Core Values-Nestle

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Core Values and Intercultural Management
Sep 29,2007 00:00 by admin
Core Values and Intercultural Management

Case Study: Nestlé

In 2001, Nestlé was the largest and most diversified food company in the world, with nearly 500 factories in more than 100 countries. In fact, over the period 1867–2000 it surpassed other food manufacturers and purchasers of agricultural raw materials in scale of operations. Over 230,000 people worldwide work in Nestlé's factories, research laboratories and offices. In 1999 Nestlé generated a total income of 4,007 million Swiss francs.

This case study is based on a series of interviews with prominent Nestlé managers engaged in strengthening Nestlé's core values. Niels Christiansen, Vice President, Public
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Additionally, new recruits are given extensive coaching as well as training, to ensure that they fully understand Nestlé's core values. Both the Nestlé Management and Leadership Principles document and the Nestlé Corporate Business Principles document contain personal messages from the CEO. The CEO, as well as all senior managers, make it clear that they expect all employees to subscribe to and implement the company core values. Of course, members of the top management echelon also live the core values themselves so that they serve as role models.

Nestlé uses extensively another means to propagate its core values: its international management cadre. Members of this cadre go from country to country working as managers in different Nestlé branches. These international management cadre managers ensure that the Nestlé core values are institutionalized at all Nestlé locations. They occupy a significant proportion of the key positions at all Nestlé branches, and can therefore exert a tremendous amount of influence. All managers of Nestlé, irrespective of ethnic origin or geographic location, are part of the Nestlé culture and share the same core values. Additionally, by rotation, they spend some time at the Nestlé headquarters in Vevey, Switzerland. During the initial stages of their career, Nestlé employees (from all over the world) attend residential training programmes at Vevey, which are of approximately one month's duration. These programmes reinforce
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