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    PRIYA SHARMA EPGDIB (On Campus) 2019-20
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    19 views2 pages

    TIM 125 225 Winter2015 Midterm Case Study PDF

    Uploaded by

    PRIYA SHARMA EPGDIB (On Campus) 2019-20

    Copyright:

    © All Rights Reserved
    Download as PDF or read online from Scribd
    Flag for inappropriate content
    Download as pdf
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    CASE STUDY ee SPECIALTY PACKAGING CORPORATION, PARTA Julie Williams had a lot on her mind when she left the con- ference room at Specialty Packaging Corporation (SPC). Her divisional manager liad informed her that she would be assigned to a team consisting of SPC’s marketing vice President and staff members from their Key customers The al of this tearm was to improve supply chain performance, as SPC had been unable to meet demand effectively over the previous several years. This often left SPC’s customers scrambling to meet new client demands Julie had little con- tact with SPC’s customers and wondered how she would add value to this process, She was told by her division man- ager that the team's frst task was to establish a collabora tive forecast using data from both SPC and its customers. ‘This forecast would serve as the basis for improving the firm's performance, as managers could use this more accu- rate forecast for their production planning, Improved fore- ‘casts would allow SPC to improve delivery performance. spc ‘SPC turns polystyrene resin into recyclable/disposable con- ‘iners for the food industry. Polystyrene is purchased as a ‘cornmodity in the form of resin pellets The resin is unloaded fom bulk ral containers or overland trailers into storage silos Making the food containersis a two-step process First, Step 1 Step 2 Thermo- Resin Exteuder Roll, >| forming ‘Storage’ ‘Storage Press Black Plasite Demand Year Quarter (000 1) 2002 rT 4567 Ir 3,530 1 4.303 Vv est 2003 1 7087 1 4330 mi 6870 Vv 14,168 2004 I 8322 sig 5612 on 5.200 wv 16562 2005 T 11,036 I 8845, ig ans Iv 24,160 2006 ii 11,381 pig 7474 i 9,782 Vv 6258 216 CHAPTER 7 ¢ Demand Forecasting in a Supply Chain 217 FIGURE 7-10 Plot of Quarterly Demand for Clear and Black Plastic Containers =] ve Styrene sheet wound into rolis The plastic comes in two forms—clear and black. The rolls are either used immedi. ately to make containers or are put into storage. Second, the rolls are loaded onto thermoforming presses, which forms the sheet into containers and trim the containers from the ‘sheet The two manufacturing steps are shown in Figure 7-9. Over the past five years, the plastic packaging busi. ness has grown steadily, Demand for containers made from clear plastic comes from grocery stores, bakeries, and restaurants Caterers and grocery stores use the black plastic trays as packaging and serving trays, Demand for clear plastic containers peaks in the summer month whereas demand for black plastic containers peaks in the fall. Capacity on the extruders is not suificient 10 cover demand for sheets during the peak seasons. As a result, ‘the plants forced to build inventory of each type of shee! in anticipation of future demand, Table 7-4 and Figure 7-10

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