Sedex Case Studies Addressing Supply Chain Sustainability in a VUCA World: A Case Study of Kellogg Company

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	Addressing Supply Chain Sustainability in a VUCA World: A Case Study of Kellogg Company Sedex

Addressing Supply Chain Sustainability in a VUCA World: A Case Study of Kellogg Company

Sedex

Technology Category	Analytics & Modeling - Computer Vision Software
Applicable Industries	Food & Beverage National Security & Defense
Applicable Functions	Logistics & Transportation
Use Cases	Supply Chain Visibility Tamper Detection
Challenge	Kellogg Company, a global leader in the food industry, was facing significant challenges in managing its supply chain sustainability in a VUCA (volatile, uncertain, complex, and ambiguous) world. The company's SVP of Global Supply Chains, Alistair Hirst, identified four key challenges that were impacting the stability, risk, and sustainability of their global supply chains. These included political instability, climate change, food security, and urbanization. Political instability, such as wars and socio-economic imbalances, was affecting the company's sourcing and sustainability at a high level. Climate change was altering the world's growing regions, posing a threat to the company's food production. Food security was a major concern, especially in developing markets where the company hoped to expand its business. Lastly, urbanization was expected to increase the world's population to nine billion by 2050, with 70% living in urban areas, thereby increasing the demand for food while the resources remained limited. Read More
About Customer	Kellogg Company is a multinational food manufacturing company headquartered in Battle Creek, Michigan, USA. The company produces cereals and convenience foods, including cookies, crackers, toaster pastries, cereal bars, fruit-flavored snacks, frozen waffles, and vegetarian foods. The company's brands include Corn Flakes, Frosted Flakes, Rice Krispies, Special K, Pringles, and many more. With a history spanning over a century, Kellogg Company operates in over 180 countries across the globe. The company's SVP of Global Supply Chains, Alistair Hirst, has been working in supply chain for Kellogg Company for 32 years, across four different continents. Read More
Solution	To address these challenges, Kellogg Company collaborated with the Institute of the Future, based in California, to develop a strategy for managing in a VUCA world. The strategy involved having a clear vision of the company's direction, understanding the path to get there, clarity of purpose, and agility to handle long- or short-term supply shocks. To tackle political instability, the company had to develop robust policies and programs. To combat the effects of climate change, the company aimed to create resilience in its supply chain and predict changes in growing regions. To ensure food security, the company planned to step in commercially and transition people from subsistence farming to commercial cash crops. To address urbanization, the company aimed to improve food security for those left on the land and enhance productivity through a strong sustainability agenda. Read More Log in to view content
Contents

Technology Category

Analytics & Modeling - Computer Vision Software

Applicable Industries

Food & Beverage

National Security & Defense

Applicable Functions

Logistics & Transportation

Use Cases

Supply Chain Visibility

Tamper Detection

Challenge

Kellogg Company, a global leader in the food industry, was facing significant challenges in managing its supply chain sustainability in a VUCA (volatile, uncertain, complex, and ambiguous) world. The company's SVP of Global Supply Chains, Alistair Hirst, identified four key challenges that were impacting the stability, risk, and sustainability of their global supply chains. These included political instability, climate change, food security, and urbanization. Political instability, such as wars and socio-economic imbalances, was affecting the company's sourcing and sustainability at a high level. Climate change was altering the world's growing regions, posing a threat to the company's food production. Food security was a major concern, especially in developing markets where the company hoped to expand its business. Lastly, urbanization was expected to increase the world's population to nine billion by 2050, with 70% living in urban areas, thereby increasing the demand for food while the resources remained limited.

About Customer

Kellogg Company is a multinational food manufacturing company headquartered in Battle Creek, Michigan, USA. The company produces cereals and convenience foods, including cookies, crackers, toaster pastries, cereal bars, fruit-flavored snacks, frozen waffles, and vegetarian foods. The company's brands include Corn Flakes, Frosted Flakes, Rice Krispies, Special K, Pringles, and many more. With a history spanning over a century, Kellogg Company operates in over 180 countries across the globe. The company's SVP of Global Supply Chains, Alistair Hirst, has been working in supply chain for Kellogg Company for 32 years, across four different continents.

Solution

To address these challenges, Kellogg Company collaborated with the Institute of the Future, based in California, to develop a strategy for managing in a VUCA world. The strategy involved having a clear vision of the company's direction, understanding the path to get there, clarity of purpose, and agility to handle long- or short-term supply shocks. To tackle political instability, the company had to develop robust policies and programs. To combat the effects of climate change, the company aimed to create resilience in its supply chain and predict changes in growing regions. To ensure food security, the company planned to step in commercially and transition people from subsistence farming to commercial cash crops. To address urbanization, the company aimed to improve food security for those left on the land and enhance productivity through a strong sustainability agenda.

Impact #1	By addressing these challenges, Kellogg Company aimed to simplify its supply chain sustainability in a VUCA world. The company's strategy was designed to provide a clear vision and understanding of its path, ensuring clarity of purpose and agility in handling supply shocks. This approach was expected to help the company navigate political instability, adapt to climate change, ensure food security, and manage the effects of urbanization. By doing so, Kellogg Company hoped to enhance its sustainability agenda, improve productivity, and ensure food security for those left on the land, thereby securing its position as a global leader in the food industry.

Impact #1

By addressing these challenges, Kellogg Company aimed to simplify its supply chain sustainability in a VUCA world. The company's strategy was designed to provide a clear vision and understanding of its path, ensuring clarity of purpose and agility in handling supply shocks. This approach was expected to help the company navigate political instability, adapt to climate change, ensure food security, and manage the effects of urbanization. By doing so, Kellogg Company hoped to enhance its sustainability agenda, improve productivity, and ensure food security for those left on the land, thereby securing its position as a global leader in the food industry.

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Overview

Addressing Supply Chain Sustainability in a VUCA World: A Case Study of Kellogg Company

Operational Impact