O. Box 312, Riyadh, 11383 Saudi Arabia
T: +966-11-2651394 F: +966-11-2651392 E: info@alrashedfood.com
REZA FOOD SERVICES CO. LTD
Del Monte “It has been more than 12 years since we started our first discussion on partnering together in providing premium quality fruits and vegetables to McDonald’s customers. We have come a long way together, initiating the partnership by supplying the UAE, then further expanding into KSA, to now supplying McDonald’s in 6 countries across MENA. McDonald’s and Fresh Del Monte are strong allies in providing quality fruits and vegetables to customers. This mutual value of sincerely caring about our customers and what they eat contributed to the success of this partnership.” Mohammed Abbas, Senior Vice President APMENA, Fresh Del Monte “McDonald’s and Fresh Del Monte share a passion for delivering high quality products. Both entities combine this successful mix of local know-how and multinational organization. As a strategic partner, we embrace their support in innovating new opportunities that bring positive attributes to society.” Mohammed Yahfoufi, General Manager, Del Monte Saudi Arabia
“In this time, we have continued to focus on our company plans, and looking to the future there is a lot of investment taking place in the tourism sector in line with the 2030 vision presented by our leaders. As the tourism industry is tied to food and beverage, we are well positioned to really continue growing and reach the great ambitions the brand is pushing towards.” Mohamed’s journey began after having gained a bachelor’s degree in the US after moving to the country from his youth in the UK. Graduating in 1999, he began working in banking prior to joining his family’s business in 2003. 6 | EME Outlook issue 41
“There was an opportunity that was offered to me to work with McDonalds,” he elaborates. “The opportunity provided to myself and my family was something that I could not ignore, and it was within an industry that I was already intrigued and interested in. “I was very excited to be joining McDonald’s, and I was sent to Dubai to undergo nine months of operational training. Afterward I filled the position of Marketing Manager, and over the years started to assume more responsibility, working closely with management, and eventually becoming Senior Director of Corporate Affairs.”
info-mena@freshdelmonte.com
REZA FOOD SERVICES CO. LTD
McCain MENA McCain is a company passionate about making high-quality potato products that people love. Growing top-tier, nutritious potatoes takes passion and care for the land. It takes good seed, good soil, good climate and good agricultural practices, all coming together to make mouth-watering McCain potato products. That dedication to goodness has been at the heart of our mission for 60 years. The McCain brothers founded our company on a simple philosophy – good ethics is good business. It still guides us today and it’s what we mean when we say: ‘Be Good. Do Good.’ Be Good Do Good is our Corporate Social Responsibility standard and our filter of how we do business.
In this position, Mohamed has had the privilege of watching REZA Food Services Co. Ltd. reach set goals in the food and beverage industry. One of the company’s targets has been to grow into the café scene. “In Saudi Arabia, a lot of our young population like to go and socialise while having a coffee,” he continues. “So, coffee for us is a booming subsector and one that we feel there is great opportunity for McDonald’s. There will be a focus and investment into our McCafé® brand as it’s an important priority to move forward into this growing area.” REZA Food Services Co. Ltd. will also be looking at increasing the investment in its delivery capabilities. For the company, alongside a rising café culture within the Kingdom, the demand for delivery is booming. And in line with this is the increasing necessity for utilising the latest technology and software applications. With up-to-date software currently spearheading customer experience, technological investment is paramount to REZA 8 | EME Outlook issue 41
Food Services Co. Ltd.s’ ability to meet the wants and needs of its customer base. “We listen to our customers and ensure that we stay up-to-date with the latest trends in technology,” Mohamed elaborates. “The average age of our customers in Saudi Arabia is below 30, so we have a young and digitally active population. Taking this fact into account, we see that investment in technology, whether it be in store with our digital menus or our self-ordering kiosks, is essential to ensure that we stay ahead of the game. We strive to offer our customers the most convenient solutions, serving them anywhere, anytime and in the way that suits them through our app, loyalty programme and special offers.” REZA Food Services Co. Ltd.’s’ investments have also included branding and restaurant design, as well as multiple drive-thrus that have become incredibly important to functioning business throughout the COVID pandemic, and a critical advantage in the QSR space.
McDonald’s ‘Scale for Good’ and McCain’s ‘Be Good Do Good’ match each other perfectly. McCain Foods has been recognised as a robust system partner to McDonald’s around the world since we supplied the first MacFries in 1974. McCain is also a proud winner of the McDonald’s 2020 Global Value Driver Award and works hard to continue to be the “Partner of choice” for accelerating growth on all continents. McDonald’s Values (QSCV) and expectations like Assured Supply, World Class Consistent Quality and Highest Industry Food Safety levels have been tremendously important for increasingly improved business alignment. Our well-balanced Global Manufacturing and Distribution network reflects our commitment to ensure supply chain resilience, our aim to always improve quality and our willingness to invest in support of McDonald’s business. All the best to McDonald’s.
mccain-foodservice.me
Deliver Better TOGETHER LET’S
OUR DELIVERY RANGE Here at McCain Foodservice solutions we are passionate about bringing customers together over the food they love, wherever they are. We are experts in creating solutions for delivery as well as on premise, and we are a proud partner to many global restaurant brands. We use our expertise and insight to help brands future-proof their operations with next-level delivery product solutions. We work strategically with them to understand their customers’ needs, and developing bespoke solutions using cutting-edge tech and global resource from our team of development chefs.
SureCrisp 3 Unique coating to keep fries crispy in delivery for up to 20 minutes 3 Improve customer satisfaction 3 Opportunity to extend delivery radius Cheese appetisers 3 Strong customer favourite 3 Opportunity to upsell 3 Expand menu offering Crispers 3 Deliver the wow factor 3 Extend menu offering 3 Drive revenue
McCain not only provide key menu solutions but guarantee you security and trust of the supply chain.
For more information please contact mena@mccain.com @mccainme
mccain-foodservice.me
REZA FOOD SERVICES CO. LTD
Reza Hygiene Reza Hygiene was established in 1997 and is a one-stop provider of Hygiene & Cleaning solutions for all industries. In particular: throughout the Food chain from Farm to Fork, Healthcare, Institutional and Hospitality Industries. Our solutions are wide-ranging, innovative and sustainable. We take a highly responsible approach to chemical production and the solutions we provide. As a Saudi company with full GCC coverage, Reza Hygiene are fully committed to the Kingdoms strategic framework of Vision 2030, investing in a state-of-the-art manufacturing plant producing in excess of 40,000 tonnes p.a. of hygiene chemical products under licence from leading international partners.
“WE BELIEVE OUR OWN PEOPLE ARE OUR MOST IMPORTANT ASSET... WE HAVE A GREAT TEAM FROM TOP TO BOTTOM, WHETHER IT IS MANAGEMENT IN OUR HEAD OFFICE OR OUR CUSTOMER SERVICE EMPLOYEES IN OUR RESTAURANTS” But what really holds the company together, and what the primary aspect of operations that the company is investing in, is the many hard-working employees that keep REZA Food Services Co. Ltd. functioning in all areas of its business. “We believe our own people are our most important asset,” Mohamed tells us. “Our people are what makes us stand out in the industry. We have a great team from top to bottom, whether it is management in our head office or our customer service employees in our restaurants. “It’s in our DNA. We make sure to support all levels of the business and we have training programmes and development sessions that take 10 | EME Outlook issue 41
place across the whole system for the betterment of the individual through to the company as a whole. At REZA Food Services Co. Ltd., we always maintain rewards and recognition towards employees across all business levels and functions, whether it be in operations, marketing, supply chain or any other. We create incentives to motivate our staff because their effort makes all the difference.” “We encourage people to make their own decisions and learn from their mistakes. In this way people grow from their experiences, and it’s really important to prevent micromanagement across the organisation in order for individual benefit and the various teams to flourish.”
Our GuardPro range of chemicals and specifically Kitchen GuardPro were launched in 2019 and designed with modern cleaning techniques, safety and ease of use in mind. Reza Hygiene worked with Mcdonald’s in the development of the Kitchen GuardPro range to establish a range that meets the highest standards for any kitchen, QSR or Retail establishment world-wide. The key criteria for the range included; • Meets all international and regional standards; EN/NSF/SFDA/SASO • Colour coded • Numerical system • Correct product for each area • Super concentrates The Kitchen GuardPro range is designed around 3 core products that cover almost 95% of all cleaning needs. All of the main use chemical products come are suitable for autodosing and come complete with a complete hygiene support/training system including; PDS, MSDS, SOP’s, Point of use signage and wall charts. Further information can be found on our interactive Hygiene Support Site www.rezacity.com.
www.rezahygiene.com
The most cost effective solution for Kitchen. Super-concentrate, auto-dosed chemical cleaning product offer.
www.rezahygiene.com
COLOR CODED
INNOVATIVE
SUPER CONCENTRATED
TRAINING & SUPPORT
Saudi Arabia
Bahrain
United Emirates
Qatar
REZA FOOD SERVICES CO. LTD
“ONE OF THE THINGS THAT WE DO AND ALWAYS AIM FOR IS TO HAVE A POSITIVE IMPACT IN OUR COMMUNITY, AND THAT’S WHAT WE HAVE STRIVED TOWARDS ACROSS THE PAST FEW YEARS” SUPPLY CHAIN The supply chain is a critical part of the company’s business model. As a global brand, McDonald’s supplier partners play an exceptionally important role in the support of the company’s system. “REZA Food Services Co. Ltd. develops longstanding and reliable partnerships with the best suppliers in the industry,” Mohamed assures us. “The supply chain is vital and evidently proven by the recent cargo freight blockage of the Suez Canal which had caused many disruptions. However, we still managed to ensure supply through our strong network and reliable supply chain partners. 12 | EME Outlook issue 41
Price, quality and assured supply are the key pillars of our supply chain.” In the same way that REZA Food Services Co. Ltd. places a high importance on business partnerships, the company also ensures that it acts with the community in mind. Fayrouz Hassounah, Public Relations and Communications Consultant at the company, elaborates further. “Especially when it comes to CSR, at McDonald’s we take our role very seriously and we know we have a role to play in helping the community and being a valuable contributing member of society,” she assures us. “One of the things that we do and always aim for is to have a positive
SUSTAINABILITY The company’s founders believed that REZA Food Services Co. Ltd. had a direct responsibility to give back; to make its communities better places in which to live and work for everyone. That philosophy still holds true for REZA Food Services Co. Ltd. today. The company remains committed to safeguarding not only its employees and customers, but also the communities in which it operates.
Tyson Foods (Malaysia) Tyson Foods, founded in 1935, is one of the world’s largest food companies and a recognized leader in protein. We innovate continually to make protein more sustainable, tailor food for everywhere it’s available and raise the world’s expectations for how much good food can do. Since the founding of our Malaysia facility in 1987, the business has produced safe, high-quality and Halal certified products.
Facility Compliance • Certified Halal by JAKIM • Employee Safety (OSHAS 18001) • Food safety (VHM, HACCP, BRC, DVS, GMP, MeSTI) • Quality System (ISO 9001) • Environment (ISO 14001)
We are recognized in the region as a leader in the Halal food and beverage industry. We follow strict certification standards throughout our local manufacturing process and only distribute products which have been Halal certified. Tyson Malaysia is proud to offer brands and products to satisfy a variety of palettes and priorities in different QSR chains, food service outlets and supermarkets across 20 different countries around the region
Tyson Foods (Malaysia) Trading As: MacFood Services (M) Sdn Bhd No. 7, Jalan SS13/5, 47500 Subang Jaya, Selangor Darul Ehsan, Malaysia T: +603 5633 0222
www.tysonfoods.com.my
REZA FOOD SERVICES CO. LTD
Specialized Warehousing & Delivery Services We at Specialized Warehousing and Delivery Services take pride in our partnership with the world’s leading QSR brand – McDonald’s. McDonald’s Saudi Arabia has the highest international standards in the QSR industry and Specialized Warehousing and Delivery Services is designed and operating under these high standards and never compromise the safety and quality when it comes to serving McDonald’s Saudi Arabia. We regularly undertake the highest and the toughest McDonald’s unannounced audits & certifications to ensure meeting McDonald’s standards (DQMP – Distribution Quality Management Process) and has been independently verified and always met the criteria laid down by McDonald’s with Grade ‘A’.
“WE TAKE PRIDE IN THE WORK THAT WE DO. IT’S A PHENOMENAL BRAND AND COMPANY TO BE ASSOCIATED WITH AND IT’S A BADGE OF HONOUR FOR EVERYBODY INVOLVED” impact in our community, and that’s what we have strived towards across the past few years. Being a responsible corporate citizen and community support is part of who we are as people and a brand, and our values align with the integration of the community that we hold very dear. We have made a pledge to spread joy, happiness and wellbeing to our community through our Share the Goodness CSR programme and have several initiatives through which we provide support to the local community that we serve.” An example of REZA Food Services Co. Ltd.’ community efforts can be seen in its support of frontline heroes such as doctors, nurses, quarantine centre staff and medical services during the trying pandemic period, as well as the support of police officers, security, and traffic patrol. The company ensured that free meals were delivered to all these 14 | EME Outlook issue 41
services including quarantine centres and hospitals but also to families that have been affected economically by the pandemic. “From March and June, we were under lockdown and the Kingdom was quite unstable, but at the same time we knew that we had to reach out and support the people and the community,” Hassounah tells us. This goes along with the company’s consistent efforts that they have endeavoured in to support families in need. These efforts were brought to life with the distribution of boxes of primary food supplies in multiple cities in the Western and Southern region of Saudi Arabia on a yearly basis but, has now become a quarterly initiative that McDonald’s strives for. For the rest of 2021 and beyond, REZA Food Services Co. Ltd. will continue to proudly represent the McDonald’s brand in the western region of Saudi Arabia with plans to
McDonald’s Saudi Arabia is a socially accountable company and we at Specialized Warehousing and Delivery Services are fully compliant and proud to be part of this program.
expand its café culture to answer the growing demand from its youthful population. Mohamed ends on a positive note. “We take pride in the work that we do. It’s a phenomenal brand and company to be associated with and it’s a badge of honour for everybody involved, felt throughout all levels of the company. This sense of pride really drives our performance, excellence and we are excited to see what the future holds for REZA Food Services Co. Ltd.”
REZA FOOD SERVICES CO. LTD Tel: (+966-12) 420-8000 mcd@rezagroup.com www.mcdonalds.com/sa/ar-sa/ jeddah.html
FOOD & DRINK
Specialized Warehousing and Delivery Services is a pioneer in the warehousing and distribution business, we are providing the highest quality services which is accredited by international auditing companies.
Head office: +966138147440 Ext. 150 or 240
SWDS’ network of warehousing facilities and transportation provides its customers with flexible solutions tailored to meet their business needs.
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FORSAN FOODS COMPANY KINGDOM OF SAUDI ARABIA
YOUR PARTNER TO SUCCESS
EME Outlook issue 41 | 15
REZA FOOD SERVICES CO. LTD P.O Box 20968, Jeddah 21465, Kingdom of Saudi Arabia Tel: (+966-12) 420-8000 mcd@rezagroup.com www.mcdonalds.com/sa/ar-sa/jeddah.html
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