Executive Summary of North West

In: Business and Management

Submitted By Yohanes
Words 267
Pages 2
Executive Summary:
Implementing localization with assessing the potential benefits and costs, the potential risks and the implementation plan have to consider historical aspects, geography, market, investments, human resources and supply chain as well. The North West Company is a leading community retailer to serve in the following regions: Northern Canada, Western Canada, Rural Alaska, The South Pacific and The Caribbean. Most of them are located in smaller; remote communities and generally not accessible by all-weather roads. Transportation is a considerable portion of North West’s expenses. With the goal of efficient logistic in mind, ordering was centralized, with input from the district and regional managers, and product was pushed to stores based on historical sales and forecast.
Cooperation between North West Company with Giant Tiger Limited in 2001 which applied Pull Strategy System and the stores were growing well; This evidence made us to consider whether this pull strategy system overall would be more benefit than the current one.
Based on the above reasons, I as a Director of Procurement and Marketing of North West Company decide to keep the current Push system innovatively such as realigned warehouse processing and shipping schedules, repositioning store location and distribution center on the remote communities and generally not accessible by all-weather road; and some of regional communities retailing that are generally accessible by all-weather road to open Giant Tiger store to implement Pull Strategy System.
This report will be used as a basis for discussion in our executive meeting this coming Tuesday, April 10/ 2012.
Barry McLeod
Director of Procurement and Marketing
North West Company
April…...

Similar Documents

North West

...Executive Summary The North West Company is a leading retailer of food and everyday needs to rural and urban neighborhoods across Canada. They are currently using a “push” strategy, which the category manager at North West headquarters in Winnipeg analyzed trends, placed orders and allocated products to stores. Inspired by Giant Tiger’s example of a “pull” system in action, North West management was considering giving store managers more control over their inventory ordering by moving to a “pull” merchandise replenishment strategy — also known as localization. Using this “pull” system North West will need to invest $10 million in order to support the Open To Buy (OTB) for the retail stores managers. The issues North West are currently facing are they are unable to reach their annual inventory turnover rate target of 3.0 and money tied up in unsold inventories. In order to reduce the risk and capitalize the benefit of any changes North West should implement to localize certain product category in the hands of retail managers. This strategic change will be beneficial for North West instead of giving all the responsibility to local retail managers and avoid investing a large amount of dollars to support the technology for the pull system. The category manager will then produce product menu selections for retail store managers to choose items and quantity coming in to the retail stores. Issue(s) Identification The North West Company is experiencing inventory management......

Words: 1675 - Pages: 7

Executive Summary

...Executive Summary  At the request of Mr. Hugh McBride, service request SR-mf-001 was opened for a design to be created in order to improve and enhance the current Internet web site for McBride Financial Services. The Web site will be vital for McBride's success. The company will ensure operating expenses are low by employing only a few brokers and one support person in each office. We will depend upon the company Web site and self-serve kiosks located in the offices to educate customers about the various loans that are available. Also, we will count on these mediums to sell those customers on the McBride Company for their initial and subsequent loan purchases. The majority of our advertising will be directing potential customers to our Web site and, from there, on to our offices. It is imperative that the Web site both educates customers about and sells them on our services. In the following paragraphs, Team B will present the initial results of our findings.  The first section discusses the need to redesign the web site using the latest technologies as well as using colors, fonts, and images which appeal to consumers. This will be completed by a technical web designer familiar with an updated design proposed below by Team B. The website will be hosted on our internal web server running Windows 2003 with the Apache Web server. The hardware within the company is up-to-date with current standards and can be used to host the content for the website. To create the dynamic web...

Words: 1487 - Pages: 6

Executive Summary

...“Executive Summary” Little Bumble Bees Daycare facility will operate as sole proprietorship and is located on the corner of North six street in Hopewell, Va. Our daycare facility is a full service child facility that offers 24 hours/ 7days a week care, with the exception of holidays. We offer services for children 3 months to 12 years of age. The Little Bumble Bees Daycare Facility will be focusing on the middle to upper class market. This group of families has both parents working, not allowing them time to raise their child during the day. This group has the money for child care, and is willing to spend a little extra to get a higher level of care. Our staff have specialize training in child care providing services, first aid, and CPR. Little Bumble Bees Daycare Facility has innovative learning systems and facility has small classes for pre-K students, for more one on one learning in the class. Employees are expected to wear scrub type uniforms while they are on the clock; street wear is not permitted while on the clock. There will be five classrooms rooms in the facility with chairs, desk, blackboard, and etc. Our mission is to provide a safe and fun learning environment for our children. We take pride in our center and focus on meeting each individual child and family needs, while providing quality, safety, and reliable child care. The market that we want to target is one specific customer group, the middle to upper class, two income professional families. This...

Words: 386 - Pages: 2

North-West Corner Method

...NORTH-WEST CORNER METHOD A PROJECT REPORT ABSTRACT We aim to write a C program to solve a transportation problem using North-West Corner Method. A typical transportation problem deals with sources where a supply of some commodity is available and destinations where the commodity is demanded. The objective to solve the transportation problem is to minimize the cost of shipping m units to n destinations or maximize the profit of shipping m units to n destinations. The North West Corner rule is a method for computing the basic feasible solution of a transportation problem, where the basic variables are selected from the north-west corner (i.e. the topmost corner). We will achieve this by using C programming. ALGORITHM The north-west corner method generates an initial allocation according to the following procedure: 1. Allocate the maximum amount allowable by the supply and demand constraints to the variable x 11 (i.e. the cell in the top left corner of the transportation tableau). 2. If a column (or row) is satisfied, cross it out. The remaining decision variables in that column (or row) are non-basic and are set equal to zero. If a row and column are satisfied simultaneously, cross only one out (it does not matter which). 3. Adjust supply and demand for the non-crossed out rows and columns. 4. Allocate the maximum feasible amount to the first available non-crossed out element in the next column (or row). 5. When exactly one row or column is left, all the......

Words: 1162 - Pages: 5

Executive Summary

...Executive Summaries are much like any other summary in that their main goal is to provide a condensed version of the content of a longer report. Definition of Executive Summary The executive summary is usually no longer than 10% of the original document. It can be anywhere from 1-10 pages long, depending on the report's length. Executive summaries are written literally for an executive who most likely DOES NOT have the time to read the original. • Executive summaries make a recommendation • Accuracy is essential because decisions will be made based on your summary by people who have not read the original • Executive summaries frequently summarize more than one document Types of Summaries Summaries written in order to recommend a specific course of action are executive summaries. Summaries that highlight the major points of a long piece are called abstracts. The purpose of an abstract is to allow readers to decide whether or not they want to read the longer text. View our Writing Guide about Abstracts Standard summary only refers to a summary of someone else's published work and is written for a variety of purposes. View our Writing Guide about Standard Summaries Processes for Writing an Executive Summary Executive summaries are typically written for longer reports. They should not be written until after your report is finished. Before writing your summary, try: • Summarizing the major sections of your report. You might even copy text from your report into...

Words: 1544 - Pages: 7

Executive Summary

...The executive summary is often considered the most important section of a business plan. This section briefly tells your reader where your company is, where you want to take it, and why your business idea will be successful. If you are seeking financing, the executive summary is also your first opportunity to grab a potential investor’s interest. The executive summary should highlight the strengths of your overall plan and therefore be the last section you write. However, it usually appears first in your business plan document. What to Include in Your Executive Summary Below are several key points that your executive summary should include based on the stage of your business. If You Are an Established Business If you are an established business, be sure to include the following information: • The Mission Statement – This explains what your business is all about. It should be between several sentences and a paragraph. • Company Information – Include a short statement that covers when your business was formed, the names of the founders and their roles, your number of employees, and your business location(s). • Growth Highlights – Include examples of company growth, such as financial or market highlights (for example, “XYZ Firm increased profit margins and market share year-over-year since its foundation). Graphs and charts can be helpful in this section. • Your Products/Services -- Briefly describe the products or services you provide. • Financial......

Words: 422 - Pages: 2

Executive Summary

...Memorandum To: Professor H. From: V Feliciano Date: 11/27/2014 Subject: Executive Summary- “Teaching Smart People How to Learn” by Chris Argyris, Harvard Review The purpose of this summary is to explore the importance of learning in the corporate world. Much of the business success largely depends on learning; however, this resource tool has shown to be problematic for some. High commitment workers need to consider their behavior critically, identify possible ways they unintentionally contribute to the organization problems, and learn how they can solve these issues. Looping: A Defense Mechanism? In order to understand the learning process, such terms as “single loop” and “double loop” were created to understand the differences between the two. Most highly–skilled professionals are very experienced in “single loop” learning. The reason stems from the fact they have spent most of their lives obtaining academic success, mastering one or a few knowledgeable disciplines, and applying those disciplines to answer real life problems. Whereas “double loop” learning explores other opportunities to resolve a problem with a shared perspective all while leaving bias thoughts and opinions out of the equation. These facts alone help explain why workers are horrible at double-loop learning. Because many workers are almost always successful, they rarely experience disappointment. Therefore they act defensive, disregard criticism, and place the blame on others but......

Words: 757 - Pages: 4

North West Case Study

...The North West Company Push vs Pull The North West Company Executive Summary: The North West Company is a leading retailer of food and everyday needs in rural Canada.   They are currently using a “push” strategy with the category managers at headquarters analyzing trends, placing orders and allocating products to stores.  Inspired by Giant Tiger’s pull system, North West management was considering giving store managers more control over their inventory ordering by moving to a “pull” replenishment strategy.   Barry McLeod, Director of Procurement and Marketing, has been assigned with determining if this “Pull” strategy would be a better fit. In order to reduce the risk and capitalize on the benefits, North West should localize in the hands of Regional Retail Managers. This strategic change will be beneficial for North West as they would gain the required regional/store level knowledge while avoiding giving all the responsibility to local store managers and investing a large amount of dollars to support the pull system.  Table of contents: Contents Issue(s) Identification 1 Environmental & Root Analysis: 2 Alternatives and/or Options: 3 Recommendation: 4 Implementation: 5 Monitor: 6 Issue(s) Identification The North West Company is experiencing inventory management problems with unsold inventory piling up as well as experiencing stock outs resulting in lost sales.   They have not been able to increase their yearly inventory turns from 2.2, well......

Words: 313 - Pages: 2

Executive Summary

...An executive summary summarizes, or reviews the main points of, a longer document or report for a reader that does not have time to read the entire report. An effective executive summary analyzes and summarizes the most important points in the paper or report, and will often make a recommendation based on the analysis. Executive summaries are “stand alone” documents that are almost always read independently of the reports they summarize. When preparing to write an executive summary, ask yourself the following questions: * Who will read your executive summary? Sometimes your executive summary may have an “intended” audience: your professor might require you to write it for a CEO, department head, or supervisor, for example. On other assignments, your audience won’t have a specific identity, but always keep in mind that the reader of an executive summary needs to know all of the important information in the main document without reading the actual document. Even if you know that your instructor will be reading everything that you submit, write the executive summary as a “stand alone” document. * What is the main document’s main topic, theme, or idea? Most reports have a “thesis” or central point that they are seeking to communicate. Try to sum this up in two or three sentences. If you are having trouble with this, imagine that someone has asked you, “what’s this report about?” and that you have to explain it in only a few sentences. Once you’re able to say what the......

Words: 2824 - Pages: 12

North West Company

...North West Company Case Analysis North West Company Case Analysis Barry McLeod, Director of Procurement & Marketing Ken Claudel, VP of Logistics & Supply Chain Issue Identification Barry McLeod is currently faced with the decision to recommend a supply chain strategy to Ken Claudel as to whether or not implement localization at North West. This is a pull stategy approach as opposed to their current push model. North West is facing low inventory turns which is affecting their inventory costs and warehousing costs. They lack accuracy in forecasting and have long lead times for most of their products and especially in their more remote store locations. Barry needs to decide to implement localization or not, and if not, then have a plan B in mind for how to address the issues listed above. Environmental & Root Analysis: Category Management * Winnipeg Category Managers analyze trends, place orders and allocate products to stores. They are disconnected from customers and what their preferences are. * POs submitted at least 4 months in advance of popular selling periods * Category managers worked with store managers to review the previous year’s lineup, order and actual sales * Historical averages and next year’s forecasted growth, estimate demand at company level. Not done at the store level, there are large differences between consumer preferences in Alberta and Yellowknife. * General merchandise category: non-food, home furnishing, apparel, footwear, luggage… Too......

Words: 1544 - Pages: 7

North West Company Supply Chain

...localization to the North West Company’s (NWC) suppliers and their customers. • The potential risks of localization to NWC’s suppliers, NWC and their customers. • An implementation plan that takes the necessary steps to capitalize on the benefits and minimize the risks. The challenge for NWC is to move to a supply chain strategy based on localization that involves the devolution of responsibilities from corporate headquarters to the store’s management. As such, consider the following aspects when forming your implementation plan: • Interorganizational information systems • Cycle time reduction strategies • Supply chain relationship development, and • Social responsibility issues Executive Summary Issues Identification Several key issues have been identified in North West’s current organizational supply chain. The first issue is the long lead times experienced for the purchase of general merchandise which is identified as all non-food items including but not exclusive to, home furnishings, apparel, and luggage. Although purchases from local and regional manufacturers have much shorter led times, the majority of merchandise is purchased from China and takes approximately 3 to 6 months to arrive at the distribution centre in Winnipeg from the time that orders are placed with suppliers. The second issue is logistical in nature and deals with the long lead times for stores receiving merchandise from the distribution centre in Winnipeg. Because North West’s 147 stores......

Words: 499 - Pages: 2

Executive Summary Panama

...EXECUTIVE SUMMARY (U) INFORMATION BRIEF–CULTURAL ANALYSIS ON PANAMA (U) (______________) Panama, known as the “Crossroads to the Americas”, is the southernmost country in Central America, located north of Columbia and south of Costa Rica. It is slightly smaller than the state of South Carolina. In both the east and west there are mountain ranges which develop into hills and dense jungle in the central part of Panama. Temperatures range from tropical and humid in the lower lying areas, to cool and pleasant in higher altitudes. The coasts are primarily lowlands with smaller islands located just off shore. The Panama Canal divides the country in half and connects the Pacific Ocean and Caribbean Sea. The population is about 3.5 million. The majority of the population is mestizo, 70%, which is a person with mixed European and Indian ancestry. The rest of the population is 14% West Indian, 10% white, and 6% indigenous. The indigenous population is composed of seven distinct groups which are the Kuna, Embera, Waounan, Ngobe, Bugle, Nassau, and Terribe people. The majority of the population lives in urban areas, with more than half the population living in the Panama City-Colon metropolitan corridor. The Roman Catholic faith is Panama’s predominant religion. Spanish serves as the official language but English is widely used in business and is spoken by most West Indians. About 75% of Panama’s income comes from the Panama Canal, banking, the Colon Free Zone, insurance companies...

Words: 506 - Pages: 3

North West

...North West Company Executive Summary North West Company is facing a unique situation where inventory turnover is way below the industry average, and there are gaps between actual customer demand and procurement process. The result is aging inventory and stock outs during peak season. Heavy discounts of up to 75% are provided to push the products to the customers. This contributes to revenue loss and decline in profits. Long lead times from 3 to 6 months also contribute to low inventory turnover as replenishment orders cannot be fulfilled during peak season. The localization strategy is helpful as it address issues of actual demand by the store managers, but there would still be a gap between actual customers and company and threats arriving from bullwhip effect. Also, long lead times would still exist after implementation of localization strategy. This issue would need to be addressed as well as fulfillment of orders during season needs to be done in case of stock outs. Accurate forecast development with collaborative efforts with customers would help reduce some dead stock and help in planning future stock products. Issue Identification Consistent low inventory turnover at North West Company is the primary issue which is way below the industry average that concerns the company decision makers to work on localization strategy or some other way which might help the company to reach target company turnover of 3.0 to 3.5. Currently the strategic focus is on push side,......

Words: 1110 - Pages: 5

Executive Summary

...Macy’s: Executive Summary Macy’s, Inc. Macy’s, Inc. is known as the one of the leading retail corporations worldwide. It offers its customers a wide range of products including clothing, footwear, jewelry, beauty products, and even home décor. Macy’s has opened more than 800 stores across the U.S. and reported fiscal year (FY) 2009 sales of $23.5 billion. Although Macy’s is a prominent retailer today, their success had to start somewhere. In this summary we will take a glance at Macy’s history as well as their prior and current financial information. Brief History of Macy’s, Inc. Before Macy’s, Inc became a household name Rowland H. Macy, the founder of Macy’s Inc., started a dry-goods store in 1851 in Haverhill, Massachusetts where he made $11.06 on its first day. Since then, R.H. went through his share of retail failures and various store relocations. It was not until 1877, when R.H. Macy & Co. started accumulating its high sales, that it made its mark as a retail giant. For example, Macy’s made business history when they were the first to promote a woman in an executive position. Macy’s was also the first to hire an in-store Santa Claus. In 1924, upon the completion of the new 7th Avenue addition, Macy’s Herald Square became known as the “World’s Largest Store” with more than one million square feet (Macy’s, Inc., 2010). In addition, the company also produces their annual Macy’s Thanksgiving Day Parade and Fourth of July fireworks display that fills the hearts...

Words: 1585 - Pages: 7

Executive Summary

...Executive Summary 1 Stand: Moderate - There was a clear structure: problem, purpose of the report, brief details of approach, important results and findings before ending of with a conclusion. Identifying these points is important as they form up the basics of what is expected from a reader. It was of an appropriate length for easy reading and comprehension. On the other hand, the executive summary was a little too descriptive on how the ‘Easy Tap’ works. It is true that more description is not bad, as it will explain more about the purpose and providing solutions to the problem. However, a strong summary of the description is preferred as it could well capture the essence of what the author is trying to explain, before further description and explanation is done in the business plan. Executive Summary 2 Stand: Bad - The overall paragraph appears to be more like an advert rather than an executive summary. The words used were informal and there was subjective description. There was no solution and proper findings to prove what this whole executive summary was talking about. For example, if it is trying to promote ‘The Sleepsuit’, the name should already be mentioned earlier in the paragraph, instead of the last sentence which caught us off-guard. This executive summary fails to impress future investors or readers that the business plan is suitable or appropriate. Executive Summary 3 Stand: Good - The first read gave us a good understanding of what the executive......

Words: 319 - Pages: 2