1. Why are major company, like Kimberly-Clark, moving toward relationships in which the supplier managers inventory levels at the retailer? 2. When should Kimberly-Clark handles its logistic needs in-house, and when should external source be used?
3. What other types of business partnerships that Kimberly-Clark can be used to improve supply chain performance?
4. Can pressure such as in the Kimberly-Clark case be used to Kimberly-Clark’s advantage?
Traditionally, the retailer handles the replenishment process, and the supplier has no clear information on the demand side or advance warning about out-of-stock situation. As a result, the supplier tends to maintain a certain level of safety stocks as a "buffer" in order to facilitate sales and the customer would also keep some safety stocks in case of none-supply that causes long supply chain and lacks of flexibility. Through supplier managed inventory programs, suppliers get to know the actual supply and demand and thus can deploy better logistic plans to response the fluctuating market situation. The Cross Media
Optimization Study (XMOS)
The XMOS study answers the question “What
is the optimal media mix to achieve marketing
goals?” Marketers and advertising agencies
can now begin to understand which advertising
vehicles, at what frequency, optimally support
campaign objectives. Using a research
methodology endorsed by the Advertising
Research Foundation and recognized by
ESOMAR (European Society for Opinion and
Marketing Research), the XMOS study
measures online advertising alongside offline
advertising to determine the optimal mix and
weight of each medium.
Kimberly-Clark introduced the Kleenex Soft
Pack with television, print, and online
advertising. The objective of the campaign:
build awareness and drive trial. The target:
previously hard-to-reach consumers.
Kimberly-Clark wanted to measure the ability of
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