Case Barilla Spa (a)

The JIT approach to manufacturing involves timing the delivery of resources so that they arrive just when needed. Inventory optimization models help the firm determine how many of which items in which sizes should be delivered to each specific store during twice-weekly shipments, ensuring that each store is stocked with just what it needs. Trucks serve destinations that can be reached

Try to reduce overall production runs by aggregating different orders, thereby increasing batch size. Marketing strategy of delay in turnaround time is required to achieve this

The customer service representative’s first priority is always the customer. Whatever the customer wants, ideally, the customer gets. However, when the customer service representative conducts the search with respect to locating the desired product and shipping the product at the desired shipping address within the desired delivery time sometimes becomes a burden. There are often times where the closest warehouse does not have the requested product in stock and other warehouse locations need to be conducted. In that event, the customer service

distributors would have to submit their Stock Keeping Unit (SKU) so that Barilla can control it.

4) Exploring the possibility of implementing JIT (Just in Time) system that can reduce the finished goods inventory at

JITD created lot of internal barriers to Barilla; while some of the concerns are easy to overcome others would need more convincing. For example, the sales department, sales representatives receive more on their compensation through commission from their sales. JITD would cut or reduce to zero most of sales people responsibilities, which in turn will squeeze their commission, as one sale man said “Our sales levels would flatten if we put this program in place”. As noted in the case most of the sales come from the

A. Summarize the following theories: just in time (JIT), Toyota Production System (TPS), and Lean. How are these concepts related? Describe the

A third disadvantage of applying JIC manufacturing operations is having lower quality assurance methods and even further, lower customer satisfaction (“Just-in-case and just-in-time…”). While the just-in-case system is beneficial in

As argued by Lubben (1988), JIT allows businesses to have better management since this ensures that there is no loss as there is sufficient number of clients requiring the equipment. This reduces her to deal with huge deliveries when the clients’ numbers are not increasing. (Lubben, 1988, p.4) also suggested the idea of JIT that “... major elements of manufacturing – capital, equipment and labour are made available only in the amount required and at the time required to do the job.” So it is a good practice by utilising JIT approach as it reduces wastes and ensure the correct amount of equipment is available (Lubben,

Barilla’s products are divided into Fresh products and Dry products. The demand for these two distinct kinds of products is quite different, and the order, shipment and delivery methods for them are also various.

such as storage and distribution, while maintaining customer service. The idea is by using the

* Intensive planning of daily shipment should be done (calculation of exact amount of goods to be shipped and arrangement of the goods)

Excellent customer service is a way to set the organization apart from its competitors. Differentiation can be achieved through fast and correct execution of product ordering. To improve on the order process it is important to have the correct information provided in a timely fashion to all divisions. For integration to be successful information must be available throughout the entire supply chain.

According to (Hill and Hill, 2012), synchronising all supply chain activities through using the same data, and completing production at the scheduled time, coordinated between the manufacturer and suppliers,

Toyota Production System (TPS) focuses on the philosophy of eliminating all waste. It can be trace back to its origin – automatic loom which was firstly introduce by Sakichi Toyota. During the past few decays, TPS has evolved through generations by trial and error to improve the efficiency. This is mainly based on the concept of JIT.