Barilla –Supply Chain Inventory Management Barilla TABLE OF CONTENTS EXECUTIVE SUMMARY 3 ISSUES IDENTIFICATION 3 ENVIRONMENTAL AND ROOT CAUSE ANALYSIS 3 ALTERNATIVES AND/OR OPTIONS 3 RECOMMENDATION AND IMPLEMENTATION: 3-4 Executive Summary: In an attempt to control inventory swings‚ reduce costs‚ and improve sales we have introduced the JITD initiative. This initiative has been a failure
Premium Marketing Inventory Root cause analysis
Case Studies on E-procurement Implementations Italy New South Wales New Zealand Scotland Western Australia Case Studies on E-procurement Implementations Italy New South Wales New Zealand Scotland Western Australia © Commonwealth of Australia 2005 ISBN 1 74082 091 6 ISBN 1 74082 092 4 This work is copyright. Apart from any use as permitted under the Copyright Act 1968‚ no part may be reproduced by an process without the prior written permission from the Commonwealth. Requests and enquiries
Premium Procurement
Harvard Business School 9-694-046 Rev.JuneU‚ 1994 Barilla SpA (A) Giorgio Maggiali was becoming increasingly frustrated. As director of Logistics for the world’s largest pasta producer‚ Barilla SpA1‚ he was acutely aware of the growing burden that demand fluctuations imposed on the cornpany’s manufacturing and distribution system. Since his appointment in 1988 as Director of Logistics‚ he had been trying to make headway on an innovative idea proposed by Brando Vitali‚ who had served as Barilla’s
Premium Sales Retailing Italy
the perspective of Barilla and an independent distributor. What kind of products might such a program is best suited for? The pasta supply chain suffered high inventory levels at each segment of the supply chain; stock-outs at the distributor’s level and the customer’s demand variability magnified the problem. Availability of demand information at store levels is hard to get. A JITD system utilizes a vendor-controlled inventory scheme to combat a distribution problem of Barilla SpA. It eliminates
Premium Supply chain management Inventory Marketing
Hepatitis C infection rate among incarcerated males. DETECTION AND MANAGEMENT of hepatitis C in the US prison population is a major public health problem‚ as evidenced by the estimate that more than one third1 of the approximately 5‚400‚000 people in the United States with active hepatitis C enter correctional facilities yearly.2 In North Dakota (popu- lation 642 000)‚ the true inci- dence and prevalence of hepatitis C is not known; however‚ 25% of all positive antibody tests for hepatitis C reported
Premium United States Cirrhosis Hepatitis
Barilla spA case analysis Barilla SpA‚ an Italian pasta manufacturer‚ is experiencing amplified levels of inefficiencies and rising costs due to variability in demand from its distributors. The main problem addressed in this case is how to effectively implement JITD system suggested by Giorgio Magialli‚ the Director of Logistics by resolving the issue of gaining control over the fluctuating demand. Barilla has a very complex distribution network including independent third party distributors and
Premium Inventory Supply and demand Supply chain
process to achieve a company integration. Six Sigma tools were used to evaluate the processes to become an integrated company and be considered ‘’One Company’’. 3. What are the challenges associated with integration? It has a high initial set up costs. It may cause conflicts and friction
Premium Project management Process management Management
Executive Summary Giorgio Maggiali is the director of Logistics for Barilla and was appointed to this position when his predecessor Brando Vitati was promoted. Vitati had proposed a Just in Time Delivery (JITD) model for Barilla. Vitati has commented on the “thinning margins” the industry was experiencing and the need to “take costs out of our distribution channel without compromising service”. He felt operations could be improved if Barilla was responsible for determining the quantities and delivery
Premium Marketing Distribution Supply chain
The Bullwhip Effect and Barilla SpA The Bullwhip Effect is an observed phenomenon in forecast-driven distribution channels where there is variability up the supply chain. Some of its causes are: Dependent demand processing Forecast Errors Adjustment of inventory control parameters with each demand observation Lead Time Variability (forecast error during replenishment lead time) Lot-sizing/order synchronization Trade promotion and forward buying Anticipation of shortages One way
Premium Inventory Supply chain management Supply chain management terms
Executive Summary My decision for this case is to implement the Just-In-Time Distribution (JITD) system that was proposed by his predecessor Brando Vitali. This system is entirely different from the existing set up and is being opposed by both the distributors and Barilla’s Sales and Marketing Department. Barilla Spa‚ an Italian pasta manufacturer‚ is experiencing amplified levels of inefficiencies and rising costs due to variability in demand from its distributors. In order to bring things back
Premium Sales Marketing Retailing