McMillan Sugar Limited is a supplier of sugar and other derivatives. The company was established in 1931 in Eastern Europe and has since expanded to other parts of Europe, Asia and America. The company has been growing steadily. From 1940 to 1985, the company registered 1.5 Trillion US dollars in revenues. These revenues were mainly generated through the genius design of its supply chain. The company managed to secure a constant supply of sugar cane by co-opting major sugar cane producers (farmers) to become shareholders in the company. This enabled the company to control the inflation of sugar cane price. Indeed, the major farmers were not willing to increase the price of sugar cane, which would have an adverse effect on the company in which they were shareholders. McMillan Sugar Limited became a leading brand in the sugar industry and in 2003 it was listed as the best performing company in the Eastern Europe. This success came as result of various strategic decisions. Firstly, the company instituted aggressive advertising strategies. By the end of 2010, the company had spent 850 Trillion in advertisement mainly through TV and Billboard adverts. In addition, the company instituted innovative distribution channels. In this case, the company introduced the JIT (Just in Time) production process. This process entailed linking the production system to the major distributors systems. Hence, the company was only producing what their clients needed at a specific time. This reduced the inventory and distribution costs. In addition, the company embarked on social media advertising which posed to generate an extra 1 billion income by the end of 2019. The company also relies on its managerial competencies and management style. Over the years, the company managed to attract best engineers to look after the manufacturing plants. In addition, it has adopted an agile management style to enable the company to respond to the market needs. However, the current global call to increase the tax on products that contain sugar content is seen as a major hindrance to the company’s growth. There has been may calls from interest groups lobbying governments to ban the activities of companies involved in sugar production. Currently, the company does not have an established corporate relations department neither has it been engaged in any activities related to Corporate Social Responsibility. Moreover, the company has been focusing on major retailers in the sugar industry and ignoring small farmers who have a significant influence in the communities and in the government through various lobbying groups. There is also an increase in groups and associations of small farmers who are eager to have market share and hence threaten the sustainability of the company. McMillan SugarLimited however remains positive that all these challenges will pass. The company is founded on 3 principles; of Authority and Responsibility, Continuity as well as efficiency. Q: Develop the stakeholder power matrix for McMillan Sugar Limited, showing clearly all the represented stakeholders from the case above.
Critical Path Method
The critical path is the longest succession of tasks that has to be successfully completed to conclude a project entirely. The tasks involved in the sequence are called critical activities, as any task getting delayed will result in the whole project getting delayed. To determine the time duration of a project, the critical path has to be identified. The critical path method or CPM is used by project managers to evaluate the least amount of time required to finish each task with the least amount of delay.
Cost Analysis
The entire idea of cost of production or definition of production cost is applied corresponding or we can say that it is related to investment or money cost. Money cost or investment refers to any money expenditure which the firm or supplier or producer undertakes in purchasing or hiring factor of production or factor services.
Inventory Management
Inventory management is the process or system of handling all the goods that an organization owns. In simpler terms, inventory management deals with how a company orders, stores, and uses its goods.
Project Management
Project Management is all about management and optimum utilization of the resources in the best possible manner to develop the software as per the requirement of the client. Here the Project refers to the development of software to meet the end objective of the client by providing the required product or service within a specified Period of time and ensuring high quality. This can be done by managing all the available resources. In short, it can be defined as an application of knowledge, skills, tools, and techniques to meet the objective of the Project. It is the duty of a Project Manager to achieve the objective of the Project as per the specifications given by the client.
McMillan Sugar Limited is a supplier of sugar and other derivatives. The company was
established in 1931 in Eastern Europe and has since expanded to other parts of Europe, Asia
and America. The company has been growing steadily. From 1940 to 1985, the company
registered 1.5 Trillion US dollars in revenues. These revenues were mainly generated through
the genius design of its supply chain. The company managed to secure a constant supply of
sugar cane by co-opting major sugar cane producers (farmers) to become shareholders in the
company. This enabled the company to control the inflation of sugar cane price. Indeed, the
major farmers were not willing to increase the price of sugar cane, which would have an
adverse effect on the company in which they were shareholders. McMillan Sugar Limited
became a leading brand in the sugar industry and in 2003 it was listed as the best performing
company in the Eastern Europe. This success came as result of various strategic decisions.
Firstly, the company instituted aggressive advertising strategies. By the end of 2010, the
company had spent 850 Trillion in advertisement mainly through TV and Billboard adverts. In
addition, the company instituted innovative distribution channels. In this case, the company
introduced the JIT (Just in Time) production process. This process entailed linking the
production system to the major distributors systems. Hence, the company was only producing
what their clients needed at a specific time. This reduced the inventory and distribution costs.
In addition, the company embarked on social media advertising which posed to generate an
extra 1 billion income by the end of 2019. The company also relies on its managerial
competencies and management style. Over the years, the company managed to attract best
engineers to look after the manufacturing plants. In addition, it has adopted an agile
management style to enable the company to respond to the market needs. However, the current
global call to increase the tax on products that contain sugar content is seen as a major
hindrance to the company’s growth. There has been may calls from interest groups lobbying
governments to ban the activities of companies involved in sugar production. Currently, the
company does not have an established corporate relations department neither has it been
engaged in any activities related to Corporate Social Responsibility. Moreover, the company
has been focusing on major retailers in the sugar industry and ignoring small farmers who have
a significant influence in the communities and in the government through various lobbying
groups. There is also an increase in groups and associations of small farmers who are eager to
have market share and hence threaten the sustainability of the company. McMillan SugarLimited however remains positive that all these challenges will pass. The company is founded
on 3 principles; of Authority and Responsibility, Continuity as well as efficiency.
Q: Develop the stakeholder power matrix for McMillan Sugar Limited, showing clearly all the
represented stakeholders from the case above.
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