A case of social sustainability: Deliprime Alimentos

Deliprime alimentos

1. No Poverty 2. Zero Hunger 3. Good Health and Well-Being 10. Reduced Inequalities

Overview

Deliprime Alimentos is a Mexican food company based on Escobedo, Nuevo León, that mainly produces and sells home-style made salsas as well as some seasoners and marinades for seasoning diverse types of food. Founded in 1993, an entrepreneur looking to diversify and maintain a different income source, bought a micro company that originally sold seasoners, soon after that he came up with the idea to produce and sell a true home-style made salsa, making more time for those at home that used to prepare this compliment. 27 years later, the company has grown to be a leader in the northeastern part of Mexico and now has presence in the USA. Guillermo Flores, became the company’s CEO on April 2019, before that he was the COO since January 2016. Looking to become a larger food company the goals are high, and Deliprime is looking to become the main salsa that accompanies those families at the table to enjoy a meal.

After the pandemic started Deliprime took the initiative to make a package of basic food to deliver to workers and the community. Deliprime is still a lucrative company, but is solidarized with its workers to which their family members got affected on their jobs by the pandemic, this helps relieve the pressure. But this was the first step, afterwards, Deliprime throughout their contacts, found out other groups of people in need of some assistance, and has now cooperated with the local government to help others in need.

Authors

FRANCISCO IGNACIO Caminero

FRANCISCO IGNACIO Caminero

Jorge Villarreal

Jorge Villarreal

Leopoldo Arellano Gutierrez

Leopoldo Arellano Gutierrez

Ernesto Gonzalez

Ernesto Gonzalez

Javier Ceballos

Javier Ceballos

School

EGADE Business School Tecnologico de Monterrey

EGADE Business School Tecnologico de Monterrey

Professor

Consuelo Garcia-de-la-torre

Consuelo Garcia-de-la-torre

Innovation

Deliprime has been throughout the years of being a growing company based on their interest of becoming the #1 salsa company in Mexico and the USA, through acquiring new clients, as well as innovative products such as their Premium Line of Salsa which was a new sub-category they created. Now on these pandemic days, they decide to give that extra effort to support those around them, and as an old saying goes “on the good ones it's easy to be close to people, but on the bad times, that’s where you realize where true friendship is”, this meaning what Guillermo Flores was telling us about in the interview about how on this times is where one must show true solidarity with those close to them, in case of Deliprime it began with their own employees and then extended to the community in Escobedo. These acts show true courage and solidarity to help those in need.

A case of social sustainability: Deliprime Alimentos

Inspiration

Deliprime has always been very supportive to the people, it's on their philosophy to help the community and their collaborators. Their vision states, “Be a leading and recognized, national and international company in the food sector, due to the quality, flavor and the unbreakable commitment to our client satisfaction”. That commitment is expanding to not only their clients, but all the stakeholders. They know that the actual situation is affecting the community that surround the company, and they assure that the company needs to stand strong and give support on this though situation.

The board of directors, as well as the C-suite executives discussed different options to help the community. They decided to give the main household food items to their workers and people around the community. Their expertise in the food industry helped them plan, manage and develop an idea to support the people, especially collaborators.

Deliprim CEO Guillermo Flores affirms the following regarding their business values: “The company has always regarded the philosophy of seeking, considering the limitations of resources, to give an extra benefit to the collaborator and the community. In this case we wanted to expand it later to people with low resources. It is part of our philosophy to benefit the community whenever possible. It is our way of seeing things. Bad times are when we should show that support. In good times it is easier to grab resources and distribute them, but in difficult times it is when the intentions of the company are best seen.”

Overall impact

The early results Deliprime got with their collaborators encourage them to expand and involve clients and the community. Deliprime was acknowledging that people were starting to lack nutritious food quality and quantity and wanted to use their due diligence in the food industry to impact positively their surroundings. The community didn’t expect this help, so this created a major impact in them. Deliprime has worked alongside the Municipal President to increase their scope and to benefit from bilateral comments and suggestions to keep improving the quality and quantity the food donations.

Guillermo Flores mentioned during the interview, “The truth is that we put ourselves at the command of Municipality President Clara Luz, mentioning that we were available for any other initiative they might have. It was the municipality with which we had the most contact because we are in the same area. Our collaborators were extremely grateful with the food deliveries, on some occasions they thanked us by means of a message. It is very satisfying for the company to be able to do this”.

Business benefit

During the interview, Guillermo Flores stated: “The truth is that we carry out these initiatives without any type of business interest. We believe that showing empathy with people is more important than pursuing commercial interests, those are not our intentions”.

Although the main motivation of the company has been solidarity with its employees and the community, there are several benefits associated with its actions:

  • Better retention of employees

People admire companies that value their employees, that give them continuous support and help them in difficult times. A business without core values isn't really a business. Deliprime's actions generate motivation among employees and make them more comfortable working for the company. This encourages employees to stay with the company and value their job. Company values also play a critical role in talent attraction: 46% of job seekers cite company culture as very important when choosing to apply to a company.

  • Greater consumer loyalty

Consumers have respect for those companies that value their employees, develop social projects, care about the environment and invest efforts against corruption. By Therefore, social responsibility is a factor that guarantees loyalty consumer.

  • Brand image

Social responsibility practices add value to business of the company. The community feel distinguished with the brand, they feel that they are part of this company and feel protected by them. The brand is strong in the municipality of Escobedo, where the headquarters and factory are located. The brand strengthening is the best business benefit Deliprime obtains from the food delivered in the area. When Consumers find that Deliprime’s values are like theirs, the company have more probability of being chosen over someone else. It is a potential differentiator.

Social and environmental benefit

Regarding the social benefit, this project focuses practically on the neediest people of the community. According to the National Council for the Evaluation of Social Development Policy (CONEVAL), poverty is defined as: “the inability to obtain a basic food basket, even if all available household income was used to buy only the goods of said basket". That means there are people that even putting together all their income could not buy the most basic foods.

In Nuevo León, the percentage of people living under this type of poverty is 25.2%. A quarter of the population cannot afford the most essential foods. Deliprime's purpose is to reduce hunger and malnutrition in the communities with the fewest resources in Monterrey, Nuevo León.

The idea of providing pantries is to help the most affected people in this case by the pandemic. It is estimated to become permanent project since there are always reasons to help people, today is a pandemic and tomorrow it could be any natural disaster, making Deliprime always ready to help those families.

The environmental benefit is minimal since the project focuses on the social benefit, but the fact of being able to reduce waste and help families gives a double impact to the implemented project. Families will be more responsible with their food consumption and waste when shown the importance in the gatherings.

Interview

Guillermo Flores, A view from within

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Deliprime alimentos

Deliprime alimentos

Monterrey, Nuevo León, MX

Business Website: https://www.deliprime.com.mx/

Year Founded: 1993

Number of Employees: 51 to 200

Deliprime Alimentos is a Mexican food company based on Escobedo, Nuevo León, that mainly produces and sells home-style made salsas as well as some seasoners and marinades for seasoning diverse types of food. Founded in 1993, an entrepreneur looking to diversify and maintain a different income source, bought a micro company that originally sold seasoners, soon after that he came up with the idea to produce and sell a true home-style made salsa, making more time for those at home that used to prepare this compliment. 27 years later, the company has grown to be a leader in the northeastern part of Mexico and now has presence in the USA. Guillermo Flores, became the company’s CEO on April 2019, before that he was the COO since January 2016. Looking to become a larger food company the goals are high, and Deliprime is looking to become the main salsa that accompanies those families at the table to enjoy a meal.