indian ice-cream industry and supply chain innovation at geddy’s
DESCRIPTION
Indian Ice-Cream Industry and Supply Chain Innovation at Geddy’s. Team Name: Group 9 1 st R ound Room RAWLS 3093 Xiang Li Della Mihardja Xiaoyang Chen MinqianGuo. Contents (Xiang Li). Key Features and Challenges (Xiang Li). Focus (Della Mihardja). - PowerPoint PPT PresentationTRANSCRIPT
Indian Ice-Cream Industry andSupply Chain Innovation at
Geddy’s
Team Name: Group 91stRound Room RAWLS 3093
Xiang LiDella MihardjaXiaoyang Chen
MinqianGuo
GSCMI 2013 Case Competition 2
Contents (Xiang Li)
Key Features Focus Planning Data
AnalysisRecommen
dation
GSCMI 2013 Case Competition 3
Key Features and Challenges (Xiang Li)
Challenges
High Cost
Materials Availability
Demand Forecasting
Gain Market Share
Market Features Product Features
1. High fixed cost structure
1. High quality ingredients required
1. Different Flavors
1. Customer Preference
1. Seasonality2. Refrigeration required
1. Local competitors
2. FDI Approval
-
Key Features Focus Planning Data Analysis Recommendation
GSCMI 2013 Case Competition 4
Focus (Della Mihardja)
Why Market Expansion as short-term focus? Gain market share Enhance brand name
Why Cost Efficiency as long-term focus? Economies of Scale
Transportation Production Efficiency Eliminating waste
Key Features Focus Planning Data Analysis Recommendation
GSCMI 2013 Case Competition 5
Demand Shaping (XiaoyangChen)
1 5 9 13 17 21 25 29 33 37 41 45 49 530.00
50.00
100.00
150.00
200.00
250.00
300.00
350.00
400.00
450.00
Total Demand
Total Demand
1 5 9 13 17 21 25 29 33 37 41 45 49 530.00
50.00
100.00
150.00
200.00
250.00
300.00
350.00
400.00
450.00
21, 208.56
410.80
38,208.56
Demand Model
Demand1
Duration: 17 weeks
Difference: 202.24
Key Features Focus Planning Data Analysis Recommendation
GSCMI 2013 Case Competition 6
Demand Shaping (XiaoyangChen)
1 3 5 7 9 11 13 15 17 19 21 23 25 27 29 31 33 35 37 39 41 43 45 47 49 51 53 550.00
50.00
100.00
150.00
200.00
250.00
300.00
350.00
400.00
450.00
Shaped Demand Model
Demand1 Demand2
Shrink Difference Expand Duration
• Promotion (Christmas , New Year..)
GSCMI 2013 Case Competition 7
Capacity Planning (XiaoyangChen)
Low Season Increase SalesPeak Season Increase
machines capacity by technology
Reduce bottlenecks
Use other plants
Demand Forecasting: Exponential
Smoothing with Trend
Aggregate Planning: Chase Strategy Different
planning for different raw materials
GSCMI 2013 Case Competition 8
Weekly Profit vs. De-seasonalizeWeekly Profit (MinqianGuo)
1 2 3 4 5 6 7 8 9 10111213141516171819202122232425262728293031323334353637383940414243444546474849505152535455500.0
600.0
700.0
800.0
900.0
1000.0
1100.0
1200.0
avg weekly profit De-seasonalized weekly profit
Target Service Level Policy
Target Level for Top Margin Policy
Key Features Focus Planning Data Analysis Recommendation
GSCMI 2013 Case Competition 9
0 10 20 30 40 50 6040
50
60
70
80
90
100
110
120
0.0
0.2
0.4
0.6
0.8
1.0
1.2
1.4
1.6
Week
Avera
ge T
em
pera
ture
of
the W
eek
Season
al Facoto
r of
the
Dem
an
d
Average Temperature (F)
Seasonal Factor of Demand
0 10 20 30 40 50 60300
500
700
900
1100
1300
200
250
300
350
400
450
500
Week
Weekly
Pro
fit
(100 R
up
ee)
Tota
l W
eekly
Sale
s
Weekly Profit (100 Rupee)
Total Weekly Sales
Average Temperature (F)
Seasonal Factor of Demand
Key Features Focus Planning Data Analysis Recommendation
GSCMI 2013 Case Competition 10
Flavor Sales vs. Total Sales (MinqianGuo)
1 2 3 4 5 6 7 8 9 101112131415161718192021222324252627282930313233343536373839404142434445464748495051525354550
50
100
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350
400
TV BBS LL BT Total Sales
Key Features Focus Planning Data Analysis Recommendation
GSCMI 2013 Case Competition 11
Insight to BT (MinqianGuo)
1 3 5 7 9 11 13 15 17 19 21 23 25 27 29 31 33 35 37 39 41 43 45 47 49 51 53 550.00
200.00
400.00
600.00
800.00
1000.00
1200.00
BT average demand
Weekly Profit
BT sales
Key Features Focus Planning Data Analysis Recommendation
GSCMI 2013 Case Competition 12
Top 3 Margin Policy (MinqianGuo)
Key Features Focus Planning Data Analysis Recommendation
Profit = Margin * Demand
GSCMI 2013 Case Competition 13
Flavor Demand (MinqianGuo)
1 3 5 7 9 11 13 15 17 19 21 23 25 27 29 31 33 35 37 39 41 43 45 47 49 51 53 550.00
20.00
40.00
60.00
80.00
100.00
120.00
140.00
TV BBS
LL BT
• LL has a low demand compared to others
Key Features Focus Planning Data Analysis Recommendation
GSCMI 2013 Case Competition 14
Short Term Recommendation (Della Mihardja)
Modify Target Level for Top Margin Policy 90% in-stock level for top three most favorite
flavors Supplier policy
Contract (bulk-buying) Product Customization
Implement Just Sundaes’ format to Go Geddy’s Retail outlet
Demand Forecasting Tool Exponential Smoothing with Trend
Key Features Focus Planning Data Analysis Recommendation
GSCMI 2013 Case Competition 15
Long Term Recommendation (Della Mihardja)
Add more vendor Price-setting
Different price for different flavors Procurement
Disintermediation (eliminate agent) Spare more working capital in USD Subsidiary in free-port country
Transportation Eliminate third-party logistics
Key Features Focus Planning Data Analysis Recommendation
GSCMI 2013 Case Competition 16
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