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Min & Lin Thailand, Inc. is definitely the newest highly processed meat making. M& L Phil's., provides quality refined meat items. Its many successful brand is the Lin-Min Bacon, which usually captured 60% of the total bacon market share to date. The board of directors wished improvement within the income performance from the Lin-Min Bacon brand making sure the project availability of the major material and finished goods stock and they wanted to acquire a higher services level to customers in 95%, while maintaining optimum or minimum inventory levels. A management committee meeting was conducted to review the past sales and functions performance intended for the Lin-Min Bacon Brand. The groups represented were – Revenue, Marketing, Production and Strategies. The Marketing Group revealed the Actual Revenue Performance and the Forecasts pertaining to the Lin-Min Bacon over the past 2 years. That they noted that the Sales Group haven't recently been giving virtually any forecasting characters, that's why they have develop their own forecast – based on a two-month going average. The marketing group claimed that they have performed over and above their responsibility and that those forecasts; the company cannot accomplish its 60% market share. The Sales Group mentioned they may have been taking on many prevalence of stock outs that are why they may have not been able to push the product as much as they can. They said that lots of of the stores have been worrying of back again orders certainly not immediately offered. They recommended that product sales would boost if only the availability group could always guarantee the maintenance of the stock cover – similar to at least one (1) month with the average regular monthly sales. They insisted that if this will not be applied, they will be forced to make their own forecast and may require development to follow, as they are the ones staying blames by the customer and the company's dropped sales. The production group features mentioned that they have always been capable of produce the cooked sausage according to the regular monthly forecast of Marketing, but offers difficulty in getting up with additional orders further than the forecasted requirement as a result of unavailability of labels & plastic storage units during a lot of occasions, for the reason that suppliers from the Logistics group needs at least 30 days lead period. The Strategies group described that they have recently been meeting the materials requirements of creation. However , they can avoid holds off in providing additional requirements due to the abrupt increase in require beyond the original projections provided by production and marketing. Likewise, they cannot order beyond the planned requirements because there are storage and storage area limitations. In fact , their analyses indicate that we now have many situations when the materials and finished goods can be obtained, but do not move because the sales are not coming in since forecasted. In fact the group feels they own been very supportive through their continuous expediting work to dash the sudden production requests. They claimed that they have currently contracted the annual volume of raw and packaging supplies with by least your five suppliers per item to make sure continuous availability of supply. Learning all of these, the COO cannot believe the fact that was happening. Having been worried that the situation may deteriorate. This individual wanted to urgently address all the concerns of every group and be sure that an effective sales and operations planning process will be developed before the board conference next month. That's exactly what asked the department heads of each group to communicate and establish the improvements in the organizing process. He asked these to prepare their particular proposed business planning procedures, activities, methods and other recommended actions – with promoting details & computations.

The Lin-Min Bread actual month-to-month sales and forecast info from marketing – based on two month moving average method (units are in thousands of kgs per month) Lin-Min Bacon

Period| Actual Demand| Outlook

Mar ‘01| 43| --

Apr| 44| 21. 5