Recommendation
Pursue a two-phase plan that combines short-term process improvements with longer-term infrastructure investment.

1. Launch the Store Manager Training program immediately to capture quick wins and build operational discipline.
2. Reinvest early savings into the Refrigeration Upgrade program to address the root cause of spoilage and ensure sustained margin recovery.

Supporting Evidence
• Midwest stores experienced a 20 percentage point drop in sell-through due to aging infrastructure, long delivery routes, and weak inventory discipline.
• Training provides a short payback (≈10 months) and enables consistent execution across stores.
• Refrigeration upgrades deliver the largest annual savings (≈1.8 million) and tackle the biggest structural inefficiency.

Risks
• Disruption during store retrofits or delayed contractor timelines.
• Inconsistent adoption of new tracking processes by store managers.

Next Steps
• Pilot the combined logistics and training program in a subset of Midwest stores over the next 3 months.
• Measure spoilage, labor efficiency, and profit margin improvement.
• Scale the successful elements chain-wide and finalize the capital plan for refrigeration upgrades in the next fiscal year.