Bel Group: fostering a unified culture to enable innovation

The Challenge

Bel Group, known for its brands like Babybel and Laughing Cow, has been a leader in the cheese industry for over 150 years. Recognising the rising demand for organic and plant-based foods, Bel set a goal to double its annual sales to €5 billion in ten years. However, the company was struggling to meet this target due to a fragmented organisational structure and rising material costs. To adapt, Bel needed to transform its operations and culture significantly.

Bel faced several challenges: a fragmented organisation with siloed operations across different geographical zones, inefficient communication, and a slow product development process. Each region operated independently, leading to inefficiencies and a lack of cohesive strategy. Additionally, the company’s traditional, thorough approach to product testing slowed its ability to innovate and respond to market changes. These issues hindered Bel’s ability to achieve its ambitious sales and growth targets.

The Approach

Bel restructured its organisation to prioritise brands over geographies, creating general manager roles for each core brand and geographical cluster. This move centralised support functions at headquarters, improving communication and efficiency. The company defined new ways of working, focusing on key processes such as budgeting, innovation, and sales planning. Leaders documented these processes in a comprehensive guide, allowing for iterative improvements based on practical experiences. Bel also promoted a culture shift towards quicker decision-making and market responsiveness, emphasising learning from quick-to-market products.

The Impact

The reorganisation resulted in significant cost savings and increased operational efficiency, with Bel saving tens of millions of euros in potential waste. The new structure fostered greater collaboration and alignment across global operations, as evidenced by improved communication and unified strategies among brand and cluster managers. The cultural shift towards agility and rapid market testing accelerated product development and innovation. Early signs of success included bold and cohesive plans from brand managers, indicating that the new organisational structure was taking root and driving the company towards its growth objectives.