The Problem Isn’t Growth. It’s What Growth Exposes


FreshOps | May 2026

Practical Insights for Fresh Food Operations

Growth is a Good Problem if Managed Correctly

Hey Reader,

Growth does not fail because companies lack ambition.

It fails because leadership keeps making decisions based on the company they used to be instead of the company they are becoming.

That’s the trap.

A lot of fresh food operators are facing major business decisions right now:

  • Case-ready expansion
  • New facility investments
  • Labor reduction initiatives
  • Automation evaluations
  • Packaging changes
  • Government intervention

The problem is not making the decision.

The problem is making a business-altering decision without defining where the business is actually trying to go.

Too many operations jump straight into solutions: “We need automation.” “We need a new line.” “We need another facility.” “We need another production shift.”

Maybe.

But if you don’t define your Point Z first, you risk building a more efficient version of the wrong operation.

That is an expensive mistake.


What Is Actually Happening

When you are under pressure, you react instead of think ahead.

Margins tighten. Labor gets worse. Retail demands increase. Leadership wants answers quickly.

So companies start solving isolated problems:

  • Adding technology to broken processes
  • Expanding production without fixing scheduling discipline
  • Increasing throughput while quality issues still exist
  • Chasing labor savings while downtime quietly grows

The issue is not effort.

The issue is alignment.

Your operational systems, labor model, procurement strategy, and production processes all need to support the same destination.

That’s why the Point A → Point B → Point Z methodology inside the Operational Health Assessment Guide matters so much.

The guide forces leadership teams to answer three critical questions:

  1. Where are we today?
  2. What is the next highest-impact move?
  3. Does that move actually support where we want the business to be in 3-5 years?

Most companies skip Question #3.

That’s where the real operational risk lives.


A Real-World Example

Years ago at Kroger, we saw this happen during periods of rapid operational change.

A facility would push hard for efficiency improvements while retail demand patterns were simultaneously shifting. Production teams optimized one thing. Merchandising pushed another. Logistics adapted to a third priority.

Everyone was working hard.

But not toward the same operational destination.

The result?

  • Schedule instability
  • Excess labor
  • Reactive inventory decisions
  • Rising costs
  • Constant firefighting

The facilities that handled growth best were not always the most advanced.

They were the clearest.

Leadership knew what they were building toward, and operational decisions were filtered through that lens.

That clarity changes everything.


The 3-Step Framework for Smarter Growth Decisions

1. Define Point Z Before You Approve Point B

Before approving major operational changes, answer this:

What does the operation need to look like in 5 years?

Not next quarter.

Not next budget cycle.

What capabilities must exist for the business to compete profitably?

The Operational Health Guide asks this directly because most organizations never slow down long enough to define it.

Diagnostic questions:

  • Are we expanding where we want to or where the market is going?
  • Are we optimizing for throughput or flexibility?
  • Does this decision improve margins long term?
  • Will this process still work if volume doubles?

If leadership answers these questions differently, alignment does not exist yet.

2. Establish an Honest Point A

Most operations are less stable than leadership realizes.

That is not criticism. It is reality.

The guide evaluates:

  • Demand planning
  • Procurement discipline
  • Production KPIs
  • Quality systems
  • Warehouse execution
  • Maintenance reliability

The purpose is not scoring for the sake of scoring.

The purpose is exposing operational constraints before expensive decisions amplify them.

Because scaling unstable systems only creates larger instability.

3. Identify the Smallest High-Impact Point B

The best operators do not chase 25 initiatives at once.

They identify the next move that unlocks momentum.

Sometimes that is:

  • Better scheduling discipline
  • Downtime visibility
  • QA integration into production
  • Supplier accountability
  • Production KPI alignment
  • Eliminating rework drivers

The next right move is rarely the loudest one.

But it is usually the one that creates operational leverage.


Why This Matters Right Now

he companies winning over the next five years will not necessarily spend the most capital.

They will make the clearest decisions.

Right now, many leadership teams are under pressure to move fast:

  • Facility expansions
  • Case-ready transitions
  • Automation investments
  • Labor redesign
  • Packaging shifts

Those decisions carry real operational and financial risk for the operation this guide was designed to support.

The operators who succeed will know:

  • Where they are today
  • Where they are trying to go
  • Which next move actually supports that destination

Everything else is just motion.


Get the Scorecard and Find Your Gaps

If your operation is facing a major growth or transformation decision, use the Operational Health Assessment Guide.

Or reply with POIINT Z - I’ll send you the Operational Health Assessment Guide and explain how leadership teams are using it to pressure test operational decisions before they become expensive mistakes.


Want to Read Past Issues?

I'm going to be adding the newsletter archive to the Building Block website in the near future. For now, if you want to catch up on past issues, you can check out the archive.


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Judson Armentrout
FreshOps | Practical Insights for Fresh Food Operations

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FreshOps Newsletter

FreshOps is a practical operations newsletter that challenges conventional wisdom in protein and grocery—helping leaders think differently about operations to drive value, improve cost, and prepare for what’s ahead.

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