Merloni Elettrodomestici Spa
Problem/Situation
Merloni Elettrodomestici SpA (Merloni) is a major Italian manufacturer of built-in and freestanding Home appliances. Merloni's distribution network consists of five manufacturing plants, a centralized warehouse, and seventeen regional warehouses. During the past few years, Merloni has been successful in implementing programs that have significantly reduced production-planning lead times and decreased inventory levels. Particularly, with the implementation of an A-B-C inventory classification program and institution of a centralized inventory planning system (Refer to Figure 1 - Appendix 1), they were able to reduce inventory levels and shorten production planning cycles at the regional offices by 75%. Merloni was able to achieve a reduction from four to three months in the production planning time horizon while the required lead-time to firm orders was reduced from two months to one.
In their efforts to further reduce inventory and enhance production efficiency,......
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Approximate Word Count: 2089
Approximate Pages: 9 (250 words per double-spaced page)
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Merloni Elettrodomestici Spa
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SpA (Merloni) is a major Italian manufacturer of built-in ...
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