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Nokia India: Battery Recall Logistics
This case presents the challenge faced by Nokia India in 2007. Nokia had built a strong brand reputation over a ten-year period and was a market leader in Indian mobile devices. India, incidentally, was also Nokia’s second-largest market, next only to China. Suddenly, what corporate headquarters considered a routine product advisory for a defective battery resulted in panic in customers after the Indian media widely publicized the potential dangers that defective batteries could pose. Over a three-month period, Nokia India had to recall a few million batteries and replace them with new ones.<br><br>The case provides an opportunity for students to develop practical knowledge of the role of operations management in a product recall situation, particularly in an emerging market context. Product recalls are an integral part of supply chain management (SCM). Companies inevitably face a question of when, not if, a recall will be necessary. These recall situations combine the complexity of operations with the time-urgency of a mission-critical task. The case also provides a rich context to learn about the interaction of SCM, information systems and reverse logistics, and to understand the marketing, logistics, and communication challenges faced by a multinational company operating in an emerging market such as India. -
Nokia India: Battery Recall Logistics - PowerPoint Presentation
PowerPoint presentation for product 8B11D003. -
Nokia India: Battery Recall Logistics
The case provides an opportunity for students to develop practical knowledge of the role of operations management in a product recall situation, particularly in an emerging market context. Product recalls are an integral part of supply chain management (SCM). Companies inevitably face a question of when, not if, a recall will be necessary. These situations combine the complexity of operations with the time-urgency of a mission-critical task. The case also provides a rich context to learn about the interaction of SCM, information systems and reverse logistics, and to understand the marketing, logistics and communication challenges faced by a multinational company operating in an emerging market such as India.<br><br>The case presents the challenge faced by Nokia India in 2007. Nokia had built a strong brand reputation over a ten-year period and was a market leader in the Indian mobile devices. India, incidentally, was also Nokia's second largest market, next only to China. Suddenly, what corporate headquarters considered a routine product advisory for a defective battery, resulted in panic in customers after the Indian media widely publicized the potential dangers that defective batteries could pose.<br><br>Over a three-month period, Nokia India had to recall a few million batteries and replace them with new ones.<br><br>The objectives of the case include 1) developing an effective product recall / reverse logistics plan that would ensure preparedness for the challenges and urgent circumstances that might surface in a recall situation, 2) understanding the key criteria for success of product recall systems and 3) understanding the interface of management action and the logistics system under a crisis situation. -
3M Health Care
A summer intern student at 3M Health Care must analyze the health care division’s logistics systems and report her findings to the vice president of 3M Health Care Markets. The vice president is most interested in the recommendations for the proposed changes to the existing method of distributing products to Canadian hospitals. This case provides sufficient information for students to assess the quantitative and qualitative issues relating to direct distribution versus maintaining a current supply chain structure of using value-added resellers. -
ING DIRECT USA: Facing the Future
As of 2010, ING DIRECT USA has had a successful first decade, having grown into one of the largest U.S. banks with $90 billion in assets. It has developed an innovative culture and a unique approach to banking, and has a strong brand name. As a result of a regulatory requirement in the Netherlands, ING Group is required to divest ING DIRECT USA by 2013. The chairman, president, and chief executive officer is reviewing his organization and thinking about what challenges the firm will face in the future. -
3M Health Care
A summer intern student at 3M Health Care must analyse the health care division's logistics systems and report her findings to the vice president of 3M Health Care Markets. The vice president is most interested in the recommendations for the proposed changes to the existing method of distributing products to Canadian hospitals. This case provides sufficient information for students to assess the quantitative and qualitative issues relating to direct distribution versus maintaining its current supply chain structure of using valu-added resellers -
Furniture Bank
Furniture Bank was an organization that collected and distributed donated, gently used furniture to those in need. After several years of tight financial circumstances, the interim executive director was relieved that the past year had provided relief via generation of record amounts of excess cash. He was preparing a report to be presented to the board of directors concerning his thoughts on what direction he thought the Furniture Bank should take, concerning opportunities for growth and the community's needs. With several thousand dollars of unrestricted reserves to access, but competing ideas for use of those reserves, the executive director realized the organization faced some difficult strategic and tactical decisions. All the ideas seemed to be important for Furniture Bank but the executive director was unsure if the organization had the capability to implement them; and he was unsure how to evaluate their relative priority. Any recommendation he made had to consider Furniture Bank's long-term direction and build on its recent financial success. -
Six Sigma at Cintas Corporation
The green belt specialist at the Cintas Torlake facility near Toronto had four days before he was to present his recommendations to the executive steering committee (ESC) for correcting the capacity problem in the mat department, which was causing product shortages and negatively affecting customer satisfaction. The case provides data that students can use to analyze the processes used at the company for cleaning and replacing mats for its approximately 5,000 customers. The case provides students with the opportunity to develop their process and capacity analysis skills and to explore six sigma methodology. -
Six Sigma at Cintas Corporation
The green belt specialist at the Cintas Torlake facility near Toronto had four days before he was to present his recommendations to the executive steering committee (ESC) for correcting the capacity problem in the mat department, which was causing product shortages and negatively affecting customer satisfaction. The case provides data that students can use to analyze the processes used at the company for cleaning and replacing mats for its approximately 5,000 customers. The case provides students with the opportunity to develop their process and capacity analysis skills and to explore six sigma methodology. -
The North West Company (B): Supply Chain Management
The North West Company cases allow students to take a cross-enterprise leadership approach in looking at the dilemma facing the president and chief executive officer of The North West Company (North West), a food and general merchandise retailer operating primarily in Northern Canada. In early 2003, North West had negotiated a master franchisor agreement with Giant Tiger Stores Limited (Giant Tiger) with the objective of opening stores west of Winnipeg. In contrast with North West's push system of product replenishment, Giant Tiger had developed a successful pull system that gave individual store managers tremendous leeway in ordering decisions. The president and CEO wonders whether there is an opportunity to drive better results by adopting Giant Tiger's pull system within its Northern stores. The upside potential may include higher sales and reduced inventory levels as merchandise is tailored for each community. On the other hand, North West may face logistics and human resources issues in attempting to adopt this new system. This supplement to The North West Company (A): Cross-enterprise Strategy, product 9B07M047, discusses the supply chain issues. -
Minding the Supply Savings Gaps
This is an MIT Sloan Management Review article. For most companies, the single largest cost category is the total spend with suppliers. However, figuring out how to identify the best areas for supply savings -and then how to measure and report them -presents major challenges. Both understatement and overstatement of supply savings gaps signal the wrong reality, leading to an overemphasis on low-yielding cost saving initiatives, misdirected corporate resources and employees being rewarded for the wrong behavior. Moreover, supply savings gaps conceal the strategic contribution suppliers can provide. In studying the supply management practices at 30 large North American and European companies, the authors identified a variety of measurement and reporting practices for supply savings. They conclude that correct measurement of supply savings is almost impossible and that there are frequently gaps between reported savings and reality. They explore why gaps exist, what practices lead to under- and overstatement of savings, the consequences of poor supply savings measurement and what can be done to recognize supply savings gaps. To overcome the measurement and reporting challenges, the authors recommend that executives do three things: Focus on the total cost of ownership; categorize the different types of savings; and hardwire savings to the budget. -
Metropolitan College
A manager of Student Services at a small college was very concerned about the delays and costs of processing student registrations during the annual orientation week. She glanced at recently collected data on processing times for the six major steps that the registration process required. She wondered how the process might be improved while balancing budgetary pressures to reduce costs. -
Metropolitan College
A manager of Student Services at a small college was very concerned about the delays and costs of processing student registrations during the annual orientation week. She glanced at recently collected data on processing times for the six major steps that the registration process required. She wondered how the process might be improved while balancing budgetary pressures to reduce costs. -
TSC Stores: Supply Chain Management for Profitable Growth
In May 2007, the chief operating officer at TSC Stores in London, Ontario, asked the director of distribution to evaluate the company's supply chain strategy and make recommendations to the board of directors. The chief operating officer was concerned about the ability of the company's supply chain to support the corporate business plan, which called for 20 per cent annual growth over the next three years. Preliminary analysis indicated that TSC would need more distribution capacity by first quarter 2008, which gave the director of distribution only six to eight months to evaluate options and implement a plan. The chief operating officer and the board would want to know the process and schedule that the director of distribution intended to follow to deal with the evolving capacity demands in distribution. -
TSC Stores: Supply Chain Management for Profitable Growth
In May 2007, the chief operating officer at TSC Stores in London, Ontario, asked the director of distribution to evaluate the company's supply chain strategy and make recommendations to the board of directors. The chief operating officer was concerned about the ability of the company's supply chain to support the corporate business plan, which called for 20 per cent annual growth over the next three years. Preliminary analysis indicated that TSC would need more distribution capacity by first quarter 2008, which gave the director of distribution only six to eight months to evaluate options and implement a plan. The chief operating officer and the board would want to know the process and schedule that the director of distribution intended to follow to deal with the evolving capacity demands in distribution. -
Supply Chain Management at Wal-Mart
In 2006 Wal-Mart, the second largest firm in the world by sales, was looking to improve its already efficient supply chain. The company's supply chain was closely integrated with its retail and information systems strategies and has been developed incrementally over the past 40 years. However, rivals are copying every aspect, from the way Wal-Mart cross-docks product in warehouses, to Wal-Mart's use of a sophisticated database to capture, store and disseminate store-level information to suppliers. Wal-Mart's new executive vice-president, logistics was overseeing a handful of initiatives designed to improve the firm's supply chain. However, it was not certain that these initiatives were going to have a significant impact on Wal-Mart costs, and he needed to consider what the company should do to stay ahead of the competition. -
Nissan Canada Inc.
The corporate manager of vehicle planning at Nissan Canada Inc. had been asked by the director of vehicle ordering for Nissan North America (NNA), to review the proposed vehicle ordering process as part of the new Integrated Customer Order Network (ICON). The ICON project would change Nissan's North American vehicle ordering process from a 'make-to-stock' into a 'make-to-order' environment which called for a significant process transformation for Nissan's operations in North America and Japan. The corporate manager of vehicle planning was hoping that the new process would be exactly what the dealers were seeking in an effort to closer align production with customer demand. However, he needed to evaluate the new process from the perspective of all stakeholders to ensure that Nissan's business objectives could be met. -
Nissan Canada Inc.
The corporate manager of vehicle planning at Nissan Canada Inc. had been asked by the director of vehicle ordering for Nissan North America (NNA), to review the proposed vehicle ordering process as part of the new Integrated Customer Order Network (ICON). The ICON project would change Nissan's North American vehicle ordering process from a 'make-to-stock' into a 'make-to-order' environment which called for a significant process transformation for Nissan's operations in North America and Japan. The corporate manager of vehicle planning was hoping that the new process would be exactly what the dealers were seeking in an effort to closer align production with customer demand. However, he needed to evaluate the new process from the perspective of all stakeholders to ensure that Nissan's business objectives could be met. -
Six Sigma Implementation at Maple Leaf Foods
Six Sigma has become a popular management philosophy adopted by several large companies including Maple Leaf Foods as a means of reducing waste systematically. The plant manager at the Rivermede plant is preparing for a meeting with the senior manager to discuss the new initiative Six Sigma @ the Edge. Based on the success of Six Sigma at this plant, it was chosen as a pilot for this new initiative. Students will develop a deeper understanding of Six Sigma and the challenges associated with embedding it in the organization. -
Supply Chain Management at Wal-Mart
In 2006 Wal-Mart, the second largest firm in the world by sales, was looking to improve its already efficient supply chain. The company's supply chain was closely integrated with its retail and information systems strategies and has been developed incrementally over the past 40 years. However, rivals were copying every aspect, from the way Wal-Mart cross-docks product in warehouses to Wal-Mart's use of a sophisticated database to capture, store, and disseminate store-level information to suppliers. Wal-Mart's new executive vice president, logistics, Johnnie Dobbs, was overseeing a handful of initiatives designed to improve the firm's supply chain. However, it was not certain that these initiatives were going to have a significant impact on Wal-Mart costs, and he needed to consider what the company should do to stay ahead of the competition.