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(warm music) (warm music) - Welcome to Business Forward, I'm your host, Matt George.

Joining me tonight, Jada Hoerr.

Jada's a friend of mine.

She's also the Chief Resource Officer at Midwest Food Bank.

Welcome.

- Thank you, thank you for having me.

- Yeah, I have so many questions for you, but let's start off with you first.

Where are you from?

Are you from around here, or Illinois?

- No, I'm originally from Northeast Indiana.

- Okay.

- And then after college I was recruited by Caterpillar and so that's what brought me to the community.

Yeah, so, I had a 21 year career with Caterpillar, not all in Peoria.

I relocated, had some time in Brazil, some time in Miami.

And then 2006 I came back and I've been here ever since.

- So you came back and now you are at Midwest Food Bank.

- Midwest Food Bank, that's right.

- I mean, if you think about like the impact that you have and your team has on the community and the United States, really, people don't even know.

People know what a food bank is, or they think they know what a food bank is, but really they don't.

- I think many times people have an image of a food pantry where you're feeding individuals.

And so Midwest Food Bank or food banks are typically more what you would think in the wholesale space.

So we're receiving food by the semi-load and distributing by the truckload or the trailer load to non-profits in our community.

So Midwest Food Banks services 2100 non-profits.

- Think about that, what you just said, 2100 nonprofits.

Now that's more than just this area.

- Yes, yes, so we have 10 locations in the US and that also includes the agencies that we serve in Kenya and in Haiti.

- Wow.

- Yeah.

- So let's go back to the semis, 'cause that's quite a visual.

- That's quite a visual, that's right.

- So where did the semis come from?

- Yeah, so we have a fleet of trucks and trailers and so we will go and procure donated food.

So we'll receive a phone call or an email saying that there's a load of food that we could that's safe and edible and that we can go and procure that food and then we bring that back to our warehouses.

Many times that food is in bulk form and so it needs to be repackaged, so that it can be distributed to the nonprofits.

- So you wouldn't just get 10 boxes of Cheerios, you're talking crates.

- Correct, like pallet loads... - Pallet loads, that's a better word than crate, yeah.

- Yeah, yeah, yeah.

- That is crazy.

- Yes.

And so then we have warehouses that then store that food that we can then distribute it to the nonprofits.

- And so how does a nonprofit get food?

- Yes.

So the nonprofits will kind of at some point raise their hand and say, hey, we would like to partner with Midwest Food Bank.

And so we have a process where we go and assess the nonprofit just to confirm that they're operating with good business practices, that the food is stored safely, and that they're willing to come and pick up and retrieve the food from us.

And then we give that food to the non-profit at no charge.

So it's something that differentiates Midwest Food Bank.

Everything that we've received freely we want to give away to non-profits as well.

- So how do you bring in revenue?

- Yeah, yeah, great question.

So we are not selling our services.

We bring in revenue through donations.

So whether that's through foundations, whether that's through individual contributors, local business sponsorships, we're very thankful for the revenue that we do bring in from our supporters.

- So I'm gonna get to volunteers later, but just because that's just a whole... - That's a whole nother thing.

- A whole nother thing.

But I'm just having this visual, trucks pulling up and because I was thinking more of just a pantry and I know what Midwest Food Bank is, but I don't think you can grasp how big of an operation it is.

So how many staff and team members do you have?

- Yeah, we'll just think about the US as a starting point.

In the 10 locations that we have, we have 55 employees across those 10 locations.

So each location's gonna have a leader and then a staff of three or four individuals.

And then we have a large team of volunteers that are supporting the operations.

So the employees are directing and empowering the volunteers to do their work.

- Wow, so that is quite a strategy.

So you're very low overhead, I would've thought you were gonna say 5,500.

- Yeah, very low overhead.

And we have 55 employees and this year we're gonna have around 25,000 volunteers, so individuals that are volunteering with Midwest Food Bank.

- Unbelievable.

So Jada Hoerr, you're the Chief Resource Officer, what does that mean?

- Yes, it's not the most typical title in the nonprofit world, but because we do have so few employees, I wear multiple hats and many small organizations that would say the same thing.

Small staffs would wear multiple hats, but I have responsibility for revenue, so kind of the chief development role, but also the resources in terms of people, so employees and volunteers, so oversight of those parts of our business.

- So let's talk about the footprint again.

I want to go back to that because I find that I'm actually stunned by the few amount of employees that you have, I'm impressed by that.

- Oh, thank you.

- So let's say a Kroger is an example.

- Great example.

- Okay, so they have extra food, or is it like, how do they have an extra truckload of food and not be able to sell it, I don't understand that?

- Right, so we receive food from manufacturers, from food distributors, and from grocers.

And so the Kroger example, we would have a truck that would go to Kroger on a daily or every other day basis to retrieve any food that is coming up to an expiration.

So if you think about the deli, think about any of their kind of prepackaged foods that they know that they're not gonna be able to sell, sometimes produce.

And so we can quickly distribute that and so that it can get into the hands of consumers very quickly.

Also from food manufacturers, it could be... - Quaker oats or something.

- Great example.

So Quaker might have an overproduction, they might have maybe mislabeling.

So the labeling didn't meet their standards, but the food actually is safe and edible and viable for us to use.

And so we provide that service of, they don't have to worry about disposing of the food that we take it.

- Unbelievable.

- Yeah, we have some other donors that maybe if you have an entire pallet of food and there's maybe some damage to the boxes or the packaging in just one corner, rather than trying to stop, pause, and fix that, it's just maybe more cost effective for the distribution to donate that to nonprofits.

- So holiday time right now, this is an extra busy time because you're distributing joy.

- Yes, yes and we're thankful that a lot of groups want to come in and volunteer.

And so coordinating our volunteers to come in this season, a lot of work groups or families wanna celebrate by giving back to the community and we're thrilled to have have them come in.

- So how did this, I know this started on a farm.

- Yes.

- But how do you start on a farm, come up with an idea, because this was started locally.

- It started in the Bloomington Normal area, so right here in Central Illinois.

- That's crazy.

And now it's all over the world in a sense.

- Yeah, that's right.

And so we're very thankful to kinda have those local roots by being able to impact the nation and the world.

- So how did it start?

- So the genesis story of Midwest Food Bank, so there was an article in the Pantagraph, so the Bloomington Normal newspaper, talking about 10 non-profit agencies that were in need of food.

And so our founder, David Kieser and his brothers, they said, hey, we have some resources.

So off season on their farm, they had a kind of a shed, a storage shed that they could use.

They had trucks so that they could go procure food.

And so they just had some good innovation and willing friends and family that were able to help supply food to those 10 nonprofits.

And so that had some success and it just kind of, month by month, week by week, and God's Grace led us to where we are today.

- Isn't that an amazing story?

- It's an amazing story of just faithfully saying yes to seeing a need and understanding here's a need, I have some resources, let's see what we can do to provide that support.

And so that's just really at the heart of our organization.

And it's also very interesting that it was not, there was no vision to say, hey, let's start a non-profit.

It was really just addressing a need and using volunteers.

And so those are two really core elements of our DNA today.

- It's meant to be.

- It's meant to be.

- Isn't that nice?

- Yeah.

- Tell me if I'm right, you're the third largest food bank?

- That's correct.

- Is that in the United States?

- In the United States, yes, based on the food and the revenue we bring in and the food that we distribute.

- Yeah, so that would be volume of food.

- Volume of food.

- Wow.

- So just a little side note.

So I was in Arizona a couple weeks ago.

My daughters, couple daughters live out there.

And I remember a few years ago I saw CORE Construction was working on campus at Arizona State.

And I called Wayne Baum and I said, Hey Wayne, this is pretty cool to see... And he had a statement that was really nice, and it was like, I'm glad you're out west and that you get to have a piece of Peoria come to your mind.

Now, that was a few years ago.

Now, I was out there again, not only did I see CORE, but I also saw Midwest Food Bank.

- So a little bit of that heart right there, right?

- I love that.

I mean, that statement always stuck with me because I thought, isn't that neat?

- No, that's right.

And so whether you're in the Phoenix area, the Dallas Fort Worth area, Atlanta, Georgia, we've got locations in all of those cities.

- Wow.

And so do you have those locations there because they're just major hubs that can go, like for Atlanta, you could go Nashville, Chattanooga, Florida, that way.

Is that how you look at that or?

- Yeah, so obviously that's part of it because it needs to make sense in terms of logistics, but that's really not the driving force.

We look for local leadership.

So our expansion starts first with that local desire.

So individuals that understand what Midwest Food Bank is and would like to be a part of it and kind of raise our hands and say, hey, let's consider, how do we start a division in our community?

Because they wanna provide that support to the nonprofits.

- I'm guessing too, fundraising would come into play of whether they're able to... - That's right.

So we have, it's a very disciplined process, I would say, but looking at the local need, looking at the funds, availability, just making sure that we're not providing redundant support.

- Yeah.

- There's a lot of nonprofits across the nation.

We wanna make sure that we're providing a unique support.

- Yeah, so can you talk about one of your partners in nonprofit, like the process?

Like they raise their hand, they say, Jada, we need food and because we're distributing it to our neighborhoods, or whatever it may be.

So, an example would be, could it be to fill pantries in various churches and this and that?

- Yeah, so many of our partner agencies are exactly that, church pantries.

We also help support homeless shelters, residential programs, some schools that are providing a necessary need to underprivileged children that may not have access to food like they would want them to have.

And so we have a variety of nonprofits that we support.

The key theme across it is that they're gonna have some type of feeding program.

So whether they're providing food for the individual to make it home or actually preparing meals.

- One of my idols around town is Patty Bash.

She started the Holt Center, but she also started Loaves and Fish.

And so I always think of that and you look at the people that are in need.

And here's what I don't understand.

And I've been in nonprofit my whole life.

So if I'm not understanding it, then I don't think the average person would understand it.

So here's my question.

If you have so many trucks and you have so much food, then why are there food deserts?

Or why are there people that still are hungry all the time?

I have not been able to figure out that piece of the puzzle.

- Yeah.

- I know that's a loaded question, there's a million reasons.

- And I think hunger is a cause of poverty, but it's also an effect.

And so poverty also leads to more hunger.

But what I can say is that the rates of food insecurity have been tracked in the US by the USDA since the 90s.

And obviously there's some economic and societal factors that have made that very dynamic in recent years.

But what we know is that our partner relationships from across the country, not just here locally, as we talk to them, this year, they've seen a 25% increase in the number of people that are coming to seek their services.

- Wow.

- So think about that, families, if a pantry had a hundred families coming in, now they have 125 families that are coming in.

And so the same things that we as consumers in our nation, that we've felt the impacts of inflation on our food bills, on our fuel bills, those are the same things that are keeping individuals from being able to go to the grocery store themselves.

- Yeah, I was always in the business of youth programs and kids and I'd always kind of get fired up sometimes when I'd speak in regards to sticking up for kids and kids' rights and kind of being that.

But one of the things that would always come to mind was when you take a young child, let's say she's 12, and she goes into a school and she's late and then she doesn't have her homework done, she's not equipped for school, the average person thinks, well, that girl is just lazy or something.

She didn't get her homework done.

That young person may not have had a bed, that young person may not have eaten that day.

That young person may not have had the clothes to put on, to wear the uniform to school, and all that stuff.

And it does tie to just the needs of people in general.

You're fulfilling one of the most important needs that you can, and I give you credit for this and your team because when I would go out and see what I saw, it's heartbreaking.

- Yeah, and a couple things that I'd like to comment on.

So you mentioned Loaves and Fish earlier here in the local area, like what a great resource for our community and it's not just the providing of food, but if you go there on a Saturday morning and you see the sense of community.

- Sense of community.

- And so, back to the story of the 12 year old girl, having food is not only setting her up for success that day, but it's just taking away one, like how many thoughts are going through a 12 year old's mind as they're entering into school and challenges and just kind trying to understand who they are in the world.

But if you don't have food or you're wondering, where am I gonna get breakfast?

Will they have something at school for me?

What's in the vending machine?

Do I have enough change to get something?

So the food is not the single resource, but it helps provide community and it helps set them up for success.

- It's a big one.

- Yes.

- I had a story and it's a true story.

There was a 14 year old young man years ago and he was arrested 15 times and on paper you'd look at that and go, wow.

But he was arrested all of those times for stealing food for his younger brothers and sisters because they were homeless.

And I think what a lot of times in your business and in my business in the past is people really don't know the full story.

You just need to almost halt judgment.

- Yes, yeah, yeah.

I would say one of the principles or the phrases that we embrace at Midwest Food Bank is the idea of giving dignity and sharing and showing dignity.

- Oh, I love that.

- To our volunteers and to the agencies that we're serving and to the food recipients.

- I have a million questions and we're probably gonna run out of time, but I do want to touch on the volunteer piece.

It's really what drives your business.

When you said earlier five employees, I'm thinking to myself, well then you've gotta have 500 volunteers or more.

So let's just take Peoria as an example.

You have five employees.

How many volunteers do you have to secure throughout one year to be able to fulfill your mission?

- Oh my goodness, so throughout one year, they're gonna have, roughly, let's say four to 5,000 people will come in their doors.

- Oh my goodness.

- Yeah.

- That is crazy.

- Yes.

Some of those, so across our organization, there are 500 individuals that we call core volunteers.

And so these are individuals that are doing essentially a type of staff work.

So think of things like being our truck drivers.

So driving our semis to go procure food, that's largely done by volunteers.

We have our receptionist is helping us as a volunteer, our grant writers, our bookkeepers, many of these roles are being fulfilled by volunteers.

And so it's a skilled laborer or a kind of an ongoing repeatable process that they're helping us with.

Inventory is helped managed by volunteers.

And then we have groups of individuals, so think about corporate groups, church groups, family groups that come in and they'll volunteer a couple hours at a time, maybe once or twice a year.

And so that helps round out the warehouse support.

- You make me want to come work for you.

- It's really wonderful.

And I have just a primo seat in the warehouse that I sit in 'cause I look out on the warehouse, and I think when I first started in 2018, I would look out the warehouse and be inspired by the food that I would see.

- That's not what's inspiring.

- Then I've quickly learned that we are not in the food business, that we are in the people business.

- You are.

- And I see the volunteers.

And so today when I was leaving, coming outta the office to come here, I could hear the voices of young children, it kind of caught my ear like, oh, there's young kids in today.

And so there was a group of moms bringing in their kids to help volunteer.

- Isn't that neat.

- And so just knowing that we provide that resource for community in central Illinois and everywhere that we operate.

- There wasn't a year that went by where at Children's Homes, someone would come to the front door and they would have their kids with them and they'd hand me a bag of change or something to that effect and there's really nothing more meaningful.

That's more meaningful than me asking for 5,000 or 10,000, getting that check, getting the $18 that I had in quarters over here, and seeing that that young person's face was worth a million.

- And just knowing that that spirit of generosity and service is being instilled at a young age.

- My dad always had a saying that, he was tasked with his teams over the years and as a CEO, that it was his job to take care of all of his team and their families.

When you think about it, when you're looking out and picture that visual, when you're looking out, it's your job to make sure that everybody's taken care of.

- Yes, yeah, and so that's part of my responsibility is thinking not only about our employees, but also thinking about our volunteers and ensuring that our employees understand that they are leaders.

They may not have direct reports within the organization that are hired employees, but each employee has an incredible staff of volunteers that they're leading and coaching and loving.

- Yeah, you know what's funny, it's another thing that people don't understand, in non-profit business, social service business, whatever it may be, you're really wearing about 30, 40 hats.

I mean, you have no clue what you're walking into day to day.

You think you can get organized, but you're always pulled.

It's great.

Disaster relief, let's touch on that quickly.

- Yes.

- So in the past couple months, we've had a couple storms go through Florida, it's devastating, right?

Does Midwest Food Bank have a hand in things like that?

- Yeah, especially there recently with Hurricane Ian, we provided support.

We would send food semi loads, again, of food to support those victims of Hurricane Ian.

But it was especially meaningful for us with this storm because we have a facility in Fort Myers, Florida.

- Oh, wow.

- And so it was kind of a, let's say, ground zero for support.

And so we were very much, first question was like, are our employees, are they okay, are they safe?

And within 24 hours, they were in the facility distributing food.

And so those first days were without power.

And finding a way to be able to be a light in the community.

And so really incredible work by our employees and our leaders in Fort Myers this year.

- Those are heroes.

- They were the heroes.

Because dealing with the trauma of the storm personally and then being willing and able to go out and serve.

- Yeah, hope packs, what are those?

- Hope packs, you mentioned earlier about the 12 year old girl going into school without having had breakfast.

At Midwest Food Bank, we say that the two words that should never go together are hunger and children.

There's just no reason why we should ever have those together, but the reality is, many children across the nation are not having enough food on the weekend.

So thankfully during the school year, there's many times lunch and breakfast provided.

And so we're thankful for that resource.

But if you think about the weekend, there's a need for supplemental food.

And so we work with nonprofits that will be providing that supplemental food to children.

And so we wanna make sure that it's the right food so that it's not only nutritious, but we also have that's easy to prepare, kid friendly, shelf stable and so then that can be provided to the children on a Friday afternoon.

- Yeah, well think about this too, provided to the children, but please take a couple extra because we know your family also needs it.

- Yeah, that's right, that's right.

- Well, I have so many other questions, but I'm just thinking at holiday time and thinking of looking at those volunteers and all of what they do, it's special.

And what you do and what your team does is really phenomenal if you think about all the logistics of everything, people don't understand the logistics just in volunteering, let alone bringing in trucks and that flow.

- Yeah, certainly we wanna have an exceptional volunteer experience and so getting folks signed up and so that they have meaningful work when they get there.

And so trying to have a registration process.

- Well, you got it.

Well, I appreciate you coming on.

You do so much for the community, keep it up.

- Thank you.

- And we appreciate it.

I'm Matt George and this is another episode of Business Forward.

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