“Our mission is to be the consumer's first choice for food, delivering products of outstanding quality and great service at a competitive cost through working 'faster, simpler and together.”
This mission statement is good. It says what the main points of the business are and how they can achieve them. For example it says they will provide a great service at good prices. This mission statement is too vague. It doesn’t state all the values that the business has.
Business objectives:
To invest at least £400 million in improving product quality
The 400 million investment was completed by December 2006 and extra funds were added in early 2007
Reduce their carbon emissions by 5% by April 2008
They hope to reduce carbon emissions by 25% by April 2012 now having already beaten their target.
To increase savings.
They increased their cost savings target to £440 million.
To provide nutrition & health training to all colleagues
They are still working on this.
Stakeholders:
A stakeholder is someone who is affected by a business. Customers, shareholders, staff, government, directors, local community, media/pressure group and suppliers are all examples of stakeholders.
How does Sainsbury’s meet the needs of its various stakeholders
Customers: They encourage customers to choose healthier food options. They try to reduce queuing times at checkouts. They provide customers with easy parking for older and disabled people and parents with babies. They also make sure that they have food to suit everyone. E.g.: American, Chinese, Indian, Italian, Malaysian, Thai, Lebanese, Organic, Dairy free etc.
Shareholders: The Company has a DRIP (Dividend Reinvestment Plan), which lets shareholders to reinvest their cash dividends in the Company’s shares. They also provide the shareholders with reports on how the business is doing, financially.
Staff: The staff receives a 10% discount and gift vouchers. They are able to work in a friendly environment. They receive training.
Local community: they bring jobs for local people as well as new choices for customers. New stores usually bring new community facilities as well as a new supermarket. However they understand that new stores can cause disruption. They aim to be good neighbours, with consideration towards local residents.
Media/pressure groups: They regularly report on what they are doing for the environment. For example they have been reducing carbon emissions from stores with energy saving lighting and using renewable materials. They have also produced more products with less packaging.
Suppliers: they work closely with their suppliers to keep a close relationship. Many of the suppliers that they use have been working with them for a long time.
Conclusion:
Sainsbury’s has been very successful in meeting its mission statement, objectives and stakeholder needs. I would give them 8/10.they have achieved most of their objectives but they need to make targets that are associated with their mission statement.
