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Breaking News: H.J. Heinz and Kraft Foods Mega-Merger Portend Additional Tremors Across CPG Supply Chains

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This morning, financial headlines reveal the rather stunning but not unexpected news that H.J. Heinz will merge with Kraft Foods Group in a combined public company that will be named Kraft Heinz Company. According to The Wall Street Journal, this deal will likely top $40 billion in valuation with the combined entity having revenues of […]

Starbucks Cited in a $2.8 Billion Arbitration Award

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If our community needed any additional reinforcement regarding how important, and perhaps how expensive, open contract management terms and supplier relationships have become, than today’s headlines involving Starbucks and Kraft Foods should be the reminder. (Paid subscription or tiered free viewing) Yesterday an arbiter ordered Starbucks to pay Kraft’s new spinoff, Mondelez International a total […]

Mondelez International- When Cost Savings Pressures Reach Extremes

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This week, the Wall Street Journal reported that Mondelez International, the snack foods spinout of Kraft, has set expectations of a large revamp of its complex supply chain.  The goal of this latest effort is to facilitate a 5 percentage point improvement in operating income margin by 2016. The effort itself has large expectations for […]

Nestle is Cited for Cocoa Supply Chain Labor Abuse

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Supply Chain Matters has had a number of commentaries pointing out that supply chain risk mitigation not only includes the threat of physical supply disruption, but also matters of social responsibility and fair labor practices.  The risk is fundamental, it involves the reputation of your business and your brand. There have been a number of […]

Kraft Announces New Management Structures for Split Companies

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In August of 2011, consumer goods provider Kraft Foods made a surprising announcement that included global supply chain implications.  The company announced that it would split into two independent public companies, one to be focused on a global snacks business with the other being the company’s core grocery business.  The timing of this split is […]

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