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Please provide a company overview of Kraft Heinz (http://www.kraftheinzcompany.com/), including the company’s values, purpose, mission, strategy, financials, and recent news.
Hello! Thanks for your question on an overview of Kraft Heinz Company, including information on its values, purpose, mission, strategy, financial and recent news.
The short version is that Kraft’s vision is “to be the best food company, growing a better world”. Its strategy towards achieving this vision is “Consumer First — Innovation — Integrity — Ownership — Quality”. The company values “ownership and meritocracy” within its culture and aims to build iconic brands, transform businesses and “grow a better world”. Kraft’s estimated annual revenues, as given by Owler, stand at $18.6 Billion. For the year ending 2016, Q4 net sales were $6.9 Billion, representing a 3.7% decrease from Q4 2015. Overall, net sales in 2016 were $26.5 Billion. Below you will find a deep dive of my findings.
METHODOLOGY
In order to determine an overview of the company, Kraft Heinz, an extensive research was done using academic databases, regulatory filings and trusted media sites. Research was done touching on each of the specified aspects, that is, company’s values, purpose, mission, strategy — whether brand, social or financial — financials and any recent news on company developments.
BACKGROUND
Kraft is a leading worldwide producer of quality food products. It is ranked fifth largest, among food and beverage companies globally and operates in over 40 countries. Some of its leading brands include Kraft, Heinz, Quero, Velveeta, ABC, Capri Sun, Plasmon, Oscar Mayer etc.
VISION
It was discovered that Kraft Heinz‘s vision is “to be the best food company, growing a better world”. In order to achieve this vision, Kraft makes use of the strategy, “Consumer First — Innovation — Integrity — Ownership — Quality”: It puts its consumers first, always working to “exceed their expectations”; it innovates by “taking informed risks, conquering challenges and making the world’s favorite foods”; it practices integrity by doing the right thing at all times, practices ownership by “thinking and acting like owners, making tough choices and recognizing exceptional performance”; it prides in offering quality goods and services to consumers. Its leadership team comprises “a world-class Board of Directors” and leaders with proven track records of performance. Kraft also engages in social responsibility programs such as environmental conservation and community development (through collaborations with “Stop Hunger Now” and “Feeding America”).
VALUES
Kraft values “ownership and meritocracy”, core elements of its culture. Through these values, it purposes to build iconic brands, transform businesses and “grow a better world”. The company also has a global Employee Code of Conduct that it applies to ensure that employees strive to perform business with integrity.
RECENT STRATEGIES
Another strategy that the company has used to advance its activities is a re-structuring of its marketing department into two teams made up of brand builders and business builders. The brand builders are more inclined towards marketing communications, while the business builders towards marketing outcome. It is expected that this should result in increased production for 2017. Other business strategies include product innovation to attract consumers who are health conscious, the starting of new stock keeping units within lines such as peanut butter and huge cost-cutting measures on the face of stagnant revenues.
FINANCES
Financially, Kraft’s estimated annual revenues stand at $18.6 Billion. Net sales for Q4 of 2016 stood at $6.9 Billion, a drop of about 3.7%, from Q4 of 2015. Also, organic net sales for Q4 of 2016, increased by about 1.6% relative to Q4 of 2015. The net income attributable to common shareholders stood at $944 Million in Q4, 2016, as compared to $285 Million for Q4, 2015. Total net sales for 2016 were $26.5 Billion.
RECENT NEWS
Recent news on Kraft Heinz reveal that the company acquired a new Chief Financial Officer, in the person of 3G Capital partner David Knopf; the company’s shares have mostly been flat on the news, generally dipping by about 6.5% for the year. Also, the company is increasingly innovating — it recently launched four organic drinks within the brand Capri Sun.
CONCLUSION
To wrap it up, Kraft Heinz is a leading global food producer with a vision of being “the best food company, growing a better world”. Its chief strategy towards achieving this vision is “Consumer First — Innovation — Integrity — Ownership — Quality”. It values “ownership and meritocracy” within its culture and aims to build leading brands, change businesses and “grow a better world”. Its annual revenue is approximated at $18.6 Billion. Thanks for using Wonder! Please let us know if we can help with anything else!