Getting to Know Nestle

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 Our Global Organization

 Swiss company - global reach

 Around 254,000 people working for us

 Operating in more than 80 countries

 World´s leading food & beverage company

 People, brands & products are key

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  NESTLE PAKISTAN LTD.
 1988
 joint venture with Milkpak
 1997
 Sheikhupura factory starts the production of NESTLE
NIDO milk powder and cereals.
 1992
 Nestle takeover the management
 1996
 changed the name company to nestle Milkpak ltd.
 1997
 Kabirwal plant becomes a fully owned unit
 2005
 formally changed to nestle Pakistan ltd.

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 Our Responsibility

Environment Infant Formula Quality Coffee Prices UN Global

Policy Compact

Sustainability Gene Nestlé Water Nestlé in the

Technology Donations Community

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 Our People

 People – our source of

energy

 Around 254,000 people

make up the Nestlé family

 Continous training and

improvement of skills

 Respect and cultural

diversity

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 Careers at Nestlé
THE NESTLÉ SPIRIT

 We believe in people rather

than systems

 Committed to creating value

for our shareholders

 Descentralized

 Committed to continuous
improvement rather than
dramatic, one-off changes

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 Careers at Nestlé
JOINING NESTLÉ

 Our success depends on the capacity to attract,

retain and develop employees able to ensure
continuous growth

 Career development – people are our greatest

asset

 Graduate Programs for i nternational careers

 Internships for students or young graduates

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 Nestlé in Mexico

PERSONNEL PROFILE

 5,870 employees
 33% women, 77% men
 66% married
 Average permanence: 7 yrs
 Average age: 34 16% 14%

20-26
27-30
16% 31-35
24%
36-40
mas 40
30%

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 Nestlé in Mexico
ATTRACTING TALENT & EMPLOYMENT
OPPORTUNITIES

 Talent in Nestlé: Adding V alue, Openess,

Working with others & Inspiring people

 Internship programs - students

 Trainnee programs – Commercial,

Technical & Administrative
 Recruitement fairs and university forums

 Participation in youth events

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 OUTLINE
 History
 Vision
 Mission
 Goals /objective
 Culture and environment
 Strategies types and information)
 Decision making (approaches and styles)
 Forecasting
 Organizational structure
– Work specialization
– Departmentalization
– Chain of command
– Span of control
– Decentralization or centralization
– Formalization
 Resource allocation techniques

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 NESTLE IN PAKISTAN

 since 1988 parent company first acquired 40% shares in Milkpak Ltd

 Nestlé has been serving Pakistani consumers

 1990 the Sheikhupura factory starts the production of NESTLE NIDO milk
powder and cereals.

 A milestone was achieved in 1998 when “NESTLE PURE LIFE” bottled

water was premiered in Pakistan. Within a few years it becomes one of the
world’s leading brands of bottled water.

 In 2005 the GLOBE project is successfully launched, and is intended to

further cooperation and information sharing with Nestlé companies around
the world.

 Today Nestlé is fully integrated in Pakistani life, and are recognized as

producers of safe, nutritious and tasty food.

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 NESTLE VISION

 “We envision Nestlé to grow in the shortest

possible time into the number one food company in
Pakistan with the unique ability to meet the needs of
consumers of
every age group from infancy to old age,
for nutrition and pleasure, through development of a large
variety of food categories of the highest quality.
We envision the company to develop an extremely
motivated and professionally trained workforce, which
would drive growth through innovation and renovation.

 We aspire, as a respected corporate citizen, to continue

playing our due role in the social and environmental sectors of
the country.”

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 MISSION STATEMENT

 In analyzing an organization it is very important to begin

with what the organization stands for and why it exists,
thus leading us to the mission statements of Nestle,
which states;

 “Nestlé is dedicated to providing the best foods to

people throughout their day, throughout their lives,
throughout the world. With our unique experience of
anticipating consumers’ needs and creating
solutions, Nestlé contributes to your well-being and
enhances your quality of life.”

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 EXTERNAL ENVIRONMENT
 Nestle is operating in a society which is very large in nature

 a huge number of forces which can potentially influence the

functioning of nestle in many ways.

 Dealing with external elements that are directly related to it in

conducting its daily operations .
 Forces that may create uncertainties that can not be predicted.

Following are the components of Nestlé's Mega environment:

 Political
 Economic
 Social
 Technological and
 International
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 POLITICAL
 consists of the political restraints and the objections

 placed on Nestle by Govt. on the way it conduct its

business in the country.

 It can affect by placing quotas on the amount of

products

 the amount of a specific tax impact on the consumers of

nestle products in the shape of higher prices.

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 ECONOMIC
 The second mega external environmental factor

 Influences the organization is the economical factor, which controls the

mechanism (contraction and expansion) of production, consumption and
distribution.

 Nestlé makes a significant contribution to the economic sector of Pakistan.

 Through generation of tax revenue

 Import substitution of milk powder

 Export and infusion of over 2.3 billion rupees in the rural economy through
milk purchases

 Company plays an active role in promoting economic growth.

 Pakistani economic system is favourable

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 SOCIAL FACTORE
• Focus on demographical statistic of Pakistan which includes,

• gender specification

• age specification

• religious specification

• how a social and cultural values can influence

• cultural and traditional values of area

• studying the cultural values .

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 TECHNOLOGICAL
 Important for the competence of firms

 Always in search of new techniques

 Vital importance to reseach

 Spend major part of its earning on research

 competitive edge from its competitors

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 INTERNATIONAL FACTORS
 Fluctuation in the foreign currency rates

 Relationship between the countries

 Favourable trade agreement with the countries

 Tree trade zones

 Government rebates

 Tax free zones

 Better infrastructure

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 TASK ENVIRONMENT

 second type of external environment

 Specific elements affect organization

Following are elements included in Nestlé’s task

environment;

 Competitors

 Customers

 Supplier

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 CUSTOMERS


extensive marketing network


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Focus on market place and the customer needs

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customer’s preferences

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Acquire extensive market share

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product differentiated strategy


Low cost

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 CUSTOMERS
 Nestle has an extensive marketing network to figure out
the target customers,
 it has marketing specialist to understand the market
place and the customer needs,
 secondly to is spending a lot to figure out the customer’s
preferences regarding the substitutes of its products in
order to bring the customers on board and retain them.

 Nestle has an extensive market share, due to the

reason that it’s customers are brand loyal and do not
compromise over quality and same is the case with the
company’s quality assurance (QA) team.

 One of the principle strategies that nestle utilizes is to

produce differentiated products for each age group in
order to get a high market share and preferences over
other
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 COMPETITORS
 Competitors also play a vital role in effecting the way in
which the organization operates, competitors are
basically the rival firms in the same market which is
providing the same product, in the case of nestle the are
many competitors since there is a wide range of products
offered by nestle in Pakistan.

 Olpers came after nestle with a brand new strategy in

order to attract new customers and some of the
customers from nestle but did not manage to accomplish
it completely since nestle had already gained and
retained many of its customers and faces a relative low
level of competition.

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 SUPPLIER'S


 Extensive network of suppliers

 packaging suppliers
 labor supplier
 vendors
 policy makers that helps to run the business most
efficiently at the minimum cost.

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 NESTLE POLICIES IN MANAGING THE
ENVIRONMENTAL ELEMENTS
 great scope for betterment

 Use of different strategies

 design methodologies

 alter its external elements

 creating massive awareness
 creating a specialized roles

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 INTERNAL ENVIRONMENT

 internal environment consists all the elements with in the company,

 employees
 management
 corporate culture

 some elements affect the organization as a whole

 others affect only the manage.

 explicit instructions to employees,

 empower employees


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 NESTLE POLICIES
 This may include
 how the employees at nestle are to behave and the way
they communicate within the organization and outside
the organization.
 policy guidelines are made in consultation

 "A Policy and Procedure Forum"

 Policies depend on environment

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FORMAL STRUCTURE

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 CONCLUSION
 Nestlé is a gigantic organization. Basically it is a food concern
emphasizing on producing good food for good health. The seed
Henri Nestlé had planted in 1866 is now a tree which provides
extremely qualitative food to billions of people all around the world. It
is also providing jobs to millions of people in more than 479 factories
in 81 countries.

 The fact can be judged by this that it is the number one food
manufacturing and processing company of the world. It is bigger
than Kraft foods and Cadburys international.

 Management of Nestlé Pakistan is mostly foreign. the top

management involves MD and three senior mangers (Production,
marketing, Finance). They all are expatriate with only one exception
which is that for the first time in the history of Nestlé Pakistan one
Pakistani has gained position among these four management seats.
It is the Marketing Manager Mr. Rashid Aleem Qureshi. The most
important fact about this is that Mr. Rashid Aleem Qureshi is a
graduate of IBA University of the Punjab.

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.
 NESTLE CULTURE

 Democratic style
 team focused
 Open door policy which become one of its corporate
strengths
 Focuses on collectivism
 Performance orientation attitude
 Encourage employees to work harder

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 OBJECTIVE
 world's largest and best branded food manufacturer, is h
products of the highest quality

 product creates value

 long term for shareholders, employees, consumers,
business partners and the national economies in which
Nestle operates.

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NESTLE STRATRGY
NESTLE STRATEGIES

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 FOUR PILLAR STRATEGY

 Operational performance:
Total performance management nestle continuous
excellence
 Innovation and renovation:
Consumer focused differentiation for Nutrition , health
and wellness
 Consumer communication:
Creative and resonant
Effective and efficient
 Whenever ,whenever, however
Top ten customers traditional retail from home to home

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NESTLE’S CORPORATE LEVEL STRATEGIES
 · Product’s growth through innovation and renovation
 ·
 Long-term potential

 sound human values and principles.

 commitment to the health and well being

 values and management principles of the organization.

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 BUSINESS LEVEL STRATEGIES

 Low cost –
less price transparency is followed.

 Differentiation –
to reduce the risk of complexity of supply chain
and lower attractiveness for discounters.

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 FOUR GROWTH PLATFORMS

 · Nutrition

 · Emerging consumers

 · Premium goods

 · “Out-of-home” goods.

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 Decentralization
 Sincere and ligitimate interest of customers
 legislation is the most effective safeguard\
 voluntary business principles
 success of a corporation is a reflection of the
professionalism
 conduct and the responsible attitude of its
management
 recruitment of the right people and ongoing training
and

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 Decentralization
 the form of voluntary business principles is
beneficial in order to ensure that the
 highest standards are met throughout the
organization.
 o Nestlé is conscious of the fact that the success of
a corporation is a reflection of
 the professionalism, conduct and the responsible
attitude of its management and
 employees. Therefore recruitment of the right people
and ongoing training and
 development are crucial.
 o Nestlé continues to maintain its commitment to
follow and respect all applicable
 local laws in each of its

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 HR STRATEGY

To support the differentiation strategy, Nestle practices

following HR strategies to
•
long term performance measures. does not favour
short-term profit
extensive trainings of employees
equal and fair pay practices

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 HR STRATEGY
 Rewards & incentives systems
 recruitment of people who bring in new ideas.
 Broad career paths
 high employee participation

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 TRAINING OF EMPLOYEES

 New employees are prepared to gain experience in

sales and marketing-related activities & other areas of
the business activities include:-
 Production
 Supply chain & information systems,
 Finance & control,
 Purchasing,
 Communication & Market Research.

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 REWARDS & BENEFITS

 Health screening/on-site occupational health facilities

 Sick pay
 25 days' holiday
 Mobile phone on a business need basis
 Company bonus scheme
 Contributory final salary pension scheme
 Childcare vouchers (dependant on salary)
 Gym facilities at larger sites
 Staff shop at most sites
 Flex time at some sites

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 FUTURE PROSPECTS

 focused on product expansion

 improvement of distribution efficiency. The Dairy
business is being expanded and is expected to drive
growth in the long run, although short-term profitability
may be impacted in the investment stage. The
company’s entry into the mineral water segment is a
concern, as the segment is already overcrowded and the
company faces stiff

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COMPANY FROM FOUNDATION TILL NOW

1866 Company's foundation

1905
Merger between Nestlé and Anglo-Swiss Condensed Milk Company
1929
Merger with Peter-Cailler-Kohler Chocolate Suisse's S.A.
1947
Merger with Alimentana S.A. (Maggi)
1971
Merger with Ursina-Franck (Switzerland)
1985
Acquisition of Carnation (USA)
1988
Acquisition of Buitoni-Perugina (Italy)

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 COMPANY FROM FOUNDATION TILL NOW

1988
Acquisition of Rowntree (GB)
1992
Acquisition of Perrier (France)
1995
Nestlé acquires Victor Schmidt & Söhne, Austria's oldest producer of
confectionery, including the famous 'Mozartkugeln'.
1997
Nestlé, through the Perrier Vittel Group, expands its mineral water
activities with the outright acquisition of San Pellegrino.
1998
Nestlé acquires Spillers Petfoods of the UK and strengthens position
in the petfood business which began in 1985 with the acquisition of
the Carnation Friskies brand.
1999

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 COMPANY FROM FOUNDATION TILL NOW

Divestiture of Findus brand (except in Switzerland and Italy) and

parts of Nestlé's frozen food business in Europe.
Divestiture of Hills Bros, MJB and Chase & Sanborn roast and
ground coffee brands (USA).

2000
Acquisition of Power Bar.

2001
Nestlé acquires Ralston Purina - Nestlé Purina Pet Care Company
established.

2002
Perrier Vital Group re-named as Nestlé Waters.

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 The management

 Headed by the chief executive

 Groups directly to CEO
 Nestle business excellence group
 Supply chain group
 Milk collection and agriculture service group
 Human resource group
 Water group

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  Reporting devision

 Technical operations devisions

 Finance and control devisions
 Marketing and sales devisions

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 DECSION MAKING AT NESTLÉ

 uniform and strictly enforced.

 procedure for policy formulation is transparent
 Open door policy
 ultimate approval is given by the Chief Executive.
 Rational decision making
 Conduct various meeting

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 POLICY FORMULATION
Regular meetings
bring forth the employees at a forum
discuss their problems,
give suggestions for improvement and development.
share their experiences
meetings periodic basis to keep a check on the
progress of the company
Senior Management Meetings
Cycle Meetings
Department Wise Scheduled Meetings
SENIOR MANAGEMENT MEETINGS

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 CYCLE MEETINGS
bi-monthly sales review

design methods for stabilizing sales

building the sales of prosperous brands

judge the viability of the investments

budget allocation

managing the supply

information for purchasing equipment

Forecasting of sales
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 DEPARTMENT WISE SCHEDULED MEETIN

Keep up to date

discuss problems

give suggestions for improvements

generate ideas for development

share experiences

Cross hierarchy communication

Non-scheduled meetings

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 MANAGERIAL STYLE

 organization which large in size

 diverse in culture. The
 original culture of Milkpak Limited still prevails and the
 key managers face a tough task of managing
 No formal data could be obtained on the managerial
style for managers.

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 "open-door policy

 key to success
 encouraging open, two way communication.
 opinion welcome.
 The more they feel that their input is valued
 greater the sense of ownership .

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 "democratic style"
 "democratic style" of leadership
 involve sub ordinates in decision making
 delegates authority
 encourages participation in deciding work methods
and goals
 feedback as an opportunity for coaching.
 success of a large scale and diverse organization

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PRODUCTS AND BRANDS

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 DAIRY

 Nestlé Milkpak Launched in 1981,

 it has become synonymous with quality milk. Backed by a
very strong brand name, aggressive marketing and
distribution, consistent quality and all year round availability,
MILKPAK UHT milk is an extremely successful brand.
 In September 1999, MILKPAK UHT milk was relaunched
under the Nestlé brand, which further strengthened its
position. It is available in three pack sizes of
1 )1000ml
2 )500ml
3 ) 250ml.

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  MILKPAK Cream

 MILKPAK Cream was introduced under the MILKPKAK

brand in 1986.
 It is available in 200 ml pack size in an attractive slim
pack.
 The consumer trust in the brand name and the product
has endured its dominant share in the cream category.
 MILKPAK Cream was also introduced in the economical
1000 ml pack size in the year 2000 for food services to
cover institutions using large quantities of fresh cream.

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 MILKPAK DESI GHEE

 MILKPAK Desi Ghee was introduced in 1986 in tin

packaging.
 The packaging was later changed to Tetra Pak.
However, in line with the current market trend,
 MILKPAK Desi Ghee was relaunched in 870 gm tin
packaging in the year 2000.
 The product was also introduced in 16 kg tin packaging
to tap the huge potential of loose Desi ghee.

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  NESTLÉ NIDO

NESTLÉ NIDO has been present in the Pakistan market since the
early 70’s and on account of consumer confidence in its quality it
has become a pillar of Nestlé’s success.
 Local production commenced in 1990 and within a short period the
brand achieved market leader status in the full cream milk powder
category. Made from very superior quality milk and with the addition
of vitamins A and D, NESTLÉ NIDO is the best quality milk for
growing children.
 To target all consumers effectively the brand is available in different
SKUs ranging from
 1) 62 gm
 2) 1000 gm..

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  NESTLÉ EVERYDAY

NESTLÉ EVERYDAY tea whitener was launched in 1992.

 Supported by integrated marketing activities, focused distribution
with sampling drives and excellent consumer acceptance
 the brand has shown strong growth and holds great promise for the
future.
 To offer convenience to all types of customers the brand is available
in a variety of SKUs ranging from 40 gm to 1000 gm.

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 NESTLÉ PLAIN YOGURT

 Launched in November 2000

 NESTLÉ Plain Yogurt dominated the yogurt category in
2001. The stay fresh seal, printed expiry date and an
exclusive distribution system contributed to the immense
popularity and success of the product.
 After distribution expansion to the northern and central
parts of the country and the subsequent launch in
Karachi, NESTLÉ Plain Yogurt has become the first
national yogurt brand in Pakistan.

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NESTLÉ FRUIT YOGURT

 The year 2001 saw the launch of the first NESTLÉ Fruit
Yogurt in 3 variant of
1) strawberry,
2) mango
3) peach which offered real fruit pieces.
 This made a pleasant difference for the consumer, as the local
market was only able to offer fruit flavored yogurt so far.
 NESTLÉ Fruit Yogurt in the stirred yogurt format matches the
international quality standards.

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 CULINARY

 MAGGI 2-MINUTE NOODLES

Fast to cook, good to eat - MAGGI 2-MINUTE NOODLES were launched with
local production in 1992.
 MAGGI 2-MINUTE NOODLES have special appeal for children, are fun to eat and
offer a range of interesting flavors, namely:
1) Chicken
2) Masala
3) Chilli
4) Chatkhara.
 Affordably priced and backed by focused marketing activities, MAGGI 2-MINUTE
NOODLES have shown good progress in 2001, assuming market leadership
position.

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 MAGGI SAUCE

 Cold sauces were launched in 1999 in three flavors:

1) MAGGI ketchup
2) Maggi Khati
3) Meethi.
 In 2001 MAGGI Ketchup was introduced in 4.5 Kg bulk
packaging for food services.

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 LACTOGENINFANT DIETIC

LACTOGEN

 launched in 1991 and are available in two sizes

1) LACTOGEN 1
2) LACTOGEN 2
 are locally produced infant and follow up formulae. The
brand provides both affordability and quality.

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  CERELAC

 Launched in 1989,
 CERELAC is the most dominant player in the growing branded milk
based weaning food market. Available in 6 varieties. The variants include
1) CERELAC Wheat 3 Fruit,
2) CERELAC Wheat Honey,
3) CERELAC Wheat Banana,
4) CERELAC Rice
5) CERELAC Khichri.
CERELAC Khichri was the latest variants to be added in 2000 to
the CERELAC range. Offered in 200 gm pack size,

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  NESTLÉ RICE

 launched in 1994.

 NESTLÉ Rice offers the flexibility of preparation with a

variety of meals.
 Glutton free, the brand is available in 125 gm pack and
especially suited to the needs of infants from 6 months
onwards.

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 NESTLÉ Wheat

It was launched in 1997

NESTLÉ Wheat is a wheat based infant cereal without

milk, for infants from 6 months and aboveis.

available in packs of 125 and 250 gm.

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  NESLAC

 . The product was launched in 1994.

 NESLAC is growing up milk, formulated specially for 1 to

3 years olds.

 It contains just the right balance of proteins, calcium,

iron, vitamins and essential minerals in order to cater to
the nutritional needs of a growing child during this
special age

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  NAN

 NAN launched in 2001

 Locally manufactured NAN 1 and NAN 2 are infant and

follow up formulae and are available in 400 gm soft packs.
 Earlier, these were being imported in 450 gm tins.
 The local production of NAN is a landmark achievement, as
it brings the expertise of producing an internationally
renowned high quality infant product exclusively to Nestlé
Milkpak in this region. This also offers the great advantage
of affordable pricing.

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 NESCAFE CLASSICS

 NESCAFE, Nestlé international flagship brand, is locally

packed and marketed in
1) 2 gm and 25 gm sachet
2) 75 gm bottles
3) 500 gm soft packs.
The brand enjoys a special position in the country’s
coffee consuming segment.
Recently, NESCAFE has been launched in 50 gm jar.

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  NESCAFE FROTHE

 NESCAFE Frothe launched in 2000.

 After its product profile was developed through extensive consumer

research, it was offered as a sweet, creamy and frothy coffee.

Following an extremely good consumer response to this cappuccino

1) style coffee drink,
2) French Vanilla and
3) Mocha flavors
were introduced the same year to offer a wider choice and to
enhance the young and fashionable image of this mixes category.

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 NESCAFE FRAPPE

 NESCAFE Frappe was launched in 2000.

 To change the consumer perception that coffee is only a

winter beverage and to promote its summer
consumption,
 This iced, creamy ready to drink coffee in 180 ml slim
pack was positioned to appeal to the youth and gain its
share from the other summer beverages.

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  MILO POWDER

 MILO powder was launched in 1994

 MILO is positioned as an energy drink, both for hot and

cold consumption.
 It is marketed in 200 gm packs and 14 gm single serve
sachet

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  FROST

 FROST was introduced in 1986.

 A well known fruit drink brand.

 Positioned as a cold drink and alternate to soft drinks.

 its strength lies in the convenience attached to its usage.

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  NESTLÉ Juices

 NESTLÉ Orange Juice that was launched in 1996

 the category of NESTLÉ juices was expanded with the
introduction of Mango Orange and Mango flavors in the
year 2000.
 This further strengthens the position of Nestlé Milkpak as
al leader in the value added and premium drinks market.
 Consumer response to these new flavors has been very
upbeat and is expected to grow further.

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NESTLÉ Pure Life – PET Bottles

WATER

 The year 2001 saw the successful completion of

three years of outstanding business for NESTLÉ
Pure Life – PET Bottles of 0.5 and 1.5 liters.
 The exceptional brand success was the result of
expanding national distribution and an
increasingly loyal customer base.
 The brand has revolutionized the Pakistani
market by tapping the real consumer need for
pure, healthy, and safe water and has
successfully dominated a key strategic business

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NESTLÉ Pure Life – Home & Office Service

In 2000, NESTLÉ Pure Life established a successful

Home and Office (H&O) delivery service in Lahore,
which has substantially grown ever since and has come
to dominate the 5- gallon market. Successful marketing
and sales strategies offer greater convenience and better
value to the consumers. The brand is poised for strong
growth in future.

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FACTORIES

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.
.
 BUSINESS OPERATIONS

 Nestle’ operates five factories in Pakistan:

 1) Sheikhupura Factory (Multiline products, biggest unit)
 2) Kabirwala Factory (Multiline products but smaller than
Sheikhupura Factory)
 Islamabad factory(water company
 Karachi (two water factories0

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OMPETITIVE EDGE OF NESTLE


Product Differentiation
superior quality products
Use research methods

Customer Oriented
Customer satisfaction is the focal point
hygienic products

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  FORECASTING

 DEMAND PLANNING

 Short term planning

 Analyze the market trend

 Arranging production facilities

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  ROLLING SALES FORECAST

 For a period of six months

 National Sales Manager and the Marketing Manager

a meeting

 Analyze the market trend

 Sales forecast is sent to the Factory Manager


 Factory Manager and Production Planner review the
sales forecast

 Identify the capacity constraints

.
 MONTHLY FORECAST REVIEW

 A monthly report is prepared

 Production planning and forecast setting


 Required by the Factory Manager.

.
  MONTHLY OPERATIONAL REVIEW

 Senior management meeting

 Reviews the operations of the


 Analyze on the statistics

 Previous year-to-date target

 Present sales achievement

 Real Internal Growth

.
WEEKLY SUPPLY AND DEMAND REVIEW

 Priorities are outlined for the coming week

 Set Percentages

 Net Proceeds from Sales (NPS)

 Real Internal Growth (RIG).

.
  Long Term Forecasting

 Planned by budget and control section

 An estimate for the next three years

 Prepare Operational Plan

 product-wise Profit & Loss Accounts

 verifies the costs.

 controls factory costs through variance reports.

 Selling Price Calculations

.
DEPARTMENTALIZATION

.
.
 Currency:
 Pakistan Rupee
 Market Capital:
 61,221,938,400
 Fiscal Year Ends:
 December
 Shares Outstanding:
 45,349,584
 Share Type:
 Ordinary

.
 Ticker:

 NESTLÉ
 Country:
 PAKISTAN
 Major Industry:
 Food & Beverages
 Sub Industry:
 Diversified Food
 2007 Sales:
 28,235,393,000 (Year Ending Jan 2008)
 Employees:
 2,345 (Pakistan – as of January 2008)
.
 Today, Nestl produces in over 84 countries
 achieves
 world’s largest food company
 an annual turnover of 70 billion Swiss francs
 522 new factories in 84 countries,

 20 technological development groups
 than 247,000. employees
 and more than 8000 products around the globe.
 Nestlé is also one of the world's largest
chocolate producers

.
.
.
 OBJECTIVE

 “Making our customers winners by constantly

exceeding their expectations.”

 “Nestle objective is to consolidate and

strengthen its leading position at the cutting
edge of innovation in the food area, in order to
meet the needs and desires of consumers
around the world, for pleasure, convenience,
health and well being.”

.
 Research and Development

 Global leader in the industry with regard to

R&D

 Worldwide network of centers in 17 locations

on four continents

 International staff of 3500

 Invests some 800 million Swiss francs

.
 INTRODUCTION

☻Nestlé” is a Swiss-German word which

means “Little Nest” which is its trademark
☻annual turnover of 74.7 billion Swiss
francs
☻runs 522 factories in 84 countries
☻Nestlé is the worlds’ number one food
company

.
 INTRODUCTION
☻5th largest company of the world according to its turn
over

☻2 million 31 thousand people employed from all over

the world
☻Present in 84 countries of the globe having 522
factories
☻Over 700 products renovated or innovated in the past
five years
 environment friendly operations

.
 FEATURES
 largest food and beverages company
 leaders in health, nutrition & wellness
 largest milk reception plant in nestle world at
Kabirwala
 Wide range of products
 ethical business practices
 “NESTLE PURE LIFE” one of the world’s leading
brands of bottled water.

.
 98% of its turnover outside Europe.
 200 operating companies

.
 NESTLE IN PAKISTAN

 since 1988 parent company first acquired 40% shares in Milkpak Ltd

 Nestlé has been serving Pakistani consumers

 1990 the Sheikhupura factory starts the production of NESTLE NIDO milk
powder and cereals.

 A milestone was achieved in 1998 when “NESTLE PURE LIFE” bottled

water was premiered in Pakistan. Within a few years it becomes one of the
world’s leading brands of bottled water.

 In 2005 the GLOBE project is successfully launched, and is intended to

further cooperation and information sharing with Nestlé companies around
the world.

 Today Nestlé is fully integrated in Pakistani life, and are recognized as

producers of safe, nutritious and tasty food.

.
 CONCLUSION
 It is a relatively new Multinational on the Pakistani front
as compared to its competitor Unilever which has a lot bigger area
of operation and also manufactures food items. But it has
established a strong footing for itself in the food industry.
Apparently, there are no loop holes in the working of the
organization, but still some areas require more attention.

 Management has designed rules and regulations which are

supposed to be followed by everyone. Policies have been
formulated for major and minor issues both. Relationship with the
employees is maintained at a cordial level. Employees work with
commitment and dedication to achieve the best for the organization.
Job satisfaction soars at a high level.