Supply Chain Management - Coursework Example

? Supply chain management Supply Chain Management Supply chain management is a multi-connected business that involves the provision of the services and products to the customers. In the supply chain management, efficiency and effectiveness are the core principles that are aimed at achieving a competitive edge. If the system is in efficient, it will mean poor services to the final consumer. Within the supply chain management is also the information system (Gitman, & McDaniel, 2000). The flow of information regarding the products and services is also an important factor to consider. In this reference, this paper endeavors to identify the problems faced by the corporative foods it its supply chain management and the competitors in the products and services they deal in (Good, & Schultz, 2000). Corporative food is a UK based firm that specializes in the Supply chain management of food products. Some of the features the company boasts of are the wide range of food products they deal in to the efficiency, modernity, and ethical consideration that are put into place before their products are dispatched (Steers, Runde, & Nardon, 2010). Notwithstanding, the company is also faced with a plethora of problems. The major challenge being increasing its customer base, this is following the realization of a fall in the profit margin by 0.2% in the last financial year (Paley, 2005). The company has therefore decided to undergo major reformation in a move to restore the company back to its initial market base. The fall in the profit margin is attributed to the aggressive competitors who have fiercely invaded the cooperative market strongholds. Some of the worthy competitors in the market includes; Big bear, Foo Go, and Sara’s Kitchen (Miletsky, & Smith, 2009). Adopted Competitive Strategies by the Company In the case of a company realizes that it cannot outsmart other companies, it has to consider a boardroom-brainstorming o how to counter the looming problem (Solomon, 2003). Corporative company upon realization of the problem has not been left out of this cardinal rule. The company has since engaged in a number of strategies to restore the company back to a profit making business. In this endeavor the company has considered; Features and Benefits of the Product The company has decided to make their products unique in quality and other features like packaging as well as opening more of their branches to trap extra market (Sears, 2003). Most of the products of the company are natural and organic nature, this is a move is seen to be able to attract more customers on grounds that they are mindful about health. In reference to this, the company also has sought several product certification bodies to build confidence of the customers on their products (Kangas, 2003). Price The company has also considered reducing the cost of production, transportation and other logistics to retail their products cheaper than the competitors have. This they perceive will give them a clear cutting age over the cutthroat competition that the competitors have mounted (Hoppe, 2001). Brand Name recognition One of the major ways of piecing through the market is creation of a brand name. The brand name creation involves consistent marketing coupled with entering into alliances with other cooperatives (Hertog, & Huizenga, 2000). This is what cooperative company has sought. They have engaged several other related cooperative to create a wide range of awareness of their products. In all this efforts, the company is keeping a vigil eye on the progress and response to the laid strategies (Abrams, & Kleiner, 2003). Interrelationship Stages The company has embraced the interrelationship of marketing their products by associating with other relevant companies to promote them (Vollmann, 2005). This in itself is a good move as long as the other body consents to the deal. It is also important in this case to ascertain the public perception on the company, this is because is it has a dwindling opinion form the public; it is possible that the same will be transferred to your product (Allen, & Albala, 2007). It is also important to note the number of business firms that have entered into agreement with the company, if the business has engaged in many such interrelationship with your competitors, it will be difficult to quantify weather such relationship are beneficial to your firm or not. It is thus important for cooperative food to asses all these, surprising there is not detailed information stating this therefore leaving it precariously hanging (Gu, 2009). Even though that is considered a possible loophole, it is important to note that the company has also marvelously curved out the sense of reducing the cost of production per unit head and venture in making inroads in areas they were not experienced before. Those are key cardinal principles of winning back a lost market for the products (Graaf, 2007). The company should therefore monitor and evaluate the worth of every strategy yearly. This is essential in the sense that that they will be in a position of knowing strategies that are working and those that is not (Anderson, 2006). Strengths and Weakness Regarding the strategies the company has used, one can identify strengths and weaknesses in equal measure. The strength in this case is being that they have been in the market for a long time than most of the competitors in the same product (Aurifeille, 2009). This interprets that they can use least effort to recapture their lost glory unlike the new companies that will have to establish their base. The company also provides a wide range of products; this is to mean that one can obtain most of the products under one roof. Unlike other competitors, products range is limited and not all of the required products will be obtained in a single shop (Duening, & Click, 2005). The weakness of the cooperative company on the other hand is centralization of their product shops, initially the shops were centralized, and prospective customers had to travel a distance to get their requirement. However, this has since changed as the company has embarked on a massive expansion program. In conclusion, even if the company is in the expansion program it brings with it a number of risks in the end. This is in terms of the recurrent expenditure on the additional employees and staffs and structural compliance to set up a functioning branches. If the strategy do not pick up, this can be an added woo to the company. If the company chooses to maintain their operation to the current status, they are still faced with reasonable risk, the company can assume a declining trend owing to inadequacy of the customers base. It requires a balanced, rational, and objective strategic study to take a position on this. Otherwise, it may not positively influence the intention. References Abrams, R. M., & Kleiner, E.,2003, The successful business plan: secrets & strategies (4th ed.; Deluxe binder ed.). Palto Alto, Calif.: Planning Shop. Allen, G., & Albala, K.,2007, The business of food encyclopedia of the food and drink industries. Westport, Conn.: Greenwood Press. Anderson, C., 2006, The long tail: why the future of business is selling less of more. New York: Hyperion. Aurifeille, J. , 2009, Trust, globalisation and market expansion. New York: Nova Science Publishers. Duening, T. N., & Click, R. 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Kangas, K, 2003, Business strategies for information technology management. Hershey, Pa.: IRM Press. Miletsky, J. I., & Smith, G., 2009, Perspectives on branding. Boston, Mass.: Course Learning. Paley, N., 2005, The manager's guide to competitive marketing strategies (3rd ed.). London: Thorogood. Sears, D., 2003, Successful talent strategies achieving superior business results through market-focused staffing. New York: AMACOM. Solomon, M. R, 2003, Conquering consumerspace marketing strategies for a branded world. New York: AMACOM. Steers, R. M., Runde, C., & Nardon, L., 2010, Management across cultures: challenges and strategies. Cambridge: Cambridge University Press. Vollmann, T. E., 2005, Manufacturing planning and control for suply chain management (5. ed.). Boston,Mass.: McGraw-Hill. Read More