NESTLE BUSINESS SERVICES AOA

In August 2007, Nestle Business Services AOA, Nestles Finance and HR Shared Services Regional Office in Asia, acquired from EBDI Philippines, Inc. the Alcatel OmniPCX Enterprise and utilized its IP application. Initially equipped with 100 IP users, the system grew up to 300 IP users in March 2008. In December 2007, NBS AOA utilized the OmniTouch Contact Center application of the Alcatel OmniPCX Enterprise with 20 agents and two supervisors, currently serving all Human Resources and Finance related concerns in countries, such as, Philippines, New Zealand and Australia, and later in Singapore, Malaysia, Thailand, Indonesia and Vietnam. The NBS AOAs system is interconnected with other Nestles Alcatel OmniPCX Enterprise systems nationwide and worldwide via IP trunking (H323). With the implementation of the Alcatel OmniPCX Enterprise in NBS AOA, the following benefits are achieved: 1. Huge reduction on toll communication charges and faster communication among Nestle offices through the use of IP trunking (H323); 2. Control of toll communications through efficient reports available on the centralized Integrated AL4760 Call Accounting located in Nestle Philippines Head Office; 3. Reduction on cabling cost by half since a single port is used for both voice and data applications; 4. Single platform for both telephony and contact center applications, thus, reduces cost and eliminates incompatibility issues when using separate systems for several applications. NBS AOA projects a total of 450 IP users and 50 agents before the year 2008 ends.

History
Nearly a hundred years after it first started operations in the country, Nestl Philippines, Inc. (NPI) today is a robust and stable organization, proud of its role in bringing the best food and beverage throughout the stages of the Filipino consumers lives. The Company employs more than 3,200 men and women all over the country. It is now among the top companies in the entire Nestl world, and is among the countrys Top 10 Corporations. Its products are No. 1 or strong No. 2 brands in their respective categories.

Nestl Philippines, Inc., A Short History

The Early Years. Although Nestl products were already available in the Philippines as far back as 1895, it was not until 1911 when The Nestl and Anglo Swiss Condensed Milk Company was established in the country, with its first sales office in Calle Renta, Binondo. The Company was forced to suspend its operations during World War II, but soon made a comeback after Liberation, under a new name: Filipro, Inc. It continued to import products such as MILO, NIDO powder milk, MILKMAID and NESCAF from other countries. In the early 1950s, Filipro encountered difficulties when the Philippine government imposed import control. Due to lack of imported products to sell, it was forced to become a distributor of peanut butter, napkins, fruit preserves, and patis (fish sauce) just to keep its operations going. Local Production. In 1960, Nestl S.A.and San Miguel Corporation entered into a partnership resulting in the formation of Nutritional Products, Inc. (Nutripro). In 1962, Nutripros first factory started operations in Alabang, Muntinlupa to manufacture NESCAF. In 1977, Filipro, Inc. and Nutripro Inc. merged under the name Filipro, Inc. In 1986, Filipro, Inc. changed to its present name as Nestl Philippines, Inc. Nestle now has manufacturing facilities in Cabuyao (Laguna), Cagayan de Oro, Lipa (Batangas), and Pulilan (Bulacan) to meet the growing demand for Nestl products in the country. Soon to rise is another factory in Tanauan, Batangas.

Growth and Diversification. In 1991, Nestl pioneered the AIJV (ASEAN Industrial Joint Venture), a regional complementation program. The Company participated in this program with the production of breakfast cereals at the Nestl Lipa Factory, for export to ASEAN markets. Today, three of the Nestle factories in the Philippines Lipa, Cabuyao, and Cagayan de Oro -serve as ASEAN Supply Centers to meet the requirements of Nestle markets in the region. In late 1998, Nestl Philippines became a wholly owned subsidiary of Nestl S.A., following the latters purchase of all of San Miguel Corporations equity shareholding in the Company. Driven by its mission to nurture generations of Filipino families, Nestl today produces and markets products under some of the countrys well known brands such as NESCAF, NIDO, MILO, NESTEA, MAGGI, BEAR BRAND, NESTL, and PURINA, among others. Its product range has expanded to include coffee, milk, beverages, non-dairy creamer, food, infant nutrition, ice cream and chilled dairy, breakfast cereals, confectionery, and pet-care.

Nestle Business Services

Founded 2008 General The Philippines has been chosen by the Nestle Group as the site for its shared Information service center for financial and employee services. Nestle Philippines announced this yesterday, as it prepares to set up the shared service center which will be known as the Nestle Business Services AOA (NBS). The NBS will serve the financial and employee service requirements of Nestle companies in Zone AOA, which includes the Philippines, Malaysia/Singapore, Indonesia, Indochina, Australia and New Zealand. Financial services include account payables and receivables and accounting operations. Employee Services cover payroll, HR administration, time management and benefits administration. Nestle Philippines Chairman and CEO Nandu Nandkishore said the shared

service center, which will be a separate entity from Nestle Philippines, Inc., is another significant demonstration of the Nestle Group's continuing confidence and commitment to support the long-term economic growth of the country. "This is recognition of our world-class capability in the area of financial and employee services, and will allow us to once more showcase Filipino competence," Nandkishore said, adding that the Nestle Group considered a number of countries as possible site for the NBS, but finally selected the Philippines because of talent availability and cost efficiency. He said the NBS, which is expected to create employment opportunities, is designed to deliver best-in-class office support at competitive service levels and costs to Nestle companies in the region. The Nestle Group has successfully implemented the shared service model in Europe and the Americas, resulting in maximized cost effectiveness, efficiency, and improved quality in financial and employee service transactions. Nestle said moving the financial and employee services transactions to the NBS will be done progressively, starting with Nestle Philippines which is expected to complete the transition of its financial services by end of 2007, and its employee services by the end of the first quarter of 2008. Employees who will be affected by this development will be provided with a separation package which is over and above what the law requires, and will also be considered in the new NBS organization. Safety net programs such as change and care workshops, livelihood seminars and outplacement services will likewise be made available to them.

Nestl chooses Philippines for shared service center Inquirer First Posted 06:52:00 08/24/2007

Filed Under: Company Information, Financial & Business Services MANILA, Philippines -- The Nestl group has chosen the Philippines as the site for a service center for financial and employee services in Asia, Oceania and Africa -- including the Philippines, Malaysia/Singapore, Indonesia, Indochina, Australia and New Zealand, Nestl Philippines chairman and chief executive Nandu Nandkishore announced. The financial services will include account payables and receivables, and accounting operations. The Employee services will cover payroll, human resources administration, time management, and benefits administration, Nandkishore said. He said the Nestl group had considered a number of countries as possible site for the center and selected the Philippines because of talent availability and cost efficiency. With INQUIRER.net

History

Nestl headquarters in Vevey.

The company dates to 1867 when two separate Swiss enterprises were founded that would later form the core of Nestl. In the succeeding decades, the two competing enterprises aggressively expanded their businesses throughout Europe and the United States. In August 1867 Charles and George Page, two brothers from Lee County, Illinois, USA, established the Anglo-Swiss Condensed Milk Company in Cham, Switzerland. Their first British operation was opened at Chippenham, Wiltshire, in 1873.[2] In September 1867 in Vevey Henri Nestl developed a milk-based baby food, and soon began marketing it. The following year saw Daniel Peter begin seven years of work perfecting his invention, the milk chocolate manufacturing process. Nestl's was the crucial cooperation that Peter needed to solve the problem of removing all the water from the milk added to his chocolate and thus preventing the product from developing mildew. Henri Nestl retired in 1875 but the company under new ownership retained his name as Farine Lacte Henri Nestl.

Henri Nestl.

In 1877 Anglo-Swiss added milk-based baby foods to their products and in the following year the Nestl Company added condensed milk so that the firms became direct and fierce rivals. In 1905 the companies merged to become the Nestl and Anglo-Swiss Condensed Milk Company, retaining that name until 1947 when the name Nestl Alimentana SA was taken as a result of the acquisition of Fabrique de Produits Maggi SA (founded 1884) and its holding company Alimentana SA of Kempttal, Switzerland. Maggi was a major manufacturer of soup mixes and related foodstuffs. The companys current name was adopted in 1977. By the early 1900s, the company was operating factories in the United States, United Kingdom, Germany, and Spain. The First World War created demand for dairy products in the form of government contracts, and, by the end of the war, Nestl's production had more than doubled. After the war, government contracts dried up, and consumers switched back to fresh milk. However, Nestl's management responded quickly, streamlining operations and reducing debt. The 1920s saw Nestl's first expansion into new products, with chocolate-manufacture becoming the company's second most important activity.

The logo that Nestl used until the 1970s.

Nestl felt the effects of the Second World War immediately. Profits dropped from US$20 million in 1938, to US$6 million in 1939. Factories were established in developing countries, particularly in Latin America. Ironically, the war helped with the introduction of the company's newest product, Nescaf ("Nestl's Coffee"), which became a staple drink of the US military. Nestl's production and sales rose in the wartime economy. The end of World War II was the beginning of a dynamic phase for Nestl. Growth accelerated and companies were acquired. In 1947 came the merger with Maggi, a well-known manufacturer of seasonings and soups. Crosse & Blackwell followed in 1950, as did Findus (1963), Libby's (1971) and Stouffer's (1973). Diversification came with a shareholding in L'Oral in 1974. In

1977, Nestl made its second venture outside the food industry, by acquiring Alcon Laboratories Inc. In 1984, Nestl's improved bottom line allowed the company to launch a new round of acquisitions, notably American food giant Carnation and the British confectionery company Rowntree Mackintosh in 1988, which brought the Willy Wonka brand to Nestl.

The Brazilian president, Lula da Silva, inaugurates a factory in Feira de Santana (Bahia), in February 2007.

The first half of the 1990s proved to be favourable for Nestl. Trade barriers crumbled, and world markets developed into more or less integrated trading areas. Since 1996, there have been various acquisitions, including San Pellegrino (1997), Spillers Petfoods (1998), and Ralston Purina (2002). There were two major acquisitions in North America, both in 2002 in June, Nestl merged its U.S. ice cream business into Dreyer's, and in August a US$2.6 billion acquisition was announced of Chef America, the creator of Hot Pockets. In the same time-frame, Nestl came close to purchasing the iconic American company Hershey's, one of its fiercest confectionery competitors, although the deal eventually fell through.[3] Another recent purchase included the Jenny Craig weight-loss program, for US$600 million. In December 2005, Nestl bought the Greek company Delta Ice Cream for 240 million. In January 2006, it took full ownership of Dreyer's, thus becoming the world's largest ice cream maker, with a 17.5% market share.[4] In November 2006, Nestl purchased the Medical Nutrition division of Novartis Pharmaceutical for $2.5B, also acquiring, in 2007, the milk-flavouring product known as Ovaltine. In April 2007, returning to its roots, Nestl bought US baby-food manufacturer Gerber for $5.5 billion.[5][6][7] In December 2007, Nestl entered into a strategic partnership with a Belgian chocolate maker, Pierre Marcolini.[8] Nestl agreed to sell its controlling stake in Alcon to Novartis on 4 January 2010. The sale was to form part of a broader US$39.3 billion offer, by Novartis, for full acquisition of the worlds largest eye-care company.[9] On March 1, 2010, Nestl concluded the purchase of Kraft's North American frozen pizza business for $3.7 billion. In July 2011, Nestl SA agreed to buy 60 percent of Hsu Fu Chi International Ltd. for about $1.7 billion.[10]