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Reebok & The Bis Corporation & American Tool Works cases

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Please see case study in attachments and answer the following questions:

1. What are the main problems faced by Reebok? (4 - 6 sentences)

2. Identify at least 6 potential causes of the problems faced by Reebok.

3. Propose at least 4 potential solutions that may help solve the problems faced by Reebok.

The Bis Corporation

4. In addition to the 6 pieces of data collected (demand, annual production capacity, etc.), identify at least 4 more pieces of information that may be necessary to make a decision about the network configuration.

American Tool Works

5. Identify at least 4 potential risks American Tool Works may face with VMI agreements with the midsize and small distributors. Also, identify at least 2 potential risks the midsize and small distributors may face due to the VMI agreement.

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Solution Summary

1. What are the main problems faced by Reebok? (4 - 6 sentences)

2. Identify at least 6 potential causes of the problems faced by Reebok.

3. Propose at least 4 potential solutions that may help solve the problems faced by Reebok.

Solution Preview

Reebok:

1. What are the main problems faced by Reebok?

Main problems include:

1) Poor forecasting about demand pattern and inventory mix

2) Dependency on contract manufacturers

3) Problems related to effective use of unsold inventory of jerseys

4) Uncertain demand pattern and very less time to react to changing demand patterns

2. Identify at least 6 potential causes of the problems faced by Reebok.

1) The demand pattern is uncertain due to changing performance levels of teams and players.

2) Historical data is of little use in forecasting future demand.

3) The company has limited capacity to make finished products from blank jerseys.

4) The response time to react to market changes is very less and thus, dependency on contract manufacturers is high.

5) The company does not have any concrete strategy to deal with unsold jerseys.

6) The ...

Solution provided by:
Sandeep Bardia, MBA
Education
  • BCom, SGTB Khalsa College, University of Delhi
  • MBA, Rochester Institute of Technology
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