Page 9 - CIMA OCS August 2018 Day 2 Suggested Solutions
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SUGGESTED SOLUTIONS
motivation by considering the psychological contract it has with its employees. It could also
implement a programme of relevant internal/ external training programmes.
Technology
Thomas Fine Teas has invested in the design and implementation of highly automated production
lines for both its teas and infusions e.g. the use of a robot, gently rotating drums, continuous
computer-controlled conveyor belts etc.
The company is adding value through its technological developments but there is a constant need
to innovate within the digital world where immediacy is key.
Procurement
The tea leaves used in our tea bags are sourced by our Buying Department, which comprises the
Head of Buying and her team of eight buyers. They are experienced tea tasters and travel the
world tasting tea leaves from all major tea plantations and factories as well as small scale
growers.
Thomas Fine Teas sources tea leaves for its black tea blends from Kenya, China, India and Sri
Lanka. Tea leaves for its green tea blends are sourced mostly from India and China. Infusion raw
materials are sourced from a variety of suppliers, many located in Deeland. We have direct
relationships with all infusion raw material suppliers.
Emphasis is on the price, quality and accurate delivery of the goods. The company does not
outsource its procurement, ensuring high quality standards right from the point of selection of tea
leaves and ingredients for our infusions.
The concept of value chain helps to understand and segregate the useful (which help in gaining a
competitive edge) and wasteful activities (which hamper market lead) accompanying each step
during the product development process. It also explains that if value is added during each step,
the overall value of the product gets enhanced thus helping in achieving greater profit margins.
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