Strategic Management – Final Exam Project

Group – (4MM) - (Wednesday - Online)

Presented To: Dr. Amr Sukkar

Presented By:
Ahmed Tarek AbdelMenaem
Ayman Al-Saadany
Mahmoud Sabry Mahmoud
Nouran Osama Tawfik
Nour ElDin Mohamed
 Table of Content
1. Introduction 4. Strategy Formulation
 Project Introduction & Company Overview  SFAS
 Road Map  TOWS Matrix
 Strategies (CS,BS)
2. External Environment Scanning  Strategy Review
 PESTEL Analysis (Mission, Vision, Objectives)
 Task Environment - Porter 5 Forces
 Opportunities and Threats 5. Strategy Implementation
 Issue Priority Matrix  Action Plan (FS)
 Key success Factors 6. Strategy Evaluation and Control
 EFAS  Balanced Scorecard
7. Conclusion
3. Internal Environment Scanning
 Business Model
 Value Chain Analysis
 Organizational Structure
 Corporate Culture and values
 IFAS
1 Introduction
 Project Introduction & Company Overview

 Our project will formulate a strategic management plan

for Mondelez Company.

 Mondelez is one of the world’s largest snack

companies with global net revenues of $28.72 billion
and net earnings of $4.3 billion in 2021.

 Mondelez is the top maker of chocolate and biscuits

and a leading maker of gum and candy.

 Mondelez brands are like Cadbury, Milka and Alpen

Gold chocolates, Oreo, belVita, LU and Tuc biscuits,
and Stimorol and Dirol gums.
Project Introduction & Company Overview

2
 Strategic Management Plan – “Road Map”

Environmental Strategy Review

Strategies Strategies Strategies
Scanning (Vision & Mission)
Formulation Implementation Evaluation
Analysis

BCG
Internal
Models
SW VRIO IFAS

Environmental
Scanning Issue Priority Balanced
OT EFAS SFAS TOWS Strategies Action Plan
Matrix Scorecard
Micro
Porter 5
External Forces
Models

Macro PESTEL
 Arab Academy for Science Technology and Maritime Transport

2 External Environmental Scanning Models

PESTEL Model – MACRO ENVIRONEMENT
 PESTEL Model
POLITICAL ECONOMIC SOCIAL
• Food industry have to comply the safety standards and also to • Chocolate annual growth rate (CAGR): the annual growth • Consumer lifestyle changes as the trend attitude
meet the minimum level of quality standard which was rate registered on average 8.98% during period from 2015 to now goes towards more healthier products.
decided by the government. 2022 with a sales Value of 5.69 M for the year 2022 , the • Leisure interests for consumers goes towards
• Documentary collection from foreign suppliers will no longer strongest performance achieved in 2017 was 16.51%. The untraditional products feel different rather than
be accepted by banks to facilitate the import of goods into AGR in 2022 conducted 4.54% increase & the weakest going to traditional product.
Egypt, the CBE has instructed banks to only accept LC’s to performance conducted in 2020 with 2.5% increase only . • The ministry of health advocates campaigns to
facilitate the purchase of imported goods. • Inflation rate increased by 42% compared to last year. control from snacking serves due to diabetes &
• Russia-Ukraine war will have an impact on the wheat flour obesity (100 million seha campaign)
supply to Egypt , which might affect the biscuits industries.

TECHNOLOGICAL ENVIRONMENTAL LEGAL

• Industrial Waste Water Disposal Regulations (Law no.
• Solar Power and energy efficient technology diffusion • Chocolate Industry are highly regulated by NFSA
44).
in the industrial sector. (National Food Safety Association in Egypt )
• Companies should join the CSR initiative to compensate
for the environmental damage caused by them , through
• Diffusion for the recyclable packaging technology for achieving the following: • Consumer protection law No, 181 of 2018 &
⮚ CO2: 15% reduction in CO2 emissions across
go green environment. Egyptian labor law
manufacturing operations by 2022
⮚ Water: 10% reduction in priority water usage by 2022.
⮚ Waste: 20% reduction in total waste from manufacturing
• Advance cargo information platform (ACI) &
by 2022.
electronic invoicing new technology introduced by Q4
2022 in Egypt.
Macro Analysis Models
Issue Priority Matrix
PORTER’S FIVE FORCES– MICRO ENVIRONEMENT
PORTER’S FIVE FORCES– MICRO ENVIRONEMENT

Bargaining Power of Buyers

• Number of Customers (-ve)

• Number
HigherofPower
Customers
of Buyer(+ve)
due to available high number of manufacturers and the price elasticity for leisure products as the price
Higher
on Power
these goodsofisBuyer due
perfect to available
elastic high number
for demand changes.of manufacturers and low number of major distributers.

• Price sensitivity (-ve)

Higher Power of Buyer due to the high Consumers’ price sensitivity, high market knowledge and purchasing standardized
products in large volumes.

• Ability to substitute (-ve)

Buyer power is also high as the number of sellers (business organizations) are too many, so substitutes are available.

• Buyers' information availability (-ve)

Buyer power is also be high due to the availability of the information among the competitors.

The Buyers Power is Strong

PORTER’S FIVE FORCES– MICRO ENVIRONEMENT

Bargaining Power of Suppliers

• Number and Size of Main Raw Material Suppliers (Cocoa) (-ve)

As long as Cocoa is a natural material, accordingly the demand on this product exceeding supply, This means that the
suppliers have control over prices, and this makes the bargaining power of Main Material suppliers are strong force.

• Strong Competition between secondary raw materials suppliers(+ve)

The product that these suppliers provide are standardized, less differentiated and have low switching costs. This makes it
easier for buyers like Mondelez International Inc to switch suppliers. This makes the bargaining power of Secondary materials
suppliers are weaker force.

• Local Packing materials suppliers(-ve)

Suppliers unions controlling packing materials prices in local market. This makes the bargaining power of Those suppliers are
strong force.

The Suppliers Power is Strong

4.2.2.1. Porter’s Five Forces
PORTER’S FIVE FORCES– MICRO ENVIRONEMENT

Threats of New Entrants

• Barriers to entry (-ve)

The government policies within the industry does not require strict licensing and legal requirements to be fulfilled before a company can
start selling. This makes it easy for new entrants to join the industry, therefore, making the threat of new entrants a high force.

• Economics of Scale (+ve)

The economies of scale is fairly difficult to achieve in the industry in which Mondelez International Inc (Egypt Branch) operates. This
makes it easier for those producing large capacitates to have a cost advantage. It also makes production costly for new entrants. This
makes the threats of new entrants a weaker force.

• Brand Loyalty (-ve)

As the industry is not mandatory for the customers which means the brand loyalty is not a factor which make the threat of new entry is
very high threat for Mondelez.

• Capital requirements (+ve)

The capital requirements within the industry are high, therefore, making it difficult for new entrants to set up businesses as high
expenditures need to be incurred. Capital expenditure is also high because of high Research and Development costs. All of these factors
make the threat of new entrants a weaker force within this industry.

The Threats of new entrants is not strong but also not easy (Moderate)
PORTER’S FIVE
4.2.2.1. Porter’s Five FORCES– MICRO ENVIRONEMENT
Forces

Threats of Substitutes

• Number of Substitute Products Available (-ve)

There are high number of substitutes available for the products that are produced in the industry in which Mondelez
International Inc (Egypt Branch) operates. This factor makes the threat of substitute products is a strong force within the
industry.

• Buyers’ Probability to Substitute (-ve)

There are many substitutes available of high quality with almost the same average price. Accordingly, firms are selling
substitutes at the same price. This means that buyers are more likely to switch to substitute products. This means that the
threat of substitute products is a strong force within the industry.

The Threats of Substitutions are strong.

4.2.2.1. Porter’s Five Forces
PORTER’S FIVE FORCES– MICRO ENVIRONEMENT

Competitors

• Diversity of Competitors (-ve)

Market share is distributed among competitors. This means that competitors will engage in competitive actions to gain
position and become market leaders. This makes the rivalry among existing firms a strong force within the industry.

• Industry Growth (-ve)

The industry is growing ( 8% per year on average ). A positive Industry growth encourage the competitors number to increase.
This makes the rivalry among existing firms a strong force within the industry.

• Barriers to exit (-ve)

It is difficult to company to exit from the market within the industry due to high investment required in capital and assets as
well as the company is committed to deliver the net earnings per share required by the shareholders. This makes exiting from
the market is difficult.

The Competitors force is strong.

4.2.2.2. OT
OPPORTUNITIES
Opportunity

⮚ Market Segments Variety: Wide range of market segments which will give an opportunity for product
differentiation.

⮚ E-Commerce Trend: Online Shopping encourage the customers buying behavior which will Increase sales and
revenues.

⮚ Industrial Taxation Policy: Lower taxes on Processed products to Encourage Industrial Sector.

⮚ Penetrating New Markets: Opening up of new markets, The government free trade agreement has provided
Mondelez an opportunity to enter a new emerging market.
4.2.2.2. OT
THREATS

⮚ Strong Competition: Strength of competitors like Mars made it easy for the customer to seek another competitor.

⮚ Healthy Lifestyle Trend: Production of new healthy lifestyle products (Protein Bars) affecting market share of Snack
market.

⮚ Non Ethical Competition: Existence of local manufacturers who is Imitating the same brand artwork which affects
product Image and market share.

⮚ Brand Loyalty: There is no brand loyalty in snack market which led to market share fluctuation.

⮚ Local Suppliers: Suppliers unions controlling packing materials prices in local market.
External Environmental Scanning Models

EFAS MODEL
External Environmental Scanning Models – EFAS MODEL

Opportunities Weight Rating Weighted Score

Market Segments Variety: Wide range of market segments which will 0.2 4 0.8
give an opportunity for product differentiation.

E-Commerce Trend: Online Shopping encourage the customers buying 0.15 2 0.3
behavior which will Increase sales and revenues.

Industrial Taxation Policy: Lower taxes on Processed products to 0.1 3 0.3

Encourage Industrial Sector.

Penetrating New Markets: Opening up of new markets, The government 0.15 5 0.75
free trade agreement has provided Mondelez an opportunity to enter a
new emerging market.

Subtotal 0.6 2.15

External Environmental Scanning Models – EFAS MODEL

Threats Weight Rating Weighted Score

Strong Competition: Strength of competitors like Mars made it easy for the 0.15 4 0.6
customer to seek another competitor.

Healthy Lifestyle Trend: Production of new healthy lifestyle products (Protein Bars) 0.05 1 0.05
affecting market share of Snack market.

Non Ethical Competition: Existence of local manufacturers who is Imitating the 0.1 2 0.2
same brand artwork which affects product Image and market share.

Brand Loyalty: There is no brand loyalty in snack market which led to market share 0.05 3 0.15
fluctuation.

Local Suppliers: Suppliers unions controlling packing materials prices in local 0.05 4 0.2
market.

Subtotal 0.4 1.2

Total 1 3.35

● From this analysis we found that the company’s external position is good.
 Arab Academy for Science Technology and Maritime Transport

3 Internal Environmental Scanning Models

4.2.2.2. OT
INTERNAL ENVIRONMENTAL SCANNING – BCG MATRIX

BCG Matrix
4.2.2.2. OT
INTERNAL ENVIRONMENTAL SCANNING – BCG MATRIX

A- Stars
For Chocolate products Mondelez need to invest in this
product.

B- Question Marks
For Biscuit products Mondelez need to investigate this
reasons behind this position in the market.

C- Dogs
For Beverage products Mondelez need to Divest.

D- Cash Cows
For Gum & Candy products Mondelez need to keep milking
this products to invest in Chocolate & Biscuit products
4.2.2.2. OT
INTERNAL ENVIRONMENTAL SCANNING – Organizational Structure

International Organizational Chart for Top line Managers International Organizational Chart for Area
4.2.2.2. OT
INTERNAL ENVIRONMENTAL SCANNING – Corporate values and culture
4.2.2.2. OT
INTERNAL ENVIRONMENTAL SCANNING – Corporate values and culture

Values
• We do what’s right.
Always. We treat everyone with care and integrity. Our diverse, inclusive and connected community makes us
stronger and secures our steps forward on the right path. We follow through on our commitments, doing what is
right for our consumers, right for our partners, right for our brands and right for the environment.

• We grow every day.

In everything we do, we’re thinking of one thing – growth. We operate with speed and efficiency instead of focusing
on perfection. Our people are at the heart of everything we do. They are the driving force behind our growth.

• We love our consumers and our brands.

We deeply know our consumers and understand their desires for personal well-being and thoughtful care for our
planet. It shapes how we share delightful and sustaining snacks with them.
4.2.2.2. OT
INTERNAL ENVIRONMENTAL SCANNING – Value Chain Analysis

Value Chain Analysis for Chocolate Products

INBOUND LOGISTICS OUTBOUND LOGISTICS

4.2.2.2. OT
INTERNAL ENVIRONMENTAL SCANNING – STRENGTH & WEAKNESS
4.2.2.2. OT
STRENGTHS
• Strengths:

⮚ Consistency of Product Quality: Automation of activities that has enabled the company to react against any demand fluctuations

based on the demand conditions in the market with keeping the quality consistent.

⮚ Product innovation: Know how, research and development lead Mondelez to successfully developing new products.

⮚ Highly skilled & motivated workforce: Mondelez International is investing huge resources in training and development of its

employees resulting in a workforce that is not only highly skilled but also motivated to achieve more.

⮚ Distribution Channels: It has successfully integrated a new distribution system through a number of companies in the past few

years to streamline its distribution channel and to build an integrated reliable distribution chain.
4.2.2.2. OT
STRENGTHS

• Strengths:

⮚ Strong Supplier relationship (Cocoa): It has built a culture that encourages & motivate the cocoa farmers loyalty.

⮚ Strong Brand Portfolio: Over the years Mondelez International has built a strong brand portfolio.

⮚ High Level of Customer Satisfaction: The company with its dedicated CRM department has been able to achieve a high level of

customer satisfaction (Desired customer fare rate of 97.7%, and 2022 target is 98%)
4.2.2.2. OT
WEAKNESSES

• Weaknesses:

⮚ Non Efficient Financial Planning: FY 2021 quick ratio (Current Assets : Current Liabilities) is 0.74, this suggests that the company
can work around using the cash more efficiently than what it is doing at present.

⮚ Product Marketing Plans: Even with the high success rate in selling the FG products, still the products positioning & unique selling
proposition isn’t clearly defined especially with the existence of the high competition.

⮚ High Days of Inventory on hand (DIOH): Current DIOH is 6.75 Months, this means that the company should raise high capital to
invest in the inventory which had a negative impact on the long term growth for the company.
Internal Analysis Models
VRIO FRAMEWORK
Internal Analysis Models
VRIO FRAMEWORK

Resource/ Capability Value Rarity Imitability Organization Competitive Advantage

Consistency of Product Quality YES YES YES YES Competitive Advantage

Product Innovation YES YES YES YES Competitive Advantage

Highly skilled workforce YES YES YES NO Temporary Advantage

Distribution Channels YES NO YES YES Temporary Advantage

Strong Supplier Relationship

(Cocoa) YES YES YES YES Competitive Advantage

Strong Brand Portfolio YES NO YES YES Temporary Advantage

Customer Satisfaction YES NO YES YES Temporary Advantage

Internal Analysis Models

IFAS
Internal Analysis Models
IFAS
Strengths Weight Rating Weighted Score

Consistency of Quality 0.15 4 0.6

Product innovation 0.12 4 0.48

Highly skilled & motivated workforce 0.1 2 0.2

Distribution Channels 0.05 3 0.15

Strong Supplier relationship (Cocoa) 0.13 4 0.52

Strong Brand Portfolio 0.05 3 0.15

High Level of Customer Satisfaction 0.1 4 0.4

SubTotal 0.7 2.50

 Internal Analysis Models
IFAS

Weakness Weight Rating Weighted Score

Non efficient Financial planning 0.15 2 0.3

Product Marketing Plans 0.07 4 0.28

High DIOH ratio 0.08 2 0.16

Subtotal 0.3 0.74

Total 1 3.24

● From this analysis we found that the company’s internal position is good.
Internal Analysis Models

4.2.3. Issue Priority

Matrix
Internal Analysis Models
Issue Priority Matrix
Environmental Analysis Models

SFAS
 SFAS
Arab Academy for Science Technology and Maritime Transport

Strengths11 Weight Rating Weighted Score

Consistency of quality. 0.14 4 0.56

Product innovation. 0.11 4 0.44

Strong Supplier relationship (Cocoa). 0.13 4 0.52

Weaknesses

Non efficient Financial planning. 0.11 2 0.22

Product Marketing Plans. 0.09 4 0.36

Opportunities

Market Segments Variety: Wide range of market segments which will give an opportunity for product differentiation. 0.2 4 0.8

Penetrating New Markets: Opening up of new markets, The government free trade agreement has provided Mondelez an
0.1 5 0.5
opportunity to enter a new emerging market.

Threats

Strong Competition: Strength of competitors like Mars made it easy for the customer to seek another competitor. 0.12 4 0.48

Total 1 3.88
 Arab Academy for Science Technology and Maritime Transport

3 Strategy Formulation
TOWS, Strategies (CS,BS), Strategy Review
Strategy Formulation

TOWS
 TOWS
Strengths

Strength Weaknesses
• Consistency of Product Quality (S1)
• Non efficient Financial planning. (W1)
• Product innovation (S2)
• Product Marketing Plans. (W2)
• Strong Supplier relationship (Cocoa) (S3)
• High Days of Inventory on hand (DIOH) (W3)
• Highly skilled & motivated workforce (S4)

• Distribution Channels (S5)

• High Level of Customer Satisfaction (S6)

• Strong Brand Portfolio (S7)

Opportunities • Market Segments Variety (O1)

• • W1O2
• Penetrating New Markets (O2) S2O2
• E-Commerce Trend (O3)
• W3O3
• Industrial Taxation Policy (O4) • S7O1
Threats •
•
Strong Competition (T1)
W2T1
• Healthy Lifestyle Trend (T2)
• S2T2
• Non Ethical Competition (T3)
• W1T2
• Brand Loyalty (T4) • S7T5
• Local Suppliers union (T5)
 TOWS
Strengths

Analysis and strategy recommended

❏ SO Strategy Maxi-Max: S2O2

➔ S2:Product innovation
➔ O2: Penetrate new market

Strategy: Product Development through new product from the pipeline products (Healthy Bar/ Energy
Bar).

❏ SO Strategy Maxi-Max: S7O1

➔ S7:Strong Brand Portfolio
➔ O1: Market Segments Variety

Strategy: Product Development through new product from the pipeline products (Healthy Bar/ Energy
Bar).
 TOWS
Strengths

Analysis and strategy recommended

❏ WO Strategy Mini-Max: W1O2

➔ W1:Non efficient Financial planning
➔ O2: Penetrating new markets

Strategy: Integration through forward integration with our distributor.

❏ WO Strategy Mini-Max: W3O3

➔ W3: High Days of Inventory on hand (DIOH)
➔ O3: E-Commerce Trend

Strategy: Intensive through convert inactive customer to active customer

 TOWS
Strengths

Analysis and strategy recommended

❏ ST Strategy Maxi-Min: S2T2

➔ S2: Product innovation
➔ T2: Healthy Lifestyle Trend

Strategy: Product Development through new product from the pipeline products (Healthy Bar/ Energy Bar/
Healthy Chips).

❏ ST Strategy Maxi-Min: S7T5

➔ S7:Strong Brand Portfolio
➔ T5: Local Suppliers union

Strategy: Integration through backward integration

 TOWS
Strengths

Analysis and strategy recommended

❏ WT Strategy Mini-Min: W2T1
➔ W2: Product marketing plan
➔ T1: Strong competition

Strategy: Intensive through increasing the consumption of the actual user (existing market with existing
product) through increasing promotion activities and offer bundles

❏ WT Strategy Mini-Min: W1T2

➔ W1: Non efficient Financial planning
➔ T2: Healthy Lifestyle Trend

Strategy: Defensive through liquidation of beverage sector& product development through new product
from the matching customer lifestyle trends (Healthy Bar/ Energy Bar).
 3.VISION
Vision & Mission
Strengths

Vision is:

“At Mondelēz International, our purpose is to empower people to snack right. We will lead the future of snacking around
the world by offering the right snack, for the right moment, made the right way”.
 3.MISSION
Vision & Mission
Strengths

Existing Mission:

"At Mondelez International we empower people to snack right, everyday we’re

inspired to go to the extra mile to lead the future of snacking around the world,
we do this by offering the right snack, for the right moment”.

•Comment: The mission missing two important items “Technology –

Employees”

Our Proposed Mission:

“At Mondelez International we empower people to snack right,

everyday we’re inspired to go to the extra mile to lead the future
of snacking around the world, we do this by offering the right
snack, for the right moment in the right way by developing our
products and training the skills of our employees to use the
latest Eco-friendly technologies”.
STRATEGIES & OBJECTIVES
 3.STRATEGIES
Vision & Mission
Strengths & OBJECTIVES

❏ Corporate ….. (Grand Strategy )

❏ Business …. (Competitive Strategies)

❏ Functional Strategies (Marketing, Finance, Operational)

 3.STRATEGIES
Vision & Mission
Strengths & OBJECTIVES

Corporate (Grand Strategy)

Integration: Growth:
1  Vertical (Backward & Forward) 2  Market penetration
 Product Development
 3.STRATEGIES
Vision & Mission
Strengths & OBJECTIVES

Corporate (Grand Strategy)

➔ Integration Objectives: Vertical ( Backward & Forward)
● Backward integration by acquiring a packaging firm to reduce COGS by 20% by 2025.
● Forward integration by acquiring Distributors to increase Distribution outposts by 25% by 2025.
➔ Intensive: Market penetration -through strategies
● Convert inactive customer to active customer increase customer base by 35% by 2025 .
● Increase the consumption of the actual user (existing market with existing product) increase current consumption by
14% by 2025.
➔ Product Development:
● Introduce Products to target new target segments and increase market share by 15% by 2025.

➔ Defensive:
● Liquidate the dog products processes to save at least 20 % of Corporate Expenses.
 3.STRATEGIES
Vision & Mission
Strengths & OBJECTIVES

6.1.2.1 Business….. (Grand Strategy)

➔ Cost leadership : (recommended strategy because mondelez uses mass production )

6.1.2.2 Business….. (Objectives)

● Lowering the direct and indirect operating cost by 10% by 2025.

● Increasing production scale by 35% by 2025.
● Implement lean-six sigma methodologies to improve productivity & increase the Pant GE Efficiency 10% by 2025
● Reduce wastes & Minimize scraping cost by 5% by 2025.
6.1.3 Functional&
3.STRATEGIES
Vision Strategies
& &OBJECTIVES
Mission Objectives
Strengths

Functional Strategy
To be the Brand Name that comes to mind when thinking of snack!

Functional Objectives .

Marketing Obj. Financial Obj. Operational Obj.

i. Winning an 25% percent of new i. A 35% percent of increase in annual i. Decrease COGS by 10%.
market shares. revenues.
ii. Achieving lower overall costs than ii. Annual increase in after-tax profit of ii. Increase labour productivity.
competitors. 40% percent.
iii. Increase the Plants GE efficiency by 15%
iii. Overtaking key competitors on iii. Annual increase in earnings per share
product performance or quality. of 12% percent. through efficient Utilization of the

iv. Having a wider product line than factors of production resources

iv. An 18% percent return on capital
competitors. investment (ROI).
5 STRATEGY IMPLEMENTATION
ACTION PLAN
6.1.3 Functional&
3.STRATEGY
Vision Strategies
Mission & Objectives
IMPLEMENTATION – ACTION PLAN
Objective Activities KPI Responsible Department
A1-Physical store expansion Supply Chain
worldwide Public Relations
Finance
A2-E-commerce expansion
IT and Business Intelligence
A3-Turn Inactive users into Active Sales
O1- ones through Promotions
Achieve Market Share Inc. A4-Increase the consumption of Annual market share increase > or = 5%
by 5% for excising the Actual users
products By 2023

A5-Incraese Brand Awareness

through campaigns and Marketing
advertising

Operations
A1- Acquire and operate a new
packing production lines Finance
Business Intelligence
A2-Incraese Efficiency for
O2- Decrease Cost of Employees working on
Production by 10% through Achieving COGS saving by 8% as a minimum in 2023 HR
production lines by giving them
2023 intensive training programs
Operations
A3- Maintenance and Renovation Operations
for Old production lines to
increase productivity Finance
6.1.3 Functional&
3.STRATEGY
Vision Strategies
Mission & Objectives
IMPLEMENTATION – ACTION PLAN
Objective Activities KPI Responsible Department
A1-Replacement Gas or Deasil
Supply Chain
Trucks with electric Vehicles
O3-Decrase Transportation Cut Transportation Costs by minimum 15% by the end of 2023
costs by 15% A2-Find New Suppliers near to
the main Organization’s Batch Procurement
Plants
A1-Marketing campaigns for
launching and introduce the Marketing
product
O4- A2-R&D to maintain taste and
Achieve Market Share Inc. by increase nutritional value R&D
15% for new healthy lifestyle A3-Agreements with sporting Annual market share of new products increase > or = 15%
products By 2023 clubs and gyms to open a products Sales
retails
Operations
A4- Establish new production lines
Finance

Sales
A1- Increase customer
consumption by costumer Marketing
loyalty programs
Business Intelligence
O5- Increase Sales of existing
products by 5% through Achieving sales increase by 4% as a minimum in 2023 HR
2023 A2- Develop company owned
retailers in all mega malls (hire Operations
and train sales stuff, construct
retails)
Finance
6 STRATEGY EVALUATION & CONTROL
BALANCED SCORECARD
 Business Objective & Strategy Map Measures (KPI) Targets Initiatives

Financial -
-
Operating cost
Net profit
- Revenue increase
by 35% by 2025
- Product profitability
monitoring
- Sales revenue - Decrease operating - Getting non profitable
- Operating margin cost by 10% in 2025 product out
- Increase price of exclusive
healthy products
DECREASE - Increase customer
BALANCED SCORECARD
INCREASE consumption by costumer
OPERATING
REVENUE loyalty programs
COST

Customer -
-
Customer satisfaction index
Market share
- Acquiring new
customers of the
- Study to make offers on
common products with
- New customers healthy segment, so competitors
- Facebook and twitter rating and that total - User requirement market
INCREASE CUSTOMER comments customers to be study
MARKET EXPERIENCE double the current - Follow up customer
SHARE IMPROVEMENT customers experience and investigate
- Acquiring new low ratings or complaints
online customers - Launching e commerce
Improve (e-commerce) website
IMPROVE ACQUIRING - Initiate a Customer Survey
products
MARKET NEW Process
quality and
PERCEPTION CUSTOMERS
description

Internal Processes - New healthy Product

profitability analysis
- Embracing trendy
healthy new
- Training programs for new
offering and data interface
- New products % products 40% of the - New products
IMPROVE - Brand awareness current products. development study and
IMPROVE
INVENTORY / - Customer experience score - Increase brand management with exclusive
INFORMATIO
NEW PRODUCT awareness by 5% suppliers
N SYSTEM
MANAGEMENT - Study to acquire trendy
product of the changing
USE MEDIA. FOR
market
IMPROVE
CUSTOMER EASE
OPERATIONAL
KNOWING
ACTIVITIES
PRODUCTS
Organizational Capacity -
-
Employee technology training
Development of new products
- Increase efficiency
by 30% efficient
- Technology improvement
program to cope with the
- supply chain process capacity employees growth and changing
- Training programs for increasing - 40% increase in markets
employees' efficiency supply chain - Develop Mentoring
capacity Programs
INCREASE DEVELOPMENT IMPROVE - Introduce all employees to
EMPLOYEES OF SYSTEM FOR SUPPLY CHAIN lean concepts
EFFICIENCY GROWTH CAPACITY
7 CONCLUSION
11. Conclusion

• What is the current status of the firm ?

Analysis of strengths and weaknesses of Mondelez International. showed that the company has more strengths than
weaknesses, and the primary strengths of the organization belong to primary activities. The latter fact is an indicator of
significant growth potential.

• What can we do to improve ?

Mondelez focused on continuously improving everything Mondelez do - from building a world-class supply chain to
achieving marketing and sales excellence. A key component to operational performance is the digital transformation ”E-
commerce”. This approach, made possible by capabilities and diverse culture, helps identify and enable additional growth
opportunities.
11. Conclusion

• What is the limitation analysis of Mondelez International ?

● In light of the above mentioned limitations of the SWOT analysis / modules, corporate managers decided to provide weightage to each
internal strength and weakness of the firm. Organizations also assess the likelihood of events taking place in the coming future and
how strong their impact could be on company's performance.

● This method of modules is called Weighted SWOT analysis. It is better than doing simplistic SWOT analysis because with Weighted
SWOT Analysis Mondelez International managers can focus on the most critical factors and discount the non-important one. It also
solves the long list and ambigity problem where organizations ends up making a long list but none of the factors deemed too critical.
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