Strategic Supply Chain Management

In: Business and Management

Submitted By managmenet3
Words 2587
Pages 11
Introduction

The aims of this assignment are to measure the outcome of students’ learning in terms of knowledge acquired, understanding developed and skills or abilities gained in relation to the achievement of the learning outcomes.
Learners are expected to use their acquired knowledge to prepare a business report of not less than
3,500 words, clarity of ideas and presentation would attract extra marks as well as use of own initiative and real and imaginative scenarios to demonstrate understanding of the course.

COURSE WORK- PROCTER & GAMBLE

Zeroing in on the first moment of truth
Procter & Gamble, a world leader in consumer packaged goods, sells nearly 300 brands in more than 160 countries. It has sales of $40 billion a year and 130 manufacturing sites around the world.
P&G measures consumer satisfaction at two levels, which it calls the two “moments of truth.” The first moment of truth occurs when the consumer reaches the shelf and finds that the desired product is, or is not, available. This is a critical moment, because if the product is not immediately available, the consumer usually moves on to buy a rival product. The second moment of truth depends on the buyer’s satisfaction when consuming the product. This, too, has a crucial impact on consumer loyalty, but is beyond the scope of this case study. Detailed consumer surveys in July 2000 told P&G that in 55% of cases (75% for promotional items), consumers were not satisfied when they looked on the shelf for the products they wanted. The exact product variant, in the size and packaging the shopper sought, was available less than half the time. Something had to be done.
Responsibility for having the product on the shelf every time a shopper wants it used to be seen as purely a matter for the retailer. If retailers got their forecasts wrong and ordered the wrong volumes, the…...

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