06 Empowering a supply chain organization by transforming each employee into a “general manager�
Empowering a supply chain organization by transforming each employee into a “general manager”
Empowering a supply chain organization by transforming each employee into a “general manager”
Mr. Subbs Mukherjee is General Manager at Bahrain Water Bottling & Beverage Company, the leading water bottling company in Bahrain. Dedicated to delivering excellence in customer service, Mr. Mukherjee has been supporting various organizations for more than 20 years to enhance their operational capability while improving their financial performance. This energetic and passionate general manager shares with us his broad knowledge and deep vision on the challenges of empowering employees to think and act as a General Manager. Today, Mr. Subbs Mukherjee is sharing with Frederic Gomer, partner at B2G Consulting, his deep insights on the Challenges in Supply Chain Education for the GCC Region.
In few words, please describe your company activity? Bahrain Water Bottling & Beverage Co. (BWBB) manufactures bottles, and markets bottled drinking water and beverages. BWBB is a leading Bahrain Supplier of mineral water and distilled water, manufacturing the brands Tylos,
Delta and Salsabil. As of January 1, 2007, BWBB operates as a subsidiary of General Trading & Food Processing Company B.S.C (TRAFCO). The parent company TRAFCO is a Bahrain-based public shareholding company engaged in the
Industry Insights Mr. Subbs Mukherjee, General Manager Bahrain Water Bottling & Beverage Company
import and distribution of frozen, canned and
tles delivered per month from our facility in
dry food products. TRAFCO imports interna-
Bahrain, with major customers such as Gulf Air.
tional consumer food products under such
With more than 120 suppliers and 3500 cus-
brands as Sadia, Rainbow, Friendship, Honig,
tomers, our perspective of supply chain man-
Noor, Koka, Al-Zamil food, Royal Norfolk, Wes-
agement goes end-to-end from suppliers to
sex and Best Choice. The Company also im-
customers including the end consumers. In this
ports and distributes fresh fruits and vegeta-
regard, we have chosen to integrate our cus-
bles across Bahrain. It operates six subsidiaries,
tomers into our supply chain, or I should rather
Bahrain Fresh Fruits Co. WLL, Awal Dairy Co.
say that in most cases we have chosen to be
WLL, Bahrain Water Bot-
fully part of our custom-
tling and Beverage Com- “we could have leaner operations ers’ supply chain. In this pany BSC, Kuwait Bahhighly competitive marthat would be resulting in rain Dairy Co. WLL, Al ket, we have understood significant cost savings” Qataria Bahraini Food that it is really important Trade Company, and Bahrain Live Stock Com-
that the entire supply chain becomes competi-
pany WLL.
tive and not only limited to our company.
Could you please give an overview of the sup-
What was your biggest challenge in supply
ply chain at BWBB?
chain at BWBB?
At BWBB, our supply chain covers our core ac-
Currently we are facing four main challenges at
tivities from water wells management, water
BWBB, cost containment, risk management,
bottling, storage and distribution. The volume
working capital optimization and supply visibil-
of activity represents more than 3,600,000 bot-
ity:
Empowering a supply chain organization by transforming each employee into a “general manager”
Empowering a supply chain organization by transforming each employee into a “general manager” 1. Cost containment
they need their cash faster. So we had to figure
We have realized that we could have leaner
out ways to optimize our own working capital
operations that would be resulting in signifi-
considering theses constraints.
cant cost savings. Our objective is to reach the
4. Supply visibility
best landed cost considering the price fluctua-
As the old adage says: “whatever visible is sel-
tion and the raw material distribution cost.
lable”, so it is crucial to have a complete visibil-
2. Risk management
ity of the end-to-end supply chain amongst
Considering the major risks that we are facing,
business partners in order to take better busi-
one of them is related to the significant price
ness decisions. Today’s supply chains are com-
fluctuation. In our
plex and more ex-
industry prices fluc- “It is really important that the entire tended, which tuation of raw mate- supply chain becomes competitive and forces companies to rials is a major issue synchronize better not only limited to our company” that has a negative their information impact on the company’s profitability. We
flows and their communication means be-
need to secure the prices at a reasonable level
tween them.
by integrating as much as possible our suppliers in our value chain. 3. Working capital optimization
How does BBWB manage to retain talents? Any specific program?
Due to the credit crisis, companies had to face
When I joined BWBB, my first intention was to
high pressure on their working capital. The
empower my team, from the operators to the
consequence is that most suppliers are now
management team. We do experience difficul-
requesting to reduce the accounts payables as
ties in recruiting qualified professionals, how-
Industry Insights Mr. Subbs Mukherjee, General Manager Bahrain Water Bottling & Beverage Company
however I believe that besides the skills aspect
indeed. What we were lacking in the past was
people can become better achiever when they
a program to empower our local workforce,
own their job. I mean when they really own
now it becomes easier to recruit well qualified
what they do. So before providing any training,
young Bahraini professionals. The govern-
I first installed a sense of fairness to make my
ment’s focus is now on achieving better profes-
team feels secured as a family. Then, I focused
sional education in Bahrain, which is a funda-
my effort on developing a sense of ownership
mental step in the process of growing talents
and to instill it throughout the entire company.
in any nation.
Today my team takes its own decision without having me to command them; they naturally consult me for guidance
How important is innovation at BWBB? Compared to our biggest
and final validation but “The government’s focus is now competitors such as Cocacola, Nestle or Pepsi Cola, the course of actions is on achieving better professional we have to differentiate proposed by them and ourselves with innovative education in Bahrain.” services and products in the decision is made accordingly. I am very proud to see that I have more than just employees in my team but rather general managers. Each functional manager has grown as a general manager within the scope of their function. By doing that, the staff turnover is virtually close to none. How does the Bahrainization program affects your company? Bahrainization is perceived as a great process
order to maintain and develop our market shares. Recently we have launched an innovative format with a new bottle with a capacity of 180ml, which is the first bottle in this small format ever made. Our ‘innovation team’ is a cross-functional team based on a transversal collaboration mode that enables us to consider all aspects of a new product development