The process helped the team to align different businesses. The focus, for Clorox, is always on the
customer through value segmentation. Clorox is one of few companies to initiate and maintain value
chain mapping as a systemic program. It was initiated by a visionary leader and reinforced by GM
training and review programs. In this process, Clorox has been able to successfully manage the
rhythms and cycles of multiple businesses while maximizing scale. A true testimonial supply chain
agility driven by a visionary leader.
Managing Finished Goods Complexity Appliances within the kitchen today need to make a fashion statement. Increasingly it is about form
and function. It was in this world that World Kitchen
entered public markets with the spin-off from Corning in
1998. Today the Company operates as Corelle
Brands, LLC. This case study from 2004 outlines a
process to manage complexity and improve agility. The
process helped World Kitchen manage inventories
through bankruptcy filing in 2002.
World Kitchen's supply chain-- with significant
manufacturing and distribution operations throughout North America and Asia-- was complex.
Selling well-known brands including Bakers Secret, Chicago Cutlery, CorningWare, Corelle, EKco,
Pyrex, and Revere, the company sold products to mass retailers and specialty stores in the United
States and Canada with extreme demand volatility.
The issue? Product complexity. Product portfolio discipline was critical to the company turnaround. In
2002, World Kitchen implemented a disciplined process for managing item proliferation. In this
process, a cross-functional team composed of senior marketing, finance, sales, and supply chain
leaders reviewed all products in a systemic and disciplined process. The focus? The group worked
together to gain an understanding of the right fit of products with low volume and profit.
In the management of complexity, there are many good reasons for products with low volume and
profit to stay in the product line. Examples include micro-segmentation, a new release of a product for
a target market, or the release of a new platform. The key is management ownership and discipline to
manage the product portfolio.
In the World Kitchen Company turnaround, the product stayed in the product line market if the
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