Kraft Heinz’s new CEO Miguel Patricio, by all accounts, has quite a mess to clean up. But hopefully, after jumping into the fray just over one month ago, the worst is over.
On top of slipping sales and dwindling margins, the food giant recently concluded an internal investigation into its own procurement and accounting in June, which necessitated restating its earnings for the past few years.
“The SEC investigation is a direct outcome of the company’s absolute focus on financial efficiency at any cost, and it has come at the expense of innovation … And these allegations of ethical violations, misconduct and misreporting, are a direct result of those extreme efforts,” Phil Kafarakis, the president of the Specialty Food Association, told Supply Chain Dive in an email.
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