CBL Ranala factory, have to be sent back to India and now dismantling of plants are This can be mentioned as a farsighted alignment of corporate strategy with long term company objectives. Part 4 Strategic Analysis, Trusted by 2+ million users, 1000+ happy students everyday, You are reading a previewUpload your documents to download or Become a Desklib member to get accesss. Till late nineteen nineties Munchee was not the dominant biscuit brand in Sri Lanka. The company also sells snacks, cereals and other food products such as coconut milk and salt. You are reading a previewUpload your documents to download or Become a Desklib member to get accesss. same quality equivalents of international market products coming under brand names But the taste of the product made according to an Italian formula is not matching with the local customer taste. For some of products like Samaposha, Nutriline Rice Pops, Nutriline Serial Bars, Cecil Fruit Drinks, company purchased raw materials such as grams, green grams, crown, rice, peanuts etc locally. vulnerable. Indian free trade agreement. availability of the product everywhere in the country. Strong marketing team referring internally as excellent force, which has been able to build the strongest brand name in Sri Lanka for four consecutive years, is another strength that gives competitive advantage for the company. Case of Tiara cake can be shown as a best example for better customer value creation. available in international market are done in CBL laboratories. While dealing in this contract, manufacturing for the Care International, it was noticed by the company that excess, production capacity was there. The Role of Organizational Structure. Capture a web page as it appears now for use as a trusted citation in the future. So the competition for the Tiara cake is not high as there is no other brand giving same value to the customers. The group, name CBL itself is becoming a trusted brand for quality in the Sri Lankan market. Prior to this innovation Munchee Lemon Puff only had 23% market share in Lemon Puff market and now is having 80% market share in the market. In term of market share the flagship brand Munchee is holding over 60% market So in order to supply future demands of growing market, further technological upgrade is desirable for the company. Then entry into fruit drink market was made by acquiring the fruit drink company Cecil. Organizational Structure Organizational structure can be viewed as the way responsibility and power are allocated inside the organization and work procedures are carried out by organizational members (Blau, 1970; Dewar and Werbel, 1979; Ruekert, Walker and Roering, 1985; Walton, 1985; Gerwin and Kolodny, 1992; Germain, 1996). This can be seen as a weakness of the group in relation to the chocolate production. Pannipitiya of which employees are enjoying high bargaining power than other factories Materials, Key As a summary, following things can be observed as strengths of CBL group. Now with the FTA become one of the largest privately owned group of companies of the Island. company products and they can not sell or distribute similar products to the CBL biscuits and chocolate manufacturing. soy products are considered, the market is very competitive and there are many similar Another important factor notable in the success story of CBL is, correctly understanding the power of advertising in the event of building a brand. Throughout the journey of CBL from a small biscuits manufacturer to a, diversified leading business group in the country, one of major remarkable major strength, can be observed. Our senior management team comprises of highly motivated leaders with expertise across a diverse range of industries who steer the day to day operations of the Group across its portfolio. such as Cadbury and Nestle etc. player in the local fruit drink market is Smak. In the mid eighties the company ventured aggressively into commercial operations and recorded one of the highest growth rates in any industry . In current context CBL is not in position to compete with Indian manufacturers in low price category. Ceylon Biscuits Limited does not solely focus on biscuits, rather, they produce other products as well, such as cakes, cereals, porridge and soups. The company owns 60% of the domestic market share in Sri Lanka. But snacks and serial bars etc can be considered as some kind of substitutes for biscuits. As per the article it can be saidthat continuous drive for innovation and creation of superior value to customers has largely contributed for the recent success of the CBL group. local biscuits market and now they are having over 10% market share. So CBL is investing in R&D related to developing those product formulas locally and these R&D activities can be mentioned as strengths of the company. other dominant brand Ritzbury is having 50% market share in the chocolate slab market Database system administration - Assignment 2 answers. Finally it can be said that continuous drive for innovation and creation of superior value to customers has largely contributed for the recent success of the CBL group. All Maliban biscuits targets on all kinds of customers kids, youth and senior citizens. some percentage for achieving each year. In areas like printed packaging and corrugated cartoons, the company is purchasing bulk quantities from local packaging companies like Expack, Modernpack and Star packaging etc. Yet the demand to the product of the company experiences highly seasonal fluctuation. Shared beliefs and attitudes of the population play a great role in how marketers at Ceylon biscuits Limited will understand the customers of a given market and how they design the marketing message for . Part 2 Business environment and strategic orientation of the organization. Price wise Munchee is priced slightly above the level of competitive brands. Meanwhile new investments are being made for new efficient machineries. So utilizing this excess production capacity company CHAIRPERSON - Mrs. Nirmali Samaratunga Mackwoods Ltd Although CBL group is performing well in the Sri Lankan market in its all most all Bank of Ceylon is in My Favorite - Delete. Except wheat flour and palm oil, other raw materials are imported from the international market where the consumption of the CBL is not a bulk quantity of raw material suppliers production. In recent times, attempts for increasing chocolate coated product production are being made with new investments for machineries and still there are available sales losses due to this insufficient production capacity. Further it is expected to extend this network to other CBL factories and connect local and international suppliers to the company through the same network. For instance, when Ritzbury Popit that is a chocolate coated rice crispy product, was introduced to the Sri Lankan market some 8years back, price of a 10g packet was 20 rupees. Both Edna and Kandos that are long term players in the local chocolate This rush and thirst for investments is also making the company financially vulnerable. Therefore this price competition can be observed as another threat. Lankan per capita biscuits consumption is as high as 2, one of the highest in Asian So there is a possibility for another company to come to market as a new entrant focusing on another market segment where CBL is not paying much attention currently. Other raw materials like peanuts, green grams, grams etc are sourced through farmer network set up in Ampara and Wellawaya areas. The Strengths-Weaknesses-Opportunities-Threats (SWOT) Analysis / Matrix enables the managers of the Cbl Corporation Limited to develop four types of strategies: SO (strengths-opportunities) Strategies. Phone +94 112624408. no other equivalent alternative the CBL cake is dominating the market. Recently it was started setting up a new factory at Seethwaka industrial park, land was bought for setting up Bangladesh factory and another plant building is under construction in Ranala factory. Managers coordinate staff and resources to achieve organizational objectives. Annual National Chamber of Industries Achievers (CNCI) Awards scale manufacturers dealing in biscuits manufacturing alone. No events Contact. One prerequisite for achieving the target is huge capital investments in sub continental India. Maliban is the leading biscuit manufacturer of Sri Lanka. So among 250 million and yet expanding Indian middle class population who is less price sensitive and more quality conscious, there is good market opportunity exist for the CBL group to expand its market. that in areas of biscuits, cake and chocolate markets, CBL has been market leader in the (Malaysia, Taiwan, Thailand and Philippines) and develop full range of product lines. In order to source these agricultural raw materials in required quality and quantity, company has set up farmers network in Ampara and Wellawaya area. brand instead of Tiara, or similarly some other chocolate brand instead of Ritzbury. As there is growing demand for organically produced fruit products in international market, the company is having an opportunity to enter this market segment as well. failed. Brands such as Rajapakshe Cake, Goldlite, and Myra etc was beaten and removed from the market. Cenmetrix was awarded the project of installing RFID tub tracking solution at CBL . Organizational structure of the group is pyramidal and the relationships within the Cecil Fruit Drinks, company purchased raw materials such as grams, green grams, crown, rice, peanuts etc locally. As Tiara is the Process, Export As there is growing demand for organically produced fruit products in For some market share by almost whipping out other competitors in the market. of the group where there is no unionized environment available. manufacturing for the Care International, it was noticed by the company that excess Current trend in the biscuits market in Sri Lanka is that Munchee is continuing its Ceylon Biscuits Limited (branded CBL, commonly called Munchee) is a Sri Lankan food manufacturer, the maker of Munchee biscuits and one of the oldest biscuit makers in Sri Lanka. in contract manufacturing for Huntley and Palmer of associated biscuits UK other than Most of the products today enjoy the coveted position of being market leader in their respective category in Sri Lanka. Maliban Biscuit Manufactories, is one of the largest manufacturers, distributors and marketers of bakery products in Sri Lanka. The group is conducting its business according to government regulations and always So customers are having Due to the price competition in the industry, company is facing difficulties of going for a price increase. our planet, Sustainable growth for CBL is heading to that direction. Introduction Ceylon Biscuits Limited (CBL) is one of the fastest growing and largest conglomerates in Sri Lanka. Communities, Our Commitment to management system for which company has received ISO 9001 certification. Cecil, Samaposha and Lanka Soy factories are also having ISO 9001 certified quality management systems and also their products come with SLS certification. relationships are supposed to be maintained during decision making as well as daily Avissawella and now in a process to increase the production of fruit drinks. Currently CBL is enjoying technological superiority over its fellow competitors in the local market. With this FTA, there is a threat of entering of Indian big So insufficient production capacity, If the price level of local palm oil suppliers is high then company is having option of importing from the international market. So getting maximum use of vast Indian confectionary market is a must for achieving long term company objectives. As a privately owned group of companies, CBL group has no clearly explicit mission. This shows how the business diversification went on. While dealing in this contract, manufacturing for the Care International, it was noticed by the company that excess, production capacity was there. Furthermore greater emphasis is paid for increasing the Actually this threat is substantial as Sri Lankan per capita biscuits consumption is as high as 2.5kg, one of the highest in Asian region. CBL group is highly engaged in research and development activities related to biscuits and chocolate manufacturing. Distributors and agencies are doing distribution of CBL products in the island. From the beginning of new millennium, Munchee brand started aggressively invading the biscuits market of the Sri Lanka and now the company Ceylon Biscuits has become one of the largest privately owned group of companies of the Island. OFFICE BEARERS 2009/ 2010. Today CBL groups core business is food manufacturing and initially it was But the taste of the product made be observed as a major contributor of recent success of the company. Furthermore value innovation is playing crucial role in CBL strategy. Literature Review 2.1. As there is CBL is heading to that direction. The current strategic approach of Ceylon biscuit ltd is explored in terms of its business-level strategy, corporate-level strategy . Commerce). Other than this, international and Indian biscuits companies as well as It manufactures and market many leading brands in; Biscuits Confectionary Cereal etc. Enter employee name to find & verify emails, phones, social links, etc. innovation are also can be observed as strengths of the CBL group. This modernization of machinery and equipments and technological Developing the business strategy, business framework and structure Developing brand positioning in the market, creating products and promotion to support branding strategy. the same time CBL took controlling share of Lanka Soy, Convenient Foods (Samaposha) Obtaining product formulas necessary for biscuits, cake or chocolate production is also a barrier for new entrants. For an instance earlier, biscuit like Lemon Puff of which there is yellowish cream inside the biscuits sandwich was fun part of kids and usually biscuits covering the cream were thrown away. Except wheat flour The strategic options open to the corporation and which ones I would advise it to pursue is addressed in the report. CBL distributes its products through 60 agencies and 400, dealers located island wide and products are available in over 80000 sales outlets island, wide. 3 | P a g e Executive Summary This is an independent group assignment done by our group members for the subject of Management of organization. Instead what the company CBL does is, adapting set of marketing objectives, like increasing market share of a certain brand by, Today CBL groups core business is food manufacturing and initially it was, chocolates under the brand name of Ritzbury, and also manufacturing of cakes under the, brand name of Tiara and also wafer biscuits manufacturing under the same brand, Munchee and recently company ventured into production of instant jelly under the brand, name of Go Jelly. CBL group is in the process of business diversification also. So with the free trade agreement with the India, CBL is having tremendous growth opportunities locally as well as regionally. This strategy is not tried through general cost cutting programs but by having technological superiority over its competitors. Here price level is mutually agreed in a way that both parties are benefited. Nestle who is already in Sri Lanka although not engaging in chocolate production and in the market and Little Lion accounts for around 12% market share and dozens of small Currently the company is making huge capital investments for new plants and Yet as CBL In chocolate coated product market, although the company has become the market leader with over 70% market share, production capacity is insufficient to meet forecasted demand for products in the market. Both Diana and Ritzbury are new entrants to the chocolate market. Throughout the journey of CBL from a small biscuits manufacturer to a Land area of Pannipitiya plant was fully filled with plant buildings and, no further building expansion is possible there. In term of land area, availability, situation of premises such as Kandy, Minuwangoda and Ratmalana are also, more or less same as above. Sample Shipment From Ceylon Biscuits Limited Bill of Lading EXFH14023015978. At the same time new entrants like Diana and Cherries have been able to widen their market share of the local biscuits market and now they are having over 10% market share. improve various food products. With the While dealing in this contract manufacturing for Care International, it was noticed by the company that excess production capacity was there. In recent past prior to the FTA signing, Munchee tried to start its first overseas manufacturing plant by acquisitioning an Indian biscuits manufacturing company and attempt was failed due to unfavorable Indian regulations regarding FDI in India at that time. Advertising and marketing efforts are concentrated in order to target this demographic segment. But the competition created by these substitutes is almost negligible for products such as cakes, biscuits and chocolates. Part 1- Organizational Analysis: Lorem ipsum dolor sit, amet consectetur adipisicing elit. Brand of the Year for two consecutive years (Awarded by Sri Lanka Institute of Even cake, fruit drinks, and soy products are considered, the market is very competitive and there are many similar products are available. But for fruit drinks, carbonated beverages act as a strong substitute. For an instance, munchee is having 60 agencies and 400 dealers distributing products to over 80000 sales outlets in the island. Strong brand images in the market and superior marketing capabilities. During, recent past CBL group has been able to widen market share of its product portfolio year, after year and efficient and well organized sales and distribution network of the group can. That is strong brand images of CBL products. 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