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Low Customer Service A company produces and sells nearly 50 SKUs of various chocolate brands following a make-to-stock strategy. The total shelf-life ranges between 7-12

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Low Customer Service A company produces and sells nearly 50 SKUs of various chocolate brands following a make-to-stock strategy. The total shelf-life ranges between 7-12 months. The demand on these chocolate products is fast growing, and the company is having a hard time to keep up with this growth. Their customer service level over the last 6 months has been constantly below target due to continuous stockouts. These stockouts are the result of the fast growth in demand, and the company's limited capacity to produce the required quantities when needed. What is affecting their capacity is the available warehouse space that limits their ability to store larger production quantities. Their demand plan accuracy is not good either, which is aggravating the situation. What makes their position even harder is the short shelf life of their products, in which case producing too much may lead to expiries and write-offs, and this is also a problem as the company is trying to eliminate wastage and reduce cost. As a result of this situation, customer orders are being shorted frequently to an extent that cannot be tolerated anymore, and this is leading to increased customer frustration, loss of sales opportunity, and heavy customer fines. You have been assigned the task of looking into this challenge and suggesting solutions that could lead to desired improvements. Write a proposal to the company's management explaining your plan to address all the mentioned issues using tools, methods, recommendations, etc. to tackle every aspect and improve their inventory levels. Use your creativity, experience and understanding of the material (forecasting techniques, capacity planning, inventory cost, ABC classification, etc.) to create a feasible solution that could result in tangible benefits over the short and long term. 3. Tips for a Successful Assignment A. Planning i) Ensure that you are clear about the instructions and expectations for the assignment. ii) Ensure you understand the concepts focused by the assignment (and provided in the course materials). iii) Before you start composing your assignment, you may want to prepare an outline mapping out all the information you collected and how it fits in the assignment topics (and structure) you must cover. B. Pacing the work i) Estimate how much time you plan to allocate to planning, dratting, and revising your assignment. ii) In the planning phase, you may want to have a time interval between collecting and triaging information. This will ensure you will not rush in using information that may not be useful, or using it solely due to time constraints as opposed to the worth of its content. C. Organizing your assignment In addition to following the instructions, please ensure to spell check your assignment, check format, and the final visual appearance of your document

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