Table of Contents
Executive Summary 3
Issues Identification 4
Environmental and Root Cause Analysis 4
Alternative and/or options 5
Recommendation and Implementation 7
Monitor and Control 8
Conclusion & Management Plan 9

Executive Summary

In order to address the growing burden that demand fluctuations imposed on the company manufacturing and distribution system Giorgio Maggiali, the director of logistic would like to explore and improve Barilla inventory system to Just-In Time Distribution (JITD). This inventory system was originally proposed by Brando Vitali, rather than following the traditional practices of delivering product to Barilla distributors based on what orders they placed. Currently the resistant from Barilla’s customers and the internal sales/marketing department creates difficulties and little progress of implementing JITD. The new strategy will include combination of implementation of Just In Time Distribution (JITD) and reduce variability of products. Implementing JITD would solve a lot of the organizational issues that exist with Barilla however, barilla needs to convinced their internal staff and ensure that employees will not be affected and will be getting their incentive in a different method. By setting up information meetings and obligatory workshops in regards of the inventory process or any changes in order to keep Barilla’s employees aware what the changes will be. Barilla will also need to convince to the retail buyers with this new innovative idea. The second part of the implementation is reducing product variability, with this Barilla able to focus on their most selling and profitable products and SKU’s and their customers will be able to stock on items that selling and giving the most profitable and popular products to their end customers.
Issues Identification During the late 1980’s, Barilla suffered