US meat major Tyson Foods is reorganising its business segments with a core aim to drive speedy innovation based on the individual customer needs of each division.
Fresh meats (beef, pork and chicken), prepared meals, international and the “inter-segment” divisions “will be equipped with the resources and structure needed to enable quicker response and innovation at the speed of the markets they serve,” Tyson said in a statement. “Customer sales will be embedded with each of the business segments to intensely focus on customer needs and more quickly deliver on them.”
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Donnie King, who is the head of Tyson’s poultry business, will become the New York-listed company’s new chief operating officer to oversee the changes, while retaining his existing role.
“We must simplify and focus our structure to facilitate faster operational decision-making, and we must remove obstacles to provide an unmatched customer experience,” King said. “This is part of an ongoing process of aligning resources around our business segment structure.”
Group president and CEO Dean Banks added: “Consumer preferences are changing and evolving at a rapid pace. We must accelerate our pace of change to not only meet but exceed our customers’ expectations, while delivering high quality, innovative products. That’s why we’re adapting our organisation to enable our businesses to respond rapidly to the changing environment.”
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By GlobalDataThe reorganisation comes after Tyson earlier this month reported a decline in first-quarter sales and profits. Net sales dropped 3.2% to US$10.46bn in the three months to 2 January and net income was down 7.2% at $472m.
For its most recent full fiscal year ended 28 September, the company reported sales of $43.19bn, an increase of 1.9%, and net income of $2.15bn, which was up 5.4%.
