Today we’d like to introduce you to Rick Illes.
Illes Seasonings & Flavors was founded in 1927 by Dr. A.E. Illes, an immigrant from Hungary. After WWII, A.E.’s two sons, George and Bob, joined the company and during this time, Illes specialized in importing and manufacturing flavors for local creameries, bakeries, candy, and soft drink manufacturers. Then in the 1970s, George and Bob’s sons, Rick and Nick, joined the company. Ultimately, in 1989, after years of family tension and lagging sales, Rick Illes, acquired majority control through a leveraged buyout. As CEO/ President, Rick reinvigorated Illes’ legacy and transformed it from a regional manufacturer of flavors into a mid-sized manufacturer of liquid and dry flavor systems. In addition, the customer base grew from local manufacturers to international foodservice companies, food/ protein processors, fast casual restaurants, quick serve restaurants, and retail channels.
We’re always bombarded by how great it is to pursue your passion, etc – but we’ve spoken with enough people to know that it’s not always easy. Overall, would you say things have been easy for you?
When Rick took over the company in 1989, he inherited over $1,000,000 in debt, poor infrastructure, inadequate manufacturing processes, and antiquated equipment. In addition, he was challenged with a lack of a company culture, strategic planning, definitive core competencies, available capital, or a team of comprehensive talent. To overcome these obstacles, Rick changed the internal mindset of the company and began to invest in quality. Specifically, he has been resolute in his enlistment of the most talented people for each position, implementation of QA, R&D, and Operations’ programs that exceed industry requirements, utilization of outside resources to develop internal talents, and investment in state-of-the-art equipment to increase Illes’ capabilities and efficiency. In addition, through market analysis, Rick identified and worked to develop a singular core competency. During the 1990s, he researched potential strategic directions and determined that the most profitable opportunity was seasoning blends, particularly custom developed blends, because they yielded higher margins. Rick re-defined the mindset from a “manufacturer-centric to a customer-centric company”. He created internal synergy by creating a clear strategic mission; innovative product development, exceptional customer service, and speed to market. After the financial downturn in 2008, a large percentage of Illes’ customers experienced a reduction in customers and overall sales. Again, Rick evaluated Illes’ core competencies and the market needs and invested in new technology, specifically state-of-the-art equipment that significantly expanded Illes’ liquid production and packaging capabilities and increased efficiency through automation.
We’d love to hear more about your business.
Illes mid-size manufacturer of both liquid and dry flavoring and seasoning systems for the food industry. Our quality products, which range from marinades and sauces to flavor and retail syrups, are sold to foodservice, food/ protein processors, fast casual restaurants, QSRs, and retail channels. Our primary point of differentiation is our company-wide commitment to technical expertise and innovative flavors, nimbleness, product excellence, and exceptional customer service. In addition to our long history of investing in innovation and technical expertise, over the past few years, we have invested significantly in our manufacturing technology, product and packaging capabilities, and implementation of best practices. While these investments yield increased efficiency and consistency and more sophisticated internal processes, we understand that our employees are our greatest strength. We believe in enlisting the most talented and creative people for each department and in each position. We are incredibly proud of the quality of individuals that work for us as well as the strength of our culture, which is rooted in service, generosity, and respect. Our innovative business model is what sets us apart from our competitors. Within the industry, there are two primary models: low cost producer, who invests heavily in automation with minimal R&D capabilities and high-quality producer, who utilizes automation but primarily invests in technical expertise and product innovation. While Rick always advocated optimal quality and innovation, which yields higher margins, he understood that competitive forces will erode those margins over time. Therefore, to enable Illes to remain cost competitive and to benefit from economies of scale, Rick developed a hybrid model: high quality innovator/ lost cost producer.
What were you like growing up?
Growing up, Rick was independent, curious, a risk taker, and. He was an avid soccer player, traveled extensively.
Contact Info:
- Address: 2200 Luna Road, Suite 120 Carrollton, TX 75006
- Website: www.illesfoods.com
- Phone: 214-689-1300
- Email: cilles@illesfoods.com
- Instagram: https://www.instagram.com/illesfoodstx/
- Facebook: https://www.facebook.com/IllesSeasoningsandFlavors
- Twitter: https://twitter.com/illesfoods
- Other: https://www.linkedin.com/company/illes-seasonings-&-flavors
Getting in touch: VoyageDallas is built on recommendations from the community; it’s how we uncover hidden gems, so if you know someone who deserves recognition please let us know here.
