Global meat production has doubled since 1988 and quadrupled since 1960, with no signs of slowing down. By 2050, annual meat consumption is projected to reach between 460 and 570 million tons—doubling 2008 levels. Yet, despite this upward trajectory, the industry remains defined by intense competition and razor-thin profit margins.

In such a context, how can a meat production brand optimize its portfolio and operating model to secure double-digit profitability?

This was the challenge addressed in a recent project, where our team implemented a comprehensive diagnosis and transformation program, targeting four critical business dimensions—each linked to three strategic priorities. This formed the foundation for a robust long-range planning (LRP) framework.

Phase I: Multi-Dimensional Commercial Diagnosis

Our intervention began with a structured diagnosis across the following core dimensions:

1. Commercial:

• – Intensive growth via Key Account Management (KAM)
  – Channel expansion through indirect distribution
  – Strategic export partnerships

2. Marketing:

• – Brand repositioning through innovation and communication
  – Differentiated retailer brand propositions
  – Loyalty-driving promotional strategies

3. Operations (Slaughterhouse, production):

• – Enhanced planning and resource allocation
  – Cost optimization
  – Involvement in the innovation value chain

4. Controlling & Planning:

• – Transparent cost allocation rules
  – Visibility on profit opportunities and cost-savings
  – Leadership in pricing and planning decisions

Phase II: Identifying Growth Barriers

Through in-depth analysis, we identified key growth barriers across three levels:

• – Organizational: limitations in commercial structure and capability
• – Structural: external factors such as raw material volatility and retail pressure
• – Conjunctural: rising dominance of private labels and margin erosion in mainstream channels

In the commercial and marketing dimensions specifically, we conducted detailed assessments through interviews, process mapping, and capability evaluations to define the current state and prioritize actions.

Commercial Focus Areas:

• – Channel-specific portfolio recommendations
  – Execution standards across segments
  – Customer segmentation and coverage
  – Pricing and promotions
  – Credit and service policy by segment
  – Commercial contracts and negotiation logic

Trade Marketing Focus Areas:

• – Brand execution in-store
  – Consumer and shopper activation programs
  – Channel-level planning
  – Promotional calendar and pricing strategy

Marketing Focus Areas:

• – Market and consumer structure
  – Brand positioning and trajectory
  – Strategic forecasting (3–5 years)
  – Marketing objectives, KPIs, and 4P strategy
  – Innovation roadmap
  – Budget allocation and performance monitoring

Phase III: Strategic Directions and Process Redesign

The diagnosis phase revealed several pain points that required transformation across commercial, marketing, and planning functions. These insights shaped a roadmap of high-impact changes, including:

1. Implementation of cross-functional KPIs to measure and align efforts within key strategic projects
2. Decentralization of decision-making, supported by new governance structures and enabling systems
3. Redesign of business routines, clearly defining roles, agendas, decisions, and expected outcomes
4. Establishing process owners to drive accountability and continuous improvement

Additionally, the diagnosis uncovered critical inefficiencies in the investment policy—particularly the fragmented and reactive pricing strategies. As a result, new investment priorities were defined:

• – Develop an annual investment strategy based on strategic growth opportunities
• – Optimize ROI through rigorous investment tracking
• – Redesign and reallocate the cost structure to better support commercial priorities

Phase IV: Building the Demand System – Generation and Delivery

By consolidating all analyses, we defined the processes necessary for both demand generation and demand delivery.

Demand Generation:

• – RTM strategy development
  – Sales forecasting
  – Promotion planning
  – Pricing policy governance
  – Brand repositioning and product innovation

Demand Delivery:

• – IKA (Modern Trade): listing, negotiation, contracts, budget planning, promo management, auctions
  – Traditional Trade: routing, annual negotiation, budgeting
  – Export: client acquisition, volume forecasting, and contract management

Just as a physician conducts a thorough clinical examination to uncover hidden symptoms and prescribe treatment, this diagnosis process uncovered inefficiencies, spotlighted opportunities, and charted a path toward higher performance.

“For a meat producer, commercial and operational diagnosis unlocks the door to efficiency and innovation. Through disciplined analysis of processes and resource flows, we eliminate waste and increase productivity—paving the way for cost optimization and a sustainable growth strategy,” says Polixenia Iordachescu, Managing Director, 4Growth Consulting.

A carefully crafted Long-Range Planning (LRP) process ensures that the strategic actions of today are aligned with the evolving challenges and opportunities of the next 2–5 years.