Free Essay

Campbell Soup Company

In:

Submitted By jb843
Words 1375
Pages 6
Background:
Campbell Soup Company is a large food processing company headquartered in Camden,
NJ, whose product lines include soups, vegetable juices, spaghetti products, frozen dinners, and baked goods. With revenue of $4.5 Billion in 1987, Campbell’s soup division accounted for 35%
($1.6B) of this revenue and was an established market leader in the condensed and (canned) ready­to­serve (RTS) soup segments.
In response to demand for higher quality “convenience foods,” Campbell’s then CEO
Gordon McGovern responded by championing the
New Products and Markets division with preliminary emphasis on frozen entrees, but ultimately shifted focus to Microwaveable
“shelf­stable” soups. Since the
New Products and Market division’s revenue was estimated to increase from $650M to $3B by 1992, their internal strategy was to respond to this demand to maintain dominance in the soup market.
To accomplish this goal as well as improve overall company management, McGovern revamped technical capabilities in three areas: R&D, packaging, and engineering. The first step was the decentralization of manufacturing into five regional facilities to offer greater manufacturing flexibility. Research & Development was then subdivided into the Campbell
Institute for Research and Technology (CIRT) and the Containers and Capital Improvement
Division (CCID). CIRT focused on agriculture, process, and product development, while CCID’s focus was real estate, packaging, and engineering. Finally, processes were established for engineering programs and projects, from initial proposal through the stage where the manufacturing plant assumed responsibility (see Exhibit 4).
Parallel to reorganization and process implementation, Campbell began pursuing their
Microwaveable soups line in 1983 upon approval of a $10­million­dollar proposal to design and build the Plastigon production line. Customer surveys and focus groups helped Campbell hone in on desired packaging requirements including an easy open top, handles to prevent user injury, a
“table ready” appearance, and the ability to be microwaved.
Installation of the line began in the Maxton, North Carolina plant in 1984 and involved six distinct engineering systems. Over the next four years’ equipment was ordered, installed, and tested. By 1987 the production cycle had its first successful run (Exhibit 6), however there were still major obstacles to overcome. During the development of Plastigon, Campbell also delved into other microwaveable technologies, such as their DRG program, whose characteristics were similar to their competitor’s (Chef Boyardee/Hormel/Dial) microwaveable lines (pg. 10).
In early 1988, after four years of significant effort and resources were allocated to the
Plastigon program, the line was not running efficiently or fully functional. Gardner summarized several key program issues in a memo to Elsner, for example “the inability of the line to run as a complete system” and the engineers being “in each other’s way.” He recounts the design flaws with the filling equipment which created spillage leading to sealing problems.

Problem Statement:
The decentralization of Campbell’s business units inhibited the ability to implement new product development. The plants and employees were not incentivized to allocate their resources to developing an entirely new production line, such as Plastigon.
When McGovern decentralized the company to help the regional manufacturing centers become more self­sufficient in the early 1980’s, an unintended outcome was that the company­wide projects like Plastigon were not prioritized by the plants and therefore were not allocated sufficient resources
. For example, the engineers tasked with working on the project often found themselves “short of [the] support staff [needed] to run the line because the plant did not want to devote operators and management time” to an experimental project (pg. 7).
Other issues with Plastigon arose from a lack of communication within the firm as well as with the suppliers.
Each of the process engineers worked independently with suppliers to develop new equipment for their specific section of the line. The division of the project development resulted in the engineers not being present at the plant at coinciding times so that the production line typically could not be tested in it's entirety. he absence of a formal project manager allowed
T
for a lack of accountability and resulted in minimal communication between parties
. Employee sentiment was that “no one at the plant was really committed to the line” and that as the launch grew closer “they wanted to be less and less involved” (pg. 8). This caused many issues in developing and debugging the production line such as splashing from the filling equipment was affecting the container seals.
The communication with outside suppliers issue materialized itself when many of the “first of a kind” pieces of equipment were not delivered by the vendors exactly as promised (pg. 7).
However, the biggest problems faced by Campbell were caused by their lack of internal communication and a systematic approach to developing a new product line. Potential Solutions:
As vice president of engineering systems, Jim Elsner has several available options that would allow Campbell Soup Company to improve new product development:
● A localized project manager responsible for tracking a program from beginning to end, capable of holding every other member of the team accountable
○ Pro: This would avoid problems resulting from lack of communication
○ Con: internal turnover due to frequent relocation resulting in loss of momentum and information
● A centralized R&D division with dedicated resources
○ Pro: eliminates people being pulled in from other departments for input and having them work only a few hours a week per project, maintaining project timeline and focus. Reduced company travel time leading to retention of employees.
○ Cons: cost of reworking company organization while simultaneously dealing with current projects

● A more streamlined program validation process, cutting down on meetings and delayering
○ Pro: Shortens time to market
○ Con: Fewer opportunities for group collaboration and conceptualization
● Incentives for plant managers to allocate resources to experimental lines, to ensure delays in set­up are not due to lack of workforce or lack of involvement.
○ Pro: incentivizes knowledge sharing and cross training of employees
○ Con: difficulty in overcoming inertia and changing the entire company culture ● Safeguards for production tests to prevent shipping test products, allowing for full scale testing. Safeguards could include anything from locked loading bays to colored dye in the product to identify that it must not be shipped.
○ Pro: enables full scale testing of the entire production line
○ Con: immediate and localized solution; does not affect project management as a whole at Campbell Soup Company. Recommendation:
After close examination of the obstacles Campbell faced with Plastigon and analysis of potential solutions, it is recommended that Elsner centralize the research and development team and their resources. Eliminating the distance between functional groups of task forces erases the likelihood of frequently missed meetings and increases communication and accountability. (pg. 5)
Additionally, resources would be streamlined to individual project focuses as a whole rather than creating both directional and financial divides among sub­departments of engineers. (pg.8)
Plastigon, albeit not perfect in initial design and overall execution, proved invaluable for
Campbell’s small project and large program management. Elsner stated “what we do about
Plastigon could set a pattern for what we do with those larger issues.” (pg. 12) The disorganization of Plastigon’s management brought to light serious underlying issues with their approach towards managing development.
The resources of Plastigon were not allocated efficiently, which led to installation and operation delays. The sub­projects of Plastigon were scattered far apart rather than consolidating them so errors could be detected at the source. Their mismanagement came to fruition when the production line for Plastigon was unable to be tested in its entirety as a result of poor communication and planning. When executing a large program such as Plastigon, the entire company needs to support and be aware of the progress. Many of the concerns with the program were rooted in the disjoint between Campbell upper management, project engineers, and plant workers. Creating a centralized flow of information and research development will lead to greater transparency and facilitate more employee input. The greatest error Campbell made as a growing company was allowing physical expansion without accounting for project management evolution.
If they can re­engineer the way they approach project planning and company wide communication, then every mistake and success of Plastigon will be worthwhile.

MEMORANDUM

TO: JIM ELSNER
FROM:
Henri Aldorf, Joseph Bosso iane Dennis, Emily Murray
,
D
DATE:
3 SEPTEMBER 2015
SUBJECT: AMPBELL SOUP ­ PLASTIGON
C

Similar Documents

Free Essay

Case Analysis Campbell Soup

...Case
Analysis
Campbell
Soup
Ltd.
 
 
 
 University
of
Toronto
 
 Date:

03/25/2009
 Name:
Philipp
Muedder
 ID:
997242176
 Course:
MGT492
 Lecturer:
J.
Klakurka
 Assignment:
Case
Analysis
 
 
 
 
 Table
of
Content
 
 
 
 
 
 
 
 
 
 
 
 Page
#
 
 1. Introduction………………....…………………………………………………………………………...3
 2. Campbell
Soup
Ltd.
History………………………………………………………………………..4
 a. The
Cooperation……………………………………………………………………………..4
 b. Campbell
Canada…………………………………………………………………………….6
 3. Analysis…………………………………………………………………………………………………….7
 a. SWOT
Analysis.………………………………………………………………………………7
 i. Strength………………………………………………………………………………8
 ii. Weaknesses……………………………………………………………………….10
 iii. Opportunities…………………………………………………………………….11
 iv. Threats……………………………………………………………………………...14
 4. Recommendation……………………………………………………………………………………15
 5. Conclusion……………………………………………………………………………………………...16
 6. Reference……………………………………………………………………………………………….18
 7. Appendix………………………………………………………………………………………………..19
 
 
 
 
 
 
 2
 1.
Introduction
 The
case
analysis
of
my
assignment
deals
with
the
worldwide
known
firm
Campbell
 Soup
Ltd.,
which
is
a
food‐processing
firm
with
its
headquarters
located
in
Camden,
 New
Jersey.
 In
the
case
we
follow
the
role
of
David
Clark
who
is
the
CEO
of
the
Campbell
Canada
 division,
we
will
get
a
chance
to
see
what
important
factors
play
a
role
in
running
 such
a
large
company
and
what
complex
and
strategic
decisions
have
to
be
made
in
 ...

Words: 4330 - Pages: 18

Free Essay

Cambell Soup

...COMPANY PROFILE Campbell Soup Company REFERENCE CODE: 1E215749-9BC6-410C-90DC-D4B7011D92AB PUBLICATION DATE: 10 Jun 2014 www.marketline.com COPYRIGHT MARKETLINE. THIS CONTENT IS A LICENSED PRODUCT AND IS NOT TO BE PHOTOCOPIED OR DISTRIBUTED. Campbell Soup Company TABLE OF CONTENTS TABLE OF CONTENTS Company Overview..............................................................................................3 Key Facts...............................................................................................................3 SWOT Analysis.....................................................................................................4 Campbell Soup Company © MarketLine Page 2 Campbell Soup Company Company Overview COMPANY OVERVIEW Campbell Soup Company (Campbell or 'the company') manufactures and markets foods and simple meals, including soups and sauces, baked snacks, and healthy beverages. The company operates in North America, Europe, Asia Pacific and Latin America. It is headquartered in Camden, New Jersey and employed about 20,000 people as of July 28, 2013. The company recorded revenues of $8,052 million in the financial year ended July 2013 (FY2013), an increase of 12.2% over FY2012. The operating profit of the company was $1,080 million in FY2013, a decrease of 6.5% compared to FY2012. The net profit was $458 million in FY2013, a decrease of 40.8% compared to FY2012. KEY FACTS Head Office Campbell Soup Company 1 Campbell Place...

Words: 2200 - Pages: 9

Premium Essay

The Ceo Institute

...The CEO Institute Bill Knaust BUSI 630 FHSU “An effective training program needs a high-quality program design to maximize trainee learning and transfer of training. Program design refers to the organization and coordination of the training program.” (Noe, p. 193) Doug Conant became CEO of Campbell’s Soup in 2001 in the midst of a tumultuous time for the company. Campbell’s Soup stock was hitting rock bottom and “in Conant’s words, the company had "a very toxic culture." Employees were disheartened, management systems were dysfunctional, trust was low, and a lot of people felt and behaved like victims” (Duncan, 2014). To change the culture, Conant implemented the CEO Institute to “create a meaningful leadership experience for its participants” (Noe, p. 228). The design elements of the CEO Institute follow the three phases of the program design process. Using the design process allows Campbell’s to teach and train employees through learning which refers to a permanent change in human behaviors, and competencies that are not the result of growth processes. Transfer of training refers to trainees effectively and continually applying what they have learned in training to their jobs. (Noe, 152) This entire process is based on the adult learning theory, how adults learn. Phase 1, pre-training, involves preparing, motivating, and energizing trainees to attend the learning event. Phase 1 also involves ensuring that the work environment supports learning...

Words: 1567 - Pages: 7

Premium Essay

Business 500

...businesses I chose to research are Amazon, the more successful business in diversification, and the Campbell Soup Company, the less successful business in diversification. Amazon was launched in July 1996, by Jeff Bezos, and is one of the most frequently visited shopping sites on the Internet with over 12 million customers in 160 countries, employing 1,600 staff. Amazon.com is was one of the first companies to make the Internet safe for shopping by encrypting credit card numbers and storing them on separate systems. The original plan was to give customers access to an enormous selection of books many more than any single bricks-and-mortar bookstore could hold while, being free of the considerable time and expense required to build stores and warehouses and to purchase inventory (Hamilton, D., 2004). Amazon revenues, around $4 billion a year, and is growing by more than 20 percent annually. Marketing, inventory, and warehouse operating costs have been whittled nearly to the bone. Building nine high-tech warehouses, at a cost of about $50 million apiece, parlayed Bezos' idea into the phenomenon that is Amazon.com. While keeping the business at least for then from operating in profit. That changed around 2004 and stock prices have already risen more than 150 percent in anticipation of Amazon's first profitable year (Hamilton, D., 2004). Campbell Soup Company was founded in 1869, and is one of the leaders in manufacturing and marketing branded consumer food...

Words: 1536 - Pages: 7

Free Essay

Campbell Soup

...Campbell was founded shortly before the start of the Civil War. Abraham Anderson and Joseph Campbell began manufacturing canned vegetables and fruit preserves. In 1976, Campbell bought out Anderson’s interest and renamed the firm the Joseph Campbell Preserving Company. Later, Arthur Dorrance was Campbell’s new partner. In the early 1920s, John Dorrance, Arthur Dorrance’s nephew, was the sole owner of the Campbell Soup Company, which was the largest producer of canned soup products. Unfortunately, as the twentieth century was coming to a close, the nation’s appetite for condensed soup products was waning. The weakening demand prompted the company’s executives to use an assortment of questionable business practices and accounting schemes to enhance the company’s reported earnings.     Campbell stockholders filed a series of lawsuits in late 1990s. The alleged scams included trade loading, improper accounting for loading discounts, shipping to the yard, and guaranteed sales. The plaintiffs in the class-action lawsuit filed against Campbell Soup Company and its top executives eventually added Pricewaterhouse (PwC), Campbell’s independent auditor, as a defendant in the case.     To allow a lawsuit filed under the 1934 Security Act to proceed against a defendant, a federal judge must find that the plaintiffs have alleged or “pleaded” facts “to support a strong inference of scienter” on the part of that defendant. After completing the review of PwC’s audit workpapers, judge Irenas...

Words: 440 - Pages: 2

Premium Essay

Finance

...Campbell Soup Company 1 Campbell Place Camden, NJ 08103-1701 March 23, 2011 Dear Colleagues: Mr. Edmund Carpenter; Mr. Paul Charron; Mr. Douglas Conant; Mr. Bennett Dorrance; Mr. Harvey Golub; Mr. Lawrence Karlson; Mr. Randell Larrimore; Ms. Mary Alice Malone; Ms. Sara Mathew; Ms. Denise Morrison; Mr. William Perez; Mr. Charles Perrin; Mr. A Barry Rand; Mr. Nick Schreiber; Mr. Archibold van Beuren; Mr. Les Vinney and Ms. Charlotte Weber, On behalf of The Distasio Consulting Company, we are deeply honored and privileged to conduct an in depth analysis of the business climate for the Campbell Soup Company. In this report, you will find a complete SWOT analysis, including the strengths, weaknesses, opportunities and threats of the company, an examination of the company’s stock ownership and a financial analysis through the last five years within the industry. The report includes a variety of inquiries that will prove to be imperative to survive in the corporate world. The analysis includes several studies including the environment in which Campbell’s operates in, the performance of the company based on its financial ratios, the performance of the company on the basis of the trend analysis of the financial ratios and Campbell’s Soup benchmarked against other competitors in the industry. Once again, our firm is greatly appreciative of this opportunity to work with your world-renown corporation. Campbell’s has been an industry leader for many decades and will continue...

Words: 5286 - Pages: 22

Free Essay

The Ceo Institute at Campbell's Soup

...The CEO Institute at Campbell Soup Benjamin Stern Organizational Training and Development BUSI 531 Columbia College Under the leadership of Douglas Conant, Campbell Soup instituted a program known as the CEO Institute (Duncan, 2014). Conant saw a need to develop and engage employees since “the company had ‘a very toxic culture.’ Employees were disheartened, management systems were dysfunctional, trust was low, and a lot of people felt and behaved like victims” (Duncan, 2014). Recognizing that employment engagement was part of the problem, Conant sought to transform the culture of Campbell Soup. “When Conant first entered the scene, employee engagement was extremely anemic: for every two people actively engaged, one person was looking for a job” (Duncan, 2014). Conant knew that workers "won’t be personally engaged unless they believe their leader is personally engaged in trying to make their lives better" (Duncan, 2014). The CEO Institute arose out of the need to inspire such leaders and bring about a transformation in Campbell Soup’s culture. “The goal of the CEO Institute at the Campbell Soup Company is to “create a meaningful leadership experience for its participants” (Noe, 2013, p. 228). “The CEO Institute is a unique, intensive, two-year program only open to 20-24 participants per year. Candidates must be submitted for consideration by their business unit president or functional leader” (Newell, 2011). Upon their selection, “each participant is required to handwrite...

Words: 2291 - Pages: 10

Free Essay

Campbell's Soup Leadership

...Question 1. Visit Campbell’s Soup home page at www.cambellsoupcompany.com. Click on “Governance” and then “Code of Ethics for the CEO and Senior Financial Officer.” What leadership concepts presented in this chapter are illustrated in this code? Is this code consistent with the presentation of Douglas Conant in the Learning from Experience feature? Explain. Campbell Soup Company is committed to conducting its business in compliance with the law and the highest ethical standards. The Code of Ethics for the Chief Executive Officer and Senior Financial Officers (the “Code”) summarizes the standards that must guide the actions of Campbell’s Chief Executive Officer, Chief Financial Officer, Controller, and the members of the Chief Financial Officer’s Financial Leadership Team (collectively, the “Senior Financial Officers”). While covering a wide range of business practices and procedures. Douglas Conant says, leadership is craft and a leader has to work at it and the leadership model that he has is behavioral. In his presentation he focused on what leaders do and behave with their subordinates and how they do it. Two elements play role in achieving work’s goal , which are superiority and amount of work that is done. So Code of Ethics for the CEO and Senior Financial Officer at Campbell’s Soup is consistent with the presentation of Conant. Question #2 Review self competency feature on Colin Powell’s lessons in leadership. What statement in the feature...

Words: 950 - Pages: 4

Free Essay

Mister

...Reference 1. Introduction This paper is about the product launch by Arnotts which is one of the most reputed company in the Australian snacks market and largest in Asia-pacific region. The company has been serving its client with various snacks options from last 144 years. This is part of day to day lives of millions of people in Australia. The company’s website claims that “It is the icon of the Australia. Millions of Australians have grown up with ARNOTT’S during the past 144 years. This company has an efficient access throughout the Australia.” The strategic approach and innovative products have helped the company in maintaining the financial stability in its target markets. The company employs more than 2600 people at various positions in the form of direct employment. The expenditure on the Australian biscuits and snacks for the company is more than $350 million. Company has invested above $27 million for buying new ovens and equipments at one of its bakery in South Australia. The other investment was done in ARNOTT’S Huntingwood bakery in New South Wales. This was above $19 for upgrading of the factory. Virginia bakery in Queensland received $9.4 million for upgrading. The products are well accepted in more than 40 countries across the world, particularly to the developed nations like Japan, USA, Canada, United Kingdom, New Zealand and others. Company offers healthy snacks to the people. This is based on the fact that Australians in...

Words: 3302 - Pages: 14

Free Essay

Neeley Mba Placement

...000 $65,000-$115,000 $70,000-$90,000 87% Students Employed 90 Days After Graduation $17,000 Average Signing Bonus MBA Internships Students with Internships Average Weekly Salary 100% $920 $10,150 Average Other Guaranteed Compensation ROI: Function Financial Marketing Other FOR THE 2012 GRADUATING CLASS PRE- AND POST-MBA SALARY Average Salary by Function Average Salary $82,857 $83,063 $79,971 $88,333 Recent Employers 7-Eleven Academy Sports & Outdoors Alcon Laboratories American Airlines AT&T Baylor Health Care System Bell Helicopter-Textron Campbell Soup Company Hewlett-Packard Hilton Worldwide IBM Intel JP Morgan Chase Kellogg’s KPMG LiveStrong Lockheed Martin Luminant Mary Kay Cosmetics McKesson Medical Clinic of North Tx Michael’s Oncor Electricity PepsiCo/Frito-Lay Proctor & Gamble Raytheon Sabre Holdings/Travelocity Stage 3 Separation Susan G. Komen The Gallup Company U.S. Department of Defense UT Southwestern Medical Verizon Communications Weir Oil & Gas Supply Chain Management Average Salary by Key Industry Industry Consulting Consumer Products Financial Services Manufacturing...

Words: 476 - Pages: 2

Premium Essay

What Is Campbell's Soup Company?

...Weaknesses Campbell’s Soup Company (CPB) has been hindered by some drawbacks in executing strategies in pursuit of its mission, and it must utilize the strengths of their organization in order to overcome this weaknesses. 1. Campbell’s Soup Company has to pay a highly inputs price due to many of the raw and packaging materials involved in work. This may reduce the profit margin of CPB and causes the company earning lesser compared to other firms in the particular market. Therefore, CPB should overcome this problem by negotiating the price with supplier in order to purchase the inputs with lower costs per unit. 2. The financial performance of CPB has fall behind which is decreased by 2% from year 2014 to year 2015. This drawback may hinder...

Words: 255 - Pages: 2

Premium Essay

Starbucks Research

...Investment Summary An Analysis of the Food and Beverage Industry by Alexander Raifeld Mark Gurfinkel Rajeev Rao Hao (Sara) Xi Shivanker Saxena Valuation results Campbell Soup Risk Characteristics Approach Beta Jensen's Alpha R squared Investment Performance ROE - COE ROC - WACC EVA (Millions) Capital Structure Current Debt rati o Optimal Debt Rati o Change in WACC Duration (Years) Dividend Policy Dividends (Millions) FCFE (Millions) Valuations Value/share Price/Share 259 428.0 27.45 29.5 0 -$37.0 20.09 30.25 76.70 231.0 35.6 34.4 0 128 38.5 48.7 892.4 309.5 40.5 34.7 B 0.94 0.12% 4% N/A 10.43% 106.5 23.97% 40% -0.15% 0.25 Cheesecake Factory B 0.63 26.97% 13% 7.08% 12.21% 74.46 13.17% 10% 0% 6.99 McCormick Starbucks Sysco B 0.85 8.8% 2% 19.88% 7.20% 422.4 10.08% 30.00% -0.45% 6.09 B 0.66 34.4% 6% 9.05% 2.82% 143 11.5% 20% -0.14% 3.65 B 0.58 7.27% 16% 26.13% 15.76% 690 6.6% 40% -0.47% 7.01 Chapter 1 Corporate Governance Analysis The purpose of this section is to understand the relationship between managers and stockholders Managers and Stockholders Chief Executive Officers CEO Name Age Years at the C ompany Years as CEO CEO Compensation Salary rank within Restaurant Industry Salary Bonus Other Stock Gains Campbell Soup Douglas Conant Cheesecake Factory David Overton 59 30 30 (founder) McCormick Robert J. Lawless 58 28 8 Starbucks Jim Donald 51 3 0* Sysco Richard Schnieders 55 23 2 53 4 4 14 0.9 1.5 1.8 6.6 >50 0.5 0.6 5.4 133...

Words: 315 - Pages: 2

Premium Essay

Campbell Soup Executive Summary

...and what you stand for” (Vozza, 2014). Part of the strategic vision for Campbell Soup Company is summarized in the company’s purpose of “real food that matters for life’s moments” (Campbell Soup Company, 2015). Back in January of this year Denise Morrison announced plans to restructure the company to better “align the organization of the company’s business operations with its core growth strategies” (Fry, 2015). With the old structure was organized by geographies or brand groups, with the new structure the business will...

Words: 1387 - Pages: 6

Free Essay

Campbell

...activity in your company combines human, physical and financial resources to create goods and services What does the company do? and how does it go about business? -Campbell soup is one of the leading soup producers in the world. It mainly serves in the secondary sector, manufacturing. All its resources are focused on expansionism and marketing. Since the company is already well known, it is only the point of sales which matters. Therefore, Campbell soup focuses and specializes in the soup, leaving other corporations to manage the collection of raw materials and to sell the products. Even though the company has many other spin-offs and brand names, Campbell soup makes soup… * The mushroom chicken soup and corn soup are famous cash cows… 2) Analyze the impact on business activity of changes in the economy. -Canned soup is most likely an inferior good. Therefore, when the economy crashes, Campbell soup’s stocks grew. But when news about the advance purchase of raw materials, where prices were still considerably high, the company was slightly affected. On the long run, Campbell soup will remain stable throughout and economic crisis as such. Good for investments! (except, people don’t have money…) 3) Is the business in the Primary, Secondary or Tertiary sector. Describe the nature of the sector and evidence from your business? -The business is in the secondary sector. This sector generally takes the output of the primary sector and manufactures finished goods. Campbell soup buys its...

Words: 438 - Pages: 2

Free Essay

Swot

...weaknesses. Conant wanted to the company to make a turnaround. Campbell company sales plummet by 30% during the early 2000’s. Conant incited a SWOT planning exercise that helps identify where Campbell needed to change to help the company keep up with what the public wanted. The public wanted healthier foods and sports drinks. Conant internal analysis identified a number of in major weakness [ (Jones/George, 2011) ]. The staff level was high, and the machinery used to make soup needed to be updated. Conant increased his profit by coming up with a three –year plan based on the SWOT analysis. He realized that the customers wanted a healthier appealing soup. He introduced more variety of soups which contend less sodium and low of salt. Conant made a decision that was very bold. Godiva chocolates were a good fit but he questioned its profitability. He decided it was a weakness to the company so he sold it for $850 billion dollars. Conant decided it was time to make Campbell brands global. “Campbell shares have increased in the last 5 years and posted an 11% return” [ (Jones/George, 2011) ]. Conant used the low cost strategy because he wanted to gain a completive advantage by cutting the cost down below the costs of its industry rivals” [ (Jones/George, 2011) ]. Conant stated that he realized that his staff levels high compared to his competitors and the machines were outdated. Just by downsizing the staff you can save a company and jobs. I believe that was a good...

Words: 403 - Pages: 2