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    MBA - Kudler Fine Foods

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    Kudler plans to start contracting with local growers of organic produce. If it takes this step, operational changes will be necessary. Write a 1,400-1,750-word paper in which you do the following:
    a. Identify those business processes at Kudler that could be affected by this decision and explain how they would be affected.
    b. Describe how Kudler's supply chain would be affected by this decision.
    c. Describe the quality control tools and performance standards that Kudler would need to put in place to ensure the effectiveness of its operations.

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    Solution Preview

    Kudler Fine Foods is a local upscale specialty food store located in the San Diego metropolitan area. Kudler Fine Foods was started by Kathy Kudler. "Her vision was to create one store that would stock a wide selection of the freshest ingredients as well as all of the tools a gourmet cook could ever want. Kathy was certain that combining the convenience of one-stop shopping with reasonable prices would be a recipe for success."(Kudler Fine Foods Web) Since 1998, Kathy Kudler has slowly increased her demographic with 3 stores now being open in Lo Jolla, Del Mar, and the newest store in Encinitas, CA.
    Process Changes
    Kathy Kudler has identified the possible need to provide not just fresh produce but also an organic variety. As media reports continue to voice the concern with what Americans eat and how pesticides are affecting our overall health, Kudler Fine Foods wants to stick to their mission of providing a wide variety of the freshest ingredients. Market Surveys completed by Kudler Fine Foods in 2006 concluded that "The merchandise sold is a good value for the money", 38% disagreed with this statement. (Kudler Fine Foods Survey2006). To provide organic produce and ultimately make a profit, Kathy Kudler needs to identify if organic produce are going to replace the entire produce inventory or if the produce inventory will be a combination of both organic and chemically altered fruits and vegetables. Once a decision is made the following business operations are going to need to altered; Purchasing, Merchandise Selection, Forecasting, and Facilities.
    To properly benefit from the Kathy Kudler initiative, the Purchasing department will need to identify how Inventory, Suppliers, Supplier Relations, Quality are to going to make this initiative successful. To provide organic produce to the customer, decisions on inventory have to be made. Produce does not have an endless shelf life so the product that will be purchased by organic growers needs to be a product that is cost effective and will be purchased by the customer. The price for organic produce is guaranteed to be higher since organic growing methods yield less sellable product then chemical means. If Kudler Fine Foods is going to remain competitive, ...

    Solution Summary

    This is a case student on Kudler Fine Foods and Kathy Kudler's vision.