Scottish company Baxters, which manufactures soups, chutneys and jams under its well-known brand, is expected to slash its board of directors this week as part of an efficiency drive which will revolutionise the traditional company, reports The Scotsman.
Audrey Baxter, the chairwoman and chief executive of Baxters for the past ten years, will tell her 800 staff that a radical overhaul is needed if the company is to continue to succeed in the marketplace.
The decision follows a strategic review conducted by external consultants which recommended widespread changes at the firm.
A spokesman for the company, based in Moray, Scotland said: "We have to be tighter if we are going to go from strength to strength. There has to be a slimming down at the top to create a leaner executive level."
It is understood that five of the 11 directors of the company have agreed to go, following fears that the company was becoming bogged down in bureaucracy.
The change in the structure of the business follows a drop of almost £1 million (€1.628m) in profits for the company. Figures released in February show profits had dropped from £4.072 million to £3.162 million.
At the same time, the turnover of the company rose by £2.68 million to £52.8 million.
The report claims that the changes are not being made because Baxters is failing to live up to expectations.
"The company is a success and we want that success to continue so we are making important changes," said a company spokesman. "We have a new strategy, but there is no disaster to avert."
Baxter's current success is attributed to a desire to embrace modernisation and technology in production methods without compromising on the traditional high standards of quality.
It is said that Baxters continues to employ staff to check for black spots on the side of peeled beetroot to ensure that none of it reaches the jar.
Recent innovations include the launch of fat-free soup and an increase in the company's export activity.
Baxters deals in about 60 markets worldwide. The main export destinations include the US, Canada, South Africa, Hong Kong and the Middle East, and the company has just branched out into New Zealand, where a new range of soups is being introduced.
Although the company remains a private family firm, it has had a record number of takeover bids - 191 in its 134 years of existence, including offers from Heinz, Quaker Oats and Tetley.