Polaroid Case Analysis
IIM Indore | Polaroid Corporation: European Distribution system | Logistics Management system | | Submitted to | Prof. S. Venkatramanaiah |
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Group 2 | AludaiyaarasuAsvin VMohan M S Prabu PRajasekar VijayaraghavanSrinivasan DK.M.Venkatraj |
Synopsis: Polaroid Corporation, headquartered in Cambridge, Massachusetts, was a company marketed a wide variety of instant photographic products for consumers and industries. After the deregulation of US motor industry consolidation of the warehouses in US took place, which resulted in an improved service level and reduced costs. Overwhelmed by the consolidation results, the management wanted to consolidate the subsidiaries’ warehouses in the Europe to a direct distribution. There were around Twelve European subsidiaries each where headed by general manager. Of that France, Germany, Italy and United Kingdom together have accounted 70 – 80% of the sales. The Polaroid had three primary production areas in Vale of Leven, Scotland, Enschede, Netherlands and one in Cambridge itself. The site at Enschede also served as a central distribution site and export center known as International Distribution center (IDSC) that served all the international subsidiaries. Each European subsidiary had their own warehouse to cater as a buffer and for customizing the orders, special packaging and rush orders. As the measures for the economic integration of the European Community also made the direct distribution as an impetus option which could be used to save the transportation cost by 25%. But there was a resistance by the general managers of the European subsidiaries because of various problems like layoff, Buffer reduction, depriving the responsibility and above all, they felt that IDSC management team didn’t had the management skill. They were also skeptic about the outcome after implementation. Tom carrol, Director of International Distribution and customer service had different options before him. Like total
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Group 2 | AludaiyaarasuAsvin VMohan M S Prabu PRajasekar VijayaraghavanSrinivasan DK.M.Venkatraj |
Synopsis: Polaroid Corporation, headquartered in Cambridge, Massachusetts, was a company marketed a wide variety of instant photographic products for consumers and industries. After the deregulation of US motor industry consolidation of the warehouses in US took place, which resulted in an improved service level and reduced costs. Overwhelmed by the consolidation results, the management wanted to consolidate the subsidiaries’ warehouses in the Europe to a direct distribution. There were around Twelve European subsidiaries each where headed by general manager. Of that France, Germany, Italy and United Kingdom together have accounted 70 – 80% of the sales. The Polaroid had three primary production areas in Vale of Leven, Scotland, Enschede, Netherlands and one in Cambridge itself. The site at Enschede also served as a central distribution site and export center known as International Distribution center (IDSC) that served all the international subsidiaries. Each European subsidiary had their own warehouse to cater as a buffer and for customizing the orders, special packaging and rush orders. As the measures for the economic integration of the European Community also made the direct distribution as an impetus option which could be used to save the transportation cost by 25%. But there was a resistance by the general managers of the European subsidiaries because of various problems like layoff, Buffer reduction, depriving the responsibility and above all, they felt that IDSC management team didn’t had the management skill. They were also skeptic about the outcome after implementation. Tom carrol, Director of International Distribution and customer service had different options before him. Like total