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QUESTION

Delicious Foods LLC, a 15-year-old fast food company has a production factory in Geneva. They

require meat and produce including fruits and vegetables as raw materials. Procurement is done

through local suppliers at each location. Transportation is done by a third-party service provider,

who does not value the preservation of perishables. Almost, 35% of the materials are lost due to

improper storage, temperature control, etc. There is also a growing concern regarding their delayed

deliveries.

Though the customers love the product, the company struggles with timely delivery and improper

packing, which does not preserve products for long, with shelf life of only about 6 hrs., if not kept

under temperature-controlled conditions. Though the company has over 15 distributors there is no

coordination or centralization. The information systems are primitive and are steadily losing

customers to growing competitors. You are appointed as a logistics consultant. You are required

to put forward your suggestions with regards to improving the following:

a) Purchasing and distribution system

b) Alternative transportation

c) Any other areas

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