Strategy-old

Nutrition plays a profound role in everyone’s life. Our strategy focuses on delivering distinct benefits to people through the food and beverages, products and services we provide. Over 150 years we have built a successful business by understanding and anticipating the needs of society, and continuously adapting ourselves to seize the opportunities presented to us.

The fast-evolving needs and expectations of society today reconfirm the validity of our Nutrition, Health and Wellness strategy. The world is at an inflection point. The speed, intensity and the breadth of change is unprecedented. Digital disruption is reshaping our industry, our relationships with our suppliers and retailers, and with the people who buy our brands. Advances in science and technology are opening up new opportunities for us to play a role in addressing the challenges society faces. In a world where hundreds of millions of people are under-nourished, malnourished or over-weight we are well positioned to help contribute solutions.

Inspiring healthier lives

Through our brands, our products and the services we offer, we are helping and inspiring people to live healthier lives. We are building, sharing and applying nutrition knowledge, and empowering people to make informed decisions about what they eat and what they feed their families. Our Start Healthy Stay Healthy programme helps parents and caregivers provide their children with the best start in life. In partnership with other stakeholders, our United for Healthier Kids programme helps establish healthier eating, drinking and lifestyle habits, and the Nestlé Healthy Kids Programme is teaching nutrition and encouraging physical activity.

We want our products to be the healthiest and the tastiest choices in each and every category we compete in. We use quality ingredients people know and trust, adding nutrients where appropriate. We are substantially reducing sugar, saturated fat and salt. By communicating clearly about the contribution each product makes to a healthy diet, we are helping people make informed decisions about what to eat and drink.

Our new nutrition and health platforms, Nestlé Health Science and Nestlé Skin Health, allow us to apply the knowledge we have developed with the most advanced Research and Development network in the industry. They enable us to develop products and services that meet specific needs of different parts of the population, to help address issues the world faces, for example rising healthcare costs.

By keeping ourselves relevant in this fast-changing world, we can deliver industry-leading growth. We work with agility, creativity and discipline, constantly innovating and renovating our portfolio. Our Research and Development capability ensures we maintain our leading positions in the categories we compete in, driving growth throughout the portfolio. The innovation is broad-based across all categories, brands and markets. It comes in many forms – from blockbusters like Nespresso, to renovating products to keep them fresh and relevant as we have done with brands like Nescafé and Nescafé Dolce Gusto, Nido, Milo and Maggi.

Digital innovation is a strong competitive advantage and a cornerstone of the company’s future development. For some time now we have been creating a digital-first culture that enables us to manage and to benefit from the disruption digital is bringing. As the ‘fourth industrial revolution’ takes hold, we are confident that we can capitalise on the efficiencies and the opportunities digital brings.

Nestlé Strategic Roadmap

The Nestlé Strategic Roadmap guides us in these turbulent times. The glue is our purpose and values, and our culture. The roadmap says what we want to be as a company, what we want to leverage as competitive advantages to fuel growth, where we want to grow and how we will do that efficiently, effectively and responsibly. It drives internal alignment behind our goals.

• Consumer engagement

  
  We need to engage with our consumers in a dynamic way: both to keep them abreast of all that is new and exciting, but also to learn from them, so that we can bring their experiences to bear on our new and updated products.

• Operational efficiency

  
  From farm to fork and beyond, we ensure that we have the best raw materials, the best processes and the freshest, safest, highest-quality products on our customersí shelves.
  
  NestlÈ Continuous Excellence, enabled by GLOBE, is our approach to operational efficiency, with its objectives of eliminating waste and errors, increasing efficiency and effectiveness, and improving quality and safety in all operations.

• Whenever, wherever, however

  
  It is not enough just to make the most innovative products in the most efficient way; we also need to ensure that our products are available sustainably whenever, wherever and however consumers want them.

• Innovation and renovation

  
  We want to be the leader in innovation and renovation, whether of products, systems or processes.
  
  Some products will be entirely new, some will have a refreshed aspect. Regardless, we focus on on-going renewal to keep our consumers excited about our brands.

• Nutrition, Health and Wellness

  
  Leadership in Nutrition, Health and Wellness means enhancing the quality of consumersí lives by offering tastier and healthier food and beverage choices to consumers at every consumption occasion; it means responding to specific nutritional needs, and it means pioneering ways to address chronic medical conditions through nutrition.

• Emerging markets and Popularly Positioned Products

  
  We created our Popularly Positioned Products for emerging consumers with low incomes, bringing them our nutritional know-how, our brand promise and quality, as well as the extra plus ñ such as fortification against nutritional deficiencies.

• Out-of-home consumption

  
  Out-of-home consumption is a fast growing part of our industry. This covers leisure, from roadside kiosks in Asia to gourmet restaurants in the capitals of the world, and institutional catering, from schools to hospitals.

• Premiumisation

  
  When consumers want an indulgent moment of pleasure, an everyday reward, they turn to premium food and drinks. Our premiumisation strategy, incorporating systems, services and products, is enhancing consumersí lives, whilst creating additional value per consumption moment: many consumers are not looking to eat and drink more; they are looking to eat and drink better and they are willing to pay a bit more for the pleasure.

• Unmatched product and and brand portfolio

  
  Our product and brand portfolio ranges from global icons to local favourites.

• Unmatched research and development capability

  
  Our global innovation, technology, research and development capacity supports our product and brand portfolio with clear priorities. We focus on driving innovation and renovation that is relevant and attractive for consumers and that advances our leadership in Nutrition, Health and Wellness.

• Unmatched geographic presence

  
  Our Group has an unmatched geographic presence, due to the depth of our roots in countries all over the world, which often stretch back many generations. This has created strong relationships between our brands and their consumers, as well as an unrivalled understanding of consumers, enabling us to anticipate their needs and improve the quality of their lives.

• People, culture, values and attitude

  
  Our people are every day building on our culture, values and attitude that date back over 150 years, and they are a major competitive advantage.
  
  The NestlÈ culture, with its natural openness to and respect for diversity, binds our people together all over the world with a shared set of behaviours and values into a single way of doing business.

Our strategic priorities

It is more important than ever to ensure that resources are dedicated to the right projects, maximising the effectiveness of what we spend. We have a strong cost control culture. Through Nestlé Continuous Excellence we continuously improve our operations and deliver savings. With Nestlé Business Excellence we simplify, standardise and share. This is creating backoffice efficiencies, helping us to leverage our size and scale to deliver competitive advantage, and unlocking resources. These are the fuel for growth, brand support, Research and Development, innovation and renovation.

We challenge ourselves continuously to look for new opportunities and for areas where we can make a contribution to the issues society faces. This creates shared value for the communities where we operate and for our shareholders. We are contributing to society while growing our business. Trust is fundamental to our success. Trust helps deliver growth, creating shared value for our shareholders and for society. Quality and compliance underpin that trust, and are the best way to ensure the long-term success of our business.

Our strategy helps achieve our purpose: enhancing quality of life and contributing to a healthier future. Nestlé is always anticipating and adapting to the changing world, guided by our purpose and our values, as we have since the company started 150 years ago. Our purpose defines why the world is a better place with Nestlé, better for those who enjoy our products and services, and for those who are affected by our business. It is the inspiration for each and every one of us in the company. It aligns our actions and creates a common language. It is the compass for our decisions and for everything we do. It helps ensure we remain a ‘long-term’ company delivering with ‘short-term’ intensity, investing for future success while ensuring that we meet the needs of the billions of people we touch every day, and the expectations of our shareholders.