General Mills forced to alter recipes to combat supply chain struggles
General Mills (FOX 9)
GOLDEN VALLEY, Minn. (FOX 9) - Supply chain struggles are forcing General Mills to get creative when it comes to recipes.
During a conference call as the Twin Cities snack and cereal maker released its quarterly earnings, company leaders admitted they've faced the strain of supply chain, as the war in Ukraine creates a new set of supply chain issues.
In February, ahead of the earnings report, General Mills said it was facing supply chain shortages that were affecting its refrigerated dough, pizza, and hot snacks products.,
Speaking Wednesday, Jon Nudi, the head of General Mills' U.S. retail and sales, explained the company was taking steps to combat the shortages.
"At the senior level, we're getting on the phone with suppliers at senior levels to make sure that we're being prioritized for ingredients," said Hudi. "We've adjusted formulations and, some of our products, we've reformulated over 20 times, year-to-date. Every time you make an ingredient change, you have to change the formulation, which is obviously a lot of work."
While the company seems confident they will continue to maintain supply, in filings they admit they face risks from inflation due to global product shortages.