The Nestlé Roadmap to

Good Food, Good Life

In recent years the Nestlé Four competitive advantages Four growth drivers

4x4x4 Roadmap has helped Nestlé’s product and brand portfolio A Nutrition, Health and Wellness
ranges from global icons to local mindset means offering tastier and
us build both a very strong favourites. It is supported by an healthier choices in all our categories to
alignment within our unmatched research and development consumers throughout the day. But we
Company and a deep capability, with clear priorities, focused are also addressing specific nutritional
understanding of what we on driving innovation and renovation needs through Nestlé Nutrition and are
that is relevant and attractive for pioneering ways to use nutrition to
want to achieve and how consumers. Our Company has an address critical illness through Nestlé
we want to go about it. unmatched geographic presence, Health Science. The trust that
Our people are now better due to the number of countries where consumers place in Nestlé is reflected
able than ever to achieve we are present, but also due to the in the hundreds of millions of purchase
depth of our roots in those countries. decisions that they make every
our ambition to be the We have operated in most of our day when they choose Nestlé
recognised and trusted locations for generations. This has products. Many consumers with
leader in Nutrition, Health created strong relationships between lower incomes are consuming our
and Wellness, as well our brands and their consumers as Popularly Positioned Products (PPP),
well as an unrivalled understanding mainly in emerging markets. We bring
as to deliver our financial of consumers. This enables us to the same nutritional know-how
objectives. anticipate their needs and improve to these consumers, the same brand
We enhance lives by offering the quality of their lives. Our people, promise and quality, and we strive
tastier and healthier food culture, values and attitude are our to add the extra plus – such as
greatest strength. The Nestlé culture fortification targeted to specific
and beverage choices for all binds our people together all over the nutritional deficiencies. With premium
stages of life and at any time world with a shared set of behaviours products, consumers look to us to give
of the day. True to our and values into a single way of doing them an affordable, indulgent moment
values and principles, we also business. Our culture combines a of pleasure, an everyday reward. Our
long-term mindset with short-term premiumisation strategy, incorporating
enhance lives by Creating action. It encompasses a passion for systems and services, as well as
Shared Value through quality – in products, in relationships, premium products, is enhancing
sustainable growth, and in everything we do. It is focused on consumers’ lives, whilst creating
our commitment to competitiveness, calculated risk-taking additional value per consumption
and an unswerving determination to moment: many consumers are not
environmental sustainability deliver our goals, while creating value looking to eat and drink more; they are
and compliance along every for society as a whole. looking to eat and drink better. The
step of the value chain. fourth of our growth drivers is out-of-
Our commitment is home consumption, a fast growing part
of our industry. This covers leisure,
to provide Good Food, from roadside kiosks in Asia to
Good Life. gourmet restaurants in the capitals of
the world, and institutional catering,
from schools to hospitals. Our focus is
on added-value branded food and
beverage solutions and services.

Nestlé Annual Report 2011 11

Four operational pillars the best processes and the freshest and however consumers want to buy
We want to be the leader in innovation products on our customers’ shelves. them. And, of course, we need to
and renovation, whether of products, Nestlé Continuous Excellence is our communicate with our consumers in
systems or processes. Some products approach to operational efficiency, a dynamic way – both to keep them
will be entirely new, some will have a with its objectives of eliminating abreast of all that is new and exciting,
new, refreshing aspect. Regardless, waste, increasing efficiency and but also to learn from them, so that
we take an invigorating point of view to effectiveness, and improving quality we can bring their experiences to
keep our consumers excited about our in all operations. It is not enough, bear on our upcoming innovation
brands. But it is not enough just to be however, just to make the most and renovation.
the most innovative company. We also innovative products in the most You will find some of these aspects
need to have the most efficient supply efficient way; we also need to ensure brought to life on the following pages.
chain – from farm to fork – to ensure that our products are available
that we have the best raw materials, sustainably whenever, wherever

Competitive advantages

Unmatched
Unmatched
research and
geographic
development
presence
capability

Unmatched People,
product culture, values
and brand and attitude

bility Crea
portfolio

na tin
ai g
st
Sh
u
-S

are

Nutrition,
Innovation Health and
Compliance

and renovation
d Va

Wellness
lue

Our objective is to be the

recognised and trusted leader Emerging
Operational
in Nutrition, Health and Wellness, markets and
Popularly
and the industry reference
es

efficiency Positioned
for financial performance
ip l

Products
Ne

tl é
nc

r i
s

cu
lt u r dp
Operational pillars
Whenever,
e , v al u e s a n Growth drivers

Out-of-home
wherever,
consumption
however

Consumer
Premiumisation
communication

12 Nestlé Annual Report 2011