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Nestle's Operations Management

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Nestle's Operations Management
NESTLE
A Project on Operations Management

An understanding of current production systems, the quality aspects and supply chain management of Nestle

2012
Group-5 : SANTOSH KUMAR GUPTA, JAISON JOSEPH, NANJAPPA P.B., TANUJ GOYAL, MAITREE MISHRA, ANAND S.
INDIAN INSTITUTE OF MANAGEMENT ROHTAK
3/17/2012

Contents Executive Summary 3 Nestlé 4 Brief Overview 4 History 4 Main Brands 4 Nestlé's Popularly Positioned Products (PPP) strategy 5 Global context 5 Key facts on Popularly Positioned Products Strategy 5 Nutrition 5 Distribution 5 Operations of Nestle 6 Milk reception and quality checks 7 Separation 7 Milk separator 8 Clarification 8 Standardization 8 Bactofugation 8 Homogenization 9 Pasteurization 9 Evaporation 9 Drying 11 Industrial Performance Tools 14 Cleaning-in-place (CIP) 15 Nestle Quality Management System 16 Quality Policy 16 Nestlé Quality Management System Structure 17 Nestle Quality System: Key principles 18 Quality standards 18 International Organization for standardization (ISO) 19 ISO 9001, 14000, 18000 19 Bureau of Indian Standards (BIS) 20 Food Safety and Standards Acts(FSSA) 21 Fruit Products Order- 1955 21 HACCP 22 The HACCP seven principles 22 CAR-PAR 23 Documentation 23 Nestle Supply Chain Management 25 A Quick Look At Nestle India’s Moga Factory 28 Conclusion 29 Reference 29

Executive Summary
Nestle is a market leader in the FMCG sector across different markets with products such as beverages, ice cream, baby foods/formulas, soups, frozen foods, snacks, pet care and candy. Some of the more popular products are Kit Kat, Nescafé, Nestea, Nestlé Everyday Dairy Whitener, Nestlé Maggie among others. Nestlé uses the strategy of popularly positioned products which focuses on the specific needs of around 3 billion lower-income consumers worldwide. PPPs offer these consumers the opportunity to consume high-quality food products that provide nutritional value at an affordable cost.

In this report, we analyze the

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