Scotts Miracle-Gro: the Spreader Sourcing Decision Essay

DG has a current competitive advantage within its industry that is maintains through a unique cost-efficient approach. This low-cost structure is apparent through low inventories, low advertising costs, and location of stores in rural areas. Though profitable in the short-run, DG's current advantage is not

Scotts Miracle-Gro is the largest company in the North American lawn and garden industry. It is also the world’s leading supplier and marketers of consumer products for do it yourself lawn and garden care, including products for professional horticulture. This paper is mainly centered on two decisions which include either to make and or buy. In other words whether Scotts Miracle-Gro should keep manufacturing in Temecula located in California, outsource production to a contract company in China or to build a company in China and relocate production there. The paper will be divided into three parts in

According to my analysis above, Scotts should choose the option to outsource their production to contract manufacturers in China. It is mostly based on the two factors below.

China’s underdeveloped infrastructure, in particular the land transport system and connection between different forms of transportation, slowed down distribution, increased logistic costs, and finally hindered expansion into rural regions (p.13). As a result of this slow transportation, Wal-Mart’s two distribution centers couldn’t serve the entire country adequately. On the other hand, these distribution centers were significantly underused due to small amount of stores. Consequently, the retailer couldn’t benefit from cost saving through its distribution approach (p.14). Furthermore, communication with the retailer’s 15,000 local suppliers was inefficient and costly due to the lack of an information-technology network (p.14).

found out that despite this cost reduction in material cost, the costs of producing the low -end units for

In 2007, Canada’s industries saved 2.1 billion U.S. dollars of energy costs (2007). All these numbers show Canada’s efforts in general public utilities.

Overall every component of the process could be considered to relay on each other. First it is fundamental to have a product generating demand within a specific target market. While the product generates demand consequently motivates companies to invest in manufacturing the product. At this point is where facilities come into consideration. Based upon product demand a production structure and distribution strategies are developed; the focus is for each facility to function productively, maximizing profits, avoiding unnecessary expenses (lowering cost), or avoid lost of sale due to lack of correct planning tactics. Once the product has been manufactured it is crucial to deliver to the locations where the consumers

Company Background: The company was originally started in 1853 by John Bausch in Rochester, New York. The small store excelled because Bausch discovered

Numerous energy and water efficiency measures have been completed or committed saving approximately $870,000/year at 2011/12

The solution of the second problem that Deere & John is facing about market access strategy may not work smoothly as its excesses capacity because Scott was given for 24 months to run the entire facility fully operational. Also this will be very difficult for Scott and his company because the time frame that was given is short so that

Our approach was to facilitate the demand with respect to the market. We penetrated the market by building factory in Fardo and building warehouses to the respective regions, Caleopeia, Sorange, Entworpe, Tyran. Another component that we had to consider was finding the optimal cost to increase market share and increase our profit margin. Discussion on the logistics will be discussed thoroughly, which affected our decision points and our overall outcome. There are a few questions we needed to answer before we built a road map to our strategy i.e. figuring out where to build the factory and warehouse, estimate the demand of the four regions and Fargo region, should we change capacity, adjust ordering point with respect to quantity, and also

W. W. Grainger, Inc. is a leading supplier of maintenance, repair, and operating (MRO) products to businesses and institutions in the United States, Canada, and Mexico with an expanding presence in Japan, India, China and Panama. The company works with more than 3,000 suppliers and runs an extensive Website (http://www.grainger.com) where Grainger offers nearly 900,000 products. The products range from industrial adhesives used in manufacturing, to hand tools, janitorial supplies, lighting equipment, and power tools. When something is needed by one of their 1.8 million customers it is often needed quickly, so quick service and product

One of America’s largest forest products/paper firms with sales of $6.5Billion in 1983 and a net income of $105 million. The case study revolves around Atlantic Corporation’s intention to add linerboard capacity. In order to achieve this goal, they started looking at viable solutions, including purchasing and acquiring mill and box plants instead of through construction and fabrication of new plants and equipment. This included the possible acquisition of Royal Paper’s “crown jewels”, that is, the Monticello mill and the corrugated box plants.

The problems at ColorTech Greenhouses, Inc. stem much further than the plants and greenhouses themselves. The underlying issues within the company are primarily linked to the management and employees. More importantly, the frequent problems at the headquarters in Phoenix, Arizona pose a major threat to the company’s well-being. The problems that occur at the Phoenix location are mainly related to the abilities of the account representatives, store merchandisers, and the sales manager.

By taking the position as Raj Bhatt, Business Development manager of GE Canada, I am comfortable and confident that energy efficiency is an attractive industry and business opportunity. What makes Raj Bhatt believe that the Energy Efficiency projects will be successful in Canada is that the project helps not only the ESCo, which conducts the performance-based contracting, but also the customers, who are more aware of the benefits of Energy Efficiency project. The Energy Efficiency project will optimize the energy usage, including conservation, use of efficient equipment and off peak usage. Even though the project has required intensive initial capital investment and long payback period, it will