Beruflich Dokumente
Kultur Dokumente
Contents
Company Background
Barillas Products & Market Share
Barillas Distribution Channel
1990
1980
1979
1971
1875
Voiello
Braibanti
35%
65%
TL
TL
10%
CDCs
90%
TL
Barilla Run
Depot
TL
LTL
GD
DO
LTL
LTL
Signora Maria
Shops
Chain
Super Markets
Independent
Super Markets
Batch Ordering
High fluctuation in orders: Barilla would receive certain weeks with large orders followed by several period
of no orders with repetition in the pattern
Volume based discounts: Barilla used to give incentives like they would consume the transportation cost if
they purchase one full truck load
Incentives: Incentives given to sales people to achieve target during promotions, hence Sales would
influence distributors/retailers to buy in bulk
To employ sophisticated analytical tools and forecasting techniques across supply chain
Develop information systems at POS to transfer real time data from retailers to upwards
of supply time to reduce lead time
Company
(Barilla)
Reduction in
the high
variance of
production
targets
Elimination
of Bull whip
effect
Raw
material
suppliers at
economies
of scale
Discounts
at the right
time for
right
products
Control over
the inventories
of large
distributors
and in turn an
cost
governance
Ability to
respond to
the demand
fluctuation
directly
Efficient
production
planning
Governing
optimized
supply during
promotions
and discounts
Reduction in raw
materials
ordering costs
transportation
costs
Sales team
might lack
synergy as
their control is
lost to a
forecast model
Transporters
operating at
economies of
scale FTL /
LTL issues
resolved
Long term
customers
being afraid of
loosing
control over
their
inventories
Reduction in
ordering costs
and inventory
costs for
Trust and distributors
attitude
related
issues with
the
distributors
Supply Chain Management (SCM)
EPGP 05
Manufactures
High productivity Low production cost
Demands patterns should be known and has little variability
Logistics
Minimize transportation cost - Take advantage of quantity discounts
Quickly replenish stock , minimize inventory level
Retailers
Short order lead times
Efficient and accurate order delivery
Customers
Items should be in stock
Low prices
Supply Chain Management (SCM)
EPGP 05
Trade offs across Supply Chain can be reduced by:The Lot Size Inventory trade off
Setup time reduction, kanban and CONWIP and other modern manufacturing practices
Reduce inventories and improve system responsiveness
Would help manufactures to more rapidly respond to customer needs
Retailers know factory status , they can quote lead time to customers
The inventory- Transportation Cost trade off
Carrying full truck loads
Cross docking
Advanced DSS to balance between inventory and transportation cost
Lowering overall transportation costs by using advanced transportation modes
The Lead time Transportation Cost trade off
Improved forecasting techniques and information system
It reduces lead time , so it many not be essential to reduce the transportation
component
Thanks