Supply Chain Management -Barilla SpA 罗岩-1120329046-B1203292 1.What are the reasons for the increase in variability in Barilla's supply chain? Barilla delivered product to Barilla's distributors on basis of whatever orders those distributors placed with the company.Barilla's customers were simply unwilling to give up their authority to place orders as they pleased.Some were even reluctant to provide the detailed sales data upon which Barilla could make delivery decisions and improve its demand forecast. 2.How can the firm cope with the increase in variability? The firm was making headway on an innovative idea,Just-in-Time Distribution (JITD),in which Barilla's own logistics organization specify the appropriate delivery quantities.That would more efficiently meet end-customer's needs. 3.What is the impact of transferring demand information across the supply chain？ If demand information is transferred,selling patterns and increased promotions will change.It is hard for shipment to sufficiently and quickly adjust to it.The distribution organization is not ready to handle such a sophisticated relationship.It will increase the risk of having customers stock out of product. 4.Can the VMI strategy solve the operational problems faced by Barilla？Why? No,because the sale and marketing organization were particularly vocal in their opposition to the VMI strategy.So the VMI strategy needs to be changed so that it can be considered a selling tool,rather than a threat to sales,which provides customer an additional service at no extra cost
Supply Chain Management - Barilla SpA 罗岩 – 1120329046 - B1203292 1. What are the reasons for the increase in variability in Barilla’s supply chain? Barilla delivered product to Barilla’s distributors on basis of whatever orders those distributors placed with the company. Barilla’s customers were simply unwilling to give up their authority to place orders as they pleased. Some were even reluctant to provide the detailed sales data upon which Barilla could make delivery decisions and improve its demand forecast. 2. How can the firm cope with the increase in variability? The firm was making headway on an innovative idea, Just-in-Time Distribution (JITD), in which Barilla’s own logistics organization specify the appropriate delivery quantities. That would more efficiently meet end-customer’s needs. 3. What is the impact of transferring demand information across the supply chain？ If demand information is transferred, selling patterns and increased promotions will change. It is hard for shipment to sufficiently and quickly adjust to it. The distribution organization is not ready to handle such a sophisticated relationship. It will increase the risk of having customers stock out of product. 4. Can the VMI strategy solve the operational problems faced by Barilla？Why? No, because the sale and marketing organization were particularly vocal in their opposition to the VMI strategy. So the VMI strategy needs to be changed so that it can be considered a selling tool, rather than a threat to sales, which provides customer an additional service at no extra cost