Executive Summary Barilla SpA is a world largest past manufacturer has experienced a phenomenal growth. The company had pasta share of 35% in Italy and 22% in Europe‚ plus 29% in Italian bakery product market(page 2 case) However‚ it began taken a tall on Barilla’s “manufacturing and distribution system” (page 1 Case). Without having proper data and control over the orders the company experienced wide fluctuations in demand. As a result Barilla experienced bullwhip effect where demand forecast
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The case begins with Giorgio Maggiali’s frustration with the fluctuations imposed on the company’s manufacturing and distribution system. He is the director of logistics at Barilla who has been working on the concept started Brando Vitali who was his predecessor. This was the Just-In-Time-Distribution (JITD) concept as an extension of the Just-In-Time Manufacturing concept developed at Toyota. This basically toyed with the idea of delivering its products to its distributors as per Barilla’s customer
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BARILLA CASE STUDY REPORT 1. Introduction Barilla was founded in 1875 in Parma‚ Italy by Pietro Barilla. It used to be a small store that sold pasta and bakery products. In the 1960s‚ it differentiates itself from competitors by producing high quality product with noticeable packaging and marketing campaign. In the 1970s‚ due to the big investment for pasta plant‚ Barilla was in huge debt and was sold to WR Grace (a multi national firm). Followed in 1979‚ the Barilla brother had enough money
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Barilla SpA Case Table of Contents Executive Summary 2 Issues Identification 3 Environmental and Root Cause Analysis 3 Alternatives or Options 4 Recommendation and Implementation 5 Monitor and Control 6 Conclusion 6 Executive Summary Barilla’s high stock out rates along with large average inventory numbers are the main reasons why Maggiali is looking to continue on with Vitali’s dream of implementing the Just In Time Distribution system. However‚ faced with great external resistance
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Barilla SPA Operations & supply chain management Case study 2012 1 Is there any evidence that Barilla faces the bullwhip effect? If so‚ what causes of the bullwhip effect are present? Barilla has two products lines‚ “dry products representing 75% of sales” and “fresh products representing 25% of sales”. Products are shipped from plants to one of the two central distribution centers (CDCs). Each CDC held about a month’s worth of dry product inventory. There are three types
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Case Barilla SpA (A) Discussion Question 1. Answer these questions about the Barilla case study; a. Diagnose the underlying causes of the difficulties that the JITD program was created to solve. What are the benefits of this program? The main underlying cause of the difficulties that the JITD program was created to solve is the effect of fluctuating demand which can be divided the root causes as per below. * Transportation Discounts * Volume Discounts * Promotional Activities
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ACADEMIA BARILLA- HARVARD BUSINESS SCHOOL CASE STUDIES Parma‚ Italy - January 31‚ 2007 - Harvard Business School has selected Academia Barilla for an in-depth look into its business in the prestigious annals of Harvard Business School’s business case studies. Less than three years after its founding‚ Academia Barilla is one of the few Italian companies to ever get chronicled by Harvard. The Harvard Business School business case study for Academia Barilla recounts the last 10 years of the development
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Barilla SpA Case Study Barilla SpA‚ the world’s biggest pasta manufacturer‚ has continuously experienced problems with increased costs and inefficiencies in their operation. The fluctuations in demand have caused Barilla SpA’s manufacturing costs‚ inventory costs‚ and distribution costs to go up. Issues that influenced the demand fluctuations are the discounts Barilla SpA offers on both price and transportation‚ the compensations for sales representatives that is based on the volume of goods they
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BARILLA SpA CASE ANAYLSIS XUELAI (ANDY) HU Contents Executive Summary 2 Issue Identification 3 Environmental and Root Cause Analysis 4 Alternatives or Options 6 Recommendations and Implementation 6 Monitor and Control 8 Executive Summary Barilla SpA‚ a large vertical integrated corporation that makes pasta and bread products is experiencing rising costs due to extreme variability in demand from its distributors. In order to improve company’s sale margins‚ Giorgio Magialli
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Executive Summary As per our conversation last week I would like to revisit the idea originally brought to life by Brando Vitali before he was promoted to head one of our company’s new divisions overseas. In order to address the issue which will be a direct result of introduction of JIT Distribution system‚ I would like to present the issues and my recommendations to you before our meeting with Marconi’s executives to discuss JITD proposal. As the meeting is scheduled for the of November I would
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