McCormick Announces Reorganization Plan in EMEA
McCormick & Company, Incorporated announces additional reorganization plans in the Europe, Middle East and Africa (EMEA) region to enhance organization efficiency and streamline processes.
McCormick has embarked on several actions in recent years, along with its Comprehensive Continuous Improvement (CCI) program, which is an ongoing initiative to improve productivity across the organization. Since the inception of CCI in 2009, employees throughout McCormick have been engaged in these efforts and achieved more than $340 million of cumulative annual cost savings. In 2015, the company expects to deliver at least $85 million of cost savings from CCI and other actions. Importantly, these cost savings have been fuel for McCormick's growth, with increases in brand marketing support and other growth investments. The cost savings have also improved profit margin and in certain years, provided an offset to higher material costs.
The EMEA region has contributed significantly to the company's cost reduction and productivity improvement goals. During 2015, additional projects have been identified to further enhance organization efficiency and streamline processes in this region to support its competitiveness and long-term growth. These initiatives center on actions intended to reduce fixed costs and improve processes across selling, general and administrative activities, as well as continue to drive simplification across the business and supply chain. This will include the transfer of certain additional activities to the recently established McCormick Shared Services Center in Lodz, Poland. These proposed changes are subject to consultation processes as appropriate, with the company's employees or Works Councils in the region.
McCormick has embarked on several actions in recent years, along with its Comprehensive Continuous Improvement (CCI) program, which is an ongoing initiative to improve productivity across the organization. Since the inception of CCI in 2009, employees throughout McCormick have been engaged in these efforts and achieved more than $340 million of cumulative annual cost savings. In 2015, the company expects to deliver at least $85 million of cost savings from CCI and other actions. Importantly, these cost savings have been fuel for McCormick's growth, with increases in brand marketing support and other growth investments. The cost savings have also improved profit margin and in certain years, provided an offset to higher material costs.
The EMEA region has contributed significantly to the company's cost reduction and productivity improvement goals. During 2015, additional projects have been identified to further enhance organization efficiency and streamline processes in this region to support its competitiveness and long-term growth. These initiatives center on actions intended to reduce fixed costs and improve processes across selling, general and administrative activities, as well as continue to drive simplification across the business and supply chain. This will include the transfer of certain additional activities to the recently established McCormick Shared Services Center in Lodz, Poland. These proposed changes are subject to consultation processes as appropriate, with the company's employees or Works Councils in the region.