The Hult Business Challenge objective is to develop the most game-changing business idea imaginable and to convince stakeholders that you can make it happen. This consulting corporate challenge our client Bimbo Bakeries USA presented with challenges that they face in the real world. Two major challenges – Brand recognition and waste management. Developed a strategic solution by introducing the hi-tech vending machine to place products under one umbrella and production on penicillin from bread waste.
2. TRENDS
MILLENIALS & GEN Z
CONSUMERS
BIMBO
We are the nation’s leading baking
company.
Convenient shopping experience
Immediate accessibility to goods
People pay with credit cards, Apple pay, QR codes
Loyalty programs
Easier means of transportation
Connect with businesses (Share their opinions)
Eco Friendly
Offer more points of sales
Brand awareness (“Bimbo Umbrella brand”)
Predict consumer’s trends (AI)
Profits from bread waste collection
5. FEATURES
Artificial Intelligence
Cloud Server
Bimbo App
• Product suggestions and availability
Payment options: QR code
Language Options
Waste Collection Bin – Bread
• Rewards program – Promotions, Coupons,
Discounts
6. RESTOCK Delivery system similar to Postmates or Uber Eats
B2B delivers and Drop off
Drivers will pick up
products from the trucks
Restock of the V.MWarehouse
Drivers
Transportation Supermarket
7. FINANCIALS
Initial investment (21 V.M)
Vending Machine 96,600
App Developing Cost 200,000
Total Investment 296,600
Financial Forecast ($)
Revenues 20,300,730 261 working days
Logistic cost 796,050 $10/trip or $25/ASAP
AI & Other tech
costs
80,163
Bimbo’s loss - NYC 50,000,000
NYC
21 Vending
Machines
41%
JFK
1
MSG
2
Yankee Stadium
2
Grand Central
4
Penn Station
2
Manhattan
5
Brooklyn
5
750,000 Daily650,000 Daily
3%
8. WASTE
DISPOSAL Collect the bread
waste
“Awareness”
Collect the waste at
production (4%) and
store level (9%)
Costing Bimbo $20M
Americans waste 150,000 tons of food each day
One-third of all the bread made in America goes to
waste
Every year, consumers, businesses, and farms
spends $218 billion a year, growing, processing,
transporting, and disposing food that is never
eaten
9. OPPORTUNITY
Top companies recycle more than 85% of their waste.
Corporations, start-ups, governments, and universities
are collaborating on profitable solutions to our current
take-make-waste culture.
Use the mold of the
expired bread
Partnership with a
Pharmaceutical Company
Penicillin
11. Sales of penicillin $344M Worldwide
Shortage of Penicillin
Fermentation is the commercial technique for
penicillin
A shot of penicillin G costs between $0.20 and
$2.00
STATISTICS
Centrient Pharmaceuticals, Eurofarma &
Medifarma
Fermentation: Containers size 150-200m3
Production 15-50kg/m3 or 40-50kg/m3
Product
(Kg/m3)
Container
(m3)
Total Req.
(Kgs)
15 150 2250
40 150 6000
50 150 7500
12. “Bimbo's growth rate in China outpaces those of the US and other countries”
Pfizer: Sole provider of the medicine in the USA
• Unable to meet the country’s full demand due
to “manufacturing delays” in its plants
Sales of penicillin and other antibiotics is greater
than $15B per year
Penicillin International manufacturers
• North China Pharmaceutical Group, Semisyntech
Co Ltd, CSPC Pharmaceutical Group Ltd, Jiangxi
Dongfeng Pharmaceutical Co.
PENICILLIN
Grupo Bimbo completes
acquisition of China
baking group Mankattan
15. WHAT ARE WE SOLVING?
Adjusting to Customers’ needs
Offering more points of sales
Efficiently use its supply chain
Use of Technologies – AI
Food Waste