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Calveta Case

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Calveta Case
MGT 520 - Fall 2013
September 24, 2013
Calveta’s Dining Services, Inc: A Recipe for Growth?
CASE STUDY

Synopsis:
Founded in 1972 by Antonio Calveta
$2 billion Senior Living Facilities – SLF dining service company serving quality food.
Number of employees 15,000
Servicing 976 SLF in 2009
Not a part of any other industry
2007 Antonio Calveta COE and founder retired and his son, Frank Calveta was replaced as the CEO.

Antonio’s Operating Values
Develop every Calveta employee to their full potential
Provide highest quality food and personalized service at reasonable cost
Provide unique features and innovative ideas for their menus
Make profit continually using every employee as an important tool to the company
Create relationship with clients by personalizing their services

Frank Calveta Issues as CEO
Has the father’s request to double the company and income within 5 years on his shoulders
Must continue to sustain Antonio’s Way
Must maintain unique food preparations and customer service
Must figure out innovative ideas for growth and expansion without changing the way they do business
Has to determine which opportunity will be beneficial for the organization

Expanding its business to hospital segment
The hospital segment presented a more reasonable fit with Calveta’s core competencies
Hospital administrators might perceive Calveta’s skills at cost control as a means to reducing expenses.
Trends toward the provision of fresher, more healthful menu offerings for both patients and visitors would also work in Calveta’s best interest.
Customers from the hospital segment would accept Calveta’s Dining Services as that of the residents of SLF without much hassle.

Some disadvantages of selecting this option are:
Core culture may be watered down as the hospital industry is entered
Financial needs may pose as a barrier to entry
Future growth unpredictable
It could also affect the company’s reputation.

Most Important

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