Food and Management Enterprises (FAME): Famously Good

Hospitality

Written by Eric Slack

Tuesday, 01 April 2008

Food and Management Enterprises (FAME): Famously Good - American Executive - RedCoat Publishing

This Bay State-based food service provider brought service back to the industry. This Bay State-based food service provider brought service back to the industry.

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Like many industries, the food service industry has seen its fair share of consolidation and the creation of massive corporate entities. But that hasn’t always meant better service. For Terry Tehrany, founder, president, and CEO of Massachusetts-based Food and Management Enterprise (Fame), customer service was a dish that needed to return to the menu.

Terry Tehrany, President, and CEO

“Twenty years ago, companies respected their clients’ wishes. When they needed something, we reacted quickly and in a friendly, professional manner,” Tehrany said. “Then we entered a world of mergers and acquisitions, and overnight the whole philosophy changed. Those changes went against my core values, and that was when I decided to start a company that reflected those values.”

Along with Ian Atherton and Louise Faucher, Fame’s VPs and co-founders, Fame started operations in 1991. The three leaders had years of experience in the industry, as well as a personal connection as friends and business associates. Together they got the company up and running, and they still take a hands-on approach when new operations are ready to launch.

“When we open a new account, we make sure the transition is smooth. Once we’re sure everything is ready, we leave operations in the site manager’s hands,” Tehrany said.

Fame currently operates food management services in Massachusetts, New Hampshire, Rhode Island, Connecticut, Virginia, Texas, and Washington, DC. It serves clients in industries and institutions including corporate dining, business and industry, government facilities, schools, colleges and universities, and retirement and nursing homes. Menus are designed to suit the customer’s needs.

One of the ways Fame set itself apart was through its realization that cafeteria service was no longer the way people in large institutions wanted to be served. Rather than a pile of food with limited selection, people wanted choice. This type of service is known as the by-the-ounce option. According to Tehrany, that choice is key for customers in large corporations.

Another way Fame has competed against much larger entities is by freeing up the people on the ground running each of its operations. Tehrany indicated that individual leadership from the on-site manager is crucial to building relationships with clients and overseeing kitchen and dining room operations to ensure quality and cleanliness. This means less time in the office writing reports to the corporate masters in Massachusetts and more time in the kitchen and out on the floor.

“Great managers make or break the business, and it’s not about paperwork; it’s about running a food service as if it were your own business,” said Tehrany. “We want them to be managers, not report makers, spending time managing the facility and visiting with customers.”

Quality assurance
Outside of the kitchen, Fame leaders work to ensure that nothing goes wrong once a location is running on its own. Within weeks of leaving the new start-up, the company follows up to ensure the quality it expects is what the customer is receiving. The company does customer surveys and gives managers the autonomy to adjust the menus based on customer demands.

The company is able to keep its costs competitive because of a national purchasing program. It also earned a favorable reputation in a relatively short period of time by working with entities as prestigious as the federal Department of Labor and the Department of Education. In fact, the labor department was the first to be exclusively dedicated to the by-the-ounce option.

The reputation developed through these relationships, the purchasing program, and the executive team’s inside knowledge of the industry allowed the company to keep its costs down, which is passed on to the customer. This is especially important during the current economic cycle, with people tightening the belts on expenditures like buying lunch every day.

“People are spending less, but we’ll try to come up with ways to accommodate our patrons,” said Tehrany, noting managers are given the green light to offer discounted items to help make up for the shortfall.

With more people concerned about health than ever before, Fame has also created specific menus that are lower in sodium, cholesterol, fat, and calories. Vegetarian options are also available, and it all goes back to the focus Fame has placed on choice for the customer. The company’s deli options have expanded, serving areas have been redesigned to increase salad bar and entrée options, and made-to-order bars allow customers to have fish, chicken, and meat dishes prepared right in front of their eyes.

With a solid reputation and leadership with years of experience in the industry, Tehrany is confident the company can remain profitable during the recent economic slowdown. People need to eat every day, and as long as the company continues to redefine the industry’s definition of customer service, more large institutions are likely to turn to Fame for their food management services.

“We’re very excited about the positive response we are getting from our customers. It’s resulting in many long-term relationships that are a big part of our success,” Tehrany said. “Even as we grow, we maintain a customer-first mentality. Our managers know the limitations as to what they can do, but they know that as soon as the client calls and needs something, that’s their mission.”

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