Cargill builds on AWB's solid platform
ANDREW MARSHALL
30 Dec, 2011 03:30 AM
IT MAY be a global business monolith, but Cargill's strategy since taking over the slightly shop-soiled but widely respected AWB name is to "deliberately not make any big changes".
A good reputation is king at Cargill, said commercial general manager Mitch Morison, particularly when it came to maintaining strong relationships and trust with its farmer customers and buyers.
For that reason the big trader was determined to continue the style and continuity of AWB's long-established grain buying relationships - including seeking post-harvest farmer feedback on how delivery and market issues could be better handled next year.
"Cargill used to be an extremely private company, but more recently it has made the decision to be a lot more transparent about its operations," Mr Morison said.
"The company's growth in Australia, including joint ventures (Teys Australia and Allied Mills - a 40 per cent flour milling partnership with GrainCorp) reflects a strong commitment to Australian agriculture and helping farmer prosperity."
Mr Morison said senior management was well aware the company was viewed with some suspicion by some because of its strength in the global market.
It had responded with a commitment to maintain AWB's business, in particularly its GrainFlow activities, as they operated prior to the former public company being taken over.
"The obligations that come with managing grain pools are certainly fairly new to Cargill so there is a strong determination to be sure to do the job the right way - a board oversees the pool management," Mr Morison said.
"Cargill puts a very high value on reputation and has a very good culture built around performance.
"In all its various activities it takes pride in being customer focused and building strong long-term relationships.
"Its word is its bond."
The company was also conscious of its corporate responsibilities to the communities it worked in, budgeting for local or regional spending initiatives and charity projects, plus major international aid efforts like last month's 10,000 tonne ($US5 million) donation of rice bought specifically to donate to starving families in the Horn of Africa.
ANDREW MARSHALL
30 Dec, 2011 03:30 AM
IT MAY be a global business monolith, but Cargill's strategy since taking over the slightly shop-soiled but widely respected AWB name is to "deliberately not make any big changes".
A good reputation is king at Cargill, said commercial general manager Mitch Morison, particularly when it came to maintaining strong relationships and trust with its farmer customers and buyers.
For that reason the big trader was determined to continue the style and continuity of AWB's long-established grain buying relationships - including seeking post-harvest farmer feedback on how delivery and market issues could be better handled next year.
"Cargill used to be an extremely private company, but more recently it has made the decision to be a lot more transparent about its operations," Mr Morison said.
"The company's growth in Australia, including joint ventures (Teys Australia and Allied Mills - a 40 per cent flour milling partnership with GrainCorp) reflects a strong commitment to Australian agriculture and helping farmer prosperity."
Mr Morison said senior management was well aware the company was viewed with some suspicion by some because of its strength in the global market.
It had responded with a commitment to maintain AWB's business, in particularly its GrainFlow activities, as they operated prior to the former public company being taken over.
"The obligations that come with managing grain pools are certainly fairly new to Cargill so there is a strong determination to be sure to do the job the right way - a board oversees the pool management," Mr Morison said.
"Cargill puts a very high value on reputation and has a very good culture built around performance.
"In all its various activities it takes pride in being customer focused and building strong long-term relationships.
"Its word is its bond."
The company was also conscious of its corporate responsibilities to the communities it worked in, budgeting for local or regional spending initiatives and charity projects, plus major international aid efforts like last month's 10,000 tonne ($US5 million) donation of rice bought specifically to donate to starving families in the Horn of Africa.
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