B2B Marketing

Case Study
CIE-I

Sejal Bangad (10196)

 CASE STUDY 1

Case Study Analysis: ICI Ltd.

Underlying Business Process
The primary business process depicted in the case study is the
establishment of a new manufacturing unit. This process involves
various stages, from project initiation and planning to procurement,
construction, and commissioning.
Summarized Tasks
Project Initiation:
Decision to set up a new paint making unit at New Mumbai.
Transfer of project manager to New Mumbai.
Technical Consultancy:
Selection of ABC Consultants as technical consultants.
Assignment of Ajit Jain as technical consultant.
Procurement:
Identification of material handling system as a key purchase item.
Assessment of buying situation (new purchase).
Utilization of prior experience in material handling equipment.
Project Execution:
Construction and commissioning of the new paint making unit.
Integration of material handling system.
Key Stakeholders
ICI Ltd. Management: Responsible for initiating the project, making
key decisions, and providing support.
Sidharth Sen: Project manager, overseeing the overall
implementation.
Ajit Jain: Technical consultant from ABC Consultants, providing
expertise on the project.
Finance Head: Responsible for financial planning and budgeting.
Engineering Head: Overseeing the design and construction of the new
unit.
Head of Purchase Function: Responsible for procurement activities,
including the material handling system.
ABC Consultants: External consultants providing technical expertise
and support.
 CASE STUDY 2

Analysis of Mahindra's Approach and Alternatives

Que 1.
Mahindra's Approach: A Critical Evaluation
Mahindra's approach to meeting customer requirements can be seen as
a combination of direct pressure and incentives. While his
determination to fulfill customer demands is commendable, his
methods raise certain concerns:
Overreliance on Pressure: His aggressive tactics of applying pressure
on existing processing firms might strain relationships and potentially
lead to reduced quality or delays in the long run.
Limited Incentive Structure: While the proposed incentives are a step
in the right direction, they might not be sufficient to motivate all
stakeholders, especially if the challenges are deeply rooted in
operational inefficiencies.
Lack of Holistic Perspective: Mahindra's focus on delivery time and
quality, while important, might overlook other factors that could
impact customer satisfaction, such as pricing and product innovation.
In conclusion, while Mahindra's commitment to customer satisfaction
is evident, his approach could benefit from a more balanced strategy
that combines pressure with collaborative problem-solving, long-term
planning, and a broader focus on customer value.

Que 2.
Alternative Approaches for India Textiles Ltd.
India Textiles Ltd. could consider the following alternative
approaches to address the delivery and quality issues:
1. Internal Process Optimization:
Lean Manufacturing: Implement lean principles to identify and
eliminate waste in the production process, thereby improving
efficiency and reducing lead times.
Capacity Expansion: If feasible, invest in additional production
capacity to handle increased demand without compromising quality.
Technology Adoption: Explore automation or advanced technologies
to streamline operations and enhance productivity.
2. Supplier Relationship Management:
Strategic Partnerships: Develop stronger partnerships with suppliers
by providing them with long-term contracts, financial support, or
technical assistance.
Supplier Development: Work with suppliers to improve their
capabilities and performance through training, certification programs,
or joint initiatives.
Supplier Diversification: Reduce reliance on a single supplier by
diversifying the supply base to mitigate risks and ensure continuity of
supply.
3. Customer Collaboration:
Open Communication: Maintain open and transparent communication
with customers to understand their specific needs and expectations.
Joint Problem-Solving: Involve customers in the problem-solving
process to develop mutually beneficial solutions.
Customer Segmentation: Identify different customer segments with
varying requirements and tailor strategies accordingly.
4. Innovation and Product Differentiation:
Product Development: Invest in research and development to create
innovative products that differentiate India Textiles Ltd. from
competitors.
Customization: Offer customized products or services to meet the
unique needs of individual customers.
Quality Assurance: Implement rigorous quality control measures to
ensure consistent product quality and customer satisfaction.
By adopting a combination of these approaches, India Textiles Ltd.
can address the delivery and quality issues while building stronger
relationships with customers and suppliers.
 CASE STUDY 3

Suggestions for Shabbir to Reduce Costs and Increase Profits

1. Optimize Raw Material Procurement:

Supplier Evaluation: Conduct a thorough evaluation of suppliers
based on factors like price, quality, reliability, and delivery time.
Negotiation: Negotiate better terms with suppliers, such as volume
discounts or extended payment terms.
Alternative Materials: Explore alternative materials or suppliers that
offer comparable quality at lower costs.
Just-in-Time Inventory: Implement a just-in-time inventory system to
minimize storage costs and reduce the risk of obsolescence.
2. Improve Production Efficiency:
Lean Manufacturing: Adopt lean manufacturing principles to identify
and eliminate waste in the production process.
Process Optimization: Continuously review and optimize production
processes to improve efficiency and reduce costs.
Technology Upgrade: Invest in modern equipment or technology to
improve productivity and reduce labor costs.
3. Diversify Product Line:
Value-Added Products: Introduce higher-margin products or services
to increase revenue.
Customization: Offer customized products to meet specific customer
needs and command premium prices.
Complementary Products: Expand the product line to include
complementary products that can increase sales.
4. Enhance Marketing and Sales Efforts:
Digital Marketing: Utilize digital marketing channels to reach a wider
customer base at a lower cost.
Customer Relationship Management (CRM): Implement a CRM
system to track customer interactions and improve sales effectiveness.
Sales Training: Provide sales staff with ongoing training to enhance
their skills and improve sales performance.
5. Explore Cost-Sharing Arrangements:
Joint Ventures: Partner with other companies to share costs and
resources, such as research and development or marketing.
Outsourcing: Outsource non-core activities to reduce costs and focus
on core competencies.
6. Consider Financing Options:
Bank Loans: Explore low-interest loans or grants to fund business
expansion or improvements.
Government Incentives: Take advantage of government incentives or
subsidies that can reduce costs.
 CASE STUDY 4

If I were the Purchasing Manager at ABC India Ltd.

Understanding the Current Situation:

Raw Material Shortage: The ban on iron ore mining in Karnataka has
created a significant shortage of steel and driven up prices.
Price Fluctuations: Global steel prices have been volatile, impacting
ABC's purchasing costs.
Quality Concerns: Ensuring consistent quality of steel is crucial for
bearing production.
Proposed Actions:
Diversify Supply Sources:
Domestic Suppliers: Explore alternative sources within India,
potentially in regions less affected by the ban.
International Suppliers: Consider importing steel from countries with
stable supplies and competitive pricing. However, be mindful of
potential import duties and logistical challenges.
Long-Term Contracts:
Secure Supply: Negotiate long-term contracts with reliable suppliers
to guarantee a steady supply of steel at a predictable price.
Risk Mitigation: Incorporate price adjustment clauses to address
potential fluctuations in steel prices.
Strategic Partnerships:
Collaboration: Partner with other steel-intensive industries to create a
collective bargaining power and negotiate better terms with suppliers.
Shared Resources: Explore opportunities for cost-sharing, such as
joint procurement or transportation.
Inventory Management:
Optimize Levels: Maintain optimal inventory levels to balance supply
and demand while minimizing holding costs.
Risk Management: Implement risk management strategies, such as
hedging or futures contracts, to mitigate price volatility.
Quality Assurance:
Stringent Standards: Establish and enforce stringent quality standards
for incoming steel to ensure it meets ABC's requirements.
Supplier Audits: Conduct regular audits of suppliers to assess their
quality control processes and capabilities.
Alternative Materials:
Research: Explore the feasibility of using alternative materials, such
as composites or recycled steel, to reduce dependency on traditional
steel sources.
Rationale for these Actions:
Supply Chain Resilience: Diversifying supply sources and
establishing long-term contracts will help ABC mitigate risks
associated with supply disruptions and price fluctuations.
Cost Optimization: Strategic partnerships and inventory management
can help reduce costs and improve efficiency.
Quality Assurance: Implementing stringent quality standards and
supplier audits will ensure that ABC's products meet the highest
quality standards.
Innovation: Exploring alternative materials can provide new
opportunities for cost reduction and product differentiation.