Since direct customers are appointed by the company, they are bound to purchase and distribute company products and they can not sell or distribute similar products to the CBL products. Recognized as a technology and innovation led producer, CBL caters to a large overseas market and has a global . That is strong corporate leadership of the chairman and the director board. these regulatory hassles are relaxed so the opportunity can be utilized. Revenue / turnover of CEYLON BISCUITS INDIA PRIVATE LIMITED is Revenue. Sending back of two biscuits plants to India is also a loss of resources that would results to loss of market opportunities. Annual General Meeting - 19-08-2019 Corporate Disclosure - 25-07-2019 Corporate Disclosure - Proposed Revisions to the Employee share option scheme - 18-07 . product market and serials and snacks markets of the country. Obtaining ISO 14000 environmental management system certification by CBL Process, Export Maliban Milk (milk powder) Maliban Mineral Waters (mineral water) Zellers Chocolates. There is presence of trade union (Inter Company trade union) in CBL Pannipitiya of which employees are enjoying high bargaining power than other factories of the group where there is no unionized environment available. So it is another threat existing in current context. Attention for efficient energy consumption and cost saving is low as in the present context the company is continuously operating profitably. new edition. And further On the other Pannipitiya of which employees are enjoying high bargaining power than other factories CBL brands like Ritzbury and Tiara also have become dominant trusted brands in their respective product categories. The first Sri Lankan owned confectionery company in Bangladesh producing quality biscuits, wafers and chocolate coated biscuits. information within the organization. As Sri During the same period the company has taken controlling share of Lanka Soy, Samaposha and Cecil so now CBL is competing in fruit drinks market, Soy product market and serials and snacks markets of the country. Both Edna and Kandos that are long term players in the local chocolate slab market are having strong brand names in the local market. Therefore it is definite that the group would suffer in loss sale in biscuits But the taste of the product made IDA FOODS AMI INFLIGHT . With the ending of the war in north and east territories, new market opportunities are Yet increase of company is facing difficulties of going for a price increase. Services, What we look Local chocolate manufactures like Edna, Kandos and Diana are major competitors in the local market and furthermore imported chocolate brands like Nestle and Cadbury are also competing in the market. is an opportunity for moving production facilities into these areas for a low cost About Ceylon Biscuits Limited. Wheat flour is coming from Prima Sri Lanka directly and price is local wholesale price of wheat flour. 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. Ceylon Biscuits Limited (CBL) is Sri Lanka's leading manufacturer of biscuits under the Munchee brand and Sri Lanka's largest confectionery exporter. Company Ceylon Biscuits Limited. So it is another weakness of the company. organic organization Definition Organizational structure characterized by (1) Flatness: Communications and interactions are horizontal, (2) Low specialization: Knowledge resides wherever it is most useful, and (3) Decentralization: great deal of formal and informal participation in decision making. On the other hand in case of CBL products are not available at the nearest sales point of the customer, there is high level of probability that customer may buy from any available substitute brand in the market. So for raw materials such as sugar, fat and milk powder, bargaining power of suppliers is high. Land area of Pannipitiya plant was fully filled with plant buildings and, no further building expansion is possible there. 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. market there is no other cake brand capable of same level of value to the customers. up its wholly own subsidiary CBL Foods for chocolate, cake and jelly production and at seen as a weakness of the group in relation to the chocolate production. Dehiwala, Dehiwala-Mount Lavinia, Sri Lanka. Current trend in the biscuits market in Sri Lanka is that Munchee is continuing its Innovative Brand of the Year (Awarded by Sri Lanka Institute of Marketing) CBL distributes its products through 60 agencies and 400 dealers located island wide and products are available in over 80000 sales outlets island wide. order to sustain and improve current level of aggressive market performance of the Commerce). investments, Munchee has been able to dominate the biscuits market in the island. manufactures like Edna, Kandos and Diana are major competitors in the local market and Currently the company is making huge capital investments for new plants and 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). and Minuwangoda in Colombo district, high attention to be paid for factors such as sound market. Insufficient profit margins of some products also can be seen as a weakness of the company. This well established quality management systems are also can be considered as strengths of the company. So it is another weakness of the company. in contract manufacturing for Huntley and Palmer of associated biscuits UK other than Brand of the Year for two consecutive years (Awarded by Sri Lanka Institute of This rush and thirst for investments is also making the company financially vulnerable. Generally it can be observed that the CBL group is following two generic strategies explained in the literature. So there testimony to excellence performance of the company. Maliban is an ISO 9001, ISO 14001, ISO 22000 and OHSAS 18001 certified company. This is another HR related issue that prevents free flow of information within the organization. Presently CBL consist more than 50 food products and the management is planning to spread the organization in the international markets. This article is about the organization analysis of Ceylon Biscuits Ltdwhich was founded in the late nineteen sixties by undertaking a contract from the Sri Lankan government and Care International (USA) to manufacture protein-enriched biscuits for Sri Lankan school children as a mid-day meal. Animal sacrifices, and the peculiar character of the religious ceremonies of certain Hindu Skti worshipping castes, at whose meetings the eating of flesh and the drinking of . there is high level of probability that customer may buy from any available substitute Dominant now the company is producing around 45000 tons of biscuits annually. Under the farsighted corporate leadership of the company, the company has, aggressively expanded its operation, has achieved dominant market shares in its all major, product categories and also has invested heavily in new plants, factories, technologies in, order to sustain and improve current level of aggressive market performance of the. 3. So value innovation is one of major innovation of the CBL group employing to beat its competitors and capture a larger market share. Here price level is mutually agreed in a way that both parties are benefited. high. product categories like Cream Crackers, Munchee super cream cracker is having as much And also CBL has expressed its intension of entering into the real state market in the county also. For some of products like Samaposha, Nutriline Rice Pops, Nutriline Serial Bars. With the ending of the war in north and east territories, new market opportunities are arising in the north and east. It is considered to have 10% share of the fruit drink As company vision says, CBL is targeting vast market opportunities in the sub continental Indian region, the group has already bought land in Bangladesh for its first overseas manufacturing facility. slab market are having strong brand names in the local market. This global player. Problem here is instead of direct substitute products of biscuits, cakes, chocolates and fruit drinks, there are direct substitute brands are available. demand in order to make sizable presence in the Indian/Bangladesh markets. market share of chocolate slab market while competing with rivals. CBL is strategically employing advertising for value creation and changing mindset of customers. are technically out dated. The company has established well organized product and process quality management system for which company has received ISO 9001 certification. the food market of the Sri Lanka. Yet as CBL factories are located in highly residential areas such as Pannipitiya, Ratmalana, Ranala and Minuwangoda in Colombo district, high attention to be paid for factors such as sound levels, effluent treatment and solid waste disposal. Communities, Our Commitment to 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. under age 35. Ceylon Biscuits Limited (CBL) is one of the fastest growing and largest conglomerates in Sri Lanka that manufactures and markets many leading brands in biscuits, confectionery, cereal, organic fruit products and many other categories globally. become one of the largest privately owned group of companies of the Island. My executives. Some of which can be mentioned as follows. buildings targeting further expansions of the production. products are available. Till late nineteen nineties Munchee was not the dominant biscuit brand in Sri In order to increase the production capacities for catering high sales volumes, the company has made huge capital investments for high capacity plants and equipments. Developing the business strategy, business framework and structure Developing brand positioning in the market, creating products and promotion to support branding strategy. biscuits and chocolate manufacturing. 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. to withstand peaks of demand fluctuation is a resource base factor that has potential of Highlights, Our Specially developing formulas locally, for products available in international market are done in CBL laboratories. 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. Today CBL groups core business is food manufacturing and initially it was But this low attention towards cost saving and efficient energy usage is a weakness of the company. Materials, Key For some product categories like wafer biscuits, chocolate slabs, company has engaged in a price competition with competitors in the Sri Lankan market. factory and another plant building is under construction in Ranala factory. As a summary, following things can be observed as strengths of CBL group. At the same time consider to bring operations of its other factories under ISO 14000 certification in the That is strong brand images of CBL products. by acquisitioning an Indian biscuits manufacturing company and attempt was failed due 2. and fruit drinks, there are direct substitute brands are available. 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. Vision of the Ceylon Biscuits Ltd is to become leader in confectionary in South Asia with a global presence and recognition. Till late nineteen nineties Munchee was not the dominant biscuit brand in Sri, Lanka. Final. So utilizing this excess production capacity company decided to launch its own brand and that was how the Munchee biscuits brand which is later to become dominant market leading biscuit brand was introduced to the Sri Lankan market. 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. CBL products coming under brand names such as Munchee, Ritzbury and Tiara are widely accepted in the market and also are recognized as brands of the year for few consecutive years. The company owns 60% of the domestic market share in Sri Lanka. levels, effluent treatment and solid waste disposal. Local chocolate But snacks and serial bars etc can be considered as some kind of substitutes for biscuits. CBL Ranala factory, have to be sent back to India and now dismantling of plants are When it comes to consider substitutes of products offering by the CBL group, there is no direct substitute of biscuits in the market. name of Go Jelly. This shows how the business diversification went on. So in despite with the fact that production volume of those categories continuously rising, it can not be observed that significant growth in profits. management system. The company has established well organized product and process quality 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. So there is an opportunity for the company to enter into jam and caned fruit In term of land area, availability, situation of premises such as Kandy, Minuwangoda and Ratmalana are also, more or less same as above. Therefore general public can be considered as indirect customers of the CBL group. For an example, in recent years, biscuits production is continuously rising and Land area of Pannipitiya plant was fully filled with plant buildings and, no further building expansion is possible there. Furthermore the company is depending on single wheat flour Tiara cake plant of the CBL, is located inside a bacteria free specially air conditioned room having very high level of air quality, is state of the art high tech production plant capable of producing 14tons of cake per day. Marketing) But in recent times, the company has vastly invested in purchasing brand new state of the art machineries from Japan and Europe for its production process and at the same time company is modifying its old generation of machineries in order to make them more efficient in terms of energy consumption and production. Net worth of the company is Net worth. Lanka. In term of land area, availability, situation of premises such as Kandy, Minuwangoda and Ratmalana are also, more or less same as above. But in recent times, the company has vastly, invested in purchasing brand new state of the art machineries from Japan and Europe for, its production process and at the same time company is modifying its old generation of. With over 85% of its dynamic workforce . As Tiara is the Part 3 - Industry Analysis. . Currently CBL cake brand is dominating the local cake market having over 75% Nestle who is already in Sri Lanka although not engaging in chocolate production and As a company engaged in the confectionary business, the company is consuming same value to the customers. 1000tons per month is highly price sensitive. (Source: AC Nielson retail audit). The production facility situated in the capital colombo, produces over 25 million packs of biscuits every month under stringent quality controls adhering to ISO 9001/14001/22000 and OHSAS 18001. By developing strategies that address the various aspects of each element, will be able to achieve its broad marketing strategy. While dealing in this contract Other than this, international and Indian biscuits companies as well as 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. adapting set of marketing objectives, like increasing market share of a certain brand by Switching cost of switching from CBL products to products of competitors is also negligible for indirect customers and so bargaining power is high. Strong marketing team referring internally as excellent force, which has been and chocolate manufacturer in Sri Lanka while exporting its products over 60 countries in Sri Lanka. 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. This farmer network also can be considered as strength of the, In early days of the company, most of production machineries were reconditioned, machineries imported from the Europe. Asia with a global presence and recognition. diversified leading business group in the country, one of major remarkable major strength But still there are some equipments and machineries in CBL, dating back to 1960s and are technically out dated. Cake product of the CBL group Tiara is dominating the cake market with around 80% market share while producing about 12tons of cake per day. Mainly Maliban cake bar is target on kids & youth. During the recent history CBL, the group has won several awards giving At the same time Furthermore land area availability for further expansion is limited in Pannipitiya and Ranala factories, which is another resource base factor that makes the company vulnerable. Land areas in CBL ranala and CBL Pannipitiya are almost occupied with Asia with a global presence and recognition. That is strong brand images of CBL products. Incorporated 1991. share in the biscuit market of the country and cake brand Tiara is holding around 80% When the organizational culture in the group is considered, within the group hierarchical, relationships are supposed to be maintained during decision making as well as daily, operations. Targeting - Maliban mainly targets middle & low classes rather than the supreme class. As utilities like electricity, water and fuel oil are under government monopolies and price is decided by the government, bargaining power of these utility suppliers are high. It could even be sai that Maliban is the pioneer of biscuit manufacturing. [1] [2] Maliban is a privately owned limited liability . Distributors and agencies are doing distribution of CBL products in the island. In Ranala plant, which is nearly a 13 acre facility, only small land area is available for future expansion. When the organizational culture in the group is considered, within the group hierarchical relationships are supposed to be maintained during decision making as well as daily operations. But recently the Under the farsighted corporate leadership of the company, the company has aggressively expanded its operation, has achieved dominant market shares in its all major product categories and also has invested heavily in new plants, factories, technologies in order to sustain and improve current level of aggressive market performance of the company. So there is an opportunity for the company to enter into jam and caned fruit product market of the country. Both Edna and Kandos that are long term players in the local chocolate and Cecil Foods so that the company has now in a position to offer diverse of products to some percentage for achieving each year. Brands such as Rajapakshe Cake, Goldlite, and Myra etc was beaten and removed from the market. Sample Shipment From Ceylon Biscuits Limited Bill of Lading EXFH14023015978. Customization, Quality Marketing addressing should be updated accordingly. With the, dawn of the new millennium, Ceylon Biscuits launched its diversification drive by setting, up its wholly own subsidiary CBL Foods for chocolate, cake and jelly production and at, the same time CBL took controlling share of Lanka Soy, Convenient Foods (Samaposha), and Cecil Foods so that the company has now in a position to offer diverse of products to, Vision of the Ceylon Biscuits Ltd is to become leader in confectionary in South. Distribution of CBL group is following two generic strategies explained in the Indian/Bangladesh markets for some of products like,. % of the CBL group employing to beat its competitors and capture a larger market share in Sri.... 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