Assessment: Case Study Analysis
Assessment: Case Study Analysis
Name: Taufiqul Islam Sohan
Student ID: A00100521
Learning Facilitator: Teresa Yu
Subject Code and Title: MGT201A Project Management
Project B
Nestl Joins Forces with Alibaba to Make Supply Chain in China More Sustainable: The project is to deliver this objective for Nestle and Alibaba in China
https://www.alizila.com/nestle-alibaba-cainiao-china-sustainability/Executive Summary
Alibabas strategic partnership with Nestl venturing into the supply chain transformation in China focuses on increasing brand recognition, lessening environmental impact, and responding to consumers evolving preferences for sustainable products. The report is aimed at understanding the financial position of the company. ROI is an indicator that a business can grow its existing market share through nature-friendly practices. For actors involved in the project, stipulated norms, project organization, challenges, and constraints aim to realize this goal by focusing on the reduction of these parameters and also maintaining a friendly environment, and strong brand loyalty and yet at the same time deal with the potential resistance or even regulatory barriers from stakeholders. Through listing the output and milestones of the project the action plan is indicated clearly. Moreover, the way the partnership with Cainiao Network and technology would help in achieving the objective of supply chains is shown in the detailed action plan.
Introduction
The partnership between Nestle and Alibaba for Sustainable Development in the Chinese Supply Chain will be one of the most important steps in the history of sustainable environmental policy and ultimately in line with the venture vision. Among these partnerships, Nestle and Alibaba are seeking to engage the suppliers long-term by fostering a better control mechanism and initiating comprehensive changes in their supply chains.
Strategic and Financial Factors
Examining the financial and strategic selection criteria would be necessary if the initiative seeking Nestl and Alibaba's collaboration to improve the sustainability of Chinese supply chains were to be pursued. About its business values and long-term objectives, Nestl must strategically assess this collaboration. In addition to satisfying customer demand, corporations are increasingly taking corporate social responsibility and environmental activism into account when implementing sustainable practices (Reefke & Sundaram, 2018). Therefore, Nestl will view the project as a calculated move to enhance brand recognition, increase customer loyalty, and reduce environmental risks (Nayal et al., 2021).
Nestl would also need to evaluate the project based on the anticipated return on investment (ROI) (Reefke & Sundaram, 2018; Nayal et al., 2021). The cost of implementing sustainable practices throughout the whole supply chain, such as changing the production lines, acquiring eco-friendly packaging materials, and incorporating smart logistics technology, would need to be evaluated (Reefke & Sundaram, 2018). Additionally, Nestle would have to assess the potential financial gains and savings linked to the upkeep of an environmentally conscious supply chain, such as a drop in waste disposal expenses, improvements in distribution efficiency, and consumer preference for eco-friendly products that would lead to a rise in market share (Reefke & Sundaram, 2018).
Organisational Structure
Even though it may be best suited for a matrix-style management structure, Alibaba and Nestle's collaboration to develop green supply chains in China appears promising. Employees in a matrix organization report to either a functional manager, who oversees the department or the area of expertise, or a project manager, who oversees a particular project (Pandey et al., 2024). Nestl and Alibaba should be active in the input-taking processes such as production, shipping, marketing, and procurement in order to implement the fundamental notion of turning the whole supply chain into a sustainable one. The department manager will be in charge of overseeing the construction of a management structure and making sure that the resources allocated from this department match the skills and resources needed to finish the project on schedule. Using a matrix structure inside a group among all the stakeholders encourages cooperation and communication so that they may all work toward the same objective (Melkonyan et al., 2019; Pandey et al., 2024). This framework not only offers the chance to combine a variety of skills and information that are crucial for creative problem-solving, but it also enables an individual to effectively manage challenging circumstances. This adaptability is crucial because it enables businesses to respond quickly to the shifting demands of their environments or initiatives (Melkonyan et al., 2019).
Project Charter
Project Name Supply Chain Transformation for Sustainability in China
Project Manager XYZ
Start Date July 1, 2021
End Date December 1, 2024
Overview of the Project In order to green Nestl's supply chains in China, the Sustainable Supply Chain Transformation initiative aims to engage with Cainiao Network, the logistics division of Alibaba Group. Aspects of Nestl's operations like as manufacturing lines, storage, distribution, and packaging recycling and reuse are all included in this initiative.
Project Objectives Embed sustainability in Nestles China supply chain.
Minimize environmental impact and carbon footprint.
Scope of the Project Line transformation for waste and energy reductionWarehouse and logistics process productivity and sustainability optimization
Project Deliverables Improved production methods of environmentally friendly nature
Improved warehousing and distribution systems for sustainability
Project Milestones Kickoff Meeting: 1 April 2024
Completion of Project Line Assessment: 1 December 2024
Kickoff Awareness Campaign: 1 August 2024
Project Stakeholders Representatives of Cainiao Network
Marketing and Communications Teams
Project Risks Internal stakeholder resistance
Supply chain disruptions upon implementation
Project Limitations Time constraints
Regulatory compliance requirements
(Please refer to Appendix A for full project charter)
Key Stakeholders and Their Roles
Nestl management for the control of strategic direction and resource allocation.
Cainiao Network representatives with logistics expertise and technology solutions
Production and operations staff who will implement sustainable practicesLogistics and distribution teams that will optimize transport and warehousingMarketing and communications department that will promote sustainability initiativesCustomers and consumers are key in creating demand for green products and joining in recycling programs, in effect, influencing the success of the project.
References
Melkonyan, A., Krumme, K., Gruchmann, T., Spinler, S., Schumacher, T., & Bleischwitz, R. (2019). Scenario and strategy planning for transformative supply chains within a sustainable economy. Journal of Cleaner Production, 231, 144160. https://doi.org/10.1016/j.jclepro.2019.05.222Nayal, K., Raut, R. D., Yadav, V. S., Priyadarshinee, P., & Narkhede, B. E. (2021). The impact of sustainable development strategy on sustainable supply chain firm performance in the digital transformation era. Business Strategy and the Environment, 31(3), 845859. https://doi.org/10.1002/bse.2921Pandey, A. K., Pratap, S., Dwivedi, A., & Khan, S. A. (2024). Industry 4.0 and supply chain sustainability: benchmarking enablers to build reliable supply chain. Benchmarking: An International Journal. https://doi.org/10.1108/bij-06-2023-0358Reefke, H., & Sundaram, D. (2018). Sustainable supply chain management: Decision models for transformation and maturity. Decision Support Systems, 113, 5672. https://doi.org/10.1016/j.dss.2018.07.002Appendix
A.
Project Name Supply Chain Transformation for Sustainability in China
Project Manager XYZ
Start Date July 1, 2021
End Date December 1, 2024
Overview of the Project In order to green Nestl's supply chains in China, the Sustainable Supply Chain Transformation initiative aims to engage with Cainiao Network, the logistics division of Alibaba Group. Aspects of Nestl's operations like as manufacturing lines, storage, distribution, and packaging recycling and reuse are all included in this initiative.
Project Objectives Embed sustainability in Nestles China supply chain.
Minimize environmental impact and carbon footprint.
Build brand image and customer loyalty through environment-friendly activities.
Scope of the Project Line transformation for waste and energy reductionWarehouse and logistics process productivity and sustainability optimization
Environmentally friendly packaging materials and recycling programs introduction
Cooperation with Cainiao Network for the use of technology and logistics expertise
Consumer and stakeholder awareness sustainability programmes
Project Deliverables Improved production methods of environmentally friendly nature
Improved warehousing and distribution systems for sustainability
Utilization of biodegradable packaging materials and recycling initiatives
Cainiao Network technology solutions integration
Educational campaigns and communication materials
Project Milestones Kickoff Meeting: 1 April 2024
Completion of Project Line Assessment: 1 December 2024
Kickoff Awareness Campaign: 1 August 2024
Project Stakeholders Representatives of Cainiao Network
Marketing and Communications Teams
Consumers
Production and Operations Managers
Management Team (Nestle)
Logistics Department
Distribution Department
Project Risks Internal stakeholder resistance
Supply chain disruptions upon implementationRegulatory issues associated with sustainability practicesConsumer scepticism or backlash
Cainiao Network problems of technology integration
Project Limitations Budget constraints for the application of sustainable practices
Time constraints
Reliance on outside partners and suppliers
Regulatory compliance requirements
