Barilla Spa Case Report
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 like to hear your thoughts on JITD before the end of this month so I can make appropriate changes to address any issues you might foresee as a direct result of our proposal.
The decision to adopt the Just-in-Time Distribution will most likely be met with our sales and marketing team’s resistance to change. Our old-fashioned distribution system has been nurtured since the early development of our channels of distribution. Promotions and advertising were key to our success of achieving a certain level of trust within our Supply Chain both internally and externally. I recommend a staged implementation of the JITD to allow our staff to adapt to our new philosophy.
Our distribution networks could become more efficient rather than being all about relationships based on pushing the product out of our facilities. It appears that our Supply Chain executives are not looking for ways to reduce waste within our distribution channels as we are not even clear on how we measure our success. Applying Lean principles to our Supply Chain is misleading to our staff as they think their job security is on the line. This is met with internal resistance that needs to be addressed before we can communicate the advantages and benefits of JITD to our external distribution networks.
I believe that Vitali’s approach will fit our new Supply Chain management strategy of Just-in-Time Distribution which will allow us to ship products as needed, rather than building enormous stock to deal with
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 like to hear your thoughts on JITD before the end of this month so I can make appropriate changes to address any issues you might foresee as a direct result of our proposal.
The decision to adopt the Just-in-Time Distribution will most likely be met with our sales and marketing team’s resistance to change. Our old-fashioned distribution system has been nurtured since the early development of our channels of distribution. Promotions and advertising were key to our success of achieving a certain level of trust within our Supply Chain both internally and externally. I recommend a staged implementation of the JITD to allow our staff to adapt to our new philosophy.
Our distribution networks could become more efficient rather than being all about relationships based on pushing the product out of our facilities. It appears that our Supply Chain executives are not looking for ways to reduce waste within our distribution channels as we are not even clear on how we measure our success. Applying Lean principles to our Supply Chain is misleading to our staff as they think their job security is on the line. This is met with internal resistance that needs to be addressed before we can communicate the advantages and benefits of JITD to our external distribution networks.
I believe that Vitali’s approach will fit our new Supply Chain management strategy of Just-in-Time Distribution which will allow us to ship products as needed, rather than building enormous stock to deal with