Barilla Spa We need to regroup now and decide where to go with JITD. Is this type of program feasible in our environment? If so‚ what kind of customers should we target? And how do we convince them to sign up? Against Vitali’s proposal‚ “Just-in-Time Di stribution‚” met with significant resistance within Barilla. The sales and marketing organizations were particularly vocal in their opposition to the plan. A number of sales representatives felt that their responsibilities would be diminished if
Premium Marketing Sales
Who is the target customer? What are the demographic characteristics? o TWC Customers are generally middle to upper class o Average household income is $53‚546 / year o Racial makeup: 41% white‚ 28% Hispanic‚ 16% Asian‚ and 5% African American o English is the primary language 59% of the time with 20% Spanish‚ 11% Asian‚ and 7% Indo-European What are their
Premium Household income in the United States
Guest Customers in American Apparel market can be generally separated into three segments: women‚ men‚ and children. Each segment has its own portion of the overall market share. The U.S. apparel market grew 4 percent in 2011 with total dollar sales of 199 billion dollars (Beth Boyle). The growth of dollar sales in the men’s apparel market led the way in the adult apparel market with an increase of 4 percent. Women’s apparel grew by 3 percent and children’s apparel by 6 percent. • Women and
Premium Clothing Marketing
BARILLA SpA (A) Table of Contents Part One: Executive Summary 3 Part Two: Immediate Issue 4 Part Three: Systemic Issues 4 Part Four: Qualitative Analysis 5 Part Five: Alternatives 6 Part Six: Recommendation 8 Part Seven: Recommendations Implementation Plan 9 Part Eight: Monitor and Control 10 Part One: Executive Summary In order to respond to extreme demand variability and incidents of high stock out rates Barilla is currently applying pressure to both its’ manufacturing and logistics
Premium Marketing Inventory Safety stock
Barilla SpA was founded in 1875 by Pietro Barilla and has evolved into a large‚ vertically integrated corporation with flour mills; pasta and bakery factories located throughout Italy and is a global leader in producing and selling a multitude of these goods. Review of this case study shows a core problem of weekly demand fluctuations in the distribution order patterns which impacted manufacturing and other chains in the system. The fluctuations brought increasing operational inefficiency and cost
Premium Marketing Management Safety stock
Management Barilla SpA Case Discussion Questions 1-a The underlying causes of difficulty that the JITD program was created to solve were stock outs and high levels of inventory. These were both caused by demand uncertainty. There were several inefficiencies due to demand uncertainty; there were long lead times and it was costly for Barilla to try and quickly produce their products. They had poor forecasts due a poor flow of information which led to a bullwhip effect‚ which in turn led to
Premium Supply chain management Inventory Supply chain
Homework 2 Barilla Case Reading 1.Is there any evidence that Barilla faces the bullwhip effect? If so‚ what causes of the bullwhip effect are present? Yes‚ there are some evidences that Barilla is facing the bullwhip effect. The following causes are presented as below. 1) Demanding forecast. Since safety stock‚ as well as the base-stock level‚ strongly depends on these estimates‚ the user is forced to change order quantities‚ thus increasing variability. Lead-time. It is easy to see
Premium Supply chain management Inventory Sales
Barilla SpA I think the main causes for large fluctuations in orders observed at the Pedrignano CDC are too frequent trade promotions‚ volume discounts‚ and distributors’ use of periodic review inventory systems. Collectively‚ Barilla experienced the bullwhip effect in its distribution network. With the use of trade promotions to push product into the grocery distribution network‚ Barilla distributors could buy as much product as desired to meet current and future needs. Without a ceiling in order
Premium Marketing Inventory Sales
BARILLA CASE STUDY Causes that led to the JITD idea: Fluctuating demands from the retailers and the burden it caused on the company’s manufacturing and distribution system. The problem with the fluctuating demand is during the period of high demand the manufacturer should have the capability to increase the supplies else the backlog will increase. On the other hand when the demand decreases it will be expensive to store the excess inventory. A problem at one point in the supply chain will be translated
Premium Sales Inventory Future
ASSIGNMENT 2: BARILLA SPA INTRODUCTION Barilla SpA (Barilla)‚ is an Italian manufacturer that sells pasta to retailers largely through third-party distributors. Barilla has been experiencing widely fluctuating demand patterns from these distributors. Such unpredictable patterns are problematic because a specific sequence of pasta production is used that minimizes the incremental changes in kiln temperature in order to keep the changeover costs low and the product quality high. This process makes
Premium Sales Inventory Marketing