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Around the District

Strategic workforce initiatives keep Ziegenfelder in the "sweet spot" for growth

President Hammack learned how a frozen treat maker keeps its workforce strong.

Walking to the brick building on the edge of downtown Wheeling, you can start to smell the sweetness of what goes on inside the Ziegenfelder production plant.

The interior features a combination of bright colors, from the marketing materials to the hard hats worn on the production floor, and bright smiles.  On average, the Ziegenfelder team in Wheeling produces 1 million frozen treats each day. The company’s sweet treats are sold across the country under the Twin Pops and Monster Pops names and under private labels. Cleveland Fed president and CEO Beth Hammack visited one summer day to understand how the company makes that happen.

Ziegenfelder operations director Jason Davis describes a portion of the production process to Cleveland Fed president Hammack and senior vice president Courtney Falato.

Ziegenfelder operations director Jason Davis describes a portion of the production process to Cleveland Fed president Hammack and senior vice president Courtney Falato

The Ziegenfelder company was established in 1861 as a candy manufacturer and later transitioned to producing ice cream and later to frozen ice novelties. Today, it is one of the largest producers of twin pops in the United States.

During the visit, chief operating officer Brice Mills shared how the company has grown over the years from one location to four, most recently completing a site expansion in Austin, Texas. Improving access to warmer climate areas, such as Texas, factors heavily in its long-term strategy.

The company typically sees the highest demand for its products during the summer months and during periods when consumers trade down to more budget-friendly options. The past year qualifies, Mills shared. During its most recent quarters, Ziegenfelder has seen the impact of current economic conditions reflect favorably in sales.

President Hammack learns more about the dipping process for Ziegenfelder’s frozen treats.

President Hammack learns more about the dipping process for Ziegenfelder’s frozen treats

President Hammack enjoys a Monster Pop, fresh off the packaging line.

President Hammack enjoys a Monster Pop, fresh off the packaging line

A strategic approach to staffing helps Ziegenfelder keep up with demand. The Wheeling plant runs three shifts, providing a variety of work hours to employees. Mills noted this approach helps families who have two working adults but only one car. They also operate a compassionate hiring program, hiring individuals whose past may present barriers to finding employment. Their recovery-friendly workplace includes participating in a work-release program with a local correctional facility.

Combined with a strong commitment to on-the-job training and an environment that focuses on promoting from within, operations director Jason Davis is confident that he and his colleagues can continue to deliver growth, even during challenging times. During the tour, he pointed out examples of cross-training among employees and colleagues who have moved from line production roles into production supervisor positions.

While its ability to find and retain workers is a positive, the company is not without challenges. Mills noted that the changing tariff environment has caused the organization to seek supplier diversification from sources in Brazil and China and that there will be an impact from a changing regulatory landscape. The shift from artificial coloring dyes to natural dyes presents increased cost pressure in the form of supply chain and operational investments for Ziegenfelder and other food producers.

Members of the Cleveland Fed with the Ziegenfelder operations team at the end of their factory tour.

Members of the Cleveland Fed with the Ziegenfelder operations team at the end of their factory tour

About President Beth M. Hammack’s Around the District tour

President Hammack is visiting communities across the Fourth District as part of her Around the District tour to meet and connect with the people who live and work in all corners of the region and to gain a better understanding of how the economy is working in different communities. The Cleveland Fed, with branches in Cincinnati and Pittsburgh, serves an area that comprises Ohio, western Pennsylvania, eastern Kentucky, and the northern panhandle of West Virginia. Hammack will use this information to inform her policy views and better represent the Fourth District around the Federal Open Market Committee table.