Mondelez Redesigns Supply Chain To Reap Savings That Will Drive Marketing Investments

Mondelez International hopes that redesigning its supply chain will drive a 60- to 90-basis-point yearly improvement in its operating profit. The company is accelerating investments in emerging markets to boost growth, and it hopes the supply chain redesign will expand margins in established markets “to levels at or above the average of peer companies”. The redesign will mean $3 billion in gross productivity savings, $1.5 billion in net productivity savings and $1 billion in incremental cash over the next three years in North America and Europe.