KELLOGG’S SUPPLY CHAIN

Presented by

S.M. Saifur Rahman

Tasmia Binte Rafiq

Juthy Roy

KELLOGG’S

World’s leading breakfast cereal manufacturer since 1906

Focuses on growth but with regard for its effect on the environment

CSR gives a long term, sustainable approach

Kellogg’s Global Code of Ethics shows its commitment to sustainable behaviour

SUPPLY CHAINAll parties involve in fulfilling customer request

Covers three sectors of industry –i. Primary (raw materials), ii. Secondary (manufacturing) iii. Tertiary (services)

Businesses aim to eliminate waste in the supply chain e.g. reducing carbon emissions, use of energy and water, improving packaging

KELLOGG’S SUPPLY CHAIN

Kellogg’s is not active in the primary sector but uses raw materials, e.g. corn, wheat, sugar

SECONDARY SECTOR

Kellogg’s specialises in the manufacturing area and uses partners for other activities e.g. transport, with Service Level Agreements

Its R&D programmes develop new recipes

It locates manufacturing plants near to its distribution partners for efficiency

KELLOGG’S WAY OF SUPPLY ITS PRODUCT

TERTIARY SECTOR

Kellogg’s relies on relationships with retailers to reach consumers, e.g. developing new displays for easier promotion of its products

o STOCK STORAGE AND TRANSPORTATION LINK THE THREE SECTORS OF INDUSTRY

o KELLOGG’S SHARES TRANSPORTATION TO REDUCE COSTS AND IMPROVE ENERGY USE

MANAGING THE SUPPLY CHAIN The marketing mix provides focus for

managing the supply chain

Kellogg’s manufactures the right products based on research

Controls production costs to keep prices competitive

Its partners manage the distribution and placing of products

It works with retailers to improve promotion of its products and reduce the cost of stock holdings

CONCLUSION Supply chain need to interact to ensure

goods or services reach consumers.

Specialization is more cost-effective for Kellogg’s

Partnering with other industry specialists reduces costs to the business, the customer and the environment.

Through effective supply chain management, it benefits itself, the environment and other businesses.

END

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