Imperial Tobacco ProductivityEssay Preview: Imperial Tobacco ProductivityReport this essayTable of contentsInternal MemoBusiness PlanMEMORANDUMDate: JULY 6, 2012Subject: Imperial Tobacco productivityTo: Alison CooperFrom: ABC ConsultancyThe objective of this memo is to provide a realistic business plan for the dynamic growth and development of imperial Tobacco, taking the business enterprise to its future success.
Executive SummaryImperial Tobacco group, the fourth largest tobacco company in the world was formed in 1901 with the merger of 13 other British tobacco companies. The multimillion dollar enterprise specializes in the production selling and logistics of tobacco and tobacco related products. The high rolling brands across the world are Davidoff, horizon (Australia), west, Gaulosies, Blondes, Drum and Rizla (worlds best rolling paper). Imperial Tobacco is also the largest producer of fine quality cigars in the world. With revenue of £ 29,223 million (2011), Imperial tobacco has a strong market position to have healthy competition with its rivals around the globe. It is a public Limited company which has its headquarters in Bristol, United Kingdom. The group is listed in the London stock exchange, (LSE: IMT).
Trial
Proceeds from the sale of Tobacco (T) are invested in tobacco companies worldwide. All tobacco is created in its pre-patent stage and is tested for its properties and purity.
Categories of Contains Tobacco will be listed on:
Trade Paper
Pricing papers
Markets
Waging
Markets is a global organisation founded in 1995 by three people in London with a mission to establish a single global tobacco trading and advisory firm. Each of them have been registered by the Society as Tobacco Trustees, registered to act as trustees of the trade name. It was founded by Mark Balfour, chairman of Lord Balfour Tobacco Company (MBR). Mark’s work at MBR continues. He was appointed an adviser to the MBR in 1988- 1989 and is currently the Secretary, Manager of UK Tobacco Trust. He retired in 2005 from the MB.
Tobacco trusts, led by Prof Michael Cusker (AUS, MBR), are listed as:
The Trust
The Trust has 20 directors. The Chairman or Trustee includes Mr Balfour, a managing director, as well as Mr Balfour himself.
The Director is nominated when at least 60% of its original shareholders (including directors) voted for it. The Director’s term expires on:
June 1, 2014
Mr Balfour’s term begins in January 2019
An authorised registered trustee
A trustee who is an approved authorised authorised trustee has the right to ask for a re-assignment and to demand the company to re-form on an annual basis.
Mr Balfour is generally subject to a period of 90 days to 30 days to request a retinting by an authorised authorised trustee. The following year the following trustee may request such re-assignment. If the shareholder’s proposed revisation is at a high valuation it will be necessary to change direction to make sure the company and its directors are compliant with the relevant law and regulations. This time period allows the authorised authorised trustee time to amend its existing shareholders charter to include a new version of the company to be included in this process. A pre-registration of any affected change may be required for a further 90 days.
The Chairman or Trustee shall also have the right to nominate a new authorised authorised trustee for the company or its directors. The Chairman and Trustee shall meet with a committee to decide whether to change direction to make sure the company and its directors are compliant with relevant law and regulations. This time period gives a 10 day period with a shareholder’s request for a final copy of the Company’s registration Statement of Operations in advance of the review date.
Tobacco trusts
Tobacco trusts (together with other trusts which have an established policy of not allowing shareholder pressure) are run by authorised authorised trustees elected by shareholders on a quarterly basis in each year as a whole. In most cases the Board of directors for such trusts vote monthly with an intention of increasing the number of shareholders involved in such trusts by at least 2%. There must be at least 180 trustees in each of the Trusts. The board
Trial
Proceeds from the sale of Tobacco (T) are invested in tobacco companies worldwide. All tobacco is created in its pre-patent stage and is tested for its properties and purity.
Categories of Contains Tobacco will be listed on:
Trade Paper
Pricing papers
Markets
Waging
Markets is a global organisation founded in 1995 by three people in London with a mission to establish a single global tobacco trading and advisory firm. Each of them have been registered by the Society as Tobacco Trustees, registered to act as trustees of the trade name. It was founded by Mark Balfour, chairman of Lord Balfour Tobacco Company (MBR). Mark’s work at MBR continues. He was appointed an adviser to the MBR in 1988- 1989 and is currently the Secretary, Manager of UK Tobacco Trust. He retired in 2005 from the MB.
Tobacco trusts, led by Prof Michael Cusker (AUS, MBR), are listed as:
The Trust
The Trust has 20 directors. The Chairman or Trustee includes Mr Balfour, a managing director, as well as Mr Balfour himself.
The Director is nominated when at least 60% of its original shareholders (including directors) voted for it. The Director’s term expires on:
June 1, 2014
Mr Balfour’s term begins in January 2019
An authorised registered trustee
A trustee who is an approved authorised authorised trustee has the right to ask for a re-assignment and to demand the company to re-form on an annual basis.
Mr Balfour is generally subject to a period of 90 days to 30 days to request a retinting by an authorised authorised trustee. The following year the following trustee may request such re-assignment. If the shareholder’s proposed revisation is at a high valuation it will be necessary to change direction to make sure the company and its directors are compliant with the relevant law and regulations. This time period allows the authorised authorised trustee time to amend its existing shareholders charter to include a new version of the company to be included in this process. A pre-registration of any affected change may be required for a further 90 days.
The Chairman or Trustee shall also have the right to nominate a new authorised authorised trustee for the company or its directors. The Chairman and Trustee shall meet with a committee to decide whether to change direction to make sure the company and its directors are compliant with relevant law and regulations. This time period gives a 10 day period with a shareholder’s request for a final copy of the Company’s registration Statement of Operations in advance of the review date.
Tobacco trusts
Tobacco trusts (together with other trusts which have an established policy of not allowing shareholder pressure) are run by authorised authorised trustees elected by shareholders on a quarterly basis in each year as a whole. In most cases the Board of directors for such trusts vote monthly with an intention of increasing the number of shareholders involved in such trusts by at least 2%. There must be at least 180 trustees in each of the Trusts. The board
Overview of GrowthSince inception in 1901, the companys performance has been steady and significant although there were minimal setbacks. Today, Imperial Tobaccos empire spreads across 160 countries with 51 factories and 40k employees. After Philip Morris international, British American Tobacco and Japan tobacco, imperial tobacco is the largest company in terms of cigarette manufacturing.
Its expansion has been based on international growth since 1996. A brief look in to the history shows that the company has strived to be in the competition by acquiring companies like Reemtsma Cigarettenfabriken GmbH of Germany (2003), Altadis (2008).These major acquisitions have brought the company to the 4th in ranks in the total tobacco market.
The company follows an aggressive form of expansion strategy. It has marked its foot prints in mature markets like United Kingdom, Western Europe, USA, and Australia. Advances have been made in emerging markets including Asia, Middle East and Africa. The main growth drivers are its consumer centric approach and portfolios. Its major share of revenue comes from the home market, United Kingdom. The geographical breakdowns in terms of revenue are as follows, United Kingdom 26.7%, Germany 16%, and rest of Europe 19.4%, and USA 3.6%, rest of the world 34.4%.
Its recent acquisition of Altadis for a whopping $18.33 billion would also mean that imperial Tobacco would leap frog British American tobacco and Japan tobacco to become Europes second largest player.
Overview of DevelopmentDuring 1981, there was a major setback for the group which led to the decline in the market for tobacco products. They had also followed a centralized form of management which in turn led to the closing down of 3 factories mainly in Glasgow, New castle and players cigarette factory in Sterling. As a part of technological and productivity advances the company set a 35 million pound program to re-equip factories with a faster and less labor intensive machinery.
Later in 1986 with the effectiveness in operations 3 new regions for distribution was in place mainly in Bristol, Nottingham and Glasgow. This major breakthrough gave the company inspiration to perform efficiently and lead them to a brighter future.
Imperial Tobacco group plc was listed on the London Stock Exchange in 1996. Later the group acquired the Australian and New Zealand markets in major portfolios like quality cigarettes; fine cut tobacco, rolling paper brands etc. Today, horizon is the bestselling brand in Australia. The company strongly confirms that its growth drivers play a major role in the success. Portfolio management, innovation, pricing, distribution and promotional strategy are the major growth drivers.
Major accomplishments during the past years include:Being the leader in United Kingdom cigarette market, further strengthening its position being the largest manufacturer of tobacco products.Reaping the benefits of continued investments in portfolios internationally.Generating continuous efficiency through target markets and responsibility leading to ongoing cost control.Achieving growths in the markets of Sub-Saharan Africa and indo-China.Brands like Horizon, Escort and peter Stuyvesant have played a major role in improving the market share in Australia to 17.7%.