Adjusting the Supply Chain for Girl Scouts Cookies

A Wall Street Journal article (January 27,2011) describes changes being made to girl scout cookie supply chains to improve profits. First – variety is being cut to focus on just six SKUs which are estimated to save a penny per box off cookies.  Next, prices have been increased in some areas. Third, the changes are expected to streamline the supply chain and speed up delivery- thus affecting overall profits.  Lost in the changes are some cookies like the Dulce de Leche cookies that were meant to attract Spanish speaking customers.  The Girl scout cookie supply chain adjustments, focusing on the link between variety, delivery, costs and thus profits is a great example of using the supply chain to drive top line and bottom line growth.  Do these changes make sense or could an increase in variety with a simplification of packaging have been an alternative ? Could ecommerce like marketing of girl scout cookies make sense or is the door-to-door sales meant to build confidence and build the image of the organization ?

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About aviyer2010

Professor
This entry was posted in Operations Management, Service Operations, Supply Chain Issues and tagged , , , , . Bookmark the permalink.

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