1,500 NOMAD S OFFER FOR FINDUS. Fast Facts #1 #1. Together, 3x the size of nearest competitor. This month we celebrate the pea harvest...
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1 This month we celebrate the pea harvest... NOMAD S OFFER FOR FINDUS Fast Facts Findus is one of Europe s largest frozen food companies #1 #1 frozen food position in Nordics frozen food position in Southern Europe Together, 3x the size of nearest competitor 1,500 employees Together, no. 1 player in 11 markets 600 million in sales Some of their products
2 What have Nomad Foods offered to buy? Findus Group s continental European businesses in Sweden, Norway, Finland, Denmark, France, Spain and Belgium. The deal would include the rights to the Findus, Lutosa, and La Cocinera brands in these markets. It does not include Young s Seafood in the UK. When will the deal happen? Completion is expected in Quarter 4 of What does this mean for the Nomad and the Iglo Group? When Nomad acquired the Iglo Group earlier this year, it set a goal of building a global family of best-in-class food brands. This offered acquisition is intended to help them on that journey, allowing Nomad, Findus and the Iglo Group to pool and share resources and best practices. The acquisition would bring around 1,500 employees and 6 manufacturing facilities to Nomad Foods, as well as wider influence in the pan-european frozen/food market. What does this mean for our consumers? More choice! We re uniting two industry leaders and our objective is to bring even more shoppers to the frozen food aisles. What does it mean for me? It s unlikely there will be much change to your day-to-day job. An integration team led by Tania Howarth will be responsible for bringing our two businesses together. We ll share any and all future developments with you as soon as we can. Where can I find out more? The latest information can be found on the company comms page. Alternatively, you can watch our CEO Stéfan Descheemaeker s 2 September webcast, in which he outlines plans for the acquisition. Stefan has also asked leaders in each market to discuss the changes with you and share your feedback. Because Findus is a well-known and loved brand, it will continue trading under its existing name.
3 THE {BIG} MESSAGE Stéfan Descheemaeker CEO of Iglo Group Since joining Iglo in June, I ve been visiting as many sites as I can I look forward to reaching all of them in due course. I ve been sampling our fantastic products, and been impressed by your incredible energy, passion and skill. It s been a busy start, with developments including Nomad s offer for Findus Continental European businesses. That s an exciting move, highlighting their commitment to becoming a best-in-class global consumer foods company. I m looking forward to seeing how the acquisition develops, and how it will benefit Findus, Nomad and the Iglo Group. At the same time, I m focusing on building our business. Our sales are significantly down and we re losing market share 2015 will not be a year of growth. We have to turn that around. We ll start by reducing costs and re-investing in the business. This edition of The Big Picture tells you about our approach to revenue management and the Iglo Penetration Flywheel just two of the ways we can save to re-invest and focus on helping our company grow. We are the branded leaders in the frozen food industry across Europe. However, we must earn the right to shape the future of this industry. If we turn our business around, and integrate successfully with Findus, I m confident we ll do it.
4 FLYWHEEL TO DRIVE GROWTH The Iglo Penetration Flywheel is designed to help us focus on the things that make our business grow. Strongly supported by Stéfan, it s a tool that encourages a consistent approach and language across the Group, and helps share best practice across all teams. Whatever your role, get people seeing, thinking and valuing our brand. Share your ideas and examples of success. We can all contribute to driving growth, and encouraging more people to enjoy our meals together. Its three main elements are: Physical availability encouraging more consumers to SEE our brand Mental availability encouraging more consumers to THINK about our brand Value creation encouraging more consumers to VALUE our brand Within those elements, there are 11 drivers for growth, which you can see above. Our strategic plans have been built using this model, and we ll use our existing forums and new Sharepoint site to share best practice on all the drivers across the entire Group. You can see how we re getting on, and find out more, by looking on Sharepoint.
5 INVEST TO GROW shoppers and customers we can recommend the best price and promotion. Combining these things lets us create a clear price, pack and promotion plan for each product in each channel, and an investment strategy that grows our business. Control Our sales teams are constantly challenged by customers looking for more investment to fund promotions and price wars. But we have one of the biggest and best-loved brands in the world, we know promotions rarely deliver long term growth, and we control our own P&L. So we are going to take control of our investments and make sure everything we invest contributes to the growth of our brand. Kids know how important it is to make every penny count, they agonise over how to spend their pocket money every week. We need to adopt the same attitude, and get the maximum value from our investment in promotions, growth incentives and retailer agreements. We ll do this by: 1. Making the most of existing investments = Optimisation 2. Controlling future investment increases = Control 3. Delivering a strategy to increase core business = Long Term Growth Optimisation By analysing our returns on past investments we can understand what worked and what did not. By understanding our strategy we can invest in our priorities and by understanding our Long Term Growth The best way to grow net revenue and profit is to grow Retail Sales Value. We have launched a new vision for the frozen category identifying routes to growth. We will align future investments behind this, shopper insights and marketing strategies in order to deliver benefits for customers, consumers and ourselves. Slow and steady The change will not happen overnight. We want to create the capability and culture of making our money work as hard as possible across the whole Group. We will need everyone s support so look out for more information about how you can help us grow.
6 DUTCH TEAM MAKE A SPLASH Our Dutch team have made a splash in the fish sector, winning a Gouden Partner Award from LevensmiddelenKrant magazine. The awards are based on trade partner nominations, which shows how much our partners appreciate us. In fact, one praised the positive effect our products are having overall, saying: Iglo is growing the whole category. Well done, team! FAMILY FUN PROMOTION With predicted sales of over 31 million packs, you wouldn t believe Birds Eye s summer sales promotion was put together and on the shelves in just seven months. Working with Merlin, Europe s largest entertainment group, the offer gives kids the chance for free fun at attractions across the UK. Packs are on shelves until 1 October.
7 MY IGLO JOURNEY Stefan Hemsing Head of Shift Workshop Department: TC Location: Reken This month, we hear from Stefan Hemsing, Head of Shift Workshop based in Reken, Germany. Starting as an apprentice in 1995 he s now been with Iglo for over twenty years. He shares his career journey and the achievements he s most proud of. When did you join Iglo Group? In 1995, I started as an apprentice electronic installer at Langnese-Iglo in Reken. Tell us about your career journey so far For example, career path, training, past experience, qualifications. During my job as a shift worker, I took evening classes in electro-technology. Later, I got the opportunity to take control of the shift workshop, in production. Creating better meals together that s what we re about. Which team achievement are you most proud of? When we changed the way we created spinach filling we had to optimize and tune the machines together with the production workers, the machine manufacturers and our shift shop workers. The work went over more than one season, and took a long time to finish, but working as a team we completed it successfully. What s a typical day like? A typical day starts with the analysis of any technical failures from the previous shifts. Together with my team, I work on finding improvements that avoid production downtimes and ensure production lines work as efficiently as possible. I m also involved in many meetings, e. g. project meetings, occupational safety meetings, cost meetings, and so on. What do you like most about working at Iglo Group? I especially like the open mindedness of my colleagues and how I ve worked with most of them for a very long time! Do you have any advice for colleagues looking to move up the ladder? Never lose sight of your targets, and gain new experiences when possible. Learn from your mistakes and take the positive out of them. What s your favourite Iglo product and why? Our cream leaf spinach, because you can use it for all sorts of different things, and fish fingers with cream vegetables. My children love this so much they would eat it every day!
8 CAPTAIN S PROMISES A year ago, the Green Captain made three promises - to promote frozen food as a more sustainable choice, to provide healthier meal choices through our innovation and to source and prepare food responsibly. We have a series of proof points that measure our success in real terms. Make sure you know the part you and your functional team plays in achieving out FFT goals. If you need a reminder talk to the CSR team. WE'D LOVE GET IN TOUCH TO HEAR FROM YOU Any feedback or stories to share? Contact the team via: thebigpicture@mantracontent.com
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