Nestle (Draft)
Company Background
* Business Area and market share * Financial Highlights * Competitor * Issues * PROBLEM IDENTIFICATION 2,30,000 employees and 500 facilities in 80 countries to support the decentralized strategy it has 80 different information technology units that’s runs nearly 900 ibm as/400 mid range computers ,15 main frames , and 200 Unix system despite its size the company has had no corporate computer center local difference created inefficiencies and extra costs that could prevent the company from competing effectively in electronic commerce. the lack of standard business processes prevented it from obtaining lower prices for its raw material. at first project decide not to use sap’s supply chain software because that module was brand new and appeared to be risky the staff that would be directly affected by the changes were not included in the key stake holder team. the lower level worker did not understand how to use the new system and also did not understand the changes ,nobody was prepared for the new ways of doing things. Turnover among the employees who were to use the Manugistics software to forecast product demand reached 77 percent. Those who remained found it easier to use their familiar spreadsheets. the simultaneous installation of the y2k changes also caused some trouble.
Organization Chart
A Decentralized and Aligned Organization
As a decentralized organization, Nestle pragmatically implements the following organizational principles: * Being as decentralized as possible to optimally respond to the needs of consumers, within the framework defined by our fundamental policies, strategic directions and operational efficiencies. * Ensuring collaboration of all Nestle businesses and compliance with Nestle principles, policies and standards. * Building and maintaining a structure which assures operational speed, with a strong focus on results and removing unnecessary obstacles. * Establishing flat and
* Business Area and market share * Financial Highlights * Competitor * Issues * PROBLEM IDENTIFICATION 2,30,000 employees and 500 facilities in 80 countries to support the decentralized strategy it has 80 different information technology units that’s runs nearly 900 ibm as/400 mid range computers ,15 main frames , and 200 Unix system despite its size the company has had no corporate computer center local difference created inefficiencies and extra costs that could prevent the company from competing effectively in electronic commerce. the lack of standard business processes prevented it from obtaining lower prices for its raw material. at first project decide not to use sap’s supply chain software because that module was brand new and appeared to be risky the staff that would be directly affected by the changes were not included in the key stake holder team. the lower level worker did not understand how to use the new system and also did not understand the changes ,nobody was prepared for the new ways of doing things. Turnover among the employees who were to use the Manugistics software to forecast product demand reached 77 percent. Those who remained found it easier to use their familiar spreadsheets. the simultaneous installation of the y2k changes also caused some trouble.
Organization Chart
A Decentralized and Aligned Organization
As a decentralized organization, Nestle pragmatically implements the following organizational principles: * Being as decentralized as possible to optimally respond to the needs of consumers, within the framework defined by our fundamental policies, strategic directions and operational efficiencies. * Ensuring collaboration of all Nestle businesses and compliance with Nestle principles, policies and standards. * Building and maintaining a structure which assures operational speed, with a strong focus on results and removing unnecessary obstacles. * Establishing flat and