CBL penetrates market by 53 per cent

The focus of a management case study on firm level competitiveness of Sri Lankan companies, carried out by USAID features Ceylon Biscuits Ltd., which recently announced the launch of its succession plan.

The study is currently used at the Post Graduate Institute of Management of the University of Sri Jayawardenapura in its MBA program.

A major USAID funded project in Sri Lanka, the Competitiveness Program outlines the battles, strategies and management style in studying firm level competitiveness.

Ceylon Biscuits outsmarted two long established dominant rivals producing two of Sri Lanka's best loved brands to emerge as the market leader in biscuits in 2004 and the market contender in chocolates in 2005 (the time of the study).

Prepared by Shehara de Silva and Christine Dias Bandaranaike it was carried out by two USAID approved implementing bodies, Nathan Associates Inc and JE Austin Associates Inc.

CBL, the underdog in the biscuit category dominated by Maliban, a brand enjoying iconic status in Sri Lanka, masterminded the stellar rise of its brand Munchee to grab market leadership in the biscuit category which stood at Rs. 8.5 billion in 2005.

Penetrating the market with a distribution network second to none, CBL forged ahead to grab 53 per cent of the market.

The history and humble beginnings of CBL is delineated to put in perspective the competitive behaviour within the biscuit and confectionery sectors., Detailed analysis of battles in the marketplace, brand wars and memorable promotional campaigns show the growing confidence and aggressive marketing thrust by CBL.

The succession plan, one of the directives suggested by the study, after consideration of the management was launched recently.

Consequently, the company charted the career paths, progression and prospects available to senior managerial staff at CBL resulting in a clear policy document which details perquisites, remuneration, promotion prospects and other benefits available to senior staff of CBL.

The company is determined not to set any barriers to non-family managerial staff, with transparent career paths leading up to the position of Group Managing Director.