The Times 100 Business Case Studies - Download as PowerPoint

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					       The Times 100
Business Case Studies

                   Supply chain
      from manufacturing to shelf
   Kellogg’s is the world’s leading breakfast
    cereal manufacturer
   Its business strategy focuses on growth but
    with regard for its effect on the environment
   Corporate responsibility gives a long term,
    sustainable approach which delivers
    business benefits
   Kellogg’s Global Code of Ethics shows its
    commitment to sustainable behaviour
The supply chain
   Covers three sectors of industry – primary
    (raw materials), secondary (manufacturing)
    and tertiary (services)
   Businesses aim to eliminate waste in the
    supply chain e.g. reducing carbon emissions,
    use of energy and water, improving
   Kellogg’s is not active in the primary sector
    but uses raw materials, eg corn, wheat, sugar
The supply chain - secondary
   Kellogg’s specialises in the manufacturing
    area and uses partners for other activities
    e.g. transport, with Service Level Agreements
   Its R&D programmes develop new recipes
   It locates manufacturing plants near to its
    distribution partners for efficiency
The supply chain - tertiary
   Tertiary includes retailers or service
    companies (eg IT)
   Kellogg’s relies on relationships with retailers
    to reach consumers, eg developing new
    displays for easier promotion of its products
   Stock storage and transportation link the
    three sectors of industry
   Kellogg’s shares transportation to reduce
    costs and improve energy use
Managing the supply chain
   The marketing mix provides focus for
    managing the supply chain
       Kellogg’s manufactures the right products based
        on research
       Controls production costs to keep prices
       Its partners manage the distribution and placing
        of products
       It works with retailers to improve promotion of its
        products and reduce the cost of stock holdings

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