B.D.B.
NOTE TO: MR B D BR,01LEY REco- -7 J" 1994
TSG: PROJECT STEM
I note that you have been sent a note (copy
attached) by David Allvey covering the suggested
approach for Project Stein in relation to the 1995
- 1999 Plan exercise. You are being asked
to comment on the suggested approach as socin as
possible.
My comments on this are as ~611ows -
I . I fully support the proposal that Ill.- 199-5
- 1999 Plans should be preparej on the existing
basis
2. Point 2 ofhe Projec: Stem note calls For oil
each key market and each key
brand to co,,er the tl,-e-ye--r plan period ti e
to 1999 for this Plan). BATCo will not be in
a position to provide :his as in recLnt Ie~.. ~
.,e 'iave deliberate!,,' Cut back on the numbe-
o[operations providinu five-year --,'.,ins ~;;i to
reduce the wor~-load on he sinaller
opcos).
This means -
That we cannot uuaranze--~ coin-,.e-.2
-.,%ci-a!,;e on the key' biands. For years lour
and Five
(ii) Of the 'ke, markets lisze,,i in A, we 111 not
be collectini-, data lor years
t'0LJl- and fi,e for -
\1 ~-,eria. Ktn,a. S,2L;::i Aflica, Pakistan.
Baiiuladesh, Hollan6
and Dutv Fret! (as on1v sonie cl-,umnies x% III be
repol ting DF inforillanon
for the bull fi,e vear~)
In addition -
(1) We will not ~e asking Cor a pian ~---;-n
Urzibekistan this year
(ii) SUTL is no- in end-iria-ke, (p,-i,-L businesi
is. any%\ay. aheady co,~ered
under the C -,mbined Expo~-ts cs:
In addition. e~.en opcos P, C(iLICC plans, the
brand profitabilily Information
stops at year three
The company plan niciel is sched-,Jed fcr
--:stibution to opcos on June l3tIV I -1th and to
seek clianaes to It now would se, :he .vho:1e
process back by all 1.11MCCCI)table time Also,
I would aruue that 11C Shouldn't ;eck to coilec-.
the data for years tIOUr and five, given both
the additional work-'oid 11 IiS PWS ~~n opc-,;
ii,,j the poor quality oCdata which normally is
associated ~vllh Year [,)Lir:ti%e prc;,ections
3 Da~id Allvev's co%erinu no-,e drav.5 the :',ic;t
that :he P;-oject Stem exercise is
supposed to"relate t,- Jic kc%l markets,bi.,:-J~
or 's~r,-itc-ulc 111111kc!, and brands' or 'niajor
contributor-, to GIOL.:- ~':Ollt Ind F."L li-St Of
111,11',CIS 111d hl,-III& ill Al)llclldix A
BATCo document for Province of British Columbia 25
October 1999


for which it is proposed to collect and report
data appears to go way beyond any notion
of'key' or 'strategic,
In particular I would question the inclusion
ofHungary, Indonesia, Pakistan, Bangladesh,
Holland and Hon Kong domestic within the BATCo
list and possibly Israel and the
Ukraine in tile other Op Groups' list. More
importantly, perhaps. there 'IS a strong case
for re5trictina the list of markets to only those
considered important enough to be
reviewed at the recent TSG Marketing Strategy
ineetiri I
I g (i.e. USA. Canada. Japan. South
Korea, Combined Exports, India, Italy, France,
Germany. Brazil, Ars-'entina, Chile.
Venezuela and DF).
With reLards to brands, I can also see little
JUSHFIC,16011 In coilectini-, daia For brands such
as Carlion. Plaza, Ritz. GPC or JPS, as these
~e.-e not brands the TSG ,as inle,-esied in
at its recent Marketing Strategy meeting
I am ie.,, with the Impression that Windsor FOLISe
is seek:nu to collec: a cc-Ta!n
percentage of the Group's business (e.g. 609,. of
profits.) rather than 3iicking to tile
orlu;nal Intention of, esiricting attention to
key,'strategic markels and brands
From a -.,idc, perspective %ve are approaching a
situation o"ridiculous bureauc.-ac,~.
vwhe.-e an erid marke! 5LIC11 as SIVitzeilaild IMS
FOUr lavers oF manauemcqt civer-view (i e
the local countr,. manaucinent team. tile RBU
teani BATC&BEC. and the TSG). This
exc!udes tile possiblil:v oCthe CEC and the BAT
Ilidusir;es Board :--ettinu involved This
;s a rec;,je Cor Jisastc,
,4 The note indicates that the project teaIll
N~i;l deVe[O[) I SUUEZ-25tCd timetable for
exchange
of Information and production of the repci-,s
proposed for the TSG ard CEC. I believe
that it is impor-,ant that this timetabic does not
overlap vvith the currert P!an nmings. as
the additional work invoNed (data creation and
clieckup, commentar.,) would adverse!y
affect the Plan %vork The logic shou!d be for tile
TSG,'CEC to decide Mien they
wls~Vneecl to -evic%~ ;much clata and to work
backwardz~ "imil the-e
I do -lot understand ,hy the project teari are
discussing regional 7equirements ~point 3),
as :his has not been a TSC reqUI:rement
G J BURGESS
GJB,biilvn-1?S4~
6 th June : 911-1
c C Mr P .1 Brooks
Mr 14 14 DOLI'-',,IS
C--
C_-
C-_
BATCo document for Province of BritiSh Columbia 25
October 1999