Urgent Help on Case Analysis

k.kumar.kranthi

New member
MILK PRODUCTS LTD.,

Milk Products Ltd., is engaged in collecting, processing, and distributing milk and milk products in a large city in south India, Most of the products of the company are such that these have to be distributed on daily basis. The company has a crew of distributors who approach the fixed customers, both bulk buyers and individuals.Mr.K.Ramesh joined the crew of distributors after graduating in commerce. The distribution Manager was quite impressed by Mr. Ramesh but initially could not offer him a better job than that of a distributor. However, he promised to give him better opportunity whenever available. Mr.Ramesh joined gladly.

The distributors are employed on monthly salary basis. In order to ensure distribution of the products, the company has a provision of over time pay. Normally crew members work slowly in the beginning just to accumulated over time pay. The lace becomes hectic towards the end of the day with some over time to meet the distribution schedule. There is not group leader but there are several old timers who influence new comers regarding the work rules. Mr. Ramesh did not like this method of working but had to follow the group to be a good team mats. He gathered that over the years, the company had paid around sixty percent overtime unnecessarily

After a year impressed by the work of Mr.Ramesh and his overall suitability, the distribution manager offered him the position of distribution supervisor. The basic duty of the supervisor was to look after the distribution system and to develop new customers in a given area. Beside Ramesh, there were four other supervisors also. Ramesh was sure of making distribution system effective, as he was aware above the delaying tactics of the crew. He was quite sure about cutting the over time cost and impressing upon the distribution manger about his capability. He talked to the distribution manager about fixing the quota of work per day in two parts before lunch id after lunch. The distribution Manager felt convinced and introduced the systems. However the efficiency dropped down considerably and no crew member was near the target.

a) What were the reasons for the decreased efficiency in the new system?

b) Advise Mr.Ramesh and distribution manager about the future course of action.
 

pramod_ram

New member
The rewards are linked with the number of hours put in instead of the efficiency of the delivery system. Rewarding just in time deliveries or deliveries before time will result in greater efficiency.

For a particular amount of wages, a set number of distribution target should be assigned to the worker and for every extra unit of distribution the there can be incentives. Also taking corrective measures for those who fail to deliver the expected distribution target will lead to increase in efficiency.
 

Jennyshine

Par 100 posts (V.I.P)
MILK PRODUCTS LTD.,

Milk Products Ltd., is engaged in collecting, processing, and distributing milk and milk products in a large city in south India, Most of the products of the company are such that these have to be distributed on daily basis. The company has a crew of distributors who approach the fixed customers, both bulk buyers and individuals.Mr.K.Ramesh joined the crew of distributors after graduating in commerce. The distribution Manager was quite impressed by Mr. Ramesh but initially could not offer him a better job than that of a distributor. However, he promised to give him better opportunity whenever available. Mr.Ramesh joined gladly.

The distributors are employed on monthly salary basis. In order to ensure distribution of the products, the company has a provision of over time pay. Normally crew members work slowly in the beginning just to accumulated over time pay. The lace becomes hectic towards the end of the day with some over time to meet the distribution schedule. There is not group leader but there are several old timers who influence new comers regarding the work rules. Mr. Ramesh did not like this method of working but had to follow the group to be a good team mats. He gathered that over the years, the company had paid around sixty percent overtime unnecessarily

After a year impressed by the work of Mr.Ramesh and his overall suitability, the distribution manager offered him the position of distribution supervisor. The basic duty of the supervisor was to look after the distribution system and to develop new customers in a given area. Beside Ramesh, there were four other supervisors also. Ramesh was sure of making distribution system effective, as he was aware above the delaying tactics of the crew. He was quite sure about cutting the over time cost and impressing upon the distribution manger about his capability. He talked to the distribution manager about fixing the quota of work per day in two parts before lunch id after lunch. The distribution Manager felt convinced and introduced the systems. However the efficiency dropped down considerably and no crew member was near the target.

a) What were the reasons for the decreased efficiency in the new system?

b) Advise Mr.Ramesh and distribution manager about the future course of action.

hello friend,

Well, i found Dairy Technology - Processing of Milk and Milk Products and wanna share it with you and other's. So please download and check it.
 

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