Oryana Natural Foods Market
Oryana Natural Foods Market
260 East Tenth Street | Traverse City, MI 49684 | (231) 947-0191

Monday - Saturday 7:30am-9:00pm | Sunday 9:00am-7:00pm
To place Café orders call (231) 346-2852 | Closed Christmas Day

2016 Meeting Minutes

November

Present at the meeting: Blythe Webster, Chris Miller, Sean Burns, Rebecca Teahen, Kaitlyn Burns, Jim Dagwell, Holly Jo Sparks

Absent: Chuck Mueller, Colleen Valko

Oryana: General Manager: Steve Nance; Marketing & Communications Manager: Stephanie Mathewson; Financial Manager: Michelle Hester. Guests: Tom Slater

Welcome: Rebecca convened the meeting at 5:56pm.

Additions or Changes to Agenda: Steve suggested that, if time allowed, Stephanie could present a 2018 Trends Report. The Board agreed.

There was a discussion about appropriate responses to owner/shopper emails that are sent to the full board. The current process in place is that the Board President responds to let the sender know their email was received. The President, Executive Committee and/or General Manager will then respond at length according to the nature of the request (i.e. Governance or Operational, etc.). This will ensure the Board speaks with one voice and that issues are handled by the appropriate person.

Minutes from the last meeting were approved by email.

Board Calendar:  

Dags noted that a lot of Financial reporting would take place at the November meeting, so asked if there was still a need for the Finance Committee to report out in December. Holly Jo suggested that the report out could stay on the agenda and a discussion could be had about the possibility of conducting an audit. The Board agreed.

The main objectives of the January retreat will be a possible revision of the Ends and the Oryana Vision 2026.

Steve proposed moving the 2.5 Monitoring Report from January to February. The Board agreed.

Public input: There was no public input.

GM report: Steve Nance

Oryana for Good: Stephanie Mathewson

  • Oryana was again a proud sponsor of the November Empty Bowls event to support Food Rescue.
  • Oryana was one of only 5 community partners to be asked to participate in the Festival of Trees Demo Day, bringing two delectable desserts for attendees to try.  
  • Fall cooking classes have been rocking – all of them have been full with waiting lists.
  • Oryana hosted 2 cooking classes on NMC’s campus to encourage healthy cooking in the dorms.
  • The Double Up Food Bucks Program has been going very well! $1134.30 in coupons were distributed and $760.08 in coupons were redeemed in October alone.
  • Oryana is happy to still be continuing their partnership with and support of the local Food Corps Vista. In 2018 Oryana will be reviewing volunteer opportunities for staff to help foster more connections.

Fantastic Finance, Steve Nance

  • Steve thanked Michelle for her service as the Finance Manager, as she will be leaving for another position in town at the end of December. The Board thanked and congratulated her.
  • Steve presented sales figures and trends to the Board.
  • It took Oryana a little longer to adjust labor after the busy summer season.
  • November is looking to finish above target. And the Leadership feels that the year will finish above budgeted as well.

Local Trends:

A Development on Eighth Street is moving forward, including a synergistic project in our neighborhood with Higher Grounds. Oryana continues to partner with the North Boardman Lake District to help direct development in our area.

Our Co-op:

  • Oryana will be launching Open Book Management in December, fostering financial transparency and knowledge amongst all staff.
  • 5 staff members participated in fire extinguisher training with the local fire department. Oryana plans to offer these several times a year to get as many staff through training as possible.
  • NCG has recently replaced their supplier of all provided coffee and soup cups to offer compostable options. There is a chance some of the products are produced using Genetically Engineered corn and so a warning is present on the bottom of the cups to honor transparency. NCG continues to work to find a supplier who does not use any GE products. Currently one does not exist that can fulfill NCG’s needs.

Monitoring Report 2.4 Financial Conditioning & Activities  Michelle Hester

Michelle presented a financial overview for the 3rd Quarter of 2017. Net Sales and Growth both finished at better than budgeted. Net Profit was lower than budgeted. Labor expenses finished unfavorable to budget. This is largely due to the increase in wages for the majority of staff as part of the Sustainable Wage Project in concert with decreased revenue with competition opening. General and Administrative Expenses were higher than budgeted. The co-op continues to be in a strong cash position.

Motion to accept:             Action: Sean moved. Blythe seconded.

The Board accepted the Monitoring Report 2.4 – Third Quarter Financial Conditioning & Activities

The Board reached consensus.

Board Development & Educational Activity: NCG Trends Report

Stephanie gave a review of national and shopper trends in preparedness for 2018.

Next Meeting Review:

The next meeting will be held on Thursday, December 21, 2017.

Public Input & Announcements

No public input or announcements.

 

Meeting Closed:

The meeting was adjourned at 7:34pm.

 

October 

Present at the meeting: Colleen Valko, Blythe Webster, Chris Miller, Sean Burns, Rebecca Teahen, Kaitlyn Burns, Jim Dagwell, Holly Jo Sparks Absent: Chuck Mueller

Oryana: General Manager: Steve Nance; Marketing & Communications Manager: Stephanie Mathewson; Financial Manager: Michelle Hester

Guests: Tom Slater, Jules Shelby, Robert Gammons

Welcome: Rebecca convened the meeting at 5:46pm. Board Members and guests were introduced. There were no additions or changes to the meeting agenda. Minutes from the last meeting were approved by email.

Board Calendar:  

It was noted that the regularly scheduled November meeting would fall on Thanksgiving, a Doodle poll will be sent out to determine the best meeting date for November.

Public input:

Tom noted that he would not like to set a precedent for setting a discount for a special interest group (such as Veterans).

Robert added his agreement, as a veteran, and felt that there are enough businesses that offer veterans discounts. Contributions to individual organizations would be a great way to still support Veterans.

GM report: Steve Nance

Oryana for Good: Stephanie Mathewson

  • The Co-op hosted a number of Round-up at the Register and 2% of sales donation days. They supported Crosshatch, Puerto Rico, The Howard Bowers Fund and Grace Community Birthing Center.
  • In September we hosted our first ever Basics Cooking Class Series (4 free classes that covered basic cooking skills like knife skills and one-bowl meals). They were very well attended and we plan to host another series in the future.
  • La Riojana Wine sent one of their co-founders from South America to sample some of their cooperative wines and olive oil.
  • Oryana was proud to provide all of the refreshments for the Milliken Reception, prior to Groundwork’s Harvest dinner.
  • Upcoming: A new collaboration lecture series with local partner Crosshatch will launch this Sunday. Registrations filled up 2 weeks ago.

Fantastic Finance, Michelle Hester

  • Steve presented sales figures and trends to the Board.
  • The co-op is performing favorable to budget in growth.
  • Labor hours are higher than budget, but the team is working on adjusting this metric to better adjust to our new Sustainable Wage.
  • There was a discussion about the slowing of sales of Ownerships.

National Trends:

According to a Hartman Study, Millenials are more likely to purchase products with sustainable attributes.

Local Trends:

  • Ric’s Food Center announced they will be closing their branch in Interlochen
  • Lake Street (in front of Rare Bird) will be revamped in the next few years and beautified
  • Oryana has been attending meetings of the North Boardman Lake Business District to be a part of the conversation. A 501(c)3 will be created for the district. The goal of these meetings is to be able to speak with one voice for the area.

Benefits:

  • We just rolled out 2018 benefits to staff. There was an 8% increase in benefits cost (even after negotiations and comparisons – we still feel we have one of the best plans in retail and in our area). A small portion of that cost will be passed along to staff.
  • Oryana also reviewed their generous staff discount program and streamlined it to be 25% off across the store, with the exception of Beer & Wine at 15%. The benefits program hadn’t been reviewed since it was put in place before we offered robust benefits. As we have lowered margins, it makes sense to adjust the discount to match.
  • Oryana also added the option for Pet Insurance for 2018.

Competition:

Costco opened today. We consider them a ‘market-maker’ rather than a ‘market-taker’ so it is an opportunity for us to tap into the population they bring in to shop.

Our Co-op:

  • We launched a bi-weekly Fresh Flyer that has been going out to shoppers since the beginning of the month. Cultivated deals from every department in addition to our regular Co-op Deals.
  • Oryana has also instituted digital online advertising. Oryana ads will populate for people searching for keywords like ‘organic’ or ‘fair trade’ and can also populate for people who have shopped our competitors.
  • Oryana will be launching Open Book Management officially in December, but communication has already begun  to prep the staff.

Monitoring Report 2.1 Treatment of Consumers

Steve briefly recapped the 2.1 Monitoring Report on Treatment of Consumers stressing that Oryana strives for fair pricing to meet ALL needs – shopper, producer, community. Safety is paramount with recent staff surveys confirming that staff feel they are working in safe environments and feel that any concerns they bring up are addressed promptly. The recent Oryana Refreshed project brought our store conditioning up to another level! Stephanie noted the many ways in which customer and Owner comments are taken in (in-store and electronically) and responded to. Feedback can heavily influence decisions made about the co-op.

Monitoring Report 2.2 Membership

Steve reiterated the major points of the written report, noting the new Owner packets and distributing some so that Board Members can help recruit! Stephanie noted the work of the internal Owner Workgroup which falls into two categories: Outreach (bringing in new Owners) and Retention (making sure Owners remain engaged).

Motion to accept:  Action: Holly Jo moved. Kaitlyn seconded. The Board accepted the Monitoring Reports on 2.1 and 2.2. The Board reached consensus.

Proposal for New Mortgage and Line of Credit

Steve reiterated the search for a new Mortgage and Line of Credit. The Executive Committee reviewed and suggested moving forward with Traverse City State Bank. Steve asked the Board for approval for Sean to authorize Rebecca to sign on behalf of the Board and Oryana.

Dags noted that he was proud that Oryana was working with a strong local institution. Rebecca noted that a very thorough review was completed by Oryana staff to arrive at a decision.

Motion to accept:    Action: Holly Jo moved. Colleen seconded. The Board voted in favor of the authorization. The Board voted unanimously. Chuck voted by proxy through Sean.

Board Development & Educational Activity: Ends Policy Review Process

Blythe Webster

A video was shown about Writing Ends Policies and a discussion was had about the proper process for crafting Ends policies. Some Ends work will be done at the Board Retreat in January.

Board Retreat – January 25

The Board confirmed the date of the retreat at January 25. The Board will consider cancelling their regularly scheduled January meeting and meeting and moving Monitoring Report 2.5 to February. The schedule 9:00 am – 4:00 pm was proposed.

Kaitlyn noted that the regularly scheduled December meeting would fall between Christmas and New Year so a change was suggested. A Doodle poll will also be sent out for the December meeting.

Next Meeting Review: Next meeting date and time will be set via electronic poll and communicated to Owners and the public.

Public Input & Announcements

  • Robert noted that on Google, Oryana Café populates as a ‘most expensive’ restaurant which is the wrong designation. Stephanie said she would follow up on the change.
  • Robert also noted that 40% of California co-ops are interested in taking part in the Marijuana industry, a prospect which worries him from a financial standpoint.
  • Tom shared that he felt that Oryana has gone too far in giving discounts. He encouraged going back to our focus.
  • Tom also shared that Dags und Timmah! will be performing at Hawthorne Vineyard this weekend.
  • Meeting Closed: The meeting was adjourned at 7:35pm.

September

Present at the meeting: Colleen Valko, Blythe Webster, Sean Burns, Kaitlyn Burns, Jim Dagwell, Holly Jo Sparks, Chuck Mueller,

Absent: Chris Miller, Rebecca Teahen

Oryana: General Manager: Steve Nance; Marketing & Communications Manager: Stephanie Mathewson; Finance Manager Michelle Hester;  Guests: Jules Shelby

Welcome: Kaitlyn convened the meeting at 5:47pm. Board Members and guests were introduced. There were no additions or changes to the meeting agenda. Minutes from the last meeting were approved by email.

Board Calendar:   No changes were made to the Board Calendar.

Public input: There was no public input.

GM report: Steve Nance

Oryana for Good: Stephanie Mathewson

Fall Cooking Classes – off and running!
Farm Tour – expected attendance 200…we welcomed over 800 to Idyll Farms!
Back to School Event – a fun event with local vendors and healthy lunch and dinner options
Crosshatch Round-Up Month – our first full round-up month is going very well. We plan to institute more.
Alice Waters – Oryana was proud to be the Local Foodie Sponsor of this event
Culinary Medicine – Oryana hosted physicians in the store to help educate on the relationship of good food to good health
Staff Picnic – great event at Twin Lakes Park!
Basics Cooking Series – free basic cooking classes that have been rocking. We plan to add more.
Health Fair Season – we’ve visited with the GT Tribe, GT Pavilions, GoGo Squeeze, Prescription for Health, and NMC PinePalooza

Coming Up:

Traverse City Walks to School Day – Oct. 4
NMC Dorm Cooking Class
Oryana is again a sponsor for Groundwork’s Harvest and Milliken Reception on Oct. 7
The Co-op has a table at the upcoming Empty Bowls Event on Nov. 5 and there are 4 tickets available for Board members (contact Stephanie or Steve if you’re interested).

Fantastic Finance, Steve Nance

Steve presented sales figures and trends to the Board.
Oryana is performing better than budgeted for 2017 so far.
Compared to Peers in our corridor, we are performing well.
We continue to watch our Labor hours and Labor as a percent of sales.

Big Picture:

Steve attending the NCG Fall Meeting recently. There is good growth happening in co-ops across the country. We, as a group, are still focusing on what makes co-ops different and how Owners can be seen as heroes in their communities. The Central Corridor Co-ops are restructuring their Risk Management program to better align with the current situation, looking at how to grow more top leadership and exploring collaboration opportunities.
Oryana is beginning their 2018 Business Planning process with all Departments doing annual planning. Open Book Management will be launched by the end of the year to foster transparency and empowerment for all staff members.

National Trends:

Walmart is exploring ‘direct-to-fridge’ delivery
Hurricanes are affecting food supplies and pricing, we are monitoring (although we receive much more from the West Coast, if it comes from outside of our area)
UNFI signed a contract with Amazon/Whole Foods through 2025; this is positive as it supports our major distributor
Food prices inch up in August, led by perishables

Local Trends:

8th Street funding is on hold currently, no re-pavement planned soon; large project still on the radar
New affordable housing options may happen for the Depot district (near our neighborhood) at $370/month
Front Street projects are shuffling, some moving forward, some pausing

Co-op Happenings:

Our Front End Manager, Lori Korb, celebrated 30 years with the co-op this year. Congrats Lori!
It was great to be a part of the Culinary Medicine program – we’re excited about the possibility of future Teaching Kitchens in our area as a next step
We have launched the Double Up Food Bucks Program and in the first week saw $179 dollar-for-dollar coupons printed and $51 were redeemed

Monitoring Report: Ends Policy, Community

Community is a part of everything we do, BUT, to name some of the highlights:

Guiding Principles – the word community is included in most of our guiding principles from our Mission, our Values to the change in our logo and name to include it
Focus on Local – our clear definition of local as 100 miles helps keep our impact and resources focused on the community we serve
Donations and Sponsorships – we donate over $100,000 each year to over 300 organizations and devote ample staff time to enacting them each year
Food Access – Oryana constantly works to balance fair payment for vendors with fair prices for shoppers. Instituting new programs like Double Up Food Bucks, expanding Co-op Basics and offering new classes like the Basics series are ways that we worked towards that goal in 2016 and 2017.
Events – We offer events not only for fun, but also for spreading helpful, healthful information and helping to foster bringing people together.
Hands on Help – our Leadership Team is encouraged be a part of local groups and organizations and are given time in their schedules to do so. All staff are given paid volunteer hours to utilize as they see fit each year.
Focus on Sustainability – supporting a viable and sustainable environment is integral to community, that’s why Oryana works toward sustainable projects like Food Rescue and increased composting.
Model Workplace – staff training and development is another way in which Oryana can enrich community members.
Public Relations – spreading the word about important issues (related to food and sustainability) and creating online spaces for people to connect is a great way to reach out to those who aren’t in our store.
Cooperation amongst Cooperatives – cooperating with our fellow cooperatives, near and far, is an important way to empower others and offer alternative business models that are enriching

Motion to accept:             Action: Jim moved. Sean seconded.

The Board accepted the Monitoring Reports on Ends Policy, Community.

The Board reached consensus.

Discussion: Proposal for New Mortgage and Line of Credit

Steve Nance, Michelle Hester, Financial Due Diligence Committee

In order to secure a better interest rate, Steve and Michelle explored several options (national cooperatives and local lenders) and arrived at a favorable proposal from Traverse City State Bank. Steve recommended the Board approve this proposal at a 7-year term and 20-year amortization, and establish a $350,000 Line of Credit.

Motion to move forward:              Action: Jim moved. Colleen seconded.

The Board reached consensus

Board Development & Educational Activity: Preparing for Ends Policy Review

Chuck Mueller

Chuck shared a vision and definition of ‘Ends Policies’ and encouraged the Board to begin thinking about the end result and processes for each of our Ends, as they start on the review process. He then shared a video that explained the ‘recipe’ behind Ends Policies. Ends describe What, for Whom and at what relative worth or priority. Holly Jo stated that she thought that this was a good time for an Ends Review because of how the nature of the world has changed and the turnover of generations. Blythe echoed that saying that every 7 or 8 years co-ops should review their Ends and ensure they still fit.

Report: Recruitment/Nomination Committee

Colleen Valko

The recruitment information has already been submitted to the Fall Newsletter (being published October 1). Colleen will be the point person for applications and questions. The questionnaire will remain the same, but the committee is looking into producing videos for each of the nominees to be posted ahead of the meeting. This would help cut down on the time it would take during the meeting to hear from the candidates.

Next Meeting Review:

Next meeting is set for Thursday, October 26, 2017, 5:45 pm

Oryana Community Co-op

Public Input & Announcements

Jules asked if Oryana was involved in the Hagerty Non-Profit Expo. Stephanie answered that because Oryana is a cooperative, they were probably not asked.

Meeting Closed: The meeting was adjourned at 7:24pm.

August 2017

Present at the meeting: Colleen Valko, Blythe Webster, Chris Miller, Sean Burns, Chuck Mueller, Rebecca Teahen, Kaitlyn Burns

Absent: Jim Dagwell, Holly Jo Sparks

Oryana: General Manager: Steve Nance; Marketing & Communications Manager: Stephanie Mathewson; Financial Manager: Michelle Hester

Guests: Mary Mooney Nachazel

Welcome: Rebecca convened the meeting at 5:50pm. Board Members and guests were introduced. There were no additions or changes to the meeting agenda. Minutes from the last meeting were approved by email.

Board Calendar:  

The Board may be looking at a Board Retreat for January 2018.

Public input:

There was no public input.

GM report: Steve Nance

Oryana for Good: Stephanie Mathewson

  • Student musicians from Archipelago performed at the co-op earlier this month. Oryana is a long-time sponsor of this program for disadvantaged youth.
  • For the second year in a row, Oryana had a tent at the Sidewalk Sales and Friday Night Live. It was a success despite eventually being rained out. Lots of good fruit and sparkling water sales.
  • Pour for More drink sales have shot up from around 10 each month to 70 in July. Proceeds benefit local charities.
  • Laura’s first Lunchbreak Cooking Class was a success. 30 minutes to eat and demo a lunch recipe.
  • The first year partnering with the Great Lakes Equestrian Festival was a huge success. Oryana and TLD co-hosted 2 pop-up Farmer’s Markets on site at the event. Next year we plan to expand.
  • Upcoming:
    •  Idyll Farms is the 2017 Oryana Farm Tour! Sunday, August 27th, 1-4 pm.
    • Oryana will host a tour for the upcoming Culinary Medicine continuing education program on Sunday, September 24th
    • Oryana’s Staff Appreciation Picnic will also be Sunday September 24th at Twin Lakes Park
    • Oryana is the Local Foodie Sponsor for Alice Waters’ visit to Traverse City on September 24th.

Fantastic Finance, Steve Nance

  • Steve presented sales figures and trends to the Board.

Local Trends:

  • Oleson’s Food Stores won an award from the Michigan Grocers Association. Way to go!
  • Shorts announced a partnership with Lagunitas Brewing Co (owned by Heineken), selling nearly 20%

Competition:

  • Lucky’s – we are seeing some changes in product lines to align more closely with our offerings
  • Costco – announced their opening date as October 26th. That particular business corridor is expected to bring in many new businesses to the area including chain restaurants and hotels.

Co-op Happenings:

  • We were spotlighted in the Chamber Bulletin this month
  • Double Up Food Bucks system is still in the works. We should be able to launch later in the month

Refreshed:

  • Gazebo now has new plantings, railings and shelving – seating to come!
  • Chalk art is coming along! Check out the awesome work being done by Matt in our Produce Department

Discussion: Oryana Finance 101

Steve Nance

Steve gave a refresher on Oryana Financials including key terms, a history of numbers and trends. Major factors contributing to this year’s numbers are increased wages (due to the Sustainable Wage project), reduced revenue due to competition, and final payments on the Oryana Refreshed (OR) project. Many of the OR payments will move from payments to assets as capital. Other OR expenses can reduce our tax burden.

The co-op remains in a strong cash position and ratios of Debt to Equity are also strong. The team will continue to monitor and adjust as needed.

Monitoring Report: 2.4 Financial Condition and Activities – 2nd Quarter 2017

  • Net Sales: better than budgeted and continuing to improve; Central Corridor Co-ops are seeing an overall dip to -1%
  • Cost of Goods & Gross Margin: As a percentage of sales, both better than budgeted
  • Labor Expenses: A bit higher than what we budgeted, due largely to the Sustainable Wage initiative
  • YTD Payroll: A bit above budget and our peers for second quarter also due to Sustainable Wage
  • General & Administrative Expenses: Oryana Refreshed bumped costs above budgeted
  • Net Income (before taxes): Under budget and peers
  • EBITDA: below budget due to higher expenses (as explained in Finance 101)
  • Cash Position: continues to be strong

Motion to accept:             

     Action: Sean moved. Miller seconded.

      The Board accepted the Monitoring Reports on Monitoring Report on

     2.4 Financial Condition and Activities – 2nd Quarter 2017.

     The Board reached consensus.

Board Development & Educational Activity: Ends Policy Review Process

Chuck Mueller

Chuck presented that the committees met and recommend that the Board move forward with a large-scale examination of our Ends Policies in concert and with the help of the ownership. They hope to review both the content and the wording of each Ends Policy. The committee proposes that some of the Board educational activities in the coming months would focus on this to help enrich the discussion. The goal is to not only define the Ends but ensure everyone knows how to communicate them effectively.

Blythe shared that the retreat would be a kick-off of the process, where a strategic plan is formulated to review the Ends throughout 2018. Gathering owner input both before and after the retreat would help

Steve shared that there are outside facilitators that could be engaged to help move the process along efficiently. Chuck shared that a facilitator would be engaged for the January retreat.

Steve also suggested that this might be a great opportunity to review the Mission Statement.

Next Meeting Review:

Next meeting is set for Thursday, September 28, 2017

5:45 pm

Oryana Community Co-op

Public Input & Announcements

There was no public input.

Meeting Closed:

The meeting was adjourned at 7:17pm.

 

July 2017

Present at the meeting:  Rebecca Teahen, Kaitlyn Burns, Colleen Valko, Holly Jo Sparks, Chris Miller, Chuck Mueller, Jim Dagwell, Blythe Webster

Oryana:  General Manager:  Steve Nance, Finance Manager:  Michelle Hester

Guests:  Jules Shelby

Welcome:  Rebecca convened the meeting at 5:45 pm.  Board Members and guests were introduced.  Minutes from the last meeting were approved by email.

Public input

Jules Shelby thanked Oryana for its support of Pride Week. 

Holly Jo Sparks recently attended Shared Capital Cooperative’s event on Black Economic Independence.  Oryana supports Shared Capital Cooperative, a national loan fund that connects co-ops and capital to build economic democracy.

GM Report:  Steve Nance

Oryana for Good

We make sure our classes are accessible to all, even moms with young children in tow.

We hosted a Taste and Try Playgroup Meet-up for moms with young kids in June, letting them try new foods and welcome them to the store.

We were thrilled to be the first TCFF Certified Local Food Sponsor!

We helped sponsor the Bike Mas Project – and then got to host a weekly group of kids for store tours! Free fruit and organic jelly beans for all!

We donated to the Full Circle Fund Drive to help support the growth of new co-ops.

Up & Coming

  • Archipelago concert under our new gazebo 8/3/17
  • We’ll be at Pine Palooza for Welcome Weekend at NMC
  • Come see us at Friday Night Live Sidewalk Sales on August 4
  • September 22-24.  Partnering with Groundwork Center’s training program “Culinary Medicine” for Northern Michigan health care providers that highlights the relationship of food and health.   Oryana will provide a tour of our store.
  • September 24.  Alice Waters, advocate for local food movement, will be featured at the National Writers Series at the City Opera House.
  • October 7.  Groundwork Center will host the annual Harvest at the Commons, a certified local event. Oryana is sponsoring.

Finance:

June sales were better than budgeted at -9.22% vs -20%.  Labor was 24.95% of sales, higher than budget of 23.60%.  SPLH was $80.77 vs. budget of $87.00.  Customer count of 37,747 for the month was lower than 2016 but above budget.  Market Basket was lower than budget at $33.30.  Memberships are holding strong.  It looks that July has been a great month and we are continuing an improving trend while we work hard on our efficiencies. 

Other co-op happenings: People’s Food Co-op Ann Arbor has a new GM and has adopted a union.

Trends:

US Food retail market share – Walmart has greatest share at 21.4%, Kroger at 10.2%, Costco at 4.2%, Target at 2.7%, Whole Foods at 1.4%, Aldi at 1.1%

Whole Foods stalled their Midwestern 365 expansion

Amazon’s recent announcements hurt Blue Apron IPO numbers.

Double Up Food Bucks:

A national model for health food incentives that was started in Detroit.  This program provides EBT (bridge card) customers with free produce (up to $20) on their next visit when they buy produce at Oryana.  It’s a win for all.  Families have healthy food, farmers make more money and more food dollars stay in the local economy.  Roll out was planned for August 1, but we are working with our IT programmers to make this work with our POS system.

Oryana Refreshed:

Final resets are finishing up (car crash into building repairs, community board area, and new racks for flyers).

Monitoring Report – Wellness & Education – Steve Nance

Our Mission states the intent to further Wellness and Education in our community.

Commitment to product quality is reinforced with our high standards and Product Purchasing Guidelines.

We recognize that knowledgeable and engaged staff support our Ends and make us a market differentiator.

Education, Marketing, Outreach & Events (EMOE) team incorporates Wellness into nearly everything they do (in-store demos, personalized tours, etc.)

Ensuring good food is sustainably priced for consumers and farmers is an important part of Oryana’s work and contributes to the Wellness of the community.

Many written materials including our newsletter have been completely overhauled in 2017 making it more vibrant, and enticing for readers.  Our eblast is reaching nearly 8,000 readers on a weekly basis.  Social media presence is increased with content including promotional sales and educational posts.  Our educational handouts have also been redesigned.

Oryana employs staff whose sole responsibilities are to spread the word to the community about the relationship between good food and good health.  Through talks, tables and teaching, we have reached an estimated 4,427 people during community events.

Our in-store signage and displays help to educate shoppers in the co-op difference.

Education of staff is a service to our customers.  Oryana offers a full curriculum of classes including subjects such as Organics, Time Management, Supervision, Finance and Goal Setting, just to name a few.

Discussion by Board – It is clear that Oryana’s outreach is more visible in the community.  It is important to continue to be ambassadors of the co-op in the community (continue to pass out gift cards to family, friends and guests).

Move to approve the monitoring report – Rebecca Teahen, seconded by Holly Jo Sparks

Board Development & Educational Activity

Board Development Committee (Blythe Webster, Rebecca Teahen, Kaitlyn Burns, Chuck Mueller) – Using the results of last year’s board self-evaluation, the most important topics/issues expressed by board members include owner engagement (including social media to improve owner communications), Finance, more active board, succession planning for GM, developing leadership skills, board leadership succession, new board member orientation, process to review Ends with board and owners.

Next board self-evaluation will take place in December with results reviewed in January.

Suggested board retreat date in January with a possible weekday option.

Owner Engagement Committee Report Out

Proposed charter change in process.  Potentially combine committee meetings.

Everyone is responsible to engage with owners, not just the committee.  Chuck Mueller shared a video on purpose.  “When you know your why, your what has more impact because you are walking toward your purpose.” 

Chuck distributed an idea-generating handout with 1) engagement outcome and 2) engagement idea.  Each board member provided an outcome and idea for discussion.

  • Outcome – increased attendance at board meetings.  Engagement idea – visible agenda, visible meeting space, signage, commitment to timeliness, happy hour
  • Outcome – increased attendance at annual General Ownership Meeting (GOM).  Engagement idea – preview food prior to the meeting
  • Outcome – increase staff interest in board meetings.  Engagement idea – invite staff to meetings, introduce them to board members.
  • Outcome – increase shopper loyalty.  Engagement idea – loyal shoppers become our ambassadors too (i.e. social media)
  • Outcome – support our community and how we relate to each other.  Engagement idea – have ownership meet-ups based on common interests.
  • Outcome – Owners (and staff) have more information on co-op principles and Ends (i.e. how much market share we have).  Engagement idea – add this info to the GOM.
  • Outcome – people better understand the importance of healthy food.  Engagement idea – play a game of organic vs. non-organic

Meeting Review

August board meeting will be changed from the usual 4th Thursday of the month to accommodate scheduling conflicts.  Doodle poll will be distributed to obtain best time for all board members.

Next meeting will include Monitoring Report 2.4 Financial Condition Q2 2017 and Board Development and Educational Activity.  RFP for GM Compensation is not needed this year (even numbered years only).

Public Input

None

Meeting adjourned at 7:25 pm

 

June 2017

Present at the meeting: Colleen Valko, Jim Dagwell, Blythe Webster, Chris Miller, Holly Jo Sparks, Sean Burns, Chuck Mueller
Absent: Rebecca Teahen, Kaitlyn Burns

Oryana: General Manager: Steve Nance; Marketing & Communications Manager: Stephanie Mathewson; Financial Manager: Michelle Hester
Guests: Tom Slater, Jules Shelby

Welcome: Jim convened the meeting at 5:45pm. Board Members and guests were introduced. There were no additions or changes to the meeting agenda. Minutes from the last meeting were approved by email.

Board Calendar:

The Board will be looking to possibly host an outdoor meeting in the next few months, just to change the scenery a bit. Ample communications will come before that.

Jim noted that the regular date for the meetings on the Board Calendar should be switched from the third Thursday to the fourth Thursday.

Public input:

Jules shared that she may be looking into becoming a Parliamentarian and wanted to give the Board a heads up in case her services might be of use to the Board.

Tom relayed that he is not a fan of online voting and that his Patronage rebate is statistically insignificant to his budget. He did enjoy seeing that the Ownership saved almost a quarter of a million dollars last year. For his part, he would like to contribute his patronage to Oryana projects like solar panels.

GM report: Steve Nance

Oryana for Good: Stephanie Mathewson

-  Cooking classes have continued off-site; this summer the Marketing Team will be putting on 3 new cooking series that will be hosted at Oryana to encourage a sense of community and place (along with education)

-  Jodie from Grocer’s Daughters Chocolates stopped into the co-op along with two of her Ecuadorian producers to see their product on our shelves. We welcomed them and are looking forward to a potential educational session with them when they return in the fall.

-  We’ve been working more with our local community partners to offer in-store demos. For example, Groundwork and Taste the Local Difference have been demo’ing our product while they talk to customers about their organizations. A true win-win.

-  Oryana again this year hosted Smart Commute Week Awards Breakfast. We shut down the street for 310 of our Smart Commuting friends and celebrated with Tart trails the success of another great year. A wonderful community event.

-  Coming Soon! We will be implementing Online registration for our cooking classes through Eventbrite. In-store and by-phone registration will still be available.

-  Oryana donated $500 to Up North Pride to support their efforts, as a way to support our mission of inclusivity and welcoming space.

Fantastic Finance, Michelle Hester

• Michelle presented sales figures and trends to the Board.

The Big Picture, Steve Nance

Bread, Café, non-food (cleaning supplies, toilet paper, etc.) and Beer/Wine are all experiencing good growth.

Oryana Refreshed is wrapping up and our seasonal visitors have been very positive about the

changes they see since being here last summer. The green-roof gazebo just completed work this

week. Oryana is exploring a solar project to help offset our carbon footprint.

Our goals remain for 2017:

o Remaining community-focused – whether it is in promotions, vendors, donations, etc. o The Amazing Oryana Experience continues to be the goal for all staff. Since February we

have been enrolled in a Mystery Shopper Program, so far our results are stellar. o Fair, value pricing that supports both customers and our local vendors
o Implementing Open Book Management

Industry Trends:
- Amazon announced their intent to purchase Whole Foods for $13.7B. Was a surprise to the industry. Allows Whole Foods the infrastructure they may have been lacking and Amazon a large cache of brick and mortar stores in prime markets.

National Trends:

-  Lidl, a European grocery chain just opened its first stores in the United States. Polls show that Aldi’s shoppers are very excited about the new possibilities of Lidl.

-  Organics are reaching record sales and demand, driving some scarcity of ingredients

Local Trends:

- Meijer locally implemented grocery delivery through Shipt

-  Simon Joseph recently opened Alley’s Market in the former Harvest space – a small format grocery store in the heart of downtown.

-  Image 360 was awarded the Small Business of the Year Award (congratulations!)

Competition:

• Costco – still slated for a November opening

Monitoring Report:

2.9 Communication and Support to the Board

Steve recapped the regular reporting that is done for the Board to keep them informed. Stephanie presented an updated Board Perpetual Calendar to incorporate the new quarterly newsletter schedule and a more defined schedule for recruitment of Board Candidates.

Holly Jo noted that the calendar lists the Board Retreat as happening in October and in the past few years it has happened later in the year. Steve suggested the Board discuss it at their next meeting.

2.6 Asset Protection

Oryana maintains a high culture of safety. From safety training for staff and vendors to proper cash handling SOPs and financial and technology internal controls, the co-op puts a high priority on minimizing errors and preventing weaknesses in systems. Michelle reported on specific internal controls in Finance that help to maintain security.

Motion to accept: Action: Miller moved. holly jo sparks seconded.
The Board accepted the Monitoring Reports on Monitoring Report on

2.6 Asset Protection & 2.9 Communication and Support to the Board.

The Board reached consensus.

Committee Report Out: Owner Engagement Committee

Chuck Mueller

Chuck would like to meet with the committee in the next month and bring an update to the July meeting.

Discussion: Mentoring new Board Members

Chuck Mueller

Chuck wanted to discuss the idea of mentoring a new Board Member as they come on. In his experience he felt comfortable asking other members for advice, but he wondered if others thought it might be helpful to have a dedicated mentor assigned.

Sean and Steve spoke in support of the idea. Blythe noted she would have found that helpful as a new member.

Miller suggested a small committee of 2 or 3 people (potentially the Board President and the next newest member).

The Board Development & Education Committee will formulate the process for implementing and present it to the Board next month.

CCMA Recap Discussion:

Miller: he felt it was the most powerful of the 3 he has attended; he was inspired by Open Book Management and the Customer Service sessions, felt they were actionable; he greatly enjoyed the Indigenous meal that was served to them, a very powerful eating experience

Blythe: she felt there was material for both operations and board development; crisis management was a powerful session to help learn how to prepare for undesirable situations; she felt there was a theme of inclusivity that excited her to speak about our Ends in the future; Blythe enjoyed the tours ahead of the conference and hoped this could be done in the future

Holly Jo: she encouraged all other board members to attend CCMA; she focused on Owner Engagement and Governance in her sessions; she enjoyed the session on scenario planning and crisis management – ensuring we are ready in case there is a leadership breakdown, or thinking creatively about how we remain relevant in the future in a variety of circumstances; she also had the chance to reflect on the history of Policy Governance in co-ops

Steve: he also felt that this was a one of the most powerful CCMA’s; he wished more GMs were able to attend, it has spawned a conversation amongst GMs of whether or not it is relevant and important to attend – Steve has always felt it is an honor to attend with the board and found it very beneficial; a good balance of themes of operations and inclusion

Jim encouraged the Board to put it on their calendars for the first part of June to ensure they can attend in 2018.

Next Meeting Review:

Next meeting is set for July 27, 2017 5:45 pm
Oryana Community Co-op

Public Input & Announcements

There was no public input.

Meeting Closed:

The meeting was adjourned at 7:23pm. 

 

May 2017

Present at the meeting: Rebecca Teahen, Colleen Valko, Kaitlyn Burns, Jim Dagwell, Blythe Webster, Chris Miller, Holly Jo Sparks, Sean Burns, Chuck Mueller

Oryana: General Manager: Steve Nance; Marketing & Communications Manager: Stephanie Mathewson

Guests: Tom Slater, Bob Brown, Jules Shelby

Rebecca convened the meeting at 5:45pm. Board Members and guests were introduced, including new Board Member Colleen Valko. Minutes from the last meeting were approved by email.

Board Calendar: 

Stephanie Mathewson noted the adjusted schedule for the new quarterly newsletter.  

Public input:

Jules Shelby brought up that the International Affairs Forum is in conflict for the regular Oryana Board meetings and suggested that the Board consider moving their meeting time to allow Owners who are members of both to attend.

Annual Organizational Meeting

                  Election of Officers:

                  Board President Nominations – Rebecca Teahen

Motion: Kaitlyn Burns moved to approve the nomination and proceed to voting. The Board voted and reached consensus.

                  Board Vice President Nominations – Kaitlyn Burns

Motion: Chris Miller moved to approve the nomination and proceed to voting. The Board voted and reached consensus.

                  Board Secretary Nominations – Sean Burns

Motion: Jim Dagwell moved to approve the nomination and proceed to voting. The Board voted and reached consensus.

                  Board Treasurer Nominations – Jim Dagwell

Motion: Chuck Mueller moved to approve the nomination and proceed to voting. The Board voted and reached consensus.

                  Committee Assignments & Members:

Board Education Committee – Chuck Mueller (Lead), Blythe Webster, Rebecca Teahen, Kaitlyn Burns
Recruitment & Nomination – Colleen Valko (Lead), holly jo sparks, Sean Burns, Chris Miller
Owner Engagement – Chuck Mueller (Lead), Chris Miller, holly jo sparks, Blythe Webster
Financial Due Diligence – Jim Dagwell (Lead), Chris Miller, Sean Burns, Colleen Valko, holly jo sparks and Rebecca (non-active, keep informed)

                  Date, Time & Location of Board Meetings:

Date: The Board reset the regular dates for Board meetings for the fourth Thursday of every month beginning on June 22.

Time: 5:45pm

Location: Oryana Community Co-op Meeting Room

GM report: Steve Nance

Oryana for Good: Stephanie Mathewson

Lots of great community involvement over the past & upcoming month:

Oryana’s Ribbon Cutting officially celebrated the finishing of Oryana Refreshed
The General Ownership Meeting experienced the largest attendance ever, over 300; 776 ballots were cast, compared to last year’s 250
The Community Block Party had over 1,500 attendees and was a great collaborative success
Chompler delivery, in its first month, logged $560 in sales
Oryana will host the Smart Commute Awards Breakfast again on Friday, June 9th

The Big Picture:

Sales figures and trends were reported to the board. April was the first full month when the Sustainable Wage increase took effect. Administrative attrition has kept increases in labor costs in check. Wendy Walter is taking on Store Manager duties, allowing Eldon Horner to focus on Grocery and Center Store management. Oryana is still hiring to fill necessary positions, especially leading into the busy summer season.

Patronage is being widely used in its first month with the new Rebate system at the register.

National Trends:

Whole Foods is experiencing some difficulties still in sales numbers.

Local Trends:

Higher Grounds is planning to move into a new 8th street development; Oryana excited to have a synergistic business partner in the neighborhood
Meijer announced home delivery in Traverse City

Competition:

Costco – Also exploring grocery delivery
Lucky’s – New Rewards Program launched, similar educational programs being offered.

Monitoring Report:

2.4 Financial Conditioning – First Quarter Report

Cost of Goods and Gross Profit were in line with target for First Quarter. General and Administrative Costs were affected by the finalizing of the Oryana Refreshed project. EBITDA still performing above the NCG benchmark. Financial Health Indicators are still strong including Liquidity Ratios and Cash on Hand.

Motion to accept:              Action: Sean Burns moved. holly jo sparks seconded.

                                                      The Board accepted the Monitoring Report on

2.4 Financial Conditioning – First Quarter

The Board reached consensus.

Ends Report: Economy

Stephanie Mathewson, Oryana Marketing & Communications Manager

Stephanie presented an Ends Report on how the Co-op has worked to meet its End of Economy over the last year. The five major areas of focus included:

Continued Financial Success
Focus on Ownership
Local Participation
Cooperation with Cooperatives
Education

Ends Report: Localism

Stephanie Mathewson, Oryana Marketing & Communications Manager

Stephanie presented an Ends Report on how the Co-op has worked to meet its End of Localism over the last year. The five major areas of focus included:

Continued Financial Success
Sales of Local Products
Product Guidelines
Accessibility
Community Involvement

Motion to accept:              Action: Sean Burns moved. Jim Dagwell seconded.

                                                      The Board accepted the Monitoring Report on

the Ends of Economy & Localism.

The Board reached consensus.

General Ownership Meeting:

Positives:

  • Food was very good
  • The feeling of openness and community
  • Decorations and plant giveaways

Opportunities for Improvement:

  • Some noted they would like to see more local offerings of food as well as a local theme for the menu.
  • The entry process could be refined further. Greeters could be better trained to funnel those entering in and explain voting procedures.
  • Look for ways to shorten the meeting further.
  • Could we refine the process of Owner questions – perhaps submit them ahead of time for screening purposes. This would also allow those who cannot attend the meeting to have a voice.
  • Could the candidate speeches be pre-recorded. The nomination committee may examine this possibility.
  • Offer tea along with coffee.
  • Microphone and sound issues.  
  • It was noted that while there is a lot of giving information, could we look at how we listen and engage. The Owner Engagement Committee will examine these ideas for next year:
  • Could we change the presentation style
  • Allow people to sit and have a conversation with your board members
  • Encourage the board members to sit at different tables to be open for discussion

CCMA:

Rebecca reminded the Board that the CCMA conference is scheduled for June 8-10 in Minneapolis, MN. Final attendees in by Monday.

Next Meeting Review:

Next meeting is set for June 22, 2017

5:45 pm

Oryana Community Co-op

Public input

Tom Slater shared that he was underwhelmed with the new competition in town. He hopes that if people want to truly support local business, they will do the research to notice where their dollars are going after they are spent.

Bob congratulated everyone on Oryana Refreshed – he feels it is great and a wonderful experience. The goal was accomplished. Steve shared that a new Olive Bar and Meat Case are still forthcoming.

Meeting Closed: The meeting was adjourned at 7:40pm.

March 2017

Present at the meeting: Rebecca Teahen, Jim Dagwell, Blythe Webster, Chris Miller, holly jo sparks, Sean Burns, Chuck Mueller, Chelsea Bay Dennis

Absent: Kaitlyn Burns

Oryana: General Manager: Steve Nance; Marketing & Communications Manager: Stephanie Mathewson; Michelle Hester: Finance Manager

Guests: Tom Slater, Bob Brown, Marjorie Wilson, Kathryn Danielson
 

Welcome:

Rebecca convened the meeting at 5:44pm. Board Members and guests were introduced. Minutes from the last meeting were approved by email.

Board Calendar:

2017 Board Member announcements should be moved to the 3rd Quarter Newsletter deadline.

Public input:

Tom Slater recently videotaped a program on Food and Health that Sandi McArthur, available by request on DVD from the co-op and via public access television.

GM report: Steve Nance

Big Picture Goals revised for 2017:

-12% growth; 36.5% Net Margin; 1.5% Net Income

Oryana for Good: Stephanie Mathewson

Lots of great community involvement over the past & upcoming month:

Oryana provided the food for the Farm & Food Network’s Farm Route to Prosperity Summit, ensuring that 20% of it was sourced locally
Hit the Tart Trail was a great neighborhood success in February    
Over $1,000 was donated to Goodwill Inn in February from a 2%/Round-Up Day
Oryana organized a Food and Medicine talk for Grow Benzie
Oryana’s current response time for direct comments on questions on Facebook is under 18 minutes on average!
In the Future: Oryana will be at the TC Family Expo on Sunday and will be sponsoring two students for a Norte Summer Biking Camp

Steve shared February financial numbers and trends with the Board.

In the last few weeks, Oryana implemented their Sustainable Wage initiative. Modeling and discussions have been underway on this for the past few years. Using a financial model created by NCG and CDS, which incorporates local and national numbers, as well as Co-op provided benefits, Oryana announced an increase in wages to over 75% of wages.

Within 6-months of employment, all Oryana staff will be making $12.66/hr.
Any staff currently making below $14/hr. will receive a 14% increase.
Any staff currently making between $14/hr. - $14.99/hr. will receive a 3% increase.
Any staff currently making between $15/hr. - $15.99/hr. will receive a 2% increase.

There are no plans to institute a wage freeze at this time. Changes will take effect March 26, 2017. This was carefully crafted to take into account what changes could be made while still keeping the co-op viable. The Board expressed their approval of the work and decisions. Currently, Oryana has 125 staff, approximately 70 full-time.

Co-op Business:

A new co-op, Green Top, will be opening in Illinois. Danielle Zimmerman-Tiedeck has been named Prepared Foods Manager, she has been acting as the Interim Food Manager in Elizabeth’s absence. She was chosen from a pool of both external and internal candidates.

Industry Trends:

Meijer has announced grocery delivery services in select areas, in partnership with Shipt.
Wegman’s recently experienced an issue with sales language, comparing their prices directly to competitor Costco. It was determined their language was illegal. A good lesson for us.

Local Trends:

Many Housing Developments have been announced in and around downtown Traverse City in the past month.

Competition:

Trader Joe’s and Costco were both recently named as top picks for Customer Service.
Lucky’s will be opening March 22nd.

Oryana Refreshed:

All new shelving is in place. Many sections have been reset for better findability.
The team is looking at eliminating the current system of top-stock (storing extra stock on the top shelf).
The Café expansion could be ready for occupancy within 3 weeks. Materials ordered for the new Café fixtures.
A gazebo with a living roof will be placed outside for a gathering place.
An overhaul of all internal wayfinding and storytelling signage is also underway.
The Grand Re-opening is planned for Saturday, April 29th.

 

Monitoring Report: Michelle Hester
2.4 Financial Condition and Activities

Sales and Growth – Flat

Cost of Goods – better than budgeted

Gross Margin – better than budgeted

Labor – very near budget

G&A Expenses – better than budgeted

Net Income & EBITDA – better than budgeted

Ratios – sound liquidity and debt positions

Motion to accept:     Action: Sean Burns moved. Chris Miller seconded.
                                     The Board accepted the General Manager’s monitoring report on 2.5 Financial Condition and Activities. The                                        Board reached consensus.

Patronage Recommendation – Jim Dagwell, Treasurer

Patronage amount 442,953; by law 80% can be retained earnings to be used as operating capital, 20% can be refunded back to Owners. The recommendation is to return 20% back to Owners for 2016. This year the refunds will be automatically applied to their Owner accounts to use in-store. If an Owner requests a check, they can receive one.

Motion to accept:    Action: Jim Dagwell moved. holly jo sparks seconded.
                                    The Board accepted the Patronage Recommendation.

The Board reached consensus.

 Monitoring Report: Steve Nance

2.5 Financial Planning and Budgeting

Steve presented the Oryana Big Picture Playbook which includes all of the Department Operating Reports and Plans and the 2017 Budget and Targets.

 Board Budget Recommendation – Jim Dagwell, Treasurer

The 2017 Board Budget is recommended to be $34,733, a slight decrease from last year, in line with what actual costs were for 2016.

Rebecca noted that opting to cut the budget further would be detrimental during this critical time. That cost supports training and development that could be key to assisting those helping lead the co-op.

Motion to accept:     Action: holly jo sparks moved. Sean Burns seconded.
                                     The Board accepted the 2.5 Financial Planning and Budgeting, including the 2017 Board Budget

The Board reached consensus.

Committee Report Outs

Recruitment/Nomination Committee – Bylaw Change Proposal

holly jo presented the proposed Bylaw Change which now includes language of what to do in case of a tie. Language has been reviewed by an attorney and Oryana staff. There was also a letter prepared to inform Oryana Owners prior to the election, as per current bylaws.

Changes proposed were to swap the first two paragraphs under the Proposed Transition Plan section for better clarity and correct a typo of term start dates in the graph.

Motion to accept:     Action: Chris Miller moved. Rebecca Teahen seconded.
                                     The Board accepted the Bylaw Change Proposal – with proposed changes.

The Board reached consensus.

GMM

Online voting is underway with Oryana staff organizing. Stephanie will send out a test ballot to all Board Members as well as Talking Points about the security and operations of the system. Stephanie then passed out a sign-up sheet for Board Volunteers for the event.    

Next Meeting Review

Next meeting is set for April 27, 2017, the Annual Meeting. Finalized agenda to come.

Public input

Rebecca acknowledged that this is Chelsea’s last Board Meeting – the Board thanked her for her service.

Rebecca also thanked the Oryana team for all of their work to prepare for a competitor coming to town.

Marjorie offered that from a public perspective there was a lot of disappointment with not going through with the East location, but she respected the tough process that the Board went through to make that decision.

The meeting was adjourned at 7:26pm.

 

February 2017

Present at the meeting: Rebecca Teahen, Kaitlyn Burns, Jim Dagwell, Blythe Webster, Chris Miller, Holly Jo Sparks, Sean Burns, Chuck Mueller

Absent: Chelsea Bay Dennis

Oryana: General Manager: Steve Nance; Marketing & Communications Manager: Stephanie Mathewson; Store Manager: Eldon Horner

Guests: Tom Slater, Bob Brown, Rob Glazier, Sherwood Smith, Colleen Valko

 

Welcome: Rebecca convened the meeting at 5:48pm. Board Members and guests were introduced. Minutes from the last meeting were approved by email.

Board Calendar:

March – 2.5 and 2.4 will be presented at the March meeting along with competition contingencies. Expect the meeting to run a little longer.

Public input:

There was no public input offered.

GM report: Steve Nance

Sales figures and trends were reported to the board. Sales are following a years’ long trend of slowing growth, flattening out in 2016. Finance instituted a new dash boarding tool called the Daily Snapshot that is sent out to all Operations Managers – it includes Store Sales, SPLH, Market Basket, Customer Count in both MTD and YTD.

The 2016 Year End is currently under CPA review. Numbers will be presented at the March meeting.

National Trends:

With a new administration, industry experts are expecting some grocery prices could rise due to possible tariffs and changes in farm labor.
Doorganics (Grand Rapids) has announced they are coming to TC in 2017.

Local Trends:

8th Street project is moving ahead, but construction won’t begin until 2018 or 2019. Will allow a left turn off of 8th street for the co-op.
Steve attended a city roundtable this week to discuss parking issues throughout the city. The city is looking at possible solutions city-wide.
Age demographic 65-74 is expected to grow in our area while other age groups are expected to decline between now and 2025. While the older demographics tend to gravitate towards the co-op, working age groups will be declining.
Oryana ranks third in the number of cases sold and fourth in the amount of dollars sold for our Field Day Basics, Everyday Value line.
Oryana Café won the Record Eagle’s Top Health Food Restaurant in 2016.
Oryana is again helping to sponsor the ERACCE workshop to help combat systemic racism in Traverse City, will be taking place in March.

Competition:

Whole Foods – focusing on category management (as are we); are re-focusing on their core demographic rather than pulling in peripheral audiences; they recently announced several store closures due to underperformance
Lucky’s – still slated to open on March 22; have been aggressively hiring 150 open positions

The General Managers from several of Great Lakes Co-op partners visited this week to perform a competitive readiness review. They felt we were well-prepared for competition.

CCMA has been scheduled for June 8-10 in Minneapolis, MN.

Oryana Refreshed Update: New produce case, new bulk spice shelving unit, the expansion is coming along well with windows and structure. Carts will move out to the new East Alcove soon. Grocery has been working hard on a full-store reset with new shelving, which is slated to begin by the end of February. New café design is nearly finished and is slated to offer 40 seats (as opposed to the current 24).

Oryana for Good: Stephanie Mathewson

Lots of great community involvement over the past & upcoming month:

Sponsor of the Small Farm Conference
Pour for More started in the café                 

Women’s Winter Tour ran us out of delicious chili
Donated to the preservation of America’s Farmland
Hosted the brave alternative commuters on Winter Bike to Work/School Day
Hit the Tart Trail is scheduled for February 26, 1-4 pm

 

Monitoring Report: Eldon Horner

2.7 Emergency GM Succession

Eldon shared Oryana’s 2017 succession plan in the case the GM is unable to fulfill their duties. Wendy Walter, HD Director and Eldon would serve as a team interim-GM, with support from Michelle Hester, Finance Manager, Stephanie Mathewson and Heather Neitzke, IT Manager. This Support Team (S Team) meets weekly to stay in the loop. As Store Manager, Eldon is the head of Operations, so is well informed of day-to-day operations and Wendy could assist with administrative duties. The team feel that this would provide ample coverage and redundancy. Gabrielle Hill would also continue to provide administrative assistance to the Interim Team. The IT Manager would turn over all electronic files, the Customer Service desk has copies of the keys to physical files.

Chuck asked what the Board’s role would be in the succession. Their duty would be to find a replacement General Manager. One of Steve’s goals for 2017 is to provide the Board with a suggested plan for seeking a replacement, including contacts and resources.

Motion to accept:              Action: Sean Burns moved. Jim Dagwell seconded.

The Board accepted the General Manager’s monitoring report on 2.7 Emergency GM Succession

The Board reached consensus.

 

Board Development and Educational Activity: Sherwood Smith, Avenue ISR and Stephanie Mathewson, Oryana Marketing & Communications Manager

Data was collected in the Fall and reported to staff in October. Over 1,000 responses, resulting in a broad base of answers. The respondents sorted into 3 broad groups: Primary (50% or more of household budget spent at Oryana); Secondary (25%); Peripheral (13%). Demographics tend to skew towards Parents with Kids being in the Peripheral group.

Oryana continues to rate very highly in satisfaction and in tendency to recommend. The lowest met needs reported were Location of Store/convenience and Prices. In comparison to our 2013 survey, there were more positive results in overall satisfaction. What would cause customers to shop more at Oryana? Pricing, location, availability of more local and organic products.

New initiatives that rated highly with the Secondary group (where we would be more likely to gain wallet-share) were introducing the Clean Fifteen and a Mobile App. The majority of respondents feel that Ownership and giving back to the community greatly influenced their shopping behavior positively.

In respect to changes in discounts – even though it was clear that overall prices could be lowered, respondents still reported that Oryana’s discounts were very important to them. When asked about potential mergers with other co-ops, respondents were open to the idea, but stressed that they would like to know more information before making a decision as an Owner.

What this means for Oryana:

Change in demographics, values alignment, focus on Value Proposition, continue focus

on our Co-op differentiator; focus on Primary and Secondary, not on Peripheral

How do we influence shopper behavior to bring them back in more often in a month
More research on Discount programs
Reinforces some of our current decisions (Still continuing our work on Pricing and

Category Management, using eblast to push out sales info, using social media to build

community)

 

Committee Report Outs

Recruitment/Nomination Committee

Chuck presented the committee’s proposal for a bylaws change to allow for 3-year term limits.

The options for succession term planning are:

Option 2: In 2017, 2 board positions would get a 3-year term, 3 board positions would get a 2-year term, determined by the number of votes for each candidate. In 2018, 3 board candidates would get 3-year terms and one candidate would get a 2-year term, determined by number of votes. All future candidates would receive 3-year terms.

Option 1: In 2017, 3 candidates would hold a 3-year term and 2 candidates would receive a 2-year term. In 2018, 3 candidates would receive a 3-year term and 1 candidate would receive a 2-year term. In 2020, 3 candidates would receive 3-year terms and 1 candidate would receive a 2-year term. All other years, all candidates would receive 3-year terms. Division of term lengths to be determined by number of votes.

The Board reviewed language for the proposed by-law change to address board term lengths. There was a question as to whether this change could take place immediately or would need to be enacted the year following its ratification. The Board asked Steve to review the language and timing with legal counsel.

There was discussion about potential Board tabling in the store leading up to the GOM. The Engagement Committee will review tabling prior to the GOM. Steve delegated Stephanie to support the Committee as needed.

 

Motion to move forward:               Action: Chuck Meuller moved. Rebecca Teahan seconded.

The Board voted to move forward with legal review and language changes proposed for a Vote on Changing Term Limits of Board Positions from 2 years to 3 years.  

The Board reached consensus.

 

GMM

Online voting is underway with Oryana staff organizing. Any interested members of the Board will be asked to participate in a future staff meeting to fulfill any event planning needs.  

 

Next Meeting Review

Next meeting is set for March 16, 2017.

 

Public input

Holly Jo shared an invitation to the Equitable Pioneers gathering at Circle Pines in March.

 

The meeting was adjourned at 7:46pm.

 

The Board continued in Closed Session. 

January 2017

Present at the meeting: Rebecca Teahen, Kaitlyn Burns, Jim Dagwell, Blythe Webster, Chelsea Bay Dennis, Chris Miller, Holly Jo Sparks, Sean Burns, Chuck Meuller

Oryana: General Manager: Steve Nance; Marketing & Communications Manager: Stephanie Mathewson; Human Development Manager: Wendy Walter

Guests: Tom Slater, Julie Christian, Paul Highberger, Bob Brown

Welcome: Rebecca convened the meeting at  5:49pm. Board Members and guests were introduced. Minutes from the last meeting were approved by email.

Board Calendar: During the Executive Committee call Steve requested to move 2.4 and 2.5 to March, and move 2.7 back to February.

GMM planning – need to refer to the committee list for Board members involved in planning. Chelsea and Blythe volunteered to help; Holly Jo is willing to help with balloting since she’s not up for re-election.

Public input: Tom read some quotes.

GM report: Steve Nance

Sales for 2016 ended the year flat when we were hoping for 2% growth. The 2% growth goal also anticipated Lucky’s opening in 2016, which did not occur. Ownership sales are approximately 75% of total sales. The total number of customer visits is down, but market basket is up.

Based on conversations with many stakeholders, I feel that the 10th street/Boardman Lake Avenue project is most likely dead. Oryana is in favor of an intentionally developed calming street. We’ll keep the possibility on our radar. One hypothetical that has been presented is a park at the end of 10th Street, which could potentially add 30 parking spots for Oryana.

Elizabeth Hamilton, Oryana Prepared Foods Manager, has decided to not return after maternity leave to the full-time role. She will be back part-time in February to assist in the plans for the café remodel and to assist with the staffing transition. Ads for the position will begin tomorrow.

Two co-ops (Elfco in East Lansing and Dubuque, Iowa) have closed their retail stores. However, we are starting to get some good growth news from NCG (nationally); the east & west have started to come back.

Earlier this week we received the news that Lucky’s will open March 22. We continue with Oryana Refreshed here; the most recent changes are the front end lanes. Painting will start next week and a Produce reset will also take place next week.

Oryana for Good: Stephanie Mathewson

Lots of great community involvement over the past & upcoming month:

-     Pathfinder School – Day of Service                                -     Facebook love/engagement

Gingerbread houses                                                             -     We continue to add cooking classes
Cornbread at the chili cook-off                                      -     Chamber Annual Gala
Small Farm Conference                                                                        -     Womens’ Winter Tour
Fulfillament

Monitoring Reports: Wendy Walter

Ends: Model Workplace

Wendy Walter, Human Development Manager, provided an overview of the Oryana culture and how staff are supported, recognized, and provided opportunities for development. The training and development opportunities, including the new Passport program, were also reviewed. The communication methods and expectations were also explained.

2.3 Treatment of Staff & 2.8 Compensation and Benefits

Wendy shared the results of the compliance report from an employee survey done in September 2016 through CDS Consulting. 2016 was the 6th year that we have used CDS services for an employee survey and this is beneficial in that we are able to see the changes over the years. Of the 40% of staff who were randomly selected to participate in the survey, 100% participation was achieved. The standards for scores demonstrating compliance were developed in collaboration with the Cooperative Board Leadership Development program. In all areas measured, Oryana met and exceeded the threshold for compliance. Compensation is an area that will be addressed during the 1st quarter of 2017. Benefits are greatly appreciated.

Motion to accept:             Action: Chuck moved. Sean seconded.

                                                      The Board accepted the General Manager’s monitoring report on Ends: Model

Workplace, 2.3 Treatment of Staff & 2.8 Compensation and Benefits

The Board reached consensus.

Committee Report Outs

Owner Engagement Committee

The committee presented an updated rough draft of a New Owner Packet. This was updated by the internal owner engagement team. Please provide any feedback.

There was a comment that this is a great opportunity to revisit how the Board is engaging with owners.

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The Next Board Meeting

The next meeting is
December 21, 5:45 pm

Oryana Community Co-op
260 E. 10th St., Traverse City