Archer-Daniels-Midland Overview
Company Headquarters: Illinois, United States
Founded: 1902
Workforce: ~42,000
Company Working: Archer-Daniels-Midland Company (ADM) is one of the leading manufacturers and suppliers of various food & beverage ingredients and agricultural products. The product portfolio of the company comprises diversified products ranging from natural flavors and colors to vegetable oil, sweeteners to flour, animal feed, and biofuels among others catering to human nutrition, animal nutrition, pet nutrition, and industrial bio solutions industry.
Ag services and oilseeds, carbohydrate solutions, and nutrition are the three business operating segments. The Ag services and oilseeds segment is dedicated to the operations and processing of agricultural raw materials and oilseeds which are marketed as ingredients for other industrial production. The Carbohydrate Solutions segment markets various sweeteners and other ingredients for animal feed manufacturing and the food & beverage industry. Apart from its production, the company has around half of the equity interest share in a sweeteners and starch company, Aston Foods and Food Ingredients, Russia. The nutrition segment comprises the production of hydrocolloids, emulsifiers, natural colors, polyols, enzymes, prebiotics & probiotics, plant-based proteins, and several other similar specialty ingredients. The company is also involved in the Investment and Insurance business through ADM Investors Services, Inc., Agri national Insurance companies, and allied subsidiaries.
The company executes its production and research & development through different plants, and innovative centers located in different regions including eight innovation centers, twenty-five processing plants, and fifty-nine procurement centers in Asia-Pacific. Further, it has five innovation centers, thirty-nine processing plants, and sixty-nine procurement centers in South America.
Strategy
ADM’s key strategy is the well-established relationship with the corn growers and ends consumers that help in a better understanding of the business and trends in the market. The strong distribution network across the globe in the agri-value chain adds further strength to the company’s businesses by pricing its products at affordable costs and quality products. Further, the environmental sourcing of the raw material through its sustainable corn agriculture program and better usage of raw materials throughout the processing by minimizing the waste generation helps in positioning its stevia products as a sustainable and label-friendly ingredient solution in the global market.
The company had also put a lot of effort into accelerating its international growth through several joint ventures, partnerships, and development initiatives. The firm provides goods that are region-specific and meet the needs of the end-use industry. To be competitive in the market, the organization makes investments in research and development to develop a broad range of key intermediate materials that serve as a platform for producing a variety of sustainable packaging products. It is predicted that the company's acquisitions of some of the significant firms would enhance the growth of its presence.
