Our company is Pilgrim’s Pride Corp. It is a Brazilian owned, multinational food company and it is currently one of the largest chicken producers in the United States and Puerto Rico. In December 2009, this company exited from bankruptcy and relocated its United States headquarters to Greeley, Colorado. The current CEO of this company is William W. Lovette. Pilgrim’s claims to produce healthy, high quality foods and they work with over 4,000 family farms throughout the US and Mexico.
They dedicate their time to produce wholesome, high-quality products at amazing prices.
They are the second-largest chicken producer in the world.
Providing products for many major supermarkets and food chains. Such as Walmart, Albertsons, Fresh and Easy, Publix, IGA, Aldi, KFC, Wendy’s, and Costco. They have a large team totaling 40,000 with more team members to provide food service, retail and frozen entree`s to customers. They are apart of JBS S.A. which is also a Brazilian company that is the largest meat producing company in the world. JBS S.A. owns 78.5% of their understanding common stock. Their vision statement, found on Pilgrims.com is “To become the BEST and MOST RESPECTED Company in our industry, creating opportunities for a better future for our team members.”
Throughout the past five years, Pilgrim’s Pride Corp. has gradually gained market share and improved their net income figures. In 2013 the company was #17 on the food manufacturer’s sales list with $7,500 million in sales. Their net income was $550 million. In 2014, the company took a step back and was ranked 18th with $7,111 in sales, but they showed improvements on reducing expenses to have a $711 million net income.
2015 saw further decline with only $7,143 in sales and a reduction of net income to $646 million. They were rated #19. 2016 was a massive year for Pilgrims, they not only moved up to 15th in the industry, but they did it with a spike in sales to $7,931 million. The company in 2017 remained in the top 15 but had increased their sales up to $8,540 million with $1,400 million in net income (Food Processing). They appear to be growing in market share and sales trending for the past three years after experiencing a slight slide in sales through 2011-2015. The state of the economy may have been a reason for this.
Become a more valued partner with our key customers; Relentless pursuit of operational excellence; Unique portfolio of diverse, complementary business models; Safe workplace environment, safe people, safe products and healthy attitudes. (PilgrimPride.com)
Drive ownership and accountability into every level of our Company; Relentlessly pursue the root cause of issues; Make decisions based on knowledge, facts, and data, rather than experience; Create growth and development opportunities that help our team members succeed. (PilgrimPride.com)
Pilgrim’s Pride Corp. Is in the processing industry mainly emphasising in processing of meat products and distributing those products around the world. These products are distributed to food service facilities and retailers across the country. These places can be fast food franchises, sit down restaurants, even small shops; along with grocery stores. Even though it is a processing and distribution company based in the United States; it can also distribute to others around the world.
There are various challenges that Pilgrim Pride faces, as this industry is competitive. Including the dietary restrictions of people around the world. Pilgrim Pride breeds and feeds its chickens only natural ingredients from a homemade blend. They do not use growth hormones in effort to produce the best quality of chickens. Other companies also compete because they use the same type of processing and distribution. By giving better quality goods, they hope to stand out from the rest. With the shift in consumer online shopping this presents yet another challenge of ecommerce. Most national supermarkets have started to implement this service along with delivery.
One of the major challenges faced today by all food manufacturers is the Food Safety Modernization Act which was designed to strengthen the rules for preventing food contamination (Ray). This has caused multiple new laws to be passed onto food manufacturers that increase inspections, risk recall on their products, and create stricter rules for the manufacturing process. Another challenge is consumer demand that is shifting toward more healthier foods and away from pre-packaged products (Ray). The result of shifting demands quickly like this is the difficulty of matching the new demand with proper equipment and supplies. Food manufacturers also face distribution difficulties as not only must they increase their distribution needs based on increasing demand, but they must maintain requirements on effective safety for transportation (Ray). Paying third parties to assist in transportation and distribution cuts into revenues significantly (Ray).
Mohammed Alamoodi: Wrote the section on challenges in the industry and also the section on standing in the industry. Responsible for the Food Processing and Linda Ray references.