Assessment 1 Case Study 3 Brief

Overview

You are the procurement manager of an Ohio (USA) based candy manufacturer. A core component of the production of candy is raw sugar that you source from various regions throughout the United States.

In 2008, the US Government introduced a price floor on the price of sugar, whereby the government guarantees a minimum price of sugar of 22.9 cents per pound. As a consequence, your business operations have been driven up significantly, as you have—on average—paying 15 cents a pound more than sugar anywhere else in the world.

The senior executives of the company are growing increasingly worried about the rising cost of production, and have tasked you—as the procurement manager—to provide a series of solutions that can be enacted in order to maintain the competitive nature of the organisation.

Utilising the framework in Table 1, conduct an analysis of the above case to generate solutions and advice for the candy manufacturer.

In addition to your own research, the links and documents on Moodle can help as a starting point.

Table 1 – The case analysis framework

Step 1 – Situation Analysis (Journals and Industry Reports)	Supply Chain structures	Product overview
Physical Flow of Goods (e.g. supply chain nodes)
The business context	Competitor analysis
External business environment
Step 2 – Identification of main issues and problems	Categorise
Prioritise
Step 3 – Generation and evaluation of alternative solutions (Note: Requires strong procurement perspective and strongly anchored in academic literature)	Brainstorm ideas (strongly embedded in academic literature) Risk assessment of alternative solutions
Step 4 – Recommend solution and justification	Description (strongly embedded in academic literature)
Justification (strongly embedded in academic literature)
Step 5 – Implementation (succinct to the point including Gantt Chart)	Resources
Timing

Source: (Taylor, 1997)

Report Style and Format

The case analysis report should be in the format of a business report as you would submit to the CEO or management of any business, in a professional style.

The report must contain:

• Title Page
• Executive Summary
• Introduction
• Main Body – see Framework in Table 1 for main body structure
• Conclusion
• List of References
• Appendices as required

Enjoy!!!

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