We decide how we spend money in three areas: 1. Purchasing: which materials we buy. 2. Specification: what product or service we offer. 3. Efficiency: how well we convert raw materials into finished goods. These activities are controlled by the Purchasing, Brand Development and Operations departments. They have the ability to make changes that will […]
Discipline
I was given a book to read, “The Discipline of Market Leaders“. I am sure you have heard about it. The authors state that there are three key strategies you can take in any market: 1. Operational Excellence “deliver a combination of quality, price, and ease of purchase that no one else in their market […]
Complex Coffee
I came across this youtube video for Baileys Coffee and I started to wonder, do Baileys actually make any money out of it? How much does the extra complexity cost them. First there is the product complexity: extra labels, different flavours, extra SKU’s… Secondly there is process complexity: change overs, work arounds, reduced forecast accuracy… […]