Barilla SpA (A)

Janice H. Hammond

Case | HBS Case Collection | May 1994 (Revised March 2008)

Barilla SpA (A)

Abstract

Barilla SpA, an Italian manufacturer that sells to its retailers largely through third-party distributors, experienced widely fluctuating demand patterns from its distributors during the late 1980s. This case describes a proposal to address the problem by implementing a continuous replenishment program, under which the responsibility for determining shipment quantities to the distributors would shift from the distributors to Barilla. Describes support and resistance within Barilla's different functional areas and within the distributors Barilla approached with the proposal.

Keywords: Order Taking and Fulfillment; Logistics; Supply Chain; Technology; Food and Beverage Industry; Manufacturing Industry; Italy;

Format: Print

21 pages

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Citation:

Hammond, Janice H. "Barilla SpA (A)." Harvard Business School Case 694-046, May 1994. (Revised March 2008.)

The Web-based beer game is an exercise that demonstrates supply channel dynamics. Simulates the flow of material and information in a simplified channel of beer production and distribution, focusing on the linkages between a beer manufacturer, its distributors, a wholesaler, and a retailer. Students are organized into teams of four, each assigned to place orders and manage inventory for one firm in the channel. In this simplified channel, orders are the only information allowed to flow among channel participants. The 90-minute exercise is played on a web-based computer simulation tool developed at the Harvard Business School. The program has a parameter page that allows the instructor to easily vary information and transportation lead times, information availability, demand, and so on. The instructor can work with students to understand the nature of the problems they experience, identify the causes, and discuss possible remedies.

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Barilla SpA (A)

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