After last month posting weaker first half sales than expected, CEO Hanne Refsholt said, "We see that the improvement effects are diminishing while we see a decline in our sales revenues. We are not pleased with this and will take action to reverse this development.
“We must significantly increase both growth and competitiveness and will return with measures to achieve it.”
Organizational changes
Refsholt said TINE's competitiveness is challenged by changes in markets, framework conditions and consumer trends. She added the first half of the year, where TINE saw reduced shares in key product segments, illustrates the challenges facing the company.
In the effort to strengthen TINE's competitiveness, organizational changes are now being made.
Among other things, the marketing, research and development, innovation and business development units are being combined into one business area.
At the same time, sales will have two business areas in the new structure.
"A combination of our market and innovation resources will give us more power, while two focused sales areas will provide greater commercial pressure and speed in collaborating with developing new products for different markets,” Refsholt said.
Strong foundation
She said TINE already has a strong foundation, and the company’s logistics, transportation and production facilities across Norway gives “unprecedented opportunities.”
Refsholt added surveys have shown TINE is trusted by consumers, who are increasingly concerned with animal welfare and safe food - and want to know the history of the products they eat.
"Norwegian food production has a lot to be proud of, both in terms of disease control and the lowest use of antibiotics in Europe,” Refsholt said.
“At the same time, more and more are concerned with health and nutrition. Consumers will find that TINE responds more quickly and with greater enthusiasm in the future.
“We are going to develop new products that both take care of the good properties of milk, while intensifying work to reduce sugar and saturated fat.”