Read the following Case Study and answer the questions that follow.

Jenny Dolls

Jenny Dolls is a toy manufacturing company which is in the business for the past decade. The manufacturing unit and warehouse is situated in Tswane. Sales and marketing are spread over a large geographical area. Before the outbreak of the COVID-19 pandemic, the customers were situated around Mangaung and Cape Town. Sales and profits have decreased drastically. The company are now experiencing stockouts at its warehouse in Tswane, as well as poor service from its outsourced fleet company.

1. You have been tasked by management to develop a turnaround strategy for the company. You need to address the following matters:

• Alternatives regarding the current warehouse network design.
• Inventory optimisation.
• Cost considerations in utilising own vehicle fleet.

Remember to refer to evidence in the case study. Do not discuss only theory.

(35) Marks