1.2 Strategy and performance
Highlights of Fiscal 2023 strategic advancesHighlights of Fiscal 2023 strategic advances
In Fiscal 2023, Sodexo pursued the implementation of its strategy and achieved several major steps: a simplified and more effective organization, a record client retention level, rebalancing of Food and FM services, strong execution in North America as well as some strategic portfolio decisions and a holistic approach to sustainability.
Improving operational efficiency with tech, data & innovation
To strengthen its competitiveness and increase its agility, Sodexo continues to improve its operational efficiency by capitalizing on the development of innovative, data-driven technological solutions.
Sodexo’s business intelligence services, combined with AI-powered technology and intuitive modeling solutions, are now being fully implemented. So, for example, in the current context of supply chain tension, Sodexo can rely on Product Swap, an AI-powered decision support tool, to automate product substitution and improve the efficiency and quality of its logistics, and therefore client service, with more than 5% cost savings by product category.
With Power Pricing, a data-driven decision-support tool, teams at some 1,000 sites worldwide are also able to improve the quality of price positioning for each product and, consequently, better manage margins on each site. Other applications, such as Kronos or 4site, can be used to accurately forecast demand, attendance and staffing requirements in a company restaurant, thereby helping to optimize resources and limit waste.
500 million eurosAverage annual spend in Tech & Data
Developing Advanced Food Models to meet consumers new expectations
In today’s era of customization, a personalized meal experience has become the gold standard for consumers. Not only are they expecting choice and flexibility in terms of what, when and where they eat, they also want the benefits of technology to enjoy a smoother and more seamless dining experience.
Sodexo is developing numerous solutions to offer a renewed food experience, investing organically and through acquisitions in convenience, aggregation and off-site production. In North America for instance, in addition to the opening of a new off-site production model in Boston named “The Pass”, and the acquisition of Frontline Foodservices and VendEdge in Fiscal 2022, Sodexo extended InReach’s food offerings in the fast-growing convenience market with the acquisition of A.H. Management, one of the largest operators in the Mid-West. In Brazil, Sodexo also launched Noponto, a 100% autonomous micro-market model, providing consumers with a high value-added consumption experience.
3.9% of Food revenues from Advanced Food Model in Fiscal 2023
Better reaching connected consumers
Consumers around the world have been able to order food through their phones for some time, but being able to serve them everywhere with good food is the Group's ambition. In the U.S., Sodexo recently launched Everyday, an app which is already available at over 780 locations across the country, from universities to workplaces and hospitals. It provides access to the day’s menu with nutritional information, as well as multiple ordering, delivery and payment options, saving time and making every day easier. At the same time, Sodexo is expanding new technological solutions, like 24/7 service of hot and cold drinks, pizza, burgers, and ramen through automated kiosks on various hospital and university sites, as well as robots that can deliver food on university campuses.