WOODMERE CASE STUDY1.
What are the major business propositions for Woodmere and HomeHelp to consider inevaluating
this proposal?Some of the major business propositions for Woodmere and HomeHelp to consider in
thisproposal would be how they can manage their suppliers and customers needs. With
Woodmerehaving a reputation and their cliental already in place it would be a good fit for HomeHelp
whois a major home decorating retailer is looking for a way to improve business.While Woodmere
focus is looking forward to investments in information technology, so theycan push for a wider
audience and timelier deliveries, HomeHelp focus was to deal withmanufactures by keeping their
cost low and service high while at the same time giving theircustomers that premium service with
locks on everyday low pricing.2.
Is time-based logistics the right strategy for each company?I think time-based logistics is the
right strategy for each company because it will allow them tocontrol the inventory by knowing for
sure what their customer needs are. By using what is called
the sales information transmission, they will be able to see the product’s that are in demand
from the customer that will then go to the manufacturer. This will allow them to reduce theirorder
cycle time by the actual sales that will help guide the manufacturer to respond in a timelyfashion.3.
What are the benefits and barriers (short and long term) to this proposal for both Woodmereand
HomeHelp? What other factors need to be considered?Some of the short- and long-term benefits
of this proposal for both Woodmere and HomeHelpwould be:1.
Faster delivery2.
Better control over inventory3.
Ability to work directly with decorators4.
Reliable business partnerships5.
Increased profitsSome of the barriers would be:1.
Long time period for the new strategy of time-based logistic capabilities2.
Resistance of the new changes by employees and or management
Other factors to consider would be that they will be able to work with independent
distributorsthat will offer them flexibility as well as a shorter turnaround that would reduce
scheduling costwhile improving the cash flow.4.
If you were Woodmere’s top management, what suggestions would you make to improve the
current proposal for long-run viability?
The suggestion that I would make if I were in Woodmere’s top management would be to make
sure that they do research on the new time-based logistic strategy that they want toincorporate. I
would also suggest that they look into some type of merger or alliance with amanufacturing
company. By considering my suggestion in the long-run viability it will offerWoodmere a better way
to effectively communicate between the two companies what thebenefits and barriers are.5.
If you were HomeHelp, would you accept or reject the proposal? Why?If I were HomeHelp I would
accept Woodmere proposal because in this day and age companiesare merging for forming an
alliance with manufacturing companies to adapt to a more time-based logistical strategy that have
already had success in doing so. So, by merging withWoodmere it will most likely increase HomeHelp
profits and give them a competitive advantage