Alexandros Michalatos, Mondelez International: Successful companies create value for the world at large and positively impact the lives of those around them

In an enlightening conversation for Business Review Magazine’s “Industries to watch in 2024” feature, Alexandros Michalatos, a key figure at Mondelez International, explores the evolving landscape of the manufacturing industry in 2024. He delves into the unique opportunities and formidable challenges that Mondelez faces, such as integrating Chipita to bolster their production capabilities in South Central Europe and navigating an ever-changing economic and geopolitical climate. Michalatos also addresses the shifting demands in the snacking industry, emphasizing Mondelez’s vision for 2030 amidst these fluctuations and their commitment to sustainability in manufacturing, aiming for a net zero waste future and fostering a circular economy.

What are the main opportunities and challenges in manufacturing in 2024?

We have a long-established presence of our brands in Romania and commercial operations, and with the acquisition and integration of Chipita, we now have in our country one of the most important production facilities in our region, South Central Europe.

We are never settling, our fast and dynamic context brings various development opportunities, so our agile team plays a critical role in capitalizing on emerging opportunities. The economic and overall geopolitical context continues to be challenging and uncertain, with high pressure on raw material costs and shortage of skilled labour. Moreover, in the manufacturing world, we see emerging trends for 2024, like shorter lead times from production to market or the need for effective management of possible disruptions in the supply chain, to minimize the impact on the end consumer.

The pressures and uncertainties are setting the bar higher in manufacturing, but we are ready to navigate through it successfully.

How will demand evolve in the current geopolitical and economic uncertainty?

Snacking is on a growing trend and we will continue with our partners to evolve a diverse snacking market, that meets both current consumer needs and emerging market trends. Mondelez has a globally shaped vision for 2030 that stands up even in difficult contexts, we have strong brands that have a long-lasting connection with our consumers. Looking at the previous years, marked by uncertainty, we are well–fit and strong in front of advertisement, ready to embrace the change to be able to provide the right snack for the right moment.

How does the transition to a green economy influence the manufacturing industry?

Successful companies do more than focus on financial results, they create value for the world at large and positively impact the lives of those around them. Now, more than ever is the time for companies to do what’s right. We look at sustainability as an important pillar of our vision for 2030 and we’re committed to producing our snacks the right way to preserve our planet. We aim to make an end-to-end positive impact on the world and the communities where we do business. As such, we’re committed to using less energy and water, reducing waste and decreasing emissions, enhancing the efficient and sustainable use of resources along our supply chain. We take a strategic approach focused on driving toward net zero waste packaging through less and better packaging and improved systems, leveraging innovative partnerships to improve recycling globally. Our aim is to play our part in advancing a circular pack economy for packaging that is good for people and the planet.