Write an essay about the Logistics Case Study you have read located and answer the following questions.
What is logistics?
Logistics Case Study below:
The management of Prego Noodles Company was contemplating on introducing 200 grams pack of savory
noodles into the Indian market at Rs. 10 per pack. This was only for one month which was construed to be as a
test marketing period. During this period, the Company wanted to have a “blitz” strategy of flooding the market
with their product.
In the subsequent month, the management of Prego Noodles Company had planned to raise the price of the
pack to Rs. 15, while the weight of the pack was to be fixed at 250 grams. A free gift in the form of a plastic
bowl with a spoon was also planned.
Two months before the launch of the actual production, the marketing department of the company brought out
advertisements regarding the savory noodles. The advertisements were displayed on bill-boards, TV, radio,
print media. Schools and colleges were also targeted to rope in students and children to buy the product.
Production of the noodles was planned to be started along with the marketing program. The forecast of the
number of expected packets that could be sold for the first month was around 75,000, and 1,25,000 for the
second month. The production was required to be started earlier to meet the target of projected demand as
well as to account for the changeover in the pack-size in the second month.
You are appointed as a logistics consultant by the Company. You are required to guide the Company regarding
the following
a) The Company is very keen that its product must be well-received in the market. What coordination is
required between the production, marketing and other departments of the Company? (Note: You are required
to spell-out the various departments (namely, warehousing, production, quality control, packaging, etc.) that are
expected to be required in the Company)
b) Explain the role of the Logistics Department in the introductory phase.(Review the Logistics Planning Part)
c) Highlight the necessity of information sharing between the various departments[Note: This relates to
productivity increase due to Logistics Process] d) As a logistics consultant, you are required to foresee the type
of difficulties which the company could face during the changeover. Give suggestions to the Company to tide
over these difficulties. e) Critically examine the free gift scheme and marketing strategy adopted by the
company
Sample Solution
