Tyson Internet Venture Lands Chicago Deal
by July 9, 2001 12:00 am 69 views
A June 26 Internet report by online media outlet TheStandard.com said Chicago-based eFS Network Inc. has chosen ModelN of San Francisco, Calif., to build its network infrastructure. The online food service industry exchange site is expected to launch in the fourth quarter.
Springdale’s poultry producer Tyson Foods Inc. is a major partner in the Internet venture. Other principals include Cargill Inc., Sysco and Dot Foods and McDonald’s Corp.
According to the report, eFS Network CEO Hank Lambert said his firm will be a success because all food industry sectors are represented by major players.
“We see that as a competitive differentiator for eFS because we are neutral and inclusive,” Lambert said. “We are building a solution that results in cost savings for not just one segment.”
ModelN previously built ProvisionX, an exchange for the five largest meat and poultry producers. The goal of both online exchanges is to reduce costs through efficiencies in order management, contract resolution, inventory management, logistics planning, and demand planning and forecasting.
According to reports by eFS, there is as much as $14 billion in supply-chain inefficiencies in the $399 billion food service industry supply chain.