According to published data from Nestl SA (SWX. NESN), the dairy purchase is the most significant spend for the raw materials (RM) category, accounting for 27% or 5.2 billion-USD (Yr-2010) of the total spend on RM. The dairy commodity consists of fresh milk, milk powders, whey, or lactose (Appendix A).

Examine Nestlé SA procurement breakdown 2010. Suggest four (4) ways how the company can utilise the data from the spend analysis

Nestl Spend 2010 Fixed Assets, Equip. Professional Facilities Services Mgt. 14% 5% 14% Logistics 15% IS/IT 4% Flexible 24% Rigid Plastic 14% Others Packaging 20% Resin 8% CHF 8 B Metal Others 48% S&IM CHF 30 B Paper 23% 11% Raw Material CHF 22 B CHF 60 Billion S&IM others including Marketing, Sales, Contract Manufacturing 3 7 June, 2011 | Nestl Investor Seminar Others 43% Dairy 27% Coffee 10% Sugar 7% Cocoa Cereals 7% 6% Nestle