Supply Chain Case Study: Manufacturing systems and regulatory compliance are considered to be very complex, coupled with the limited number of suppliers due to the high barriers to entry. Moreover, the aircraft manufacturers have to do whatever it takes to win the order long before the commencement of production.
However, the overall implementation of strategic sourcing is a bit different between the two companies. Then they decide to outsource many things such as the design, testing, and production of key components to key industrial partners and try to reduce the number of components that go to assembly.
The ultimate goal is to finish the final production process within 3 days. They want to utilize high capacity airplane to help airlines drive the operating cost down.
They decide to selectively outsource the production of parts and keep the design and production of key components in-house. Fashion Supply Chain Supply Chain of the fashion industry involves a time-based competition.
Many customers have the unique product needs, but a competition is very fierce because of the low barriers to entry. Product design is also the central part of its strategy. They don't try to follow the high fashion designs but try to adopt the street trends which are easier to produce.
They don't invest in production facilities at all because they utilize a network of nearly suppliers located in Asia and Europe. Also, they don't own any stores because they choose to rent the space. In order to control its supply chain, they use a central warehouse in Germany to receive and ship products to local distribution centers in different countries.
At the end of the day, they can bring products to market within weeks. The reason is that they would like to create the worldwide brand awareness. For fast moving products, they use the production facilities in Europe.
Asian suppliers will perform the production of standardized products. In order to launch a new product within 15 days, Zara uses a small lot production. A new product will be tested in pilot stores. If product sales are good, a larger batch will be ordered.
Otherwise, remaining products will be removed from the shelves and sold as mark-down in other stores. This creates the perception among consumers that Zara's products are unique and you have to take it while stock lasts. Vertical integration contributes to the success of Zara, they own the majority of its production facilities and stores this is the reason why Quick Response can be effectively implemented.
Its automated distribution centers are strategically located in the center of populations so products are delivered to stores quickly. The whole idea is to develop, market and deliver the product variety that most customers will find what they want. The first step towards mass customization is to strategically offer the product choices.
Too few variations will disappoint a customer, but too many variations will simply postpone a buying decision. After that, Adidas asks the same key suppliers to produce custom components in order to achieve the economy of scale. In order to compensate for a long waiting time, Adidas uses air freight or courier service.
The reason why they can do this is that customized products are sold directly to customers so they have the highest profit margin to compensate for the higher transportation cost. In the past, they supplied products to department stores.
In order to create the best buying experience and control counterfeiting products, they establish their own stores in high-end shopping malls. Having own stores means they can have a better understanding of buyer behavior so they can adapt most rapidly.
Other than fashion items, they also sell food items and home products. For example, they ask each supplier to develop samples for all ranges of fashion items so they can decide which items they will order from whom.
The delay in the development of samples, testing, sample approval and final decision making causes a very long time-to-market.Strategic Planning and Intuition in Unilever 65 More recently there has been a concerted move back towards an emphasis on core businesses. Gulf and Weston needed a major restructuring programme with a big one-time loss and divestments of well over $1bn.
Jan 23, · Case Study Organizational Change At Unilever – Case Study Organizational Change At Unilever. Case study unilever – Changellenge >>changes. solution of the case should include a new organizational model, Case Study Of A Decade Of Organizayional Change At Case Study Of A Decade Of Organizayional Change At Unilever.
The “Power of One” policy led to the transformation of Unilever from a multi-domestic organization to a global matrix structure. The change of name of the Indian division from Hindustan Lever Limited (HLL) to Hindustan Unilever (HUL) was a part of this policy.
Case Chapter a Decade of Organizational Change at Unilever Words | 3 Pages. Case Summary: A Decade of Organizational Change at Unilever Unilever, one of the world’s oldest multinational corporations, generates annual revenues in excess of $50 billion and a wide range of branded products in virtually every country.
Case Chapter a Decade of Organizational Change at Unilever Words | 3 Pages Case Summary: A Decade of Organizational Change at Unilever Unilever, one of the world’s oldest multinational corporations, generates annual revenues in excess of $50 billion and a wide range of branded products in virtually every country.
Unilever talks us through its employer branding journey and why working with marketing and communications has been invaluable to the process. Unilever has been around for more than years, but this doesn’t mean it takes employer branding lightly.