JM Smucker Company Essay

The account statement of the J.M. Smucker confederation is reviewed and demonstrates the evolution of the caller-up. Business strategies and the impressiveness of commercial enterprise intelligence sy pedestals be examined, concerning how the comp some(prenominal) conducts parentage. The corporations rickth processes resulting from acquisitions and brand awargonness are reviewed. Innovative plans implemented continually within the fraternity are menti gibelessd. The importance of people is stressed throughout the company and in the public eye. The J.M. Smucker union continues to hold fast to the same grades that the company began with over one one C course of instructions ago.The J.M. Smucker association Although the J.M. Smucker Company (SJM) began by selling its apple cider, for many years forthwith it has been well cognize for its jams and jellies. Today, however, the company has grow into several(prenominal) early(a) markets within the intellectual nourishm ent application. They have continued to grow through acquisitions and name brand awareness. The company has a strong hallucination and holds to its moral ideals and values throughout its subscriber line activities. Smuckers continually develops saucilyfoundfound product ideas to expand its peanut butter and jelly market. Additionally, the J.M. Smucker Company be the leading producer of jam and jellies and is known for its tonus products. HistoryJerome Monroe Smucker open up the J.M. Smucker Company in 1897 as a cider mill in a small community in Orrville, Ohio somewhat an hour confederation of Cleveland. Interestingly, Smuckers apples determination for cider came from an orchard that had been originally planted by Johnny Appleseed (John Chapman) himself. However, due to the cyclical nature of apples, Jerome needed to find other(a) source of revenue that would enable earnings throughout the year thus, he decided to sell apple butter that he made development his grandfa thers recipe. His grandfathers recipe provided him with a combative advantage that no one else at the time seemed to have. The recipe used a secret method acting that captured the vapors typically lost in the process that permeated into the apple butter introducing a unique flavor swig many customers to his mill and creamery (CEO, 2001). As a result of his unique apple butter, Smucker earned a positive reputation, took pride in his work, and began stamping his name on every crock of apple butter sold. The Smucker name continues to be a part of their packaging symbolizing a guarantee in tint that has spanned five generations of the Smuckers family.The Smuckers company continued to flourish as Jeromes eldest son, Willard, delivered twenty-five cent, half-gallon crocks to customers using a wagon and was producing revenues of almost $60,000 as early as 1915 with a net profit of about $3,000 per year. In 1921, the J.M. Smucker Company became incorporated and already had an extensive line of quality preserves and jellies made from whole produce and/or pure production juice. The company remained privately owned by Jerome and all of his children, sons and daughters. Its products were distributed throughout Ohio, pappa, and atomic number 49 by way of the railroad and due to the large scale of volume, the Pennsylvania Railroad built a special siding to the Smucker plant in 1928 (History, n.d.). A railroad siding is an additional piece of track commonly designated for specific usage, for the J.M. Smucker company for example, that runs alongside and connects to a main track at each end (Railroad, n.d.). The company was well on its way to expanding into the fortunate trade it is today. Business ActivitiesPackaging From the earliest of times, SJM strategized on how to improve its line of descent activities to increase revenues while maintaining its quaint regard reflecting the familys strong worldly-minded beliefs, which it holds onto dearly. Upon analyzing its packaging in 1938, the company realized there must be a better way to package its goods as opposed to its old(prenominal) crocks that were cumbersome and heavy to ship. Willard came up with the idea to use glass jars with an image of a pioneer woman boiling apple butter on the front that upheld Smuckers reputation of old-fashioned quality (History, n.d.). Customers loved the upstart packaging, sales exceeded one million dollars in 1939, and the National Packaging put down awarded the organization for best packaging design success. guidanceThe concern survived the economic crisis and war years reaching its fiftieth anniversary in 1947 and Jerome Smucker lived just long enough to see it before passing away at ninety years old. His sons, Willard and Paul, continued managing the company and sought methods to promote emersion and diversification. Today, Jeromes great-grandsons, Tim and Richard Smucker, manage the company by working together as a team and sharing the duties. F ive other Smucker family members work for the company as well and the brothers hope is that one of them has what it takes to become the Chief administrator Officer of the J.M. Smucker Company in the future (Andrejczak, 2009). Over one hundred years later, the J.M. Smucker Company tranquillize exists as a family organization with the Smuckers family maintaining partial ownership of the company. Products and Brand NamesThe Smucker boys, as they are commonly referred to, have increased sales sevenfold over the last decennium through recent acquisitions boosting SJM into the number one market share site in ten different categories in Americas mart stores and becoming a power player within the food industry (Andrejczak, 2009). Besides peanut butter and jelly, its products include shortening and oils, dessert toppings, syrups, result and vegetable juices, waffles, and coffee. Smucker obtained many of its products via acquisitions to expand its product line while counseling on major brands. Through the process, some of its brand names now include Crisco, Crosse & Blackwell, Eagle Brand, Folgers, Pillsbury, R.W. Knudsen Family, and Dunkin Donuts. Most of these brands and products probably seem quite beaten(prenominal) to the everyday person since SJMs primary focus is on its consumer business. However, match to Tim Smucker, the business is divided into six areas consumer, foodservice (restaurants and hotels), specialty foods (specialty gourmet products), industrial (proprietary fruit ingredients), beverages (health and natural foods beverages), and international (fruit spreads, fruit ingredients, juices and marinades) (CEO, 2001). In addition to having well known brand products, customers have come to recognize SJMs tag lines much(prenominal) as, Choosy mothers bring Jif, With a name like Smuckers it has to be good, and The best part of waking up is Folgers in your cup in a flash associated with the products. Business StrategyAlthough J.M. Smucker sells its products internationally, its primary growth schema as of the mid-1990s and still today is to acquire the number one food brands in coupling America that sell in the center of food market stores. Its new dodge was determined by collaborating with many people that not only include executive level employees, but also listened to the ideas and thoughts from managerial and operational level factory workers in the decision-making process (Gunther, 2010). Smuckers formed a unprejudiced and straightforward business strategy using a repeat business cast that is geographically focused (Agramonte, 2008). The company decided to reach its goals by diversifying its products via multi-branding stemming from acquisitions. The Smucker family and managers met with analysts to examine their new growth strategy planning how to reach their goals (J.M. Smucker, n.d.). The J.M. Smucker Company moved forward with its plans acquiring three major brands and several littler ones.Acquisitions.The top three Smuckers acquisitions were Jif and Crisco from Procter & Gamble, International Multifoods (IMC), and Folgers. However as SJM spread out their horizons, they knew necessary technological improvements must take place to align their new acquisitions within the company, which prides itself in quality and integrity. Making use of todays modern computer technologies and services, the company hired Edgewater Technology, an organization that specializes in mergers and acquisitions integration, to back up SJM in building a common support system involving business processes, info requirements, and implementing a common set of tools while addressing risk counseling (LeBaron, 2007, June). Unfortunately at the time, SJM was still undergoing an enterprise resource planning (ERP) performance that slowed the progression of integrating the two organizations. Additionally, the two companies contained massive amounts of info in dissimilar source formats and structures that needed to be tra nsferred. Edgewater overcame the challenges due to its familiarity with SJM and knowledgeable get successfully completing the project meeting budget and time constraints.The J.M. Smucker Company pleased with Edgewaters previous performance, hired them again to integrate IMC plants and ask manufacturers with SJMs Canadian production plant. Edgewater set ought to transfer IMC onto Smuckers U.S. systems and business processes and integrate IMCs grant chain using a cross-border strategy (Lebaron, 2007, May). The project entailed the coaction of eleven teams and SJM created an executive-level on-line forum for identifying, reviewing, planning, and resolving any issues. The integration was completed successfully producing substantial financial benefits that Smuckers had hoped to achieve by acquiring IMC. Information SystemsSJM not only employed discipline technology (IT) for its acquisitions, to a greater extentover it has always sought methods to achieve improvements throughout its business processes and has invested considerable amounts of money in new technologies. For example, Smuckers chose illusionist for several of its info system needs. Oracle is one of the better-known companies that offer legion(predicate) services in business software providing customers with the flexibility they want to match their individual IT infrastructure needs. Furthermore, Oracles products contain benefits such(prenominal) as energy efficiency, outstanding availability, superb performance, and scalability. In 2008, SJM began utilizing Oracles occupation Integration Architecture (AIA) and Oracles Siebel Customer Relationship Management (CRM) Integration Pack for Oracle sight Promotion Management (Oracle, 2008). In fact, Oracle stated the J.M. Smucker Company was the first customer to deploy its new AIA with its CRM Integration Pack in 2008.AIA benefits Smuckers by managing data flows and data synchronizations thereby, optimizing business processes across enterprise appli cations. AIA is an integration structure that supplies a can on which to build business process flows with pre-built integrations (Application, 2010). CRM, however, is a strategy intentional to generate and sustain customer relationships by concentrating on downstream information flows via dependable systems and procedures (Valacich & Schneider, 2010). Many advantages such as individualized service, expeditious hassle recognition and resolution, enhanced information, and better product development as a result of tracking customer behavior over time stem from CRM. Lastly, trade forwarding management, enables sales and margin improvements, improves account and category management, and enhances collaboration and productivity between external and internal functions (Hand, 2008). Oracles Trade Promotion Management, CRM, and AIA together importantly decrease IT expenses when installing and maintaining integrations.Furthermore, SJM has implemented Oracles Service-oriented Architecture, Identity Management, Business Intelligence Publisher, E-business Suite, and vaneCenter Suite and has increased its business intelligence usage. Smuckers Chief Information Officer (CIO) has the knowledge and leadership skills to execute enterprise-wide information systems to achieve the benefits that continue to move a company forward and sustain a technological competitive advantage. Every year the Oracle Magazine editors grant an award to people who demonstrate such leadership, commitment, and vision in managing Oracle technology (Kelly, 2009). Smuckers CIO and Vice chairperson of Information Services, Andy Platt, earned Oracles CIO of the year in northmost America award in 2009.Smuckers also makes use of other technologies such as Retail replys Incorporateds Promotion death penalty Solution and Terra Technologys Demand Sensing Solution adding value to SMJs supply chain. Demand sensing is the interpretation of downstream data with minimal delay for understanding what is bei ng sold, who is purchasing the product, and the impact of necessary shaping (Cecere & Bois, 2007). Demand shaping is a customer centric method of planning and execution aligning processes with customer demand at strategic and tactical levels (Dey & Singh, 2007). Basically, demand sensing may be thought of as a type of line of descent optimization providing an effective use of resources that reduces inventory, lowers costs, and significantly lessens forecasting error by forty percent. According to the J.M. Smucker Company, it chose the demand sensing solution because the product could improve forecasting accuracy within the supply chain area (Gale Group, 2007). Furthermore, Terra Technologys Demand Sensing Solution is completely compatible with Oracle products.Whereas the demand sensing solution optimizes inventory processes, Retail Solutions Incorporateds Promotion Execution Solution enhances sell applications used within the consumer product goods (CPG) industry. Retail applicat ions further promotional strategies by improving store level execution, reducing out-of-stocks, and maximizing the efficiency of merchandisers (Guyot, 2008). SJM selected the promotion execution solution as a supplement to its Radio oftenness Identification Tag (RFID) Analytics and On-Shelf Management already in use. The goal was to contour J.M. Smuckers supply chain and expand its Electronic Product engrave (EPC), a family of coding schemes for Gen 2 RFID tags across multiple processes. The successful writ of execution of the promotion execution solution for SJM built better relationships with its retail customers. Moreover, SJM has obtained a logical decision making framework that aids in making complex promotional decisions. Electronic CommerceThe Internet and World gigantic web have also fostered the J.M. Smucker Companys use of technology. The company has utilized the Web by entering into the world of electronic occupation (e-commerce) in many sectors. The general term e lectronic business essentially encompasses any use of technology to provide support to a business. On the other hand, e-commerce generally covers the technological aspects that aid in producing revenue either by directly selling goods to customers or by allowing a company, such as Smuckers, to do business with other related companies within the food industry, for example.The companys Web site types consist of business-to-consumer (B2C) and business-to-business (B2B). SJM has a thumb-and-mortar strategy whereby the majority of its products sell at physical locations such as grocery stores with its B2C Web site following a traditional sales model where consumers are able to buy products directly from its Web site. Consumers may take away to view the Smuckers U.S., Canada, or Mexico Web site. The Canada Web site allows the consumer to choose English or French as the displayed language and has a cogitate connecting to the U.S. Website. The Mexico Website uses only Spanish for its la nguage and has a different slogan than the other two, Tu vida es ms rica con Smuckers. The slogan translates as, Your life is more rich with Smuckers or Your life is richer with Smuckers. However, the U.S. Web site contains a greater amount of information, product choices, and Web scalawags compared to the Canadian and Mexican versions.A stakeholder can gain much knowledge about the J.M. Smucker Company entirely by examining its Web site. The Web site consists of six main pages highborn Products, Recipes, Sensibly Sweet, Whats New, Our Company, and Shop Smuckers. Within each Web page are additional pages and links. For example, the Sensibly Sweet Web page was designed with the health conscientious in mind and provides information about SJMs reduced sugar and sugar free products with links that give tips on how to eat better and exercise. People merely wanting to learn about Smuckers may click on the Our Company tab that supplies some other list to choose from, including the hist ory of the company, a list of its family brands, newsroom, and investor relations. ShareholdersThe Smuckers Web site is one way technology has provided for stakeholders as well as shareholders to communicate with and attain information about the company. Shareholders may want to click on the Investor Relations tab that redirects a user to the Smuckers Investors Web site that reports current stock information, financial news releases, analyst coverage, and a list of shareholder services to name a few. Furthermore, the site offers answers to oft asked questions and provides a list of contacts for those who would like supplementary information. Lastly, investors may review SJMs latest financial results, quarterly and annually, in comprehensive, detailed reports or Webcast presentations (another use of todays technology) that explain future strategies and goals of the company.