Over the years, top executives at Ukrop's Super Markets, Richmond, Va., have faced a dual challenge—to fine-tune a winning fresh-food formula, and to find the time to host visitors seeking to learn from the company's success.
One store those visitors will surely want
to study is the company's 25th unit, in Fredericksburg, Va., which opened on Aug. 4. The scenery and props in the 63,000-square-foot store are dazzling. But what really sets this production apart are the people on stage—and those responsible for the casting, rehearsing and direction from behind the scenes, including a roster of 62 foodservice professionals in the deli/prepared foods area and 22 more in the bakery.
The layout mirrors Ukrop's Short Pump store in the Richmond area, which opened in mid-1996. While the Fredericksburg unit is Ukrop's first big step beyond its saturated home base, its twin, set to open in Charlottesville next month, is even further afield. As Ukrop's expands beyond its home turf, it needs to win converts to its extensive line of chilled foods from its central kitchen, since self-service and huge volumes make those items lucrative. The company is counting on theatrical sizzle to draw customers, and great service to bring them back.
"It's not magic," says Robert Ukrop, president and COO, of all the little ways in which Ukrop's strives to strengthen its service culture daily. Take, for example, the tiny lapel pin worn by all associates who have committed the company's "Vision, Mission and Shared Values" to memory. Among the shared values: "Superior customer service—resulting from great execution, a caring attitude, and a sense of urgency."
That mindset helps deli/foodservice contribute 12% to 15% to the newest store's sales, which Ukrop declined to discuss in further detail. Employees in the food stations also come to the company with a taste of what the foodservice business is like. According to Carmella Cramer, area manager for the store's café and grill, bakery, chilled prepared foods and deli departments, Ukrop's made a point of seeking applicants with a foodservice background.
"You don't have to have an executive chef," Cramer says. "Whether their background is fast-food or whatever, they know that when the customers are here, when it's the busy time, we have to be on the ball, and have all hands on deck."
Sometimes, however, the transition from enclosed to open production environments requires an end to old habits. "A lot of the people in the foodservice industry were behind the scenes—where they could say what they wanted, or if they were aggravated, they could let it out," says Cramer. "But you know, we're on stage, we're in front of the customer. We have to conduct ourselves professionally."
Ukrop's management structure allows for ample supervisory oversight. That gives the store's area managers enough time to meet and plan strategically, not just tactically. In addition, adequate supervision also makes for an important safeguard against food-safety risks. It can also bolster a less confident employee's comfort level. That, in turn, can keep employees with potential from losing confidence and leaving the company.
The hedge on turnover is an enormous benefit to the company's bottom line. The alternative is to spend excessive amounts on training, or, worse, to give up trying to train workers. But a manageable level of turnover is healthy, too, Ukrop notes. When people leave for various reasons, not necessarily related to their opinion of the company or its management, job positions aren't locked up. That improves the chances that associates will find the opportunities best suited to their talents, Ukrop points out.
Management's job is to match skills with tasks. The motivation to learn and grow, however, comes from within the associates themselves. "An associate might be new to the department, coming in to bake pizza at first," says Harold Lewis, general manager of the Fredericksburg store. "They see the paninis being made. And suddenly there's a spark—they want to learn. And you can see that spark a mile away."
Multiple management layers help assure that stores aren't being run by two seasoned professionals and dozens of newly hired kids. Some of the more experienced associates, called service leaders, gain management experience by serving as an on-the-job mentor for new hires.
Despite the company's well-earned reputation in prepared foods, Ukrop's is not resting on its laurels. "A lot of the world wants to know—what's the latest thing? Where are you headed next?" says Ukrop. "People will say, 'Well, you have a bakery and deli. What's next?' Well, it isn't just a deli and bakery with sliced meats and cheeses and a few other things. Now, there are hot foods cooking—that's big. Pizza. Big. Chilled prepared. Grill. Italian Kitchen. Panini. Huge. It's amazing how many of those we sell."
Of course, running a complex foodservice operation is no easy task. "There are so many businesses [within the foodservice operation], and each one is different. It takes so many people to do it right," says Ukrop, who declined to discuss the Fredericksburg store's labor costs or profitability.
Hot foods are not the only thing cooking at the company's newest stores. Ukrop says chilled prepared foods have the potential to do even better. An assortment is stocked near the three pay stations leading to the dining area in the Fredericksburg store.
"We realized, from a kitchen point of view, that we couldn't produce out of 25 factories," Ukrop says, referring to the company's 25 stores. "We needed it out of one place. Bakery gave us some experience with manufacturing and logistics. We learned that some things are better done centrally." Ukrop's strikes a balance between central and store-level production with some items. Pastry chefs at the Fredericksburg store, for example, top tarts with fruit and glaze, and also finish cheesecakes and iced cakes that arrive from the central bakery.
Cramer, who was involved in Ukrop's fresh manufacturing division from the outset in 1989, marvels at how the chilled prepared food program has grown, from 10 items to more than 150 items today. The chilled food operation now shares quarters with the central bakery plant in part of a 300,000-square-foot department store that Ukrop's acquired in 1994.
At store level, however, the range of hot menu offerings keeps expanding. In recent months, Ukrop's Wrapper sandwich program joined the menu lineup at the 11 store locations with full-service grills. At the Fredericksburg store, customers can choose wrappers filled with their choice of kielbasa, smoked turkey, grilled chicken or blackened tuna, priced at $4.49 to $4.95.
Chefs stationed at Ukrop's Grill also stir-fry rice, meats and vegetables, and char-broil classic Ukrop's Café Burgers (well-done only; $4.29) and grilled marinated chicken breast.
The sandwich program drawing the biggest response from Fredericksburg customers are paninis. Four double-sided grills stay busy during the store's daily lunch crunch. "If you're just coming into the store for the first time, the paninis kind of blow you away," says Ukrop. "Just the way they're displayed, they almost jump into your cart and your mouth."
Fillings for the pre-made sandwiches, which are priced from $4.49 to $4.99, include turkey, chicken, Italian cold cuts, marinated London broil and prosciutto with fresh mozzarella. Ukrop's associates will also custom-make panini sandwiches on request.
Along with paninis, another subdepartment that proved to be a big draw is Ukrop's latest rendition of its pasta station. "The program has been totally restructured," says Cramer. "You can walk up to the case and pick any pasta that you want. It's create-your-own, whereas before we had a specific menu."
Although pasta has been a strong performer, the pizza program isn't as strong as Ukrop figures it will be eventually, after the panini program goes through its novelty surge. "We have to be careful about the things that have gotten off to a less than good start," he says. "I think it will take people five, six, maybe 10 trips to understand all that is here."
Ukrop's stations for coffee, bagels and yogurt, made-to-order Caesar salad, sushi, and its Meal Idea Center demos add animation to the sales floor, as do Ukrop's bakery department chefs and decorators.