Belgian-Swiss chocolate giant Barry Callebaut has announced BC Next Level – a new strategic investment programme set to unlock the company’s full potential.
The programme is designed to pave the way for the next decade of sustainable growth by “moving Barry Callebaut closer to markets and customers while fostering simplicity and digitisation”.
As part of the programme, Barry Callebaut will invest CHF 500 million (approx. $561.13 million) over the next two years in core customer areas, including innovation, service, sustainability and quality. The company says the investment will be powered by digital platforms that boost speed to market and facilitate deeper partnerships with customers.
Barry Callebaut’s CEO, Peter Feld, said: “Our mission is to be the heart and the engine for the global cocoa and chocolate industry. We have delivered robust growth for nearly 25 years. Due to evolving customer demands for more sustainable and innovative products, now is the time to bring the group to the next level by strategically investing in its future. We will move decision-making closer to our markets and customers while fostering simplicity and digitisation to advance our well-recognised innovation and sustainability approach to deliver additional value for all our stakeholders.”
The BC Next Level operating model is set to move the company closer to its markets and customers while increasing growth, profitability and efficiency. Barry Callebaut says it will increase its regional footprint from three to five regional divisions – Western Europe, Central and Eastern Europe, North America, Latin America, and Asia Pacific Middle East and Africa – each encompassing five to six country clusters.
This also includes the creation of Barry Callebaut’s new Customer Supply and Development organisation, which will enhance product delivery and scale innovation faster globally, while delivering technical service locally to customers.
Through the programme, Barry Callebaut aims to deliver savings of around 15% or CHF 250 million (approx. $280.52 million) per year to support margins and cash flow. The majority of the savings will come from reducing the cost-to-serve in operations, optimising the manufacturing footprint, streamlining enabling functions, leveraging shared service centres and a focus on end-to-end supply chain excellence.
Patrick De Maeseneire, chairman of Barry Callebaut’s board of directors, commented: “With BC Next Level, Barry Callebaut is set to become even more customer-focused, agile and efficient. The board is convinced that these actions will secure the long-term success of the company and benefit all stakeholders. The management team can count on our full support for the implementation of the action plan presented today.”
You may also like to read:
© FoodBev Media Ltd 2024