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Assignment for the Introduction to Scm

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Assignment for the Introduction to SCM
Executive MBA program
Joint AMS/IBS-M module in Moscow, December 2012
Professor Mikhail G. Zaytsev

If you have an access to the database, containing information on inventory, orders that were placed on the company under consideration (it maybe the company you work for or any other company), or/and you can talk with people involved in the supply chain of this company, then
• Briefly describe and analyze the supply chain
• Consider whether the organization of the supply chain is close to traditional one (discussed in the class), or includes coordination and cooperation between supplier and customer; analyze whether it is subject (or can be subject) to negative influence of bullwhip effect, and if not, point out what in particular eliminates this influence
• Consider what (and how) could be changed in the supply chain under consideration to improve its performance
• Write brief essay (expected volume – 2-3 pages)

If you are not involved now in the activities connected with supply chain, then revert to the Barilla case, look through the handouts you got in the class, and briefly answer the following questions:

1) What is the evidence that bullwhip effect greatly contributes to the huge fluctuations of orders placed on Barilla?

2) What makes Barilla think it can do a better job of generating orders and replenishing customer’s stocks than distributors themselves? Why not to teach distributors sound algorithm of forecasting demand and generating orders of the right size, provide them with proper computer software, but leave the key function of ordering on their side?

3) Imagine that you are one of Barilla’s distributors that received an offer to join to Continuous Replenishment Program. Would you consider that risky for your business? Describe what you would be afraid of? What should Barilla do to gain

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