Nestle is a large multinational food and beverage company founded in 1866 that produces products ranging from baby food to adult food and beverages. It operates in over 186 countries around the world and has faced some challenges including boycotts related to its marketing of breast milk substitutes. Nestle's core competencies include innovation in products, processes and systems, operational efficiency, ensuring products reach customers whenever and wherever needed, and increased communication with customers.

1. The fresh and splendid products from
baby’s milk to adult’s comestibles
served by Nestle CIM
Assignment
Nestle
Group Members
M. FARAZ QURESHI
ZUBAIR AHMED
M.TALHA ADNAN
Instructor:
Sir Dr. Salman

2. Nestle Good Food Good Life
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What is “Nestle"?
Nestle organization is vast field of producing food and beverage products
used in whole blue planet earth. Nestle has created enormous number of
beverage products which are as common as breath.
A brief history of Nestle:-
In 1866 Charles Page and George Page both brothers and Farine Lactie Henri
established Nestle and was formed in 1905 by merger of Anglo-Swiss Milk
Company in Vevey , Switzerland . During WWI the company was bolstered
up and in 2011, Nestle was listed No. 1 in the Fortune Global 500 as the
world’s most profitable corporation.
In Pakistan, Nestle was very first established in 1988, the motto of Nestle in
Pakistan as well as in rest countries is to scatter the healthy nutrition
products which cause healthy environment.
Contents
 External Challenges
 Current order qualifying criteria and order winning criteria
 Explain Core Competency with example
 Core competencies of Nestle
 References/Sources

3. Nestle Good Food Good Life
External Challenges and Problems faced by Nestle
Food industry challenges:
Since the competes of company are developed and the market of the
company curtails by facing certain problems among which food industry
challenges within the company or in external environment are produced
which cause decrement in productivity.
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4. Nestle Good Food Good Life
Winning Talent:-
The Nestlé Academy is a response to a number of issues facing Nestlé UK.
There was an increasing turnover of high-potential people, with a
potential impact on the pipeline for senior management positions,
coupled with a manufacturing workforce, more than half of whom will
retire in 15 years. Economic pressures mean that young
people in the UK are looking at more flexible entry points
into work and options to “earn while they learn”.
The Nestlé Academy recognised these challenges and the need for
different approach to the attraction, development and retention of the
brightest andbest for Nestlé. The Academy is developing a culture of
lifelong learning across the organisation so that all employees can achieve
their potential.
Nestlé boycott:-
A boycott was launched in the United States on July 7, 1977, against the
Swiss-based Nestlé corporation. It spread in the United States, and
expanded into Europe in the early 1980s. It was prompted by concern about
Nestlé's "aggressive marketing" of breast milk substitutes, particularly in less
economically developed countries (LEDCs), which campaigners claim
contributes to the unnecessary suffering and deaths of babies, largely
among the poor.[1] Among the campaigners, Professor Derek Jelliffe and his
wife Patrice, who contributed to establish the World Alliance for
Breastfeeding Action (WABA), were particularly instrumental in helping to
coordinate the boycott and giving it ample visibility worldwide.
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5. Nestle Good Food Good Life
Problems and challenges faced by Nestlé in Pakistan
Demographic External factor
More the education more will be the awareness about brand and quality food.
If the income level of people is high then purchasing power will be high so they will
purchase more
Nestle products are made for people belonging from all age groups
Both male and female are included equally in its target market.
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Technological environment
Technological environment is changing rapidly
Most dramatic force shaping company’s offerings and the way product is marketed
Company’s must keep up with technological changes to match up with its
environment
Legal environment
Registered in the stock exchanges of Pakistan
Political environment
Government regulations to protect interest of society and from unfair business
practices
Unstable political conditions
Law order situation getting worse

6. Nestle Good Food Good Life
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Economic environment
If the inflation rate is high then there will be decrease in purchasing power. so
inflation indirectly affects the company’s sale.
Nation varies greatly in its level and distribution of income
Changes in major economic variables such as income, cost of living, interest rate and
savings have a large impact on the market place
Order Qualifying And Order Winning Criteria
Socially Responsible Company.
Innovative and constantly growing product line.
NML launched 17 new products, including variants of existing products in recent past.
Sales force is the major resource strength in terms of physical resources of the
Periodic research carried out to judge market trends.
Multinational:- The world dominant food and beverage organization
Growing Sales and profits:- Enormous and plenty of profits are acquired.
Major shareholder in the food industry of Pakistan:-
Pakistan has been among well known countries using Nestle products.
Aggressive Marketing:- Sharp marketing with robust criteria is developed
Quality Products:- Products from baby’s milk to adult’s diet beverage are yielded
Solid Financial position:-
Appointment holder gets economic and financial privilege
Strong supply chain network
Qualified work force
Commitment to High Quality Products

7. Nestle Good Food Good Life
Core Competency
Core competency is the unique characteristics of individual company, brand
or an organization which distinguishes the attributes from other
corresponding companies.
A core competency is a company's unique characteristic or capability that provides
it a competitive advantage in the marketplace, allows it to deliver value to its
customers, and contributes to its continued growth. Core competencies typically
comprise fundamental knowledge, ability or expertise in a specific subject area or
skill set, allow a business to reach a wide range of markets, and cannot be easily
replicated by competitors
Example:- The comestibles and edible stuff of certain company have its own
core competency, take for example coke
 Brand Name and Loyalty
 Distribution and Manufacturing Networks
 Order criteria
 Customer wants
 Flexibility
 Multidirectional usage
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8. Nestle Good Food Good Life
Core Competencies of Nestle
Nestle has created a future road-map, which has facilitated a very strong alignment within the company
itself and a scope for soul searching, which has further presented it with a clear idea of the true identity its
destination and the avenues that should be chosen to achieve it. The people at Nestle are more capable to
live up to their potential and uplift the company to towering heights to deliver the promised “good food
and life” to the consumers. In other words, the core competencies of the company, discussed below, would
be sharpened even more now (Nestle Road Map, 2012).
Innovation and Renovation:-
The Company has strategically planned to sharpen its inherent capability
of “Innovation and Renovation” even further. This indicates innovation in
terms of its products, processes and systems. Innovation signifies the
introduction of new, path-breaking products to the Nestle portfolio, while
renovation signifies rejuvenation/revamping of already existing product/s.
The heart of the idea is to add up an element of excitement to the brands.
The road-map calls for the existing supply chain to be the best in the
industry, in order to ensure that the freshest raw materials create the
best products and they reach the customers in the fastest possible time
Operational efficiency-
This calls for a comprehensive elimination of wastage, enhanced
effectiveness, amplified efficiency and an improvement in all the operational
facets, which is an improvement upon the current core competency.
Ushering in innovative products via the innovative path is the aim.
However, Whenever and Wherever – Ensuring that the products reaches the
customers whenever, however and wherever they might need these. This
should occur even faster than they do now.
Increased Customer Communication – Addition of more dynamicity in
customer communication, making them aware of all the new happenings
at Nestle. Establish a two-way communication channel, so that customer
feedback and product experience can be used to develop the new and
innovative products.
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9. Nestle Good Food Good Life
It is imperative for Nestle to be a master at all the above mentioned core
competencies (a cut rise above the current competencies). These are the
key factors which would drive customer interaction, operational
excellence and development of products with simultaneous quality and
renewal. The result would drive Nestle at being more customer-centric,
performance acceleration and overall astuteness, as far as execution is
concerned.
References
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www.wikipedia.com/nestle
www.nestle.com
www.nestle.pk
www.facebook.com/nestle
www.twitter.com/nestle
www.google.com/nestle
PDF-PPT-MSWord internet files
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