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Capstone Project Analysis

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Table of Contents
Introduction................................................................................................................................3

Aim statement............................................................................................................................3

Method.......................................................................................................................................4

Conclusion..................................................................................................................................7

References..................................................................................................................................8
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Introduction

This project proposal describes the Australian food and beverage market. The food and

beverage sector is the largest manufacturing industry in Australia. A total of 32% of the

country is manufacturing turnover. The grocery and fresh produce sector and food and

beverage sector are $122 billion (Khoury, 2020). This industry has made up to 15,000

businesses of all sizes in Australia where 273,000 people work. The annual turnover is $50

billion and 18% of total domestic manufacturing turnover.

Bellamy's Australia is a major beverage and food company in Australia and the parent

company of Bellamy's Organic. This company was founded in 2014. It earned 24.02 crores

AUD revenue in 2017. This company has eight location and more than 46 employees in the

business. This company is providing the products such as snacks, baby food, formula and

pasta, ready to serve baby food and other foods and beverages. In the Australian market, this

company is facing the problem that is inventory shortage (Grigg and Murray, 2017). This

company has announced for baby milk product shortage. It is because this company is not

controlling the products in the market that has declined the sales and revenue as well as

competitive image of the business in the Australian marketplace. This issue is a challenge for

this company for developing the business at the global level.

Aim statement

The capstone project aims to address the problem of the business and make the right

decisions to manage this problem for retaining the customers in the business. This project is

based on MBA subjects covering logistics and supply chain management. The purpose of this

company is to increase baby milk production for getting better results in the business.
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Method

The capstone project covers the methods and theories as well as programs for getting better

results in the project. The methods will be more effective to manage the inventory shortage in

the business that will help to satisfy the customers in the Australian marketplace.

As per the source of information, the company is facing the problem of inventory shortage in

the business that is declining the number of customers in the marketplace. This company has

achieved the comments on the baby milk shortage in the stores. This company is not

managing the inventory level as well as the demand of the customers in the Australian

marketplace. The customer has given comments on the Facebook page of this company and

said that this company has limited stocks of products (BBC News, 2015). The reason for the

shortage of milk product production was that this company exports the products in China,

Malaysia, Hong Kong, Singapore, New Zealand and Vietnam. In China, the milk scandal was

occurred due to deadly tainted milk. The six children died and 300,000 children were ill. The

shortage of milk production was decline but this company was trying to increase the

production and solve this issue. The other reason was that company did not work to manage

the supply chain and distribution channels in the business. The company was failed to lost

control over pricing and inventory levels.

Besides this, to sort the problem of shortage of milk at Bellamy the post-graduation subject

logistics and supply chain management knowledge can be applied. Through the proper

knowledge of logistics and supply chain, the individual can know exactly what needs to do to

sort out the problem. Therefore, it is necessary to have basic knowledge regarding the

particular field so that it can be easily applied practically in future. This will result in proper

outcomes without any kind of problem (Copper, 2021). When the individual has proper

knowledge of MBA subject supply chain management and logistics then it can easily solve

the problem of milk shortage and managing the inventory properly. The enterprise resource
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planning strategy will be effective to manage the inventory and fulfil the demands of

customers. ERP software strategy brings together in managing customer relationship

management, as well as supply chain management features in one of the software. Through

this strategy the organization can easily manage the inventory like all the data will be

recorded in one place and there will not be any kind of confusion. This will easily fulfil the

milk demand of customers.

As per the implementation of this strategy the company will be able to maintain a positive

relationship with the customers and other businesses and will help to increase sales and

profit. This strategy will support the company to maintain the supply chain and logistics

effectively. As per the knowledge of the subject supply chain and logistics the company will

take the right actions and fulfil the demand of customers. As per the analysis, it can be seen

that the company has focused only on expanding the business rather than managing the

inventory and fulfilling the customer’s demand (Reis, 2017). So, it is essential to focus on

managing the inventory rather than expanding the business. With the help of ERP strategy

software, the company collect all the supply chain data in one place and can easily manage it.

At last, it can be said that applying the supply chain and logistics knowledge will be effective

for the company to overcome the issue.

In terms of project feasibility, it is determined that the supply chain manager and logistic

manager will help the team in applying the post-graduation knowledge of the subject supply

chain and logistics. This will help in attaining the project feasibility. the application of ERP

strategy into the supply chain department and logistic department the company will develop

strength in overcoming the issue and compete in the business environment. As per the

decision of the managers, the completion of the project will be within 6-7 months. Both

logistic and supply chain manager will maintain all the records and data systems through the

implementation of ERP software strategy (Castillo, 2018). This will develop a good image
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among the customers and will overcome the issue of milk shortage and lack of inventory

management. Through the subject, learning will help in training the team to do the work

systematically.

Furthermore, the capstone project will be beneficial for the students in their career as they

will have practical knowledge regarding their particular MBA subjects like supply chain and

logistic. It is said that for the practical implication first theoretical knowledge is essential for

the manager in the organization. ERP implementation in the organization will help the

manager to accomplish the project. At the same time, within the MBA post-graduation

program, the knowledge of supply chain and logistics is quite significant as well as learning

regarding the strategies also help the manager to apply those strategies in the organization.

Along with this, ERP software knowledge will be important for the team members who will

apply this strategy (Khan, 2020). For this, the manager will provide the training sessions so

that they can work effectively through the use of ERP software. It is also said that knowledge

of the particular subject is essential so that it can be implemented effectively when doing

some practical tasks in real-life like within the organization. If there is no theoretical

knowledge of a particular subject then it can result in negative outcomes. So, post-graduation

program MBA subject is essential for the students to make them learn regarding the basic

concepts that will be helpful for them in their future.

As per the above analysis, another strategy will be used in the project for solving the problem

within the supply chain and logistics. The development of good partnership with suppliers as

well as shipping services will be used (Castillo, 2018). This will help the company to

maintain its reputation in the market and attract customers for its product. The proper supply

of milk will be available through the development of a good relationship with suppliers. The

problem will be sorted effectively.

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Conclusion

From the above discussion, it can be concluded that the knowledge of MBA subject supply

chain and logistic is important. It is because this knowledge can be used by the manager in

the organization to sort out the problem in the logistic and supply chain department. Further,

it has been found that ERP strategy would be effective for the company to handle the issue of

shortage of milk. Through this software, all the data can be stored in one place and suppliers

can be given proper details as to what all things are required and according to this the

products are purchased and sold to the customers. It has been determined that creating a good

relationship with the suppliers is also an effective strategy for overcoming the issue faced by

Bellamy.
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References

BBC News. (2015). Bellamy's says sorry for Australian baby milk shortage. Retrieved from

https://www.bbc.com/news/business-34773537

Castillo, V. E. (2018). Supply chain integrity: A key to sustainable supply chain management.

Journal of Business Logistics, 39(1), 38-56.

Copper. (2021). Kerry to drive food innovation in new Brisbane headquarters. Retrieved

from https://www.foodmag.com.au/kerry-to-drive-food-innovation-new-brisbane-

headquarters/

Grigg and Murray. (2017). Bellamy's Australia: The inside story. Retrieved from

https://www.examiner.com.au/story/4460756/bellamys-five-weeks-of-hell/

Grigg., A. and Murray, L., . (2017). Bellamy's Australia: The inside story. Retrieved from

https://www.examiner.com.au/story/4460756/bellamys-five-weeks-of-hell/

Khan, U. A. (2020). Improving supply chain management of a distribution firm using ERP

System. European Journal of Business and Management Research, 5(2).

Khoury. (2020). Analysis: Food and Beverage Industry Challenges in 2020. Retrieved from

https://www.octet.com/blog/food-industry-finance/

Reis, S. a. (2017). Internal logistics management: Brazilian warehouse best practices based

on lean methodology. International Journal of Logistics Systems and Management,

26(3), 329-345.