Manage episode 377587737 series 3317274
After years of pandemic-fueled spikes in demand for chocolate and salty snacks, Hershey’s supply chain hit the wall.
During The Hershey Company’s second quarter earnings call on July 28, 2022, CEO Michele Buck warned investors that the company “will not be able to fully meet consumer demand" for Halloween candy. Ingredients were in short supply, and with production lines shared by regular and seasonal merchandise, the company had some tough decisions to make.
Despite their best efforts, Hershey did fail to meet demand last year - much to the dismay of chocolate-lovers everywhere.
In this week’s episode of Dial P for Procurement, Kelly Barner looks at the efforts Hershey has made as they fight back from last year’s challenges:
- The external factors that contributed to the supply crunch last fall
- How they owned their response to those factors by making internal changes
- The role that production line optimization and strategic co-manufacturing decisions will play this year