Case study on kerry group Essay

IntroductionAs part of my business management assignment I stimulate been asked to investigate and evaluate the internal and external environment of an organization and the impact of change on an organization I in campaign on outlining the purpose, mission, vision , objectives and structure of this organization, explain the relevance of the flake of structure. Do a pest and swot depth psychology and evaluate the impact of change on the organization , I will be completing this assignment with the aid of the website , Kerry faregroup.com the internet and my class notes.AimsThe aims of this assignment are to lead I cover the following aspects Relevant information appropriately presentedUnderstanding and knowledge of chosen return clearly demonstrated Present relevant data and statistics that support my workComprehensive evaluation of root clearly demonstratedConclusions and recommendations bibliographyOrganisation typesI am going to explore the following giving medication types me nd TraderPrivate hold conjunctionPublic peculiar(a) CompanyCo-OperativeSole traderA sole trader is a type of business entity that whollyows oneness person to be solely amenable for the financial mickleings of the business. The benefits and disadvantages of being a sole traderAdvantages You are your own boss . watch your own working hours.Pick your rate of pay.Easy to set up.This form of business ownership has less regulations than other systems ofownership do. And another major benefit of operating as a sole trader is the ability to exert full control over the businessDisadvantagesUnlimited liabilityNo disgusted pay. every last(predicate) pressure and responsibility is on you.No one o cover you if mostthing happensIncome tax 20-41%No one to share decisionsSuffer any lossesPrivate Limited CompanyPrivate limited companies are viewed as corporations under the law and share several common characteristics with all corporations. However, private corporations are owned and wa ged by a small group of people. Beca subprogram of their structure, private limited corporations operate under a set of limitations not imposed on public corporations.AdvantagesA private limited company is run by a small group, Many of them members of a single family, that wishes to limit the charm of outsiders on its company. Because private limited companies are run by a small group, they are ordinarily not subject to takeovers and other challenges faced by public companies. The minmum required to set one upis 1 person and the max is 99.DisadvantagesProfit SharingTaxesLack of privacy, information concerning the company is made public.Public limited companyA company whose shares are traded on a business exchange and can be bought and sold by anyone. Public companies are strictly regulated, and are required by law to inconvenience their complete and true financial position so that investors can determine the true worth of its stock . Also called a plc Facebook is a reality forme d plc .AdvantagesThere is limited liability for the shareholders.The business has crash legal entity. There is continuity even if any of the shareholders die. These businesses can raise large capital inwardness as there is no limit to the number of shareholders. The shares of the business are freely transferable providing to a greater extent liquidity to its shareholders .DisadvantagesThere are lot of legal bits and pieces required for forming a public limited company. It is addressly and time consuming. In order to protect the interest of the ordinary investor there are strict controls and regulations to comply. These companies arrest to publish their accounts. The original owners may lose control.Public Limited companies are huge in surface and may face management problems such as slow decision making and industrial dealing problems. Co-OperativeA co-operative is a group of people acting together to meet the common needs and aspirations of its members e.g the creed union, sharing ownership and making decisions democratically. Co-operatives are not about making big profits for shareholders, exclusively creating value for customers this is what gives co operatives a unique character, and influences our values and principles.AdvantagesIt is usually inexpensive to register a cooperative.All members and shareholders must be active in the cooperative. Shareholders have an equal vote at general meetings disregardless of their shareholding or involvement in the cooperative. Members, other than directors, can be under18, though these members cannot stand for responsibility and do not have the right to vote. Shareholders, directors, managers and employees have no responsibility for debts of the cooperative unless those debts are caused recklessly, negligently or fraudulently. A cooperative is owned and controlled by its members, rather than its investors.DisadvantagesThere must be a minimum of five members.There is a usually a limited distribution of surplu s (profits) to members/shareholders and some cooperatives may prohibit the distribution of any surplus to members/shareholders. Even though some shareholders may have a greater involvement or investment than others, they still only get one vote. busy and direct involvement of members/shareholders in the cooperative.These bullet points and definitions where all found in my class notes and I as well as used www.cro.ieKerry Foods baseThe company I am going to focus on will be Kerry foods group the history of the organisation traces the evolution and growth of Kerry Group from its modest beginnings in the south double-u of Ireland some 30 years ago into a successful, publicly traded, multinational corporation and spark advance pseud in the global food industry. Having commenced operation from a green field site in Listowel, Co. Kerry in 1972, the Kerry organisation has realised sustained profitable growth with current annualised sales of approximately 5.8 billion, Kerry Group str aightaway is a world leader in food ingredients and flavours serving the food and potable industry, and a leading supplier of added value brands and customer mark foods to the Irish and UK trades.Kerry has grown to become one of the largest and most technologically advanced manufacturers of ingredients and flavours in the world. Spanning all major food categories, Kerrys core technologies and global resources in culinary, dairy, lipid, meat, cereal, invigorated and beverage systems andflavours provide innovative, practical product solutions to food manufacturers and food helper companies.PurposeKerry Foods operates in Ireland and the UK. they market there own brands across a wide range of categories and supply supermarket private tails in selected areas. they to a fault have become one of the leading chilled foods companies in the geography through A strong portfolio of brands, in which they continue to invest and grow unaired working relationships with retail customers to d evelop mutually successful, private label business An unrivalled national service to the independent convenience sector, in both the UK and IrelandMission affirmationKerry Group will be the world leader in food ingredients and flavours serving the food and beverage industry, and a leading supplier of added value brands and customer branded foods to the Irish and UK markets Through the skills and wholehearted commitment of ther employees, we will be leaders in our selected markets excelling in product quality, technical and marketing creativity and service to our customersWe are committed to the highest standards of business and ethical behavior, to fulfilling our responsibilities to the communities which we serve and to the creation of long-term value for all stakeholders on a socially and environmentally sustainable basis.VisionGroup Goals & Long Term Targets Group revenue enhancement +2% to +4% (LFL) volume growth Margin 10% Group margin in 5 years Adjusted EPS* 10%+ ROAE* 15% + and CFROI 12%+ObjectivesKerrys Sustainability Programme represents a journey of unvarying improvement an ongoing process and system to secure sustainable growth. Sustainability is at the heart of our business strategy and enshrined in our corporate mission statement.As a world leader in ingredients & flavors and as a major consumer foods organization in Europe, Kerry aims to conduct its business in a responsible and sustainable manner.This demands a holistic approach to Group activities involving close liaison with our customers, suppliers, regulatory authorities, employees and other relevant stakeholders.Our Kerry Group Sustainability Council appraises, directs and provides leadership in promoting industry best practice sustainability program throughout the Group. Its membership intromits Directors of Group functions with responsibility for all pillars of Kerrys Sustainability Programme.Structure of the organizationBusiness structureThe Group is divided into several divisions Kerry Ingredients & Flavours is the largest division producing over 15,000 ingredients, flavours and co-ordinated solutions from more than 125 manufacturing sites worldwide. It claims to have become the largest and most technologically advanced provider of technology-based ingredients, flavours and integrated systems. Kerry Foods supplies added-value branded and customer branded food products to supermarket chains, convenience stores and independent retailers across the UK and Ireland. It has 15 manufacturing facilities all in Ireland and the UK.Products imply sausage, sliced bacon, sliced meats, pastry products, ready meals, ready-to-cook products, savoury snacks, cheese, cheese snacks, dairy spreads, low-fat spreads, UHT products, home-baking products, salads, sandwiches and fruit juices.Consumer branded products include in Ireland Denny, Galtee, LowLow, Dairygold, Cheestrings, Charleville Cheese, Shaws, Coleraine, Golden Cow, EasiSingles, Dawn, Roscrea, Kerrymaid, Golden Olive , Mitchelstown, Calvita, Ballyfree, Move over Butter and Freshways in the UK Richmond, Walls,Mattessons, LowLow, Cheestrings, Pure, Mr. Brains, Porkinsons, Bowyers, Lawsons, spirts and Homepride. Kerry Agribusiness is headquartered in Charleville, Co. Cork, and works with the Groups 4,000 take out suppliers in Ireland, to produce milk and related dairy products.Why have structures?Because it allows each sector to oranise itself.All businesses have to know what to doA clear structure makes it easier to understand the organisations objectives Organization chartWhat is a organisation chart?Companies use the organizational chart to pictorially depict their prevailing hierarchies, work flow and authority-responsibility diagrams. Small companies use suave organizational charts and large companies use tall organizational charts.FunctionThe main purpose in picture an organizational chart is to visually represent employee structures of the organization. One glance at the chart tells the viewer of all reporting to a particular employee and to whom he is answerable for work-related matters.FeaturesA tall organizational chart is one that is shaped like a pyramid. There are several layers and tiers of employees. This structure is narrow and the top and tolerant at the bottom.A flat organizational chart is wide and expansive all throughout. More much than not, the employees report directly to the top management. This is pictorially depicted by a flat organizational chart.ConsiderationsThe type of organizational chart that the company draws must be based on the type of trade it is into. It is not practical and feasible for largecompanies to have a flat organizational structure and chart. Large companies tend to centralize authority and departmentalize their strategic functions.Likewise, when small companies use the tall organizational structure and chart, they have to deal with greater bureaucracy and middlemens salaries.Is Kerry food group a flat or tall organisation ?Swot Analysis of Kerry GroupKerry Group, Plc.CategoryFood ProcessingSectorFood and BeveragesTagline/ SloganBrands that forfeitUSPIts worldwide facilities and unrivalled technical support network guarantees that its highly acclaimed ingredient systems and technologies are available to food processor or foodservice companies in all markets.STPSegmentBusiness segments Ingredients incorporating Culinary, Flavours andBio-Science, Consumer Foods, Agribusiness and DairiesTarget GroupAgribusiness Food sector, Animal feed sector, Drinks sectorConsumer Foods & Dairies Consumers of branded & private labeled food products billetCommitted to evolving food and developing brands that deliver, time and time againSWOT AnalysisStrength1. accomplished global processing and technical network with an ingredients portfolio extending to some nine thousand products to food processor and foodservice markets in over 120 different countries 2. Core technological strengths in savory ingredients, sweet ingre dients, food refinement systems, nutritional systems and specialty protein applications 3. An unrivalled national service to the independent convenience sector, in both the UK and Ireland 4. Close working relationships with retail customers to develop mutually successful, private label business5. One of the leading consumer brands in Ireland and EuropeWeakness1.Input cost volatility due to raw material pricing being impact by adverse crop production conditions 2. Limited market share and Pressure from competitive markets 3.Ingredients and Flavours market is highly fragmentedOpportunity1.Growth in demand for convenient ready-to-use foods to match modern lifestyles and for fresh ingrained food products 2.Growing Ingredients and Flavours market3. Tapping global capability via emerging markets & global customersThreats1.Food industry supply and demand issues2.Commodity cost inflationary momentum3.Impact of foreign exchange fluctuationsCompetitionCompetitors1.Associated British Foods Plc.2.Greencore Group Plc.3. Westbury Dairies LimitedPest analysis