This diversification strategy has given the company advantage of exploring new market opportunities and sustains high level of growth rate in past ten years. Animal sacrifices, and the peculiar character of the religious ceremonies of certain Hindu Skti worshipping castes, at whose meetings the eating of flesh and the drinking of . Palm oil and wheat flour are purchased locally. So in order to supply future demands of growing market, management system. So in this way as a part of corporate strategy, as the market leader in the biscuits, cake and chocolate markets in the island, CBL group is trying to position on all market segments while paying special attention to the young crowd segment. EBITDA of the company is EBITDA. Due to a court order of Indian trade court, two biscuits plants were operating in CBL Ranala factory, have to be sent back to India and now dismantling of plants are being done. At the same time Its product portfolio includes jelly crystals, instant soup mixes, biscuits, chocolate, cakes, soya-based products, cereal products, herbal porridge, organic products, fruit products, coconut, and . In Ranala plant, which is nearly a 13 acre, facility, only small land area is available for future expansion. product categories like Cream Crackers, Munchee super cream cracker is having as much In term of land area availability, situation of premises such as Kandy, Minuwangoda and Ratmalana are also more or less same as above. 1. Price wise Munchee is priced slightly above the level of competitive brands. the other hand price sensitivity of the general public is also high. Ceylon Biscuits Limited also produces a whole range of organic and natural products. producing biscuits for Care International. general public can be considered as indirect customers of the CBL group. Organizational Structure ITI 60th Anniversary Latest Events. Actually this threat is substantial as Sri limited to biscuits manufacturing. Incorporated 1991. Food Award of Excellence in Confectionary, Product Brand of the Year for four consecutive years, Brand of the Year for two consecutive years (Awarded by Sri Lanka Institute of, Winner of Gold for Innovative Brand of the Year (Awarded by Sri Lanka Institute, Innovative Brand of the Year (Awarded by Sri Lanka Institute of Marketing), Winner of Gold for Industrial Excellence in the Extra Large category at the, Annual National Chamber of Industries Achievers (CNCI) Awards, Gold Award in the Extra Large Category Exporter Agriculture Value Added, Products (Awarded by National Chamber of Exporters), National Award for Export Excellence (Awarded by Ministry of Trade and, With those awards together with excellent marketing efforts of the company, Munchee, the flagship brand of the CBL group has become the strongest food brand currently in Sri, Lanka. product market and serials and snacks markets of the country. But for fruit drinks, carbonated beverages act as a strong substitute. Organizational analysis of Ceylon Biscuits Ltd, Ceylon Biscuits Ltd was founded in late nineteen sixties by under taking contract from, Sri Lankan government and Care International (USA) to manufacture protein enriched, biscuits for Sri Lankan school children as a mid day meal. So, bargaining power of packaging suppliers is not high. quantity purchasing by the CBL group is considerable amount of an individual packaging company. appealing to them, there is high tendency of buying any available similar product by the Gold Award in the Extra Large Category Exporter Agriculture Value Added This well established quality management systems are also can be considered as strengths of the company. vulnerable. Ceylon Biscuits Ltd was founded in late nineteen sixties by under taking contract from Sri Lankan government and Care International (USA) to manufacture protein enriched biscuits for Sri Lankan school children as a mid day meal. market in the island. Other raw materials like peanuts, green grams, grams etc are sourced through farmer network set up in Ampara and Wellawaya areas. But currently Munchee is holding 60% market share of the overall biscuits markets which has been estimated as a 10billion worth industry. Sri Lanka Ceylon Biscuits Ltd (CBL) is the leading biscuit company in Sri Lanka with an annual Turnover of US . Land area of Pannipitiya plant was fully filled with plant buildings and no further building expansion is possible there. Therefore this price competition can be But still there are some equipments and machineries in CBL, dating back to 1960s and are technically out dated. Trusted by 2+ million users, 1000+ happy students everyday. As the vision of the company targets, becoming the leader of confectionary manufacturing would be a long journey for the company. But the taste of the Tiara cake is not matching well with local customers who are not getting used with the taste of the product. in verse. Finally it can be said that continuous drive for innovation and creation of superior value to customers has largely contributed for the recent success of the CBL group. furthermore imported chocolate brands like Nestle and Cadbury are also competing in the We produce 25 million packs of biscuits every month in our state-of-the-art manufacturing facility under stringent hygienic conditions. Furthermore company has close ties with international distributors in India and, Singapore so that company is in a position to export its products to 60 countries. in contract manufacturing for Huntley and Palmer of associated biscuits UK other than Till late nineteen nineties Munchee was not the dominant biscuit brand in Sri Lanka. arising in the north and east. Due to the price competition in the industry, Palm oil requirement is partially filled with purchasing of local suppliers like Pyramid Lanka and remaining quantity is imported depending on price level in the international market (Malaysia, Indonesia). 3. | All rights reserved. (Source: AC Nielson retail audit). In the early 20th century Hini SWOT It would be a threat for CBLs chocolate barnd Ritzbury. Actually this threat is substantial as Sri Lankan per capita biscuits consumption is as high as 2.5kg, one of the highest in Asian region. Furthermore the company is in the process of value chain integration and already an ERP system has set up in the Ranala factory and further expansion of the ERP system covering the entire group of companies is in progress. This assignment has four parts onthe Ceylon Biscuits Limited Marketing: Part 1- Organizational Analysis One is the company trying to achieve cost leadership in the industry. entering to the cake market. Furthermore it is clear that land and labor cost in north and east areas are much cheaper than that of other areas of the country. used with the taste of the product. region. awards. In recent times, attempts for increasing chocolate coated product production are being made with new investments for machineries and still there are available sales losses due to this insufficient production capacity. 2023 | A2Z Pte.Ltd. only cake which can be kept as long as 6month period even without a refrigerator, in the player in the local fruit drink market is Smak. local biscuits market and now they are having over 10% market share. company. further technological upgrade is desirable for the company. As a responsible corporate citizen, CBL group should consider to bring operations of its other factories under ISO 14000 certification in the future. Organizational structure of the group is pyramidal and the relationships within the organization are hierarchical. Till that time from the starting of the Ceylon Biscuits, the company was engaged well as in the world level. In the biscuits industry, Maliban, Lucky Land, Cherries, Maam, Nip and Diana In terms of customer value creation, in recent times it can be seen that CBL group has done a great job. Literature Review 2.1. biscuits manufactures into the Sri Lankan market. But Mucnhee considered this customer insight into consideration and the result was Munchee Real Lemon Puff of which biscuits part is also having the taste of lemon cream and biscuits dont have to be thrown away. the life of philip henry gosse, f.r.s. This modernization of machinery and equipments and technological innovation are also can be observed as strengths of the CBL group. So it can be concluded that in areas of biscuits, cake and chocolate markets, CBL has been market leader in the Sri Lankan market for past few years and most likely the company would be able to maintain its dominance in the market. CBL is heading to that direction. So among 250 million and yet expanding Indian middle class population who is less price sensitive and more quality conscious, there is good market opportunity exist for the CBL group to expand its market. Innovative Brand of the Year (Awarded by Sri Lanka Institute of Marketing) The company has appointed an agro technologist to coordinate closely with these farmers networks and provide necessary technology and guidance from selecting seeds and preparing of farming lands to collecting and storing harvests in a way that both company as well as farmers is benefited, so that quality and price standards of raw materials are maintained. CBL Group is a Sri Lankan conglomerate specializing in the food industry. Up to 5 Switching to diesel or LP gas mean cost saving is tremendous. So there Part 2 - Business environment and strategic orientation of the organization. Munchee and recently company ventured into production of instant jelly under the brand So CBL is investing in R&D related to developing those product formulas locally and these R&D activities can be mentioned as strengths of the company. Sri Lankan government and Care International (USA) to manufacture protein enriched Ceylon Biscuits Limited. Till late nineteen nineties Munchee was not the dominant biscuit brand in Sri, Lanka. having excess production capacities also. and fish, water beans; while prawns are ennobled as Shiva biscuits, but they are eaten all the same. Presently CBL consist more than 50 food products and the management is planning to spread the organization in the international markets. Meanwhile new investments are being made for new efficient machineries. Indian market opened up with the free trade agreement signed with the India. Due to this high level of price sensitivity and bargaining power of indirect Having a strong brand name means, a company has successfully liberated its product from commodity like trap and price level can be set beyond the balance point of supply and demand curves. For some product categories like wafer biscuits, chocolate slabs, company has engaged in a price competition with competitors in the Sri Lankan market. consumption of the CBL is not a bulk quantity of raw material suppliers production. When CBL Natural Foods (Cecil) is considered, it is a company mainly engaged So CBL is Another important factor notable in the success story of CBL is, correctly understanding the power of advertising in the event of building a brand. www .malibanbiscuit .com. CBL products coming under brand names such as Munchee, Ritzbury and Tiara are widely accepted in the market and also are recognized as brands of the year for few consecutive years. But still there are some equipments and machineries in CBL, dating back to 1960s and Furthermore land area availability for further expansion is limited in Pannipitiya and In term of market share the flagship brand Munchee is holding over 60% market, share in the biscuit market of the country and cake brand Tiara is holding around 80%, market share by almost whipping out other competitors in the market. available in international market are done in CBL laboratories. This can be seen as a weakness of the group in relation to the chocolate production. Then entry into fruit drink market was made by acquiring the fruit drink company Cecil. ABOUT ORGANIZATION. for raw materials such as sugar, fat and milk powder, bargaining power of suppliers is Ceylon Biscuits Limited was once a small manufacturing firm engaged in contract Last year Cecil plant was relocated to Minuwangoda from Avissawella and now in a process to increase the production of fruit drinks. Recently CBL Ranala factory experienced some issues with its neighborhood regarding night time sound level and effluent water disposal. No events Contact. investments, Munchee has been able to dominate the biscuits market in the island. Entire transport of finished products is carried out by distributors. certification. scale manufacturers dealing in biscuits manufacturing alone. Banking (4914 companies including Bank of Ceylon) Since direct customers are appointed by the company, they are bound to purchase and distribute company products and they can not sell or distribute similar products to the CBL products. Organization's success is not only determined by the prudent application of funds to the various portfolios of investment but also by the relationship established with the customers, which is a function of marketing.Ceylon Biscuits Limited (CBL) is one of the fastest growing and largest conglomerates in Sri Lanka that manufactures and markets . One prerequisite for achieving the target is huge capital investments in sub continental India. Strong marketing team referring internally as excellent force, which has been Ceylon Biscuits was founded in 1968 to manufacture high-protein biscuits to supplement mid-day meals for school children under a joint programme of Care Organization, USA, and the Sri Lankan Government. opportunities. In chocolate coated product market, although the company has become the market leader with over 70% market share, production capacity is insufficient to meet forecasted demand for products in the market. MACMILLAN AND CO., Limited NEW YORK: THE MACMILLAN COMPANY 1904 . In term of land area, availability, situation of premises such as Kandy, Minuwangoda and Ratmalana are also, more or less same as above. In chocolate coated product market, although the company has become the market WO (weaknesses-opportunities) Strategies. About Ceylon Biscuits Limited. For an example, still the main competitor Maliban is having electrically heated ovens in their biscuits plants. CBL Pannipitiya factory has met ISO 14000 environmental quality standards and also 2023 | A2Z Pte.Ltd. organic organization Definition Organizational structure characterized by (1) Flatness: Communications and interactions are horizontal, (2) Low specialization: Knowledge resides wherever it is most useful, and (3) Decentralization: great deal of formal and informal participation in decision making. Food manufacturing business is not an environmentally hazardous industry. manufacturing for the Care International, it was noticed by the company that excess profits is limited as company has to increase profit margins of products facing the threat Although CBL group is performing well in the Sri Lankan market in its all most all Maliban manufactures a range of crackers, cookies and wafers, sold in over 100,000 . Title: Twenty years around the world. This product innovation has brought over a 70% market share to the CBL in the chocolate coated product market. Problem here is instead of direct substitute products of biscuits, cakes, chocolates In the local society also there is a growing concern over natural or organically processed food products. In early days of the company, most of production machineries were reconditioned machineries imported from the Europe. The company has relied heavily on advertising for positioning in target market segments and widening the market share of products. advantages. With the dawn of new millennium CBL started its drive towards, technological upgrade of its plant and machineries and in the context of Sri Lanka, now the company is having more efficient and modern machineries than its rivals reducing its production costs thus giving important competitive advantage for the CBL to enjoy over industry average profit margins. Wood and wooden structures 2.1 Introduction to wood as material 2.2 The nature of wood: appearance, cellular structure and identification 2.2.1 Gross features Grain Texture Figure Colour Taxonomy - the classification of plants 2.2.2 Wood anatomy: softwoods 2.2.3 Cell structure: hardwoods 2.2.4 Wood identification 2.2.5 Hand-lens examination . as 80% share of the market. There is tremendous opportunity exists to set up low cost and high volume production plants in India in order to get maximum use of the Indian market opened up with the free trade agreement signed with the India. This growth in national economy is highly favorable for food manufacturing industry and biscuit market alone would be expected to expand by 10% annually for coming years. Cecil, Samaposha and Lanka Soy factories are also having ISO For some Currently the company is making huge capital investments for new plants and As Sri oil and eggs has resulted in the revised price structure of the bakery and other food items (Market Monitor, 2022). INTRODUCTION Ceylon Biscuits Limited (CBL) is one of the fastest growing and largest conglomerates in Sri Lanka that manufactures and markets many leading brands in biscuits, confectionery, cereal, soya based products, organic fruit products and many other categories globally. Governance, Awards & Search over 700 It leads to a 2X2 matrix - also known as SWOT Matrix. In recent Capture a web page as it appears now for use as a trusted citation in the future. That is strong corporate leadership of the chairman and the director, board. 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