Marketing & Supply Chain

UPM
zLahti University of Applied
Sciences
Customer Relations and
Marketing
Supply Network
UPM vision
We lead the forest-based bioindustry into a
sustainable, innovation-driven, and exciting future.
The competence, integrity and drive of our people
make us unique.

UPM Purpose
We create value by seizing the limitless potential
of bioeconomy.
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Company Introduction

 UPM: UPM focuses on  better materials efficiency, sustainability

and efficient use of resources that brings benefits with regards
to energy, production and cost efficiency.

 Biofore: Biofore is a new business category of UPM that

creates  trade in future market. Bio stands for future orientation,
sustainable solutions and good environmental performance.
Fore stands for forest and the company’s position at the
forefront of development. 

 UPM combines bio and forest industries. 

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Business portfolios

 UMP Energy

 UPM Raflatac

 UPM Specialty Paper

 UPM Communication Papers

 UPM Plywood

 Other Operation
This Photo by Unknown Author is licensed under
CC BY-SA
The zproduct we chose: UPM Jetset
• Copy paper
• High sustainability
• Recyclable product

End Use
• Advertising material • Manuals
• Catalogues • Memos
• Correspondence • Office applications
• Documents • Office paper
• Fax papers • Reports
• Routine communication
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Target Customers

 Publishers

 Catalogues

 Retailers

 Printers

 Merchants

This Photo by Unknown Author is licensed under CC BY-SA

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UPM Pricing strategy

 UPM uses the Penetration Pricing Method which

means the quality is high but the price is
low/reasonable.

 UPM has the leading position in the world in their

business and they are proceeding with this
strategy due to the economic recession in the world. 
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Investment

 UPM invests in businesses that can be profitable for

long-term

 They have long-term perspective and are always

looking ahead for opportunities to make their
business successful.

 As a result, they have been successful in their

investment
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What makes UPM strong?

 Long-term commitment to paper and reliability of supply

 Broad portfolio and strong geographical presence

 High product and service quality

 Extensive, thoroughly optimized production

 Proven ability to manage operations ahead of market development

 Clear and transparent sustainability agenda based on responsible

operations, strong ethical values and a fully traceable supply chain
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UPM Strong Communication

UPM has a strong communication tool as their media center. This

center provides all kinds of information to their customers, suppliers
and all stakeholders. This center release news like stock exchange
release, investor news, press release, product news and archive.
Every three months later they release the interim financial report.
They also involved with social media like Facebook, twitter, UPM
blog, YouTube, LinkedIn etc.
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UPM Marketing Tools

 Personal selling  

 Sales promotion 

 Public relation

 Advertising  

 Direct marketing   

 Word of mouth as a marketing tool 

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    Supply chain refers to the network

structure composed of raw material
suppliers, manufacturers, distributors,
What is Supply Chain? retailers and final consumers who are
connected with upstream and
downstream members in the
production and circulation of
products.   
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Include

 PROCUREMENT

 FORWARDING

 TRANSPORTATION

 PACKAGING

 WAREHOUSING
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PROCUREMENT
UPM company has three main factory in Finland.

UPM Fray Bentos UPM Kymi UPM Pietarsaari mill

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FORWARDING

ABOUT TWO- STEVECO OY, PROVIDES CARGO, TRANSP
THIRDS OF ALL DELIVERIES ARE BY RAIL  ORTATION AND HANDLING SERVICES FOR
OR ROAD AND A THIRD BY SEA. UPM.
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z
Three ways of Transportation 

 Road transport, Rail transport and

Sea transport

 1.2 Millions truckloads
(25 tonnes each) every year in the
world

  Most preferable transports are road

transport and rail transport and least
is by sea transport. 

 The leading principle of the UPM
is that they never compromise the st
andards of integrity under any circum
stances and they expect the same a
pproach from the suppliers and the T
hird-
party intermediaries if involved in the
 supply . 
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TRANSPORTATION
Where UPM are
operate?
• UPM manufacture the
sustainable and
innovative product to
12 different countries.
• In Finland, the product
UPM speciality
paper , it is operated
in two different places
in Finland that is;
UPM Tervasaari ,
UPM Jämsä River
Mills at Jämsänkoski
and UPM Changshou,
in China.
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PACKAGING

There are different types of certificates and labels printed on

the packet.

For example, in China they using the Green Label | EMAS |

FSC Chain-of-Custody | ISO 14001 | ISO 9001 | OHSAS 18001
| PEFC Chain-of-Custody | Permanent Paper ISO 9706. 
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WAREHOUSING

 Products are stored in well-protected warehouses, which are built

by UPM itself and are strictly directed. The warehouse is built with
consideration given to location, building, lighting, floor, temperature
and all precaution for possible damage to the product in order to
safe and protect the raw material before delivering the product.

 The warehouse floor are made  dry ( i.e no leakages), cleaning

the  sand, stones and other debris to avoid end damages. (UPM
2019)
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Responsibility story of UPM
z Question & Answer

Thank You.