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Group 5 Keith Hermes, Nathan Matroodnejad , Terence Alost , Ashley Miller Hall Schneider, Matthew Tro

Group 5 Keith Hermes, Nathan Matroodnejad , Terence Alost , Ashley Miller Hall Schneider, Matthew Troxler , Adrian Nikdast , Travis Clapp. FreshTec.

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Group 5 Keith Hermes, Nathan Matroodnejad , Terence Alost , Ashley Miller Hall Schneider, Matthew Tro

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  1. Group 5 Keith Hermes, Nathan Matroodnejad, Terence Alost , Ashley Miller Hall Schneider, Matthew Troxler, Adrian Nikdast, Travis Clapp
  2. FreshTec Began with Machado, he had a vision of reducing agricultural waste which made up a large portion of costs in the fresh produce industry. Machado had previously heard of Modified atmospheric packaging he believed that this new technology could revolutionize the logistics of the fresh produce industry.
  3. Central Problem The central problem is securing market acceptance of the SmartPac technology to a market which has not deviated away from static growing practices and standard packaging solutions.
  4. Goals and Objectives Implement Smart Pac into the domestic and global market. Improving the quality and safety of the fresh products to the end user. Reduce Carbon foot print of shipping Obtain and sustain significant competitive advantages in the industry through modernization
  5. Constraints High Costs Production capacity – Scale of operation i.e. Large volume orders are necessary for sustaining operations Influencing growers to change picking philosophy “Pick when ripe” Expanding the product’s use beyond high-end or luxury retailers will be difficult.
  6. Barriers to Entry Switching Costs customer switching costs supply-side economies of scale unequal entrance to distribution channels incumbency advantages independent of size
  7. Buy/Sell FreshTec would act as its own broker that would buy products direct from the farmer and resell to a retailer or wholesale food operator High cost constraints Production capacity Picking ripe philosophy – no buyer power Expanding the use beyond high-end retailer and luxury retailers
  8. Partnering with Farmers High costs constraint – this alternative is more difficult to overcome the constraint of high costs Production capacity – production would be limited Influencing growers picking philosophy – this can be done efficiently because we will be directly partnered with the farmers
  9. Partnering with Major Firm High costs – Deals with high costs constraint very well Production capacity – Deals with proiduction capacity very well Picking philosophy - Larger firms influence over growers will ensure compliance Expanding beyond high-end retailers – the effectiveness of this alternative to deal with this constraint will greatly rely on the performance of FreshTec throughout the implementation phase.
  10. Best Alternative Partnering with a major retailer To find a teammate with the capability of cooperating with a special project that can implement SmartPac into their existing logistical system to assist in bringing FreshTec’s operation to scale rapidly least amount of risk and cost in assuring implementation
  11. Implementation Step 1: Discussing partner options & initial production capacity options Step 2: Choose the best firm and next alternatives Step 3: Meet with purchasing agent for acceptance of bid and discussion of implementation into existing logistical systems. Step 4: Ensure production quantities and test for quality measures
  12. Implementation Step 5:Implementing training to every part of the supply chain Step 6: On-time Delivery Step 7:Monitoring operations
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