Case Study

The General Manager Sales requested assistance to explore the possibility of implementing category management in the company. The line manager asked to provide feedback on specific questions/situations that he feels will assist him to summarize a report to the management.

Instruction

Based on the above, it is are required to address the following in the report:

1. Require to provide background on category management and how it can benefit the organization.

2. Considering that the company specializes in the manufacturing of soft drinks, identify the goods and services which will classify as the Direct and In-Direct Categories. Its a must to also emphasize here the importance of spend analysis and how it can assist in the sourcing of both direct and indirect categories of goods and services.

3. Company continues to face pressure from the emerging competition, threats from new entrants, and strong supplier bargaining power. Using Porter's Five Forces model explain how Category Management can assist in mitigating the three challenges identified (emerging competition, threats from new entrants, and suppliers bargaining power.

4. Using the PESTEL analysis, identify at least three external factors that can impact the business considering that the company manufactures soft drinks which are targeted to children under 10 years, creates environmental uses such as using a plastic bottle, and is not very keen to invest in technology.

5. Also required to suggest on Category Management Model. Briefly describe the steps involved.

Report

a) Prepare a report focusing on the 5 questions listed above. This should be part of the findings.

b) In recommendations it is required to provide an over on the findings and from learnings provide the best way forward in Category Management.