Company (McCormick) Essay Example for Free

Company (McCormick) Essay â€Å"Since 1889, McCormick has been the Company (McCormick) to turn to for flavor expertise. Today the world relies on their prized consumer brands, trusted ingredients and culinary know-how. McCormick is a global leader in the manufacture, marketing and distribution of spices, seasonings and flavors to the entire food industry. Customers range from retail outlets and food manufacturers to food service businesses.† The McCormick Company was started in Baltimore, in one room and a cellar by 25-year-old Willoughby M. McCormick. McCormick’s first products were root beer, flavoring extracts, and fruit syrups and juices, sold under Bee Brand and Silver Medal trademarks; Iron Glue (Sticks Everything But the Buyer) and Uncle Sams Nerve and Bone Liniment (For Man Or Beast). Products were sold door-to-door and the motto was Make the Best Someone Will Buy It. In 1896 McCormick bought F. G. Emmett Spice Company of Philadelphia. All machinery was shipped to Baltimore, as the firm prepared to enter the spice field. In the 1900’s its export office opened in New York City, products were shipped to South and Central America, South Africa, East and West Indies, and Europe. The Banquet Brand was established for spices and mustard and they incorporated in Maine, and the firm now enjoyed a wide good standing reputation as manufacturing chemist, drug spice millers, importers and exporters. The company suffered a great loss of all material assets and records in the Great Baltimore Fire, but within 10 months, a new five-story building was erected on the old site. McCormick added Bee Brand Tea to the product line and became one of the first manufacturers of tea in gauze pouches, thereby introducing tea bags. In the summer of 1912, Charles P. McCormick began working as shipping department clerk and in 1925 he was elected to the Board of Directors. On November 4, 1093 the founder Willoughby McCormick died, thereby leaving 36-year-old C. P. McCormick as elected President and Chairman of the Board. Faced with the serious crisis of the Depression, he quickly implemented a new business philosophy called Multiple Management. A Junior Board of Directors was established. Though out the early 1900’s many business of the like were acquired and the McCormick’s target market was broadened. In 1970 Charles P. McCormick died of a heart attack and Harry K. Wells became Chief Executive Officer on December 1 following John N. Curletts retirement from the Company. Mr. Curlett remained Chairman of the Board. Just as in the early portion of the 19th century McCromi 1972 The Company entered a joint venture with Promociones y Commisiones, S.A. of the Republic of Mexico, purchased from the John Kraft Sesame Corporation of Paris, Tex. The venture was renamed Sesame Products, Inc. Industrial Flavor Group is established to encompass activities of Industrial Flavor Division (formerly Industrial Products Division), Botanicus Pte. Ltd., and Sesame Products, Inc. 1974 Acquired Golden West Foods, Inc., of Gilroy, Calif., to manufacture and distribute frozen food products. The Company entered the frozen foods field under the Schilling label with frozen sour dough breads at the retail level and with food service products. 1975 Acquired All Portions, Inc., for $4.5 million, which manufactures portion-control packets of condiments, with plants in San Fernando, Calif., Indianapolis, Ind., and Atlanta, Ga. The two major retail units of the Company the McCormick Division in the east and the Schilling Division in the West, were consolidated to form a new Grocery Products Division, headquartered in Baltimore. The Management Services Division was established to provide improved information services to all units. 1976 Chicago-based TV Time Foods, Inc., producer of popcorn products, was purchased for $3.75 million as a wholly owned subsidiary. 1977 Harry K. Wells elected Chairman, President, and Chief Executive Officer. John N. Curlett named Chairman Emeritus. Astro Foods, Inc., of San Rafael, Calif., producer of specialty frozen food products for airlines and restaurants, was purchased for $325,000 as a wholly owned subsidiary. 1979 $3.5 million plant in Bedford, Va., opened for production of frozen onion rings by Golden West Foods. Gilroy Foods dedicated solar energy project to be used for dehydration of onions and garlic. Han-Dee Pak, Inc., a portion-control manufacturer in Atlanta, Ga., was purchased for $6 million and became a subsidiary. Harry K. Wells was elected Chairman of the Board and Chief Executive Officer, and Hillsman V. Wilson was elected President and Chief Operating Officer. Sandoz, Ltd., a Swiss pharmaceutical firm, announced its intentions to buy the entire company in October 1979. McCormick supplies spices, herbs, extracts, seasoning blends, sauces, marinades and specialty foods to an assortment of retail outlets such as grocery, mass merchandise, warehouse clubs, discount and drug stores. In the U.S. their principal brands include McCormick ®, Lawry’s ®, Zatarain’s ®, Thai Kitchen ®, Simply Asia ® and El Guapo ®. In Canada their brands are Club House ® and Billy Bee ®, in the U.K. it’s Schwartz ® and in France it’s Ducros ® and Vahine ®. In other markets, including Australia and China, the McCormick brand is primarily used. Consumers can find thier products in nearly 100 countries around the world. To drive thier consumer business we are developing innovative products, increasing marketing effectiveness, expanding distribution and acquiring leading brands and niche products. The industrial business supplies products to many of the world’s top food manufacturers and food service businesses from locations primarily in North America, Europe and the Asia/Pacific region. Products include seasoning blends, natural spices and herbs, wet flavors, coating systems and compound flavors. While the McCormick name may not be on the package or menu, we add great taste to a wide range of packaged food including snacks, savory side dishes and cereals, as well as restaurant items that include sandwich sauces, chicken coatings and bread toppings. To grow our industrial business we are supporting the global expansion of customers, building current and new strategic partnerships and developing consumer-preferred, value-added products. With a solid balance sheet and strong cash flow, McCormick has paid dividends every year since 1925 and increased its dividend per share in each of the last 24 years. Effective strategies, our Multiple Management philosophy and a great team of employees are key ingredients behind our financial performance and increased shareholder value. Retail outlets, food manufacturers and food service businesses they all depend on their spices, seasonings and flavorings. McCormick is so prevalent throughout the food industry that its very likely you enjoy the taste of McCormick every day. McCormick employees conduct business under the leadership of their Chief Executive Officer who is subject to the oversight and direction of a Board of Directors. We are open and honest in business dealings both inside and outside the Company. We serve our customers, consumers, suppliers and communities in accordance with the highest standards of business ethics.