Logan Regional Foodservice Management project: Deep-fat fryer

1. Logan Regional Foodservice Management project: Deep-fat fryer Alessa Wade, Tanille Smith

2. Project A3 THE PROJECT: PROJECT TEAM: PROJECT SME’s: Removal of all fryers and deep-fat fried products from cafeteria Janet Anderson Lee Darley PROJECT SPONSOR(s): Alessa Wade Tanille Smith Intermountain Healthcare INITIATION DATE: 02/05/13 PROJECT COACH / FACILITATOR: Lee Darley TARGET COMPLETION DATE: 02/05/14 ANALYSIS / ROOT CAUSE: Hospitals promote health, and should portray an image of health. When selling deep fat fried foods the image is not aligned with their goals and objectives. Because of obesity in America, it is suggest that hospitals set a standard for healthy eating for other organizations to emulate. BACKGROUND INFORMATION: Kaiser Permanente announced a new program committed to a healthier America. The project suggests that within one year hospitals offer meals that meet certain nutritional standards and cost the same or less as other meal options. The organizations aim is to broadly increase healthier choices as a way to address obesity. One of the six steps is to removed all fryers and deep fat fried products. BUSINESS CASE: Removal of all fryers would eliminate deep fat fried products and increase availability of healthy options, and promote a healthier image. RECOMMENDATION / COUNTERMEASURES: We propose the removal of the double fryer from the cafeteria cook-line and the procurement of a conveyor belt oven to replace the fryer in order to deep fat fried products from circulation but sustained revenue. The same products will be available to people through a healthier cooking method. CURRENT CONDITION: At Logan Regional Hospital’s cafeteria right now, on average deep fat fried food is 5% of daily revenue. Current perception is positive as long as there is still access to the same products. DO Plan Act Study ACTION PLANS: To implement this we suggest that LRH’s foodservice director remove deep fat fryer from cafeteria line and replace with conveyor oven. We recommend that in the place of the deep fat fryer a custom fabricated stainless steel table, and the heating element moved to this table. In the space allotted to the heating element currently the oven would be placed. Month prior to completion a cafeteria campaign would be suggested to promote healthier options and ensure customers their products are still available, only prepared differently. Total removal of fryer and insertion of purchased oven and table would be completed within one year’s time. TARGET CONDITION: Our goal is to create healthier food options while maintaining revenue. FOLLOW UP: To follow up a customer satisfaction survey would be administered. An analysis of revenue comparing 1 month and 5 months after transition to compare grill sales.

3. Goal: • Based on Kaiser Permanente • Remove cafeteria deep-fat fryer and deep-fat fried products and replace with a comparable product. • Desired outcome: to maintain current sales, promote health, and provide a comparable product to customers.

4. A Look at the Math Total Sales Grill and Fried Sale Percentages

5. Math Projections • Month sales: $81,984 • Projected monthly loss: $2,705 • Yearly sales: $1,068,720 • Projected yearly loss: $35,267

6. Fryer Operating Cost • 4-35 lbs tubs of oil/week • Cost per tub: $42.37 • Cost per week: $169.48 • Cost per month: $677.92 • Cost per year: $8,812.96

7. So What Do People Think? • “As long as products are available, it wouldn’t affect purchasing” • “Line for the grill is too long anyway” • “We expect healthy food at a hospital anyway” • “People would be leery, upset at first, but you can’t please everyone” • Summary: most people were accepting of the idea of getting rid of the fryer as long as they had access to a comparable product.

8. Plan of Action (POA) • To remove the cafeteria deep-fat fryer • Replace fryer with custom stainless steel tabletop • Move ingredient preparation area to the custom tabletop • Buy Miniveyor Conveyor Oven, put in old ingredient preparation area • Total estimated POA cost: $3,618

9. Equipment Specifications Miniveyor Conveyor Oven Custom Stainless Steel Table • Item: Miniveyor Conveyor Oven • Provide (1) electric miniveyor conveyor oven measuring 31”x 15 7/16”x 14”. Holman’s Miniveyor Model # 210HX • Oven shall be stainless steel with removable trays for cleaning, belt moving left to right, and adjustable heat controls. Oven shall use infrared heating and have a cord and plug. • Oven shall be used for baking items such as French fries, chicken nuggets, tater tots in replace of deep fat fryer. To preheat in 8-10 minutes and provide acceptable baked foods. • Provide UL and NSF approval • Retail purchase price: $2100.00 • Item: Custom stainless steel table • Provide (1) custom stainless steel table measuring 21” x 29”. • Table should have an open base to provide strength, durability and for ease of cleaning. Table should be fabricated using 14 guage type 304 stainless steel material with a smooth, satin-finished top. Table should also feature a 2" x 1" square die embossed no-drip countertop edge with a 1/2" return on all four sides. Table legs should be 1 5/8” in diameter tubular galvanized steel with matching leg braces. • Table shall be used for ingredient preparation. • Provide UL and NSF approval • Estimated retail price: $518.00

10. Conclusions: Estimated Recoup of Cost • Estimated cost of plan • -$3,618 • Estimated savings-oil only • Monthly: $677.92 • Purchase of Miniveyor Conveyor Oven and our plan of action would pay for itself in 5 months 3 weeks in oil savings alone. • Estimated monthly sales would be maintained • Estimated profit loss incurred would be minimal

11. Additional Benefits Intermountain Healthcare is an organization driven by a mission of excellence in the provision of healthcare services to communities in the Intermountain region. The mission of Intermountain includes a commitment to provide care to those who live in communities within this region who have a medical need, regardless of ability to pay.