• Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

Kurlon Limited Case Study.

Extracts from this document...


Kurlon Limited Case Study Submitted by Vinit Kumar Srivastava 363/40 Before we venture into the answer demanded, one can observe from Exhibit 5 is that the quantity demanded is almost never equal to the quantity supplied. This is true in case of both the Bangalore Warehouse as well as Delhi ASO. From this observation, one can guess that the commitment level on part of the retailers is quite low (ordering higher and accepting lower units of mattresses, assuming the sales value for Delhi ASO implies the sales made to the retailers). Also, there is a lot of stock pushing on to the downstream members when the situation doesn't warrant such an action. Sometimes, these anomalies are quite high and this doesn't augur well for the integration of a supply chain. Another observation that can be made is that the truckloads that are arriving at each region aren't in multiples of 160 or 320 as that would have optimized the transportation costs. When there isn't much of a pattern in the dispatching (as compared to the indents), why not send dispatches in multiples of 160 or 320 whenever possible. ...read more.


are reflective upon the fact that Y is a slow moving configuration. Typically, slow moving SKUs are the ones that sell in low volumes but accrue higher margins for the retailers. But, here too the saga of anomalies continues and in fact, the situation is worse than that In X. Out of 26 weeks, we find that 17 of the anomalies are negative which doesn't augur well for the company as this means that the retailer is willing to let go of the higher margins which is possible only because the demand for Y (Kurlon) is decreasing and the retailer is finding much more difficult to sell it and doesn't think that the higher margin is worth the sale effort. Critique Order Processing and inventory levels at Delhi ASO and Bangalore Warehouse for Configuration X and Y. There seems to be a complete mismatch between the quantity intended and quantity dispatched. Thus, the forecasting system is to be improved. The company is carrying huge inventory because of improper forecasting. ...read more.


The Delhi sales office does not seem to have any safety stock. But in general, it orders in such high quantity that it is keeping very high stocks. This is to curtail any possibility of stock out. It is suggested that the sales office finds a minimum safety stock and also define the maximum inventory it will hold. Also, the company would do well to change the distribution pattern, i.e. the distribution centre should just act as a transit point and all the orders by the retailers should be directly send to the central warehouse. By doing so the company would give away with the policy of holding inventory at two places. A detailed study needs to be carried out for the benefits and drawbacks of the system. Similarly, for CONFIGURATION Y The stock levels were zeros at times even though demand existed which would have resulted in lost sales. Also, the intend and sales vary a lot even though it was "made to order". Summary i) Purchase a new vulcanizing chamber ii) Capture lost sales iii) Have Minimum order constraint iv) Have a PULL System rather than PUSH System v) Better Forecasting Tools vi) Distribution centre act as a Transit point ...read more.

The above preview is unformatted text

This student written piece of work is one of many that can be found in our AS and A Level ICT in Business section.

Found what you're looking for?

  • Start learning 29% faster today
  • 150,000+ documents available
  • Just £6.99 a month

Not the one? Search for your essay title...
  • Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

See related essaysSee related essays

Related AS and A Level ICT in Business essays

  1. Case Study: World Wrestling Federation

    Presumably, Bischoff would have well understanding of audiences' wants as well as McMahon. And Bischoff would be able to understand and analyse the strategies McMahon had used to succeed the business before. So, duplicating those strategy would not be a problem.

  2. Ebay Case Study

    In 1999, eBay purchased German online auction site Alando along with Billpoint, a person-to-person credit card technology. Other acquisitions that year included a 6% interest in TradeOut.com (online seller of corporate surplus materials). In 2000, eBay entered into an agreement with Disney's GO Network to develop auction sites and joined

  1. Amazon Case Analysis

    Amazon has to rely on large sales volumes to compensate for low-cost business model. 2. Amazon's core competency in technology will allow it to use its patented technology to attract more businesses that it can license its products to. By entering into license agreements with more retailers Amazon can use

  2. Apple Incorporation - Case Analysis

    The move was a refocusing of Apple's strategy to supplying a computer that was not only reasonably priced but also popular. Ten months of hard work resulted in the introduction of the iMAC so as the 1990s exited Apple had refocused its strategy as a pared-down version of its previous self.

  1. "Feasibility study of starting a new business".

    Obviously drinks such as alcohops and Vodka will be stocked in higher amounts as there is a higher demand for them, and drinks such as Scotch will be stocked in small amounts, as there is less demand. The drinks will be used in the happy hour to entice people to

  2. HBR Case Study_"How low will you go?"

    the business, but it would be easy to break down, taking the case of SK-II scandal, In china, 'Procter & Gamble Co.'s P&G label, for branding purposes, their products are almost everywhere in china, helping to build one of China's most trusted names in advertising and manufacturing.

  1. Business Venture - Dance Club

    The DJ's plays commercial dance, house anthems and the best classic pop tracks * Sound (based on Leicester Sq.) Sound is a Bar, Restaurant, Night Club. Music Venue and Events Space on 3 levels > The VIP Mezzanine - exclusive space comfortably accommodates 40 guests.

  2. E-commerce case study - Online Music Bussiness.

    This is true when buying computers online. A customer can chose each part of a computer according to their needs. Through customization the demand for products and services is increased and also provide a competitive advantage. (dr.l.lakshmi, www.articlesbase.com [accessed September 2011]).

  • Over 160,000 pieces
    of student written work
  • Annotated by
    experienced teachers
  • Ideas and feedback to
    improve your own work