Chemtech Inc
CHEMTECH INC
Case 13-1
1. What problems are faced by Chemtech in the following areas: logistics and supply chain management, purchasing, and marketing?
Chemtech Inc established in 1980, is a market leader in production of chemicals in Atlanta. Its principal utilities and a distribution center are located in outside Atlanta. Chemtech is facing a problem in logistics and supply of its produce as it has only a single distribution center which is facing a huge requirement of expansion and addition of more manpower. Since Chemtech is a market leader in chemical production hence it is necessary for the company to make proper arrangement for the distribution of its products on time else customers can purchase it from somewhere else. The same kind of situation is faced by the Chemtech in its distribution center. In addition to that company is also facing problems with purchasing materials required for production of chemicals (Chemtech Inc., 2013). Due to delayed supply of the required raw material backorder situation at the distribution center is becoming worse day by day. Potash is the chief product purchased by the Chemtech Inc, but due to slow supply of the Potash from suppliers and increased demand Chemtech Inc. not able to deliver the products to its customers on time. Marketing compartment of the company is also in problem as the purchasers and customers of Chemtech are complaining that they do not have adequate planning and coordination to sell their products. Company needs to change their marketing style; their purchasing options along with logistics part of their business in order maintain growth of their business. 2. What needs to be done at Chemtech to improve the functioning of its order fulfillment activities? As we discussed in the above question Chemtech needs to modify their purchasing routine and supply management as well. Potash is very important part of Chemtech’s business but due to slow supply and availability of the same
Case 13-1
1. What problems are faced by Chemtech in the following areas: logistics and supply chain management, purchasing, and marketing?
Chemtech Inc established in 1980, is a market leader in production of chemicals in Atlanta. Its principal utilities and a distribution center are located in outside Atlanta. Chemtech is facing a problem in logistics and supply of its produce as it has only a single distribution center which is facing a huge requirement of expansion and addition of more manpower. Since Chemtech is a market leader in chemical production hence it is necessary for the company to make proper arrangement for the distribution of its products on time else customers can purchase it from somewhere else. The same kind of situation is faced by the Chemtech in its distribution center. In addition to that company is also facing problems with purchasing materials required for production of chemicals (Chemtech Inc., 2013). Due to delayed supply of the required raw material backorder situation at the distribution center is becoming worse day by day. Potash is the chief product purchased by the Chemtech Inc, but due to slow supply of the Potash from suppliers and increased demand Chemtech Inc. not able to deliver the products to its customers on time. Marketing compartment of the company is also in problem as the purchasers and customers of Chemtech are complaining that they do not have adequate planning and coordination to sell their products. Company needs to change their marketing style; their purchasing options along with logistics part of their business in order maintain growth of their business. 2. What needs to be done at Chemtech to improve the functioning of its order fulfillment activities? As we discussed in the above question Chemtech needs to modify their purchasing routine and supply management as well. Potash is very important part of Chemtech’s business but due to slow supply and availability of the same