Basic Strategies Used To Respond To Uncertainty Management Essay

Basic Strategies Used To Respond To Uncertainty Management EssayNestle is the worlds leading nutrition, health, health partnership. The headquarter of Nestle beau monde is located in Vevey, Switzerland. That is in 1866, there was a freshman European condensed milk factory opened in Cham, Switzerland. The name of the companionship is Anglo-Swiss Condensed milk Comp whatever which established by brothers George Page and Chatles Page. After that year, the founder of Nestl, Henri Nestle, a German pharmacist, developed a combination of cows milk, stalk dredge and sugar, which name as Farine Lactee. The launched of Farine Lactee had become the largest competitor of Anglo-Swiss Condensed Milk Company.In 1905, Nestl merged with Anglo-Swiss Condensed Milk Company after a couple of decades as fierce competitors to miscellanea the Nestl and Anglo-Swiss Condensed Milk Company. In 1929, the chocolate company Peter, Cailler , Kohler Chocolats Suisses S.A. joined Nestl. And in 1947, Nestl c hange its name to Nestl Alimentana S.A after merged with Maggi, a well-known manufacturer of seasonings and soups. In 1974, Nestl for the first time diversified outside the victuals industry and they become a major shareholder in LOreal, one of the worlds leading maker of cosmetic cross highroads. And because fin every last(predicate)y, the last name change that the company would endure was in 1977, where it adopted the name Nestl S.A.The first product that launched by Nestl is Farine Lactee Nestl, a combination of cows milk, wheat flour and sugar. Farine Lactee was launched by Henri Nestle in 1867 and it was supported by the public. After that, Nestl also launched Milo in 1934. Milo is a chocolate and malt pulverize which is mixed with hot or cold water to produce a beverage and it is developed by Thomas Mayne in Sdyney, Australia. After the launched of Milo, another product launched by Nestl that famous among the world which is Nescafe. Nescafe is a powdered coffee that was in troduced in Switzerland on April 1, 1938 after being developed for seven or eight days by Max Morgenthaler and Vernon Chapman. Another product that pull Nestl toward success is Nestl Pure Life, a bottled mineral water that launched in 1998.The smart strategy of Nestl had bring them toward the road of success. In 2012, Nestl has around 8,000 brands on the market included coffee, bottled water, milkshakes and other beverages, breakfast cereals, infant foods, performance and healthcare nutrition, seasonings, soups and sauces, frozen and refrigerated foods, and pet food.Organizational mapPlanning and Strategic ManagementBasic strategies used to respond to uncertaintyNestl is a company that mainly act as a prospector while responding to uncertainty. Prospectors tenseness on developing pertly products or services and in seeking out new markets, rather than waiting for things to happen. Nestl had create many brands and many different types of products to satisfy consumers needs and w ants. The table below showed the list of product of Nestl.Types of ProductsBrandBaby foodsCerelac, Gerber, Gerber Graduates, NaturNes, NestumBottled waterNestl Pure Life, Perrier, Poland Spring, S.PellegrinoCerealsChocapic, Cini Minis, Cookie Crisp, Estrelitas, Fitness, Nesquik CerealChocolate confectioneryAero, Butterfinger, Cailler, Crunch, fit Kat, Orion, Smarties, WonkaCoffeeNescaf, Nescaf 3 in 1, Nescaf Cappuccino, Nescaf Classic, Nescaf Decaff, Nescaf Dolce Gusto, Nescaf bullion, NespressoCulinary, chilled and frozen foodBuitoni, Herta, Hot Pockets, Lean Cuisine, Maggi, Stouffers, ThomyDairyCarnation, Coffee-Mate, La Laitire, NidoDrinksJuicy Juice, Milo, Nesquik, Nestea intellectual nourishment serviceChef, Chef-Mate, Maggi, Milo, Minors, Nescaf, Nestea, Sjora, Lean Cuisine, Stouffers healthcare nutritionBoost, Nutren Junior, Peptamen, ResourceIce creamDreyers, Extrme, Hagen-Dazs, Mvenpick, Nestl Ice CreamPetcareAlpo, Bakers Complete, Beneful, Cat Chow, Chef Michaels Canine Creations, Dog Chow, Fancy Feast, Felix, Friskies, Gourmet, Purina, Purina ONE, Pro PlanSports livingPowerBarWeight managementJenny CraigIn the effort of seeking out new markets, Nestl had employed around 330 000 muckle in over 150 countries and cause 461 factories or operations in 83 countries. Nestl also becomes one of the sponsors in many events. For example, on 27 January 2012, the International Association of Athletics Federations (IAAF) announced that Nestl ordain be the main sponsor for the further development of IAAFs Kids Athletics Program for the consecutive of 5 years starting from January 2012. This is one of the biggest grassroots development programs in the world of sports.In the year 2012, Nestl expect that it will be a challenging year as they will face many uncertainties in the planetary economy and. However, as a prospector, the company had made specific plans to overcome the uncertainties. They believe that they have good fundamentals and will be able to be am the global uncertainties.Nestl aim to continue the innovation and renovation of their products as long as launching further promotion of nutritional diets and healthy lifestyles Nestl will last out vigilant and will take all necessary method to soften any impact on their vocation due to the volatile commodity prices that were anticipate to continue in 2012.Besides that, Nestl Company chamberpot also be considering as an analyzer. Analyzers let other organizations take the risks of product development and marketing and thusly imitate or perhaps slightly improve on what seems to work best.For example, Nestl was Gail Bordens most successful imitators in the production of milk. Nestl imitate and make changes base on the condensed milk manufactured by Bordens first canned milk factory. Nestl invented a powdered milk food that primarily composed of cows milk and thence mixed with water. By 1868, this product was being sold in Switzerland, Germany, France and England. After five y ear, the product was available throughout Europe. Eventually, Pet Milk and Carnation Milk were produced and sold in United States.In the 21th century, humans wants are unlimited. Therefore, Nestl create new brands on the products that already exist in the market and are undeniable for the consumers to widen their choice.Mission and VisionNestls mission is to provide consumers with safe and convenient high feel food products so that people can get laid a better life. They are friendly, caring and efficient organization and they believe that research can help them make better food so that they can provide selections for all individual taste and lifestyle preferences.We should responsible we role, that means we need to responsive to the social, environmental, economic and cultural aspirations of people anytime, whilst ensuring our shareholders a reasonable elapse on their investment.Our staff can succeed job satisfaction, self-development and their reasonable targets because Nestl are seen as a perfect place of employment with good working conditions and benefits, with an natural environment.Nestls vision is to providing guests with high quality products and services with added tax at competitive prices, concurrently ensuring the long term viability and profitability of the organization. We have to continue to throw together to get the recognition and satisfy the trust our customers and course partners place in us.Our ambitionAs the leading Nutrition, Health and Wellness Company we enhance lives by offering tastier and healthier food and beverage choices at all stages of life and at any time of the day, helping consumers care for themselves and their families. This is the foundation of our promise of proficient Food, Good Life and puts nutrition at the heart of everything we do.It is our firm belief that, for a company to be successful over time and create value for its shareholders, it must also create value for society. We call this Creating Shared V alue. Built on strong foundations of compliance and sustainable business practices, this is our way to do business and to be the trusted leader in Nutrition, Health and Wellness.SWOT analysisGrand StrategyGrand strategy is a systematic, comprehensive, long-term plan of all the company use to achieve their goals. Market, product, and organization development is the main element of this strategy. There are three types of strategy such as Growth strategies, perceptual constancy Strategy and Defensive Strategy. Growth strategy involves the expansion of a company. Stability strategy is a strategy there are no-change strategy or detailed change strategy. Defensive strategy is a control to reduce the probability of loss.Nestl is a company that apply growth strategy. Nestl started the business in the year of 1866 with a first European condensed milk factory and today becomes the worlds biggest food producer. The product of Nestl such as Milk, Beverages, Coffee, Ice-cream, Confectionery C hocolate, Junior Food and other, has make a gross revenue of CHF 44.1 billion in 2012 from 74,660 million at 1999. There net profit increase from 8% to 9.5billion Swiss francs ($10.35 billion) that show at9 August 2012. In 2003,Nestl got around 328,000 people that are Nestls staff in 70 countries and have many operations or factories in the world compare to the old figure of employee in 1998 299,800 people.Besides that, Nestl is increasing the size of their company year by year. One of the strategies is give different promotion on day. They give a discount for customer by using coupons. For example, Nestl Toll House Birthday Sugar Cookies can save 55$ if we print out the coupons to buy. In addition, Nestl also provide the samples food for customer in a promotion time, for instance, Maggi MeeGorengget the FREE Samples of the Delicious in 2ndJuly 2012 to 2ndAugust 2012. These was the successful strategy of Nestl in now a day.Nestl begin the business at 1866 with the combination of cow s milk, wheat flour and sugar. After 1 year, infant cereal developed for a whole new world to babies. Next, the launch of Milo, Nescafe, Nestea, Nestl Pure Life, and Power Bar are launches at the years after 1929. Although these are many product launches, they merger with another company as an example Maggi and Ursina-Franck. Nestl did the high risky of investment in the follow year such as joint venture with LOreal, General Mills, Coca-Cola and Fonterra.In conclusion, Nestl was difficult their best at the sales of product. It has a smart plan for the uncertainly. Growth strategy will give the increasing of cash, bank payment and other to the Nestl company and Nestl will improve in new product or new market in the future.Competitive StrategiesNestl mainly focused on differentiation strategy. Nestl is a quality focused company. They differentiate their products with their competitors by giving them better customer satisfaction and quality with in an acceptable price limit. All their market is based on quality products and customer satisfaction. The main factor that motivates a customer is to buy their goods is the nutritional content in their products. They also focused on creating a strong brand by creating brand equity.For have a better quality on their products, Nestl had created Nestl Nutrition, which is a global business organization designed to settle the focus on their core nutrition business. They believe that strengthening their leadership in this market is the key element of their corporate strategy. In order to honour their competitive return in this area, Nestl created Nestl Nutrition as an autonomous global business unit within the organization, and charged it with the operational and profit and loss responsibleness for the claim-based business of Infant Nutrition, HealthCare Nutrition, and Performance Nutrition. This unit aims to deliver superior business performance by offering consumers trusted, science based nutrition products and services .In order to produce a better quality product, Nestl had made an effort on research and development. Research and development is a key of competitive advantage for Nestl. Without research and development, Nestl could not have become the leader in food and beverage industries. With 29 research, development and technology facilities worldwide, Nestl has the largest research and development network of any food company. Based on the research and development done by Nestl, they are able to produce many products that have a high quality in nutrition, wellness, taste, health, texture or convenience.Besides that, Nestl also use cost-leadership strategy for minor products. Nestl had used a new strategy called Nestls Popularly Positioned Products (PPPs) strategy that provide consumers with high-quality, nutritious products, regardless of where they sell them and the price point at which they sell them. PPPs focuses on the specific needs of 3 billion lower-income consumers worldwide. PPPs offe r these consumers the chance to consume high-quality food products that provide nutritional value at an affordable cost and appropriate format. With a range of locally adapted distri exactlyion methods, including pass markets, mobile street vendors and door to door distributors, PPPs are a source of income for street traders and individual distributors and contribute to the creation of local jobs.RecommendationUtilizing the identified strengths and opportunities master the identified strengths and opportunitiesConclusionOverall achievementFirstly, on 21 May 2012, Nestl was in the rank of No. 18 in The Gartner Supply Chain circus tent 25. The Gartner Supply Chain Top 25 is about leadership. Nestl has created a successful turn in chain segment for its popular Nespresso line. Nestl is also highly advanced and compound in its raw material sourcing strategies, and has invested significantly in supply development and innovation.Moreover, on 12 April 2012, Nestl becomes the first food and beverage company that receives A+ rating, which is the highest cadence in Global Reporting Initiative (GRI) for Creating Shared Value report. This shows that Nestl do take seriously their responsibility to create shared value and conduct their business in a sustainable way.Next, Nestl won the ACCA Malaysia Sustainability Reporting Award 2011. This was because Nestl use Sustainability Reporting to communicate to stakeholders regarding the progress of their Creating Shared Value strategy, which is to create value simultaneously for society and their shareholders while carrying out our business activities.On 19 May 2011, Nestl receives top environment award which is the 27th World Environment Center (WEC) Gold Medal award for its commitment to environmental sustainability. This shows that Nestl was recognize as a global company that has demonstrated an example of sustainability in business practice.Furthermore, on 7 June 2011, Nestl became winner of the Stockholm Industry Water Award for its leadership and performance to improve water management in its internal operations and throughout its supply chain. Nestle also has a leading role in the 2030 Water Resources Group.In July 2010, Nestl Malaysia was crowned as a winner of the Asia Responsible Entrepreneurship Awards 2010 (AREA). This awards show that Nestl was recognized as an organization that have shown a lot of efforts, perseverance and courage in corporate social responsibility initiatives.Besides that, a Global Food Industry Award was given to Nestl by The International Union of Food Science and Technology (IUFoST) .in 2010. Nestls dedication to food science and technology has been acknowledge by the IUFoST as long as Nestls efforts to advance global food science and technology for the benefit of everyone had been recognized by them.Last but not least, Nestl won the StarBiz-ICR Malaysia CR Awards in the year 2009. Nestl was one of the seven public-listed companies which were recognized and honoured for their outstanding Corporate Responsibility practices at the StarBiz-ICR Malaysia CR Awards 2009 presentation ceremony.