case study gardenia INTRODUCTION: Anywhere in the world, there are businesses and businessmen. Their qualities, such as innovations, risk-taking, hard work, and an extremely strong will to succeed, have created goods and even services which changed our primitive economy into a modern one. They do not wait for luck or opportunity to come. Instead, they create the conditions that give them the opportunities. Their pursuits towards excellence has contributed much to the economic growth of one country. And Gardenia Bakeries Philippines Inc. elated in the above line of thought because it is the biggest, largest and popular manufacturer of quality bread here and in the whole Asia. It lives in its slogan, “So good….. you can eat it in its own” in making its products. Gardenia’s roots go back to Singapore where, in 1978, it began as a humble in-store bakery. Increasing demand led to the opening of Gardenia’s first commercial bakery at Pandan Loop in March 1983. Gardenia has since been the market leader in Singapore and has expanded its operations in Asia to countries such as Malaysian and Thailand with the latest in the Gardenia chain of bakeries here in the Philippines.

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It all began in 1997, QAF Limited through Gardenia International Pte. Ltd. established Gardenia Bakeries Philippines Inc. and started of its bakery plant in Laguna International Industrial Park (LIIP), Binan, Laguna. Gardenia Philippines started its operations in 1998 with the state-of-the –art bread factory rated as one of the most modern large scale bread manufacturing facility in the country. Its major, highly-automated equipment come from the best bakery equipment suppliers from Germany, Holland, UK and USA making it the leading manufacturing company in the Philippines.

Production in the plant starts with the automated handling and storage of raw materials using silos and stainless steel bins that make up its computerized materials handling system. Only the highest quality ingredients are stored here and used in making Gardenia bread. The Gardenia bread plant features a fully-automated and computer-controlled integrated production process from ingredients handling to the mixing, proofing, baking, slicing and packaging of bread. The state-of-the-art bread manufacturing plant adheres strictly to high quality baking standards in a hygienic and sanitary environment.

Bread is practically produced untouched by the human hands. Famous from bringing Uncle Slocumm’s original recipe into Filipino homes, Gardenia believes in baking bread with exacting standards. Gardenia uses a unique baking process wherein the flavor and texture of bread are developed naturally, giving Gardena its superior quality and taste. Hot, freshly baked loaf breads come out of the oven and are lifted from the baking pans by the vacuum depanner and transferred to the cooling conveyor. Then, the loaves from the oven travel through massive twin spiral cooling towers where thousands of loaves are cooled on a moving conveyor at a given time.

The bread is mechanically sliced and bagged, then travels through a metal detector system to ensure that there is no metal contaminant. The high-speed automated bagging system closes the bread bags and seals in the bread’s freshness with a G-lock. The G-lock is a small yet strong clip that can be reused to close the pack and keep the bread’s freshness and quality. Gardenia Philippines offers a wide array of superior bakery products including white, wheat and health breads, flavored loaves , pandesal and snack cakes, muffins and toasts.

Gardenia breads are known for their good taste, freshness, softness, oven-baked aroma and nutritive value. The popular Classic White bread is cholesterol free and bromite free, has The popular Classic White bread is cholesterol free and bromite free, has zero transfat, and is vitamin and mineral fortified, exceeding Department of Health (DOF) recommendations. Gardenia being a consumer-focused and branded food company, is singularly driven in delivering superior consumer value through providing consumers with superior products. The Gardenia trademark means value and is respected all over Asia.

Gardenia has been awarded with International Organization for Standardization ISO 9001:2000 certifications from 2003 to 2009 and has now been upgraded to ISO 9001:2008 in compliance with Quality Management System and certification with product quality excellence. This assures that consumers only get the highest quality products in the market. Moreover, Gardenia is HACCP (Hazard Analysis and Critical Control Point) certified since 2003 to present, a proof of the company’s adherence to the systematic approach in the identification, evaluation, and control of food safety standards.

From 2004-2010, Gardenia was accorded Superbrands status by Superbrands Ltd. , an independent authority and arbiter on branding. Another notable award is the Annual National Consumers’ Award(ANCA) as the Outstanding Bread Manufacturer for five straight years. II. DESCRIPTION OF THE STUDY: The Gardenia Philippines Bakeries Inc. is the main topic of this study. The company is one of today’s successful business in our country and in Asia. Its line of business is bread making.

It offers a wide array of bakery products including white bread, wheat bread, healthy bread, flavored loaves, pandesal, and snacks like muffins, cakes, and toasts. Real goodness can be found in every Gardenia product because the company believed that it is not enough that bread’s quality is only tested by mere pinching and smelling. Bread products of Gardenia are widely known because of its great taste, softness, freshness and its nutritive contents. In summation, Gardenia bakery products captured the hearts of Filipinos thus it is considered as the most widely distributed loaf brand reaching many parts of the country.

Gardenia Philippines Bakeries Inc. has met the stringent criteria of market dominance, longevity, goodwill, customer loyalty and overall market acceptance. III. PRESENTATION OF THE STUDY: The humble beginnings of Gardenia is a proof of rags to riches because it started as a small bakery in Singapore. Living with its vision and that is to become the premier company in the bakery industry and with the mission to serve customers with the best quality assortment of great-tasting bakery products, the company has successfully attained these goals.

As a matter of fact, Gardenia became the market leader in Singapore and has expanded its operation in Asian countries as Malaysia and Singapore and the latest of the company’s chain of bakeries is here in our country, the Philippines. Gardenia established the Grdenia Philippines Bakeries Inc. in 1997 with its bakery plant in Laguna International Industrial Park (LIIP), Binan, Laguna. It started its full operation in 1998 using the most advanced, large-scale bread manufacturing facility that is fully automated and computer-controlled, untouched by human hands.

This state-of-the-art bread factory of Gardenia is being recognized as one of the most modern large scale bread manufacturing facility. Over the years Gardenia’s distribution in the country had grown rapidly. Its products are distributed from Ilocos Provinces in Luzon to Davao City in Mindanao. From Gardenia’s establishment in 1998, the brand’s success has been starkly evidence with its continuous and rapid sales growth. In this study, I will present the different management principles of total quality management in connection to Gardenia Philippines Bakeries Inc.

I will give importance to the reasons and the ways and techniques and also the management principles behind Gardenia’s success. I will explore the world of Gardenia. I will discover how the company produced its quality and delicious bakery products, its strategies and techniques in promoting these products and how does the management price these products and why is the company is leading in the bakery industry in spite of the presence of other prominent baking companies in our country. IV. APPLICATION OF THE CONCEPTS OF TOTAL QUALITY MANAGEMENT(TQM):

All business organizations have resources and goals. Resources require proper allocation and efficient use. Goals must be effectively achieved. These and many more can make possible through good and just management. Without effective and efficient management a business organization cannot survive. Such kind of management is more needed in a very competitive market. It is survival of the fittest and the fittest is one that has the best management. A business organization must consider its totality in managing, applying management techniques and strategies and in decision-making.

The role of Total Quality Management enters in the life of every business. Total Quality Management (TQM) is originally a Japanese way of quality management but later on evolved and now being adapted and practice by many businesses around the world. TQM is a customer-oriented management philosophy and strategy. It is centered on offering quality products and services resulting to customer delight and satisfaction in return for more profit for the business. I will apply all the concepts of Total Quality Management to PepsiCo. , the company which is the focus of this study.