Case Study Of Clover

2189 Words9 Pages
Clover takes lead when it comes to the South African dairy industry, it is the largest producer of commercial dairy products in the country. In this assignment, we give a brief discussion of Clover’s business profile which includes Clover’s background with a rich and successful history in the FMCG industry operating for over 117 to which the company’s labour force has contributed. The company’s business is discussed and its logistics system described. We also go into detail and explain the importance of logistics for Clover as an organisation in the FMCG industry with procurement, demand forecasting, distribution, and sales and merchandising playing a very important role in the organisation.

Company background
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Clover makes use of the latest technology such data inter change and electronic funds transfers to reduce the time it takes to process all orders, such technology assist in controlling their inventory levels and increase its customer service.
Due to the fact that most of the resources used and the products produced have a relatively short shelf life, they need to have access to high rotation system in place, clovers system is supported by an improved distribution chain.
All of the factors mentioned above indicate clearly that clove needs to use a logistics system that will enable them to get their products to the consumer in a time manner without being too costly and that can be implemented effectively.
As a result of these factors clover uses its truck to move raw inputs such as milk from point of origin to the factories as soon as possible due to the short shelf life of milk. The use of using trucks in the companies high rotation system does not end at factories as they are used through the entire supply
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It is quite evident that for Clover to succeed, logistics has to play an important role in the organisation. The organisation makes use of demand forecasting to determine production requirements, stock levels and deployment plans to ensure that customer demand is met at all times. Clover is currectly busy with enhanced S&OP facilitation which will contribute to better future demand planning, as well as implementation of state-of-the-art planning software to replace outdated tools that are currently

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