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
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Executive Summary In this case study response I will be providing analysis and recommendation on how to increase the chances the Barilla’s management idea of JITD would be acceptable and provide the reasons why it should be considered worthwhile. Issue Identification Barilla is a large vertical integrated corporation that makes pasta and bread products with flourmills, pasta plants, and bakery-product factories locate throughout Italy. It has used traditional distribution system, which
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1. Diagnose the underlying causes of the difficulties that the JITD program was created to solve. What are the benefits and drawbacks of this program? In your answers, consider the Barilla and distributors points of view (400-500 words). Late in the 80’s of the 20th century, Barilla SpA, faced increased difficulties caused by the variability of its distributors demand, these difficulties translated into augmented inefficiencies and rising costs of production and distribution of finished products
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EXECUTIVE SUMMARY: In 1990, Barilla SpA was the largest pasta manufacturer in the world. It was making 35% of all pasta sold in Italy and 22% of all pasta sold in Europe. Barilla enjoyed a strong brand image in Italy. They differentiated themselves by positioning the brand as the highest quality, most sophisticated pasta product available. They had a massive facility, the largest and most technologically advanced pasta plant in the world. In 1987, the company realized that manufacturers and retailers
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Solution…………………………………………………………………………....11 Recommendations to the solution …. …….………………………………………12 Other recommendations…………………………………………………………...15 Customer response to the solution…………………………………………………16 Conclusion………………………………………………………………………....21 Executive Summary Barilla SpA, an Italian pasta manufacturer is experiencing problems in manufacturing and distribution systems caused by fluctuations in demand. To eliminate these difficulties Giorgio Maggiali, the Chief of Barilla’s Logistics Department, has been trying
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the pasta and bakery business going forward? For just Barilla, I feel as though they are on a very high plateau. Though with Academia Barilla, the company has found a way to go beyond just pasta and sauce. Having Barilla in the name of Academia Barilla could help, sales to lower income people may rise because they can associate Barilla with a nice Italian brand. How would you assess Barilla's efforts so far in establishing Academia Barilla? They deserve an A+ for their efforts. Most companies
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volatility is Barilla’s trade promotion strategy, which includes price, transportation, and volume discounts. Barilla would divide the year into 10 to 12 canvass periods to where certain promotional items would be sold at a discount. Barilla would also pay for the transportation costs to its distributors and would offer incentives for distributors to order in full truck-load quantities. Since Barilla did not have any minimum or maximum order quantities in place for its distributors, this made it much more
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the brainchild of Maggiali’s predecessor Brando Vitali. Although Maggiali supports JITD, members of Barilla’s own sales and marketing organization do not support the new idea and therefore not cooperating. JITD once implemented was meant to have Barilla produce not on orders from distributors, but according to their own prediction of demand. Barilla’s forecasting methods were poor because when demands fluctuated it affected their supply chain. This was also brought on by the complex distribution
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financial cases that involve what can be best described as foreign or international elements. In such cases, court must decide whether it has the jurisdiction under the Family Law Act 1975 to make a decision on such cases. In the event that it is determined that the court is invested with the jurisdiction to determine the case, the court has to consider whether there is a system of law in foreign country that also has the jurisdiction to handle the case. As it was addressed in the case Attorney General
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Adapted from Bernhardt & Kinnear (1988). Cases in marketing management, pp. 6-16. Plano, TX: Business Publications, Inc. Pay careful attention to the following points. They are often used by instructors to evaluate either a written or oral analysis. 1. Be complete. Each area of the situation analysis must be discussed, problems and opportunities identified, alternative presented and evaluated using the situation analysis and relevant financial analysis, and a decision must be made. An analysis
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