TUTOR 4
1. Compare the accomplishment of the organisations of your choice with other MAKES/FORBES organisations
2.List their similarities and differences that enable
them (Nestle & Pepsi.co) to be listed in FORBES
3. Does the organisation develop its model of communities of practices?
4. In your group, create a story that could be useful to promote your organization. Follow closely the process of developing skills of storytelling
Nestlé SA is a nutrition, health and wellness company, which engages in the manufacture, supply and production of prepared dishes and cooking aids, milk-based products, pharmaceuticals and ophthalmic goods, baby foods and cereals. The company products portfolio includes powdered and liquid beverages, water, milk products and ice cream, nutrition and health science, prepared dishes and cooking aids, confectionery, and pet care. It operates through the following segments: Zone EMENA, Zone Americas, Zone Asia, Oceania & Africa, Nestlé Waters, Nestlé Nutrition, and Other Businesses. The Other Business segment is comprised of Nespresso, Nestle Health Science and Nestle Skin Health. The company was founded by Henri Nestlé in 1866 and is headquartered in Vevey, Switzerland. Throughout its decades of operation, recently Nestle also ranked 46th in the Global 2000 2022 Forbes List where Forbes Global 2000 ranks the largest companies in the world using four metrics: sales, profits, assets, and market value. Thus, Nestle's four metrics data on the Forbes website show that they ranked 86th in Sales, 36 in Profit, 272th in Assets and 19th in Market value. Nestle has a reputed brand name as the most renowned brand in the world. It has developed a respected reputation in the food and beverages sector offering high-quality products for everyday use across the globe. Not only that, Nestle has well-established relationship and brand names worldwide as Nestle has some of the world’s most recognized brands under its name such as Nescafe, Kit Kat, Gerber, Milo, and Maggi. Besides, it has well-established relationships with other trusted and powerful brands like Colgate Palmolive, Coca Cola, General Mills, and L’Oréal. this. On this day, Nestle still operate as a well known big-company and they promise to provide “Good food, good life” as that is what they stand for.
i. Build the architecture
Nestlé Headquarters, Italy- architectural design by Park Associati is based on an analytical approach to the articulated system of access to the Milanofiori Nord area, the pedestrian walkways and roads, climatic factors relating to the context and the goal of properly integrating the building into the overall masterplan.
Its position as a link to an area of forest towards the north led to the development of a complex that while being based on a closed courtyard layout, enables a visual permeability to be maintained in terms of the routes that surround the building.
The building has been designed in such a way as to create a visual continuity between the natural landscape of the wood at the north and the designed landscape of the site itself. The courtyard, reserved for users of the building, relates to the external landscape and is conceived as a kind of “secret garden
ii. Invite the master craftsmen
DIFFERENCES
SIMILARITIES
Nestle: An ongoing coffee innovation and craftsmanship
3) Large distribution system
2) Reputed brand name
The coffee segment has always been a key market for Nestlé. Nespresso is demonstrating its expertise and innovation bringing back highly exclusive Special Reserve Hawaii Kona coffee.
Tie-Ups
Environmental sustainability practices
Nespresso’s coffee experts challenged themselves to bring Hawaii Kona’s remarkable sensory experience to its UAE consumers as a Special Reserve after a successful initial launch in the US back in 2012.
Nespresso’s coffee experts carefully controlled the roasting and the grinding of this coffee to enhance its aromatic notes and finest flavors when consumers extract the cup.
iii. Get the workers’ acceptance
Nestle employees are at the heart of being a ‘force for good’.
Nestle employee are working hard to create a healthy, positive and ethical working environment – one that empowers employees, brings benefits to individuals and helps us as a business. They are building on the progress we have made to improve cultural diversity and inclusion, toward a workplace that is gender-balanced and offers equal opportunities for people with disabilities.
Nestle employee health vision aims to inspire and empower their people to choose a healthier life, while respecting the principles of privacy and personal choices, in an environment of caring leadership.
Nestle work collaboratively with their employees, their representatives and external labor stakeholders to contribute to the business's success. These relationships have been particularly important during the pandemic to ensure the safety and well-being of our employees while managing business continuity and supporting local communities.
Nestle (Forbes)
- Nestlé was ranked 1st out of 25 global food and beverage manufacturers in the 2021 Access to Nutrition Index (ATNI) and the 2018 Access to Nutrition Index ( ATNI )
- In 2020, Nestle is the world’s largest food company, holding onto the top seat in the industry as sales of its frozen staples
- In 2021, with $89.9 billion in annual sales and $13 billion in profits, Switzerland-based Nestlé is the 39th largest company in the Global 2000, and it remains the biggest food and beverage company in the world
- In 2014, Nestlé Wins At Social Storytelling By Combining Purpose And Product
- Nestlé was ranked among Corporate Knights’ 2018 Global 100 Most Sustainable Corporations in the World.
Pepsi.co (Forbes)
- In 2021, PepsiCo won for Best Global Culture 2021
- In 2020,PepsiCo won for Best Leadership Teams 2020
- Named among America's Best Large Employers in 2021 and 2022
- PepsiCo was featured on the Global 2000 Leading Companies list (2021)
- PepsiCo was named among World’s Best Employers in 2020 and 2021
- In 2020, PepsiCo’s Paula Santilli named #66 among Forbes’ The World's 100 Most Powerful Women
1) Well-established relationships and popular brands
Nestle owns an extensive and diversified distribution system that is not only penetrated in urban areas but also rural regions. It has adapted local distribution methods and decentralized approach to run the business efficiently in respective countries. Nestle has strong relationships with suppliers, retailers, vendors, and distributors.
Pepsi has a global presence in more than 200 countries providing them with a very good distribution network.
Nestle has some of the world’s most recognized brands under its name such as Nescafe, Kit Kat, Gerber, Milo, and Maggi. Besides, it has well-established relationships with other trusted and powerful brands like Colgate Palmolive, Coca Cola, General Mills, and L’Oréal.
PepsiCo has an extremely loyal customer base. In its beverage category all its soft drinks have an iconic taste and that’s why their customers do not prefer to shift brands. They have emerged as a very strong brand when it comes to juices and bottled water category. Frito-Lay has been one of the top-selling brands in the world with brands under it such as Doritos, Lay’s, Funyuns, Uncle Chips, Cheetos, Tostitos and Walkers. They had managed to grab 6 slots in the top 10 global snack brands with topping the charts (all 3 spots) as well.
Pepsi.co is one of the most prominent and famous brands in the world in the food and beverage sector. It is also known as the brand of youth. It has a high brand recognition and reputation. It has a brand valuation of $19.4 billion and it is ranked 29 in the Forbes most valuable brands list.
Nestle is the most renowned brand in the world. It has developed a respected reputation in the food and beverages sector offering high-quality products for everyday use across the globe.
Pepsi.co have tie-ups with sports events and music concerts which keeps them in the lime light and thereby increasing the brand recall. They have sponsorships to major sports teams thereby standing with what the brand is known for, youth and energy.
Nestle puts substantial efforts in environmental sustainability practices and take innovative initiatives in improving its quality of products. It optimizes advanced solutions to reduce waste, water usage, non-renewable energy use, and packaging material usage. In 2017, 253 of Nestle factories reached zero waste production. The company announced in January 2020 that it will invest $2.1 billion to tackle plastic waste and aims to shift from virgin plastics to sustainable packaging.
Clear target audience
Extensive product portfolio
Nestle owns more than 2000 brands globally and renovated over 8000 products for nutrition and health considerations, according to its Annual Review 2017. It is one of the worlds’ biggest companies with the broadest product portfolio. In 2020, Nestle owns some of the companies offering pet food, frozen foods, baby food, vitamins, and many more. It also has a big Starbucks licensing deal.
Pepsi, unline Coca Cola has always had a clear target audience – the young crowd. It always targets youngsters through its ads and generally the youngsters are shown to be smarter then the old ones. The message is clear – Pepsi is the in thing.
How do you think local companies could leverage knowledge management in the organisation of your choice so that they can be : the leader in their industry?
KNOWLEDGE SHARING
KNOWLEDGE UTILIZATION
KNOWLEDGE ACQUISITION
In order for our local companies could leverage knowledge management in the organisation and be the leader in their industry they must implement the basic of knowledge acquisition which a form of knowledge that can be obtain from an external source such as suppliers, customers, competitors and partners. For example, our local companies cancan follow the knowledge acquisition implemented by Nestle that is provide customer services that aim to get feedbacks from customers against any dissatisfaction or improvement that Nestle can provide.
Besides that, our local companies also could leverage knowledge management in the organisation through knowledge sharing which require them to spread the right knowledge, content or the right sources available at the right place at the right time. for example, Nestle provide nutrition information and responsible marketing to the customer as a form of knowledge sharing. This form of knowledge sharing is what our local companies have been lacked of since there are still local companies that sell products without proper, clear and transparent labeling on the product ingredients despite their claim on the proudct.
on the other hand, knowledge utilization is where knowledge is being used to make decision and perform tasks through direction and routines. Through knowledge utilization our local companies can transfer knowledge from an expert to another worker from an underlying of directions. The implementation indirectly can increase knowledge in the organisation and improve employee performance.