Spreading healthier options Minerva

SPREADING HEALTHIER OPTIONS

Minerva is the oldest edible oil company in Greece and one of Europe’s best-known brands. Philip Yorke spoke to Kostas Kiriopoulos, the company’s head of supply-chain management, about the latest developments in their sector, together with Minerva’s strategy behind supply chain operations.

IT was in the early 1900s that Minerva decided to enter the expanding edible oils market in Greece and since then it has grown to become the country’s largest producer of olive oil based consumer products. With exports to over 40 countries worldwide it is one of Europe’s best-known brands. Continuous investments in new packaging technologies and the creation of innovative products have helped the company to meet the diverse nutritional needs of modern day consumers worldwide.

The excellent quality of Minerva’s olive oil relies upon a close connection with Greek agriculture and the traditions that have been built up over many decades. All Minerva’s products support the high quality and values of the renowned Mediterranean diet. The company’s innovative products are the result of years of in-depth research that provides the consumer with a wide range of healthy choices for maintaining a healthy and balanced diet.

Minerva’s strategic partnerships in the functional food sector, as well as its entry into the growing organic food market, has placed it among the top food producers in Greece and one of the most respected in Europe. In 1999, following a fire in its packaging unit, Minerva invested around €100 million in the latest state-of-the-art technology and this has been continuously upgraded and improved in order to maintain its leadership position in the edible oils market. As part of the PZ Cussons International Group the company is well placed to build upon its global sales and ‘top-drawer’ reputation.

Supply chain strategy

Minerva is a company clearly focused on maintaining the high quality of its nutritional products and timeless values. These are designed to fulfil and realise its original vision of meeting the discerning nutritional needs of consumers. Now in its second century of operations, Minerva is an even more dynamic, resourceful and fast-developing company.

Mr Kiriopoulos said, “Since 2008 our country has suffered, like many others, from the global recession with consumption rates down by 20 per cent in many of the categories in which we operate. In this challenging environment we soon realised that making economies of scale was simply not enough and that real growth is very different from simply achieving enlargement.

“Changing the dilemma from ‘how to improve costs’ to ‘how to compete’ was the key to our transformation plan. In a globalised environment, where volatility becomes the norm, trying to keep costs low is a never-ending headache. We cannot compete anymore as stand-alone entities; success comes from the way we manage our prime relationships with partners.

“Investment choices was another key element, whereby we link our commercial

plans with our capital expenditure. When business growth comes from product A, you simply put the money there. Synchronisation between the supply chain and commercial demand is a prerequisite for success.

“Creating a clear focus is the final thing we did; we are getting closer to each other, to respond faster, work simpler and deliver better. Lower levels of authority, higher levels of personal accountability is what we are aiming for. In order to survive and grow, meeting new business challenges, supply chains have to be shorter, more resilient to disruptions, and focused on real value generation.

“Overall, I would say that we are renewing our entire business strategy from a mechanical, scientific to an flexible, adaptable, organic model. And this strategy has got us there; our supply-chain remodelling has provided the fuel for our intensive promotional strategies and the expansion of our product portfolio for the growth of our international business. The result has been a 20 per cent increase in exports, and we also see double-digit growth continuing throughout 2014.

“In the Greek domestic market we are focusing on spreads although our olive oil and feta cheeses remain our international ambassadors. Traceability, small family farming and ethical sourcing as well as social responsibility and taste superiority are a few key attributes that consumers are demanding and our supply chain can offer better than others do.

“Our modern high-tech packing lines are also important attributes that make our supply-chain one of the most efficient in the business today.”

Growth enablers

“Minerva is about people and brands. Two years ago we launched a talent management programme to enable people to contribute to their fullest potential in future business challenges. So, ‘caring’ about our ‘assets’ is one important thing; branding is the other – this expression of the unique values and attributes that make us exist, our essential truth. This is what we are and we are working hard to make it clear to the consumer.” International presence

The global expansion of Minerva’s key brands has been a slow process for the company when it comes to penetrating certain markets. What is therefore important is no longer a focus simply on its key European or Australian consumer markets but a global, interconnected effort to reach consumers across the globe. By broadening its product portfolio the company has made it easier to open doors in new and fast-growing consumer markets worldwide. n

For further details of Minerva’s innovative, high-quality edible oil products and distribution services visit: www.minerva.com.