Nestlé

Organisation Function

"While our Nestle Corporate Business Principles will continue to evolve and adapt to a changing world, our basic foundation is unchanged from the time of the origins of our Company, and reflects the basic ideas of fairness, honesty, and a general concern for people."

• [1]

Organisations Business Principles:

Nestle is committed to the following Business Principles in all countries, taking into account local legislation, cultural and religious practices:

• Nestle's business objective is to manufacture and market the Company's products in such a way as to create value that can be sustained over the long term for shareholders, employees, consumers, and business partners.
• Nestle does not favor short-term profit at the expense of successful long-term business development.
• Nestle recognizes that its consumers have a sincere and legitimate interest in the behavior, beliefs and actions of the Company behind brands in which they place their trust, and that without its consumers the Company would not exist.
• Nestle believes that, as a general rule, legislation is the most effective safeguard of responsible conduct, although in certain areas, additional guidance to staff in the form of voluntary business principles is beneficial in order to ensure that the highest standards are met throughout the organization.
• Nestle is conscious of the fact that the success of a corporation is a reflection of the professionalism, conduct and the responsible attitude of its management and employees. Therefore recruitment of the right people and ongoing training and development are crucial.
• Nestle continues to maintain its commitment to follow and respect all applicable local laws in each of its markets.

[2]

Nestle Managment

Executive Board:

• Peter Brabeck-LetmatheChairman of the Board & Chief Executive Officer
• Francisco CastnerExecutive Vice President Pharmaceutical and Cosmetic Products, Liaison with L'Oreal, Human Resources, Corporate Affairs
• Lars OlofssonExecutive Vice President, Strategic Business Units and Marketing
• Werner J.Bauer Executive Vice President Technical, Production, Environment, Research and Development
• Frits Van DijkExecutive Vice President Asia, Oceania, Africa and Middle East
• Paul BulckeExecutive Vice President United States of America, Canada, Latin America, Caribbean
• Carlo DonatiExecutive Vice President Nestle Waters
• Luis CantarellExecutive Vice President Zone Europe
• Paul PolmanExecutive Vice President Finance, Control, Legal, Tax, Purchasing, Export
• Chris JohnsonDeputy Executive Vice President GLOBE Program, Information Systems, Strategic Supply Chain, eNestle, Group Information Security
• Richard T. LaubeDeputy Executive Vice President, CEO of Nestle Nutrition

[3]

Board of Directors:

• Peter Brabeck-LethmatheChairman & CEO; Chairman of Chairman's and Corporate Governance Committee Term expires: 2007
• Andreas Koopmann1st Vice Chairman Term expires: 2008
• Rolf Hanggi2nd Vice Chairman, Chairman of Audit Committee and Finance Committee Term expires: 2008
• Edward GeorgeTerm expires: 2007
• Jean-Pierre MeyersTerm expires: 2006
• Peter BockliChairman of Remuneration Committee Term expires: 2008
• Nobuyuki IdeiTerm expires: 2006
• Andre KudelskiTerm expires: 2006
• Kaspar VilligerTerm expires: 2009
• Daniel BorelTerm expires: 2009
• Carolina Muller-MohlTerm expires: 2009
• Günter BlobelTerm expires: 2009

[4]

Honorary Chairperson:

• Helmut Oswald Maucher

[5]

Nestle and Fairtrade

Nestle state that they are keen to help out the farmers who are growing coffee so that they can have a better wage ad so better living conditions. It has been stated that, “As the world’s largest direct buyer of coffee, Nestlé is keen to find a lasting solution for those coffee farmers in some of the world’s poorest countries who have been adversely affected by fluctuations in the price of coffee.” [6]

With this in mind Nestle have produced a fairtrade coffee, Nescafe Partners Blend, the coffee is has been produced with fair trade products and the proceeds made from this are given back to the farmer in regions such as El Salvador and Ethiopia.

• [7]

Alongside this Nestle are also working in West Africa to help farmers find sustainble ways to grow cocoa. [8]

Criticisms to Nestle Fair Trade

Despite the attempts by Nestle to prove to the world that they are becoming involved in fair-trade in order to help the farmers and become a more responsible corporation, there are still a number of concerns surrounding them. The organisation is still under a lot of scrutiny and critisms are still being made about the company even in regards to its fairtrade attempts. One group the World Development Movement, which is a campaigning group which tackles the causes of poverty, said: "The launch of a Nestle Fairtrade coffee is more likely to be an attempt to cash in a growing market... than represent the beginning of a fundamental shift in Nestle's business model." [9]

Resources

International Baby Food Action Network/Baby Milk Action Nestle's public relations machine exposed, April 2005.