Case Analysis : ' Silvaro Motors '

1735 Words Oct 7th, 2015 7 Pages
1.0 Introduction
1.1 Background
Silvaro Motors, a car dealership company, have four dealerships serving a metropolitan area of roughly two and a half million people with the latest dealership selling multiple makes of cars at the same location which includes a line of Daewoo’s from Korea, Mahindra’s from India and Chery’s from China (Waight 2015, p.2). The other three dealerships focus on three separate cars at each dealership (following an autonomous operation) which include Mitsubishi, Mazda and Hyundai (Waight 2015, p.2). The company gained immense strength and reputation from the three dealerships and prides itself on three success factors or policies namely volume, “hassle-free buying experience” and after sales service (Waight 2015, p.2). But, the new dealership complicated the issues of inventory management as it had to deal with three cars at the same dealership and balancing the stock was proving to be difficult and issues related to purchasing function and management of service parts, accessories and materials both at a supply chain level and as an internal function along with the lack of storage and financial resources added further pressures on the company (Waight 2015, p.2).
1.2 Aim
The purpose of this report is to understand the reasons behind the issues faced by Silvaro Motors in their purchasing, inventory and supply-chain management strategies and suggest alternatives with respect to the policies, procedures and control systems as a means to tackle the…

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