Dear Valued Business Partners,

 

Back in April, I shared with you that Dot Foods, along with the rest of our industry, has been experiencing challenges impacting our service to our customers. Today, our service is still not where we want it, and we recognize the issues this creates for your business. As my brother Joe said at our annual Innovations trade show, “We’re not immune to what is going on in the industry … We’re working on solutions, but it’s not going to be fixed overnight.”

 

While I wish I could share better news with you, I want to reassure you that providing the service you expect from us is our top priority. We are working through solutions to address some of our biggest challenges. 

 

Labor 

 

Everyone in our industry is hurting from the labor shortage. While we are continuing to face challenges in this area, we’ve seen some positive momentum. Our investments in recruiting and retaining labor are paying off. We have welcomed many new additions to our warehouses and fleet. This recent upturn of new hires has given us some optimism. 

Service 

 

Reliability in many markets has not been what we are used to. Too many delivery appointments are getting changed by both us and our suppliers. Our service from our suppliers is at a historic low and continues to fall while lead times are increasing. Due to current issues, we haven’t been as flexible as we have been in the past.  We realize that this causes frustration, but please understand that we have to make some sacrifices to serve everyone. 

 

Although we expect these issues to remain in the near future, we have implemented the following strategies to mitigate the impact on your business.  We will continue to expand this list.



  • We have developed new processes and technology that allow us to more efficiently route trucks. This has allowed us to free up much-needed drivers and equipment to improve delivery timeliness.  



  • We are stocking products more aggressively across our locations, reducing our dependence on transferring items between our distribution centers. 



  • We are focusing our attention on improving our service on items with stable supply.  



  • Our employees are dedicated to your success. They are putting in extra overtime and working out of different facilities that need the most help.



  • We are investing heavily in inventory and transportation to mitigate service issues.

 

Demand Fluctuations 

 

We have experienced large-scale demand fluctuations and have little information to go on. I know forecasting is difficult and you are now experiencing more volatility than normal with little communication from your customers.  When you do know about large upcoming changes in your volume, we appreciate you sharing what you can with us so that we can do a better job responding to your shifting needs.

 

Looking Forward

 

Our employees share a strong focus on providing quality service. This has never been harder, but we also realize our business model has never meant more. Our frequent deliveries, large product offering, and short lead times have mitigated risk for our customers during this tumultuous time. We’re moving quickly to address current challenges and investing in our new ecommerce website, automation, and other solutions to ensure we add value to your business far into the future. 

 

We don’t take your business for granted and have a high sense of urgency to be better.  Thank you for your continued business. 

 

Sincerely,

 

Dick Tracy

President

Dot Foods, Inc.