Jay Bharat Spices Pvt. Ltd.: A Spicy Quandary

  • Reference: IVEY-W25298-E

  • Year: 2020

  • Number of pages: 11

  • Geographic Setting: India

  • Publication Date: Oct 6, 2021

  • Source: Ivey Business School (Canada)

  • Type of Document: Case

  • Industry Setting: Manufacturing

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Description

Jay Bharat Spices Pvt. Ltd., a company located in Cuttack, India, was involved in the manufacturing and distribution of spices across India under the brand name Bharat Masala. The company specialized in producing basic spices such as turmeric powder, cumin powder, and chili powder. The senior management team had recently noticed a rise in demand for the spice garam masala in the East India market and asked the company’s vice-president of East India operations to oversee the launch of this new product over the next six months. The vice-president was now struggling with multiple constraints related to the launch, including storage capacity in the warehouse and various financial constraints that were forcing him to look for a more economical and efficient solution.

Learning Objective

This case is suitable for courses that discuss inventory management, forecasting techniques, demand projection, product supply chain fit, and warehouse management at the undergraduate and graduate levels. It is also suitable for discussing issues and challenges that family-run businesses face, and for helping students understand how team dynamics affect the operation of a business. This case provides an opportunity for students to learn about basic forecasting techniques, demand aggregation, multi-warehousing concepts, and manufacturing waste management. After working through the case and assignment questions, students will be able to
  • analyze the impact of demand aggregation on safety stock;
  • evaluate the alignment of product with supply chain;
  • apply forecasting techniques to increase the accuracy in demand forecasting;
  • identify and manage waste in the product distribution network; and
  • evaluate the decision-making process of warehouse capacity expansion.

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Keywords

demand aggregation Demand forecasting product supply chain fit warehouse capacity planning