Executive Summary: Barilla was the largest pasta manufacturer in the world‚ making 35% of all pasta sold in Italy and 22% of all pasta sold in Europe. In addition‚ Barilla held a 29% share of the Italian bakery-products market. Competing in a crowded field of over 2‚000 Italian pasta manufacturers and the Italian pasta market as a whole was relatively flat‚ growing less than 1% per year. Per capita pasta consumption in Italy averaged nearly 18 kilos per year and relatively consistent throughout
Premium Marketing Sales Inventory
Executive Summary Barilla SpA‚ an Italian pasta manufacturer‚ is experiencing amplified levels of inefficiencies and rising costs due to variability in demand from its distributors. In order to bring things back in order and to improve margins‚ Giorgio Magialli‚ the Director of Logistics at Barilla wants to implement a Just-In-Time Distribution (JITD) system that was proposed by his predecessor Brando Vitali. This system is entirely different from the existing setup and is being opposed by both
Premium Supply and demand Forecasting Sales
[Type the company name] | Barilla Sp(A) Case Study | | | | | Barilla JITD Case Study Just in time distribution (JITD) was designed to address the fluctuating demand of products that created additional costs in production‚ scheduling‚ and transportation. Barilla was to blame for several of these underlying problems. For example‚ Barilla offered transportation discounts‚ volume discounts‚ 10-12 promotions throughout the year‚ as well as no maximum or minimum constraints on orders
Premium Sales Supply and demand Safety stock
Case Memo – Barilla SpA Student #: 68979111 Giorgio Maggiali‚ as director of Logistics for Barilla SpA‚ was acutely aware of the growing burden that demand fluctuations imposed on the company’s manufacturing and distribution system. In order to address this issue‚ he proposed the innovative idea of Just-‐in-‐Time
Premium Supply and demand Business cycle
Barilla SpA Case Study Define the Problem: Describe the type of case and what problem(s) or issue(s) should be the focus for your analysis. Type: Supply Chain Problems/Issues: - Extreme demand fluctuations – week-to-week variation in distributors order pattern‚ strained Barilla’s manufacturing and logistics operations: high inventory‚ stock out‚ low fill rate to customers. - Pressures to manufacturing in terms of production lead-time and availability of the product - High inventory cost
Premium Supply chain management Inventory Marketing
The distribution process of an Independent Retailer and Multiple Retailer Independent retailer is a single retail outlet‚ or a chain of two or three stores‚ managed by either a sole trader or a family firm. Independent retailers seem to use the ‘Brick and Mortar’ method of distributing goods and services to their customers. A traditional "street-side" business that deals with its customers face to face in an office or store that the business owns or rents. The local grocery store and the corner
Premium Sales Supermarket Retailing
Executive Summary Barilla SpA‚ an Italian pasta manufacturer‚ is experiencing greater levels of inefficiencies and rising costs due to variability in demand from its distributors. In order to restore things to order and to improve margins‚ Giorgio Magialli‚ the Director of Logistics at Barilla wants to implement a Just-In-Time Distribution (JITD) system that was proposed by his predecessor Brando Vitali. This system is completely different from the existing setup and is being opposed by both the
Premium Inventory Supply chain management Sales
Barilla spA case analysis Barilla SpA‚ an Italian pasta manufacturer‚ is experiencing amplified levels of inefficiencies and rising costs due to variability in demand from its distributors. The main problem addressed in this case is how to effectively implement JITD system suggested by Giorgio Magialli‚ the Director of Logistics by resolving the issue of gaining control over the fluctuating demand. Barilla has a very complex distribution network including independent third party distributors and
Premium Inventory Supply and demand Supply chain
Barilla Brando Vitali‚ the earlier Director of logistics in Barilla SpA proposed an idea of Just- In- Time Distribution (JITD). The proposed JITD system required the distributors to share their sales data with Barilla‚ who would then forecast and deliver appropriate amounts of products to the distributors at the right time in order to effectively meet demand. Instead of Distributors giving orders according to them‚ company should deliver its products on time by its own
Premium Marketing Stock market
Barilla SpA (A) Case Study Analysis 2 Diagnose the underlying causes of the difficulties that the JITD program was created to solve. What are the benefits and drawback of this program? Brando Vitali‚ Barilla’s director of logistics‚ proposed the idea of Just-In-Time Distribution (JITD) in the 1980’s as an alternative to Barilla’s traditional practice of delivering products to their distributors (Hammond‚ 1). Instead of distributing Barilla’s products based on the orders the distributors
Premium