Good food, Good Life

 Established by Hennri Nestlé in 1866.

 World’s largest food & beverage company with the
sales(2018) of $92.17 billion.
 Nestlé has 447 factories, operates in 189 countries and
employees around 3,39,000+ people around the world.
 29 of Nestlé's brands have annual sales of over $1.1
billion.
 Milk Products & Nutrition
 Beverages
 Prepared Dishes and Cooking Aids
 Chocolates and Confectionery
 Vending and Food Services
 It is important to develop strong relationships with
suppliers as their support is necessary to receive, store
and distribute the product.
 Inbound logistics requires a company to focus on every
aspect of transformation from raw material to finished
products.
 Some examples of inbound logistics are retrieving raw
material, storing the inputs and internally distributing
the raw material and components to start production.
 The importance of operational activities raises when
raw material arrives, and we are ready to process the
raw material into the end product and launch it in the
market.
 Some examples of operational activities are machining,
packing, assembling and testing.
 It includes both manufacturing and service operations.
 The increased productivity can help us to achieve
consistent economic growth, increase profitability and
set a powerful basis for competitive advantage.
 Outbound logistics include the activities that delivers
the product to the customers by passing by different
intermediaries.
 Some outbound logistics activities are material order
processing, handling, warehousing, scheduling, trans-
porting and delivering to the destination.
 We pay specific importance to its outbound value
chain activities when its offered products are
destructible and require quick delivery to the end
customer.
 As the function driving our brand-building efforts,
Marketing is right at the heart of what we do. Indeed,
“Brand Building the Nestle Way” is a specific process
that sets our marketing function apart in the industry
from both a commercial and a career point of view.
 We handle category and shopper management,
customer relationships, route to market strategies,
field sales activities and our customer facing supply
chains.
 All of these areas are focused on delighting our
customers and making sure our products are where
they want them and when they want them.
 Through science-based nutrition products and
services, Nestle helps enhance the quality of people’s
lives by supporting health and providing care for
consumers with special needs.
 We continue to help people lead fuller, happier lives
by developing and delivering innovative, effective,
scientifically proven nutrition products with
functional benefits, designed to help infants grow and
develop into healthy, robust(strengthen) adults; to
promote peak mental and physical performance and to
address weight problems.
 Nestle Research Centre (NRC)
At the heart of scientific research in Nestle lies the NRC, the
world’s largest private food nutrition research institute.
 Nestle R&D Network
The NRC doesn’t work alone, it’s the part of Nestle R&D
Network, compromised of over 5000 people, which transforms
science and technology into products, business and systems.
 External Partnership
In addition to the Nestle international R&D Network, NRC
collaborates with a wide-reaching network of external partners such
as universities, private research institute, hospitals and start-up
companies.
 We can analyses human resource management by
evaluating different HR aspects including recruiting,
selecting, training, rewarding, performance management
and other personal management activities.
 The effective HR management can allow Nestle to reduce
competitive pressure based on motivation, commitment
and skills of its workforce.
 The company can also achieve its cost minimization
objectives by analyzing hiring and training costs with their
relative return.
 The heavy dependence of our employees talent will
increase the importance of this value chain support activity.
 In a modern, technological advanced era, almost all value
chain activities depend on technological support.
 The technological integration in production, distribution,
marketing and human resource activities requires Nestle to
realize the importance of technology development.
 It can be divided into product and process technological
development activities.
 Some examples are automation software, technology-
supported customer service, product design research and
data analytics.
 The research and development department of Nestle is
classified in this category.
 The procurement in value chain denotes the processes
involved in purchasing the inputs that may range from
equipment, machinery, raw material, supplies, and other
items necessary for producing the finished product.
 Due to its link up with multiple value chain activities, We
carefully consider its procurement activities to optimize the
inbound, operational and outbound processes.
 As mentioned above, the application depends on
understanding the importance of all activities.
 After understanding the relative importance of identified
value chain activities, We highlight areas where value can
be added, cost efficiency can be achieved, differentiation
basis can be set, or processes can be optimized.