leitax essay

Leitax 2004 Leitax 2004 Analysis of the new forecasting process Analysis of the new forecasting process Assignment questions 1. Based on the description of planning system before the Redesign Project which function or individuals should be held responsible for the planning problems in FY 2002? In FY 2004? In 2002, Leitax had suffered through poor planning of 3 camera models: the launch of one camera delayed (cost: $19.5 million), another outsold its inventory (costs: $4.5million)

LEITAX CASE ANALYSIS: QUESTION 1 Digital camera market has enjoyed tremendous growth since it was introduced in the photographic industry. Starting in 1998, price has been falling rapidly. In addition, the development of CMOS allowed digital camera to not only capture professional market, but also enter consumer market. It was estimated that in 2006 forecast would peak with 63% penetration rate for digital cameras in the US. After 2006, the growth rate was expected to fall negative. Product lives

How did the rapid maturing of the digital camera marketplace affect Leitax's supply chain challenges and opportunities? Improved technology and reduction in price made the digital camera industry grow rapidly and inject life into a very stagnant sector. Worldwide sales growth rate for the digital cameras had double digit growth for almost 15 years. However that growth was slowing and was starting to reverse from a strong 25% in 2005 to a weak 5.2% in 2006 and into negative territory 2007 and

underlying. Also, the data most relevant to forecasting was often not accurate or inusable and Leitax had no built-in system to monitor demand planning. Life cycle of certain products was often extended in order to push sales to resellers. Sell-in rather than sell-through was relied upon. The other aspect is the industry aspect that digital camera is a rapidly changing industry that

Cross-Functional Alignment in Supply Chain Planning: A Case Study of Sales and Operations Planning Rogelio Oliva Noel H. Watson Working Paper 07-001 Copyright © 2007, 2008, 2009 by Rogelio Oliva and Noel H. Watson Working papers are in draft form. This working paper is distributed for purposes of comment and discussion only. It may not be reproduced without permission of the copyright holder. Copies of working papers are available from the author. Cross-Functional Alignment in Supply

3. Based on the description in the text and the evidence in the Exhibits 6 and 9, what went wrong with the SF-6000 forecast? Launching the first 8 megapixel sensor and 10x zoom camera on the market was a big accomplishment for Leitax. On their official press release, the SF-6000 was named as an "a tool for serious photographers". There were huge expectations about the product and everyone at the company was pretty excited about it. Their biggest challenge was the forecast for a new product with