Respond to the following in a minimum of 175 words:
The Crayola Case Study discusses the operations and supply chain strategy and challenges at Crayola, the world’s leading company in arts and crafts products. A set of supply chain leadership principles are defined as cost, innovation, quality & ethical responsibility, sustainability, and resilience and agility. These principles are derived from the daily decisions Crayola faces such as choosing colors to drive demand, and launching new products while maintaining quality standards. As the supply chain grows globally and the company enters new foreign markets, operations challenges arise in managing fluctuating demands and a complex supply base.
1. Discuss 1). Map Crayola’s five pillars of operational leadership to the competitive priorities in Table 1.3. 2). Create an assessment of Crayola’s competitive priorities as it relates to their Asian expansion plans. 3). Which of the competitive priorities might present the biggest challenge to Crayola as it expands internationally? (175 words)
2. You may not recognize the corporate name, but Deckers Outdoor Corporation’s footwear products are among some of the most well known brands in the world. From UGG sheepskin boots and Teva sport sandals, to Simple shoes, Deckers flip-flops and Tsubo footwear, Deckers is committed to building niche footwear brands into global brands with market leadership positions. Net sales for fiscal year 2007 were close to $449 million. The video focuses on Decker’s forecasting process, but along the way gives important insights on how it manages its supply chain, beginning with the design of new prototypes and ending with final shipments from its warehouse to retail stores or online customers. (175 words)
Discuss 1). How much does the forecasting process at Deckers correspond with the “typical forecasting
process” described at the end of this chapter? 2). Based on what you see in the video, what kinds of information technology are used to make forecasts, maintain accurate inventory records, and project future inventory levels. 3). What factors make forecasting at Deckers particularly challenging? How can forecasts be made for seasonal, fashionable products for which there is no history file? What are the costs of over-forecasting demand for such items? Under-forecasting? 4). What are the benefits of leveling aggregate demand by having a portfolio of products that create 365-day demand? 5). Deckers plans to expand internationally, thereby increasing the volume of shoes it must manage in the supply chain and the pattern of material flows. What implications does this strategy have on forecasting, order quantities, logistics, and relationships with its suppliers and customers? ( 175 words)
3. The focus of this case study (p. 888) is Starwood’s sales and operations planning from the perspective of both corporate planners and individual hotel property general managers. These two perspectives give you a unique view of what the aggregate planning process looks like, and how it gets translated into operational plans at the property level.
Discuss 1. At what points in the planning process would you expect accounting/finance, marketing,
information systems, and operations to play a role? What inputs should these areas provide, and
why? 2. Does Starwood employ a chase, mixed or a level strategy? Why is this approach the best choice for
the company? 3. How would staffing for the opening of a brand-new hotel or resort differ from that of an existing property? What data might Starwood rely upon to make sure the new property is not over- or
under-staffed in its first year of operation? (175 words)
4. The owner of the Roberts’ Auto Sales and Service Company is interested in restoring a 1965 Shelby Mustang GT 350 for advertising a new restoration business she wants to start. The restoration project involves 22 activities and needs to be completed in 45 days so that the car can be displayed in an auto show. The owner wants an assessment of how the restoration business fits with the other businesses the company engages in, a report on the activities that need to be completed and their interrelationships, an assessment of whether the project can be completed on time, and a budget.
Discuss how well a new market segment can be satisfied with an existing operation? 175 words
5. This case (pages 132-133) highlights the work of Starwood’s Six Sigma Black Belts. In the textbook case, the emphasis centers on the creation of the Sheraton Service Promise program. This program was developed in response to low guest satisfaction scores dealing with problem resolution during a guest’s stay. The case describes the situation, and how the Black Belts applied the Six Sigma “DMAIC” model (Define, Measure, Analyze, Improve, and Control) to devise the best solution.
In the case, the Black Belts are at it again, this time analyzing the front desk check-in/check-out process at The Phoenician resort in Scottsdale, Arizona. Check-in service times were exceeding the company standard of three minutes or less, so a team was assembled to determine the best solution. Again, the Six Sigma DMAIC model was employed.
- Implementing Six Sigma programs take considerable time and commitment from an organization. Using the implementation points in this chapter, such as top-down commitment, measurement systems to track progress, tough goal setting, education, communication, customer priorities, describe the degree to which Starwood has successfully addressed each one with the redesign of the Sheraton Service Promise program.
- How might the new Sheraton Service Promise process help Starwood avoid the four costs of poor performance and quality?
- Starwood is the first major hotel brand to commit to a dedicated Six Sigma program for improving quality. Why might an organization be reluctant to follow this type of formalized methodology? What other approaches could Starwood or its competitors use? (175 words)