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The Universal Foods and Drinks Limited (UFDL)
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The Universal Foods and Drinks Limited (UFDL)

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CASE STUDY

 

UNIVERSAL FOODS AND DRINKS LIMITED (UFDL)

The Universal Foods and Drinks Limited (UFDL) is a company, manufacturing different types of packaged foods and drinks. The product range consists of more than 50 items and 200 packaging units. The company’s products are popular throughout the country and the company is known for its quality products.

The Universal Foods and Drinks Limited have processing plants in the various parts of the country like Jammu &Kashmir, Madhya Pradesh, Himachal Pradesh, Maharashtra and Kerala. It has a wide network of Distributors and dealers, who stock the UFDL products and deal with all the types of customers. The company through this network reaches to over 50,000 retail points in the urban and the rural markets.

            Some of the products of the UFDL are produced throughout the year and are sold through this wide network. Some products are seasonal in production but are sold throughout the year. And some products are popular in certain seasons and not in demand at all in the other seasons.

            The business performance of the company is assured good, if the UFDL produces the products as per the varying demand pattern of the customers. Since, the company has established its strength in the distribution dealer network, the success comes through the appropriate decisions in the purchase of fruits, vegetables, cereals and pulses and putting them through processing and packaging, and dispatching them to the various locations where the distributors are located.

            It is the policy of the company to launch each year at least one new product in the country. This policy has paid rich dividends, to the company in the terms of its image and the customers have always looked forward for such an announcement from the company’s end. The UDFL uses, well in advance, the different advertising media such as the newspaper, hoardings, magazines, sample tests and demos, T.V., etc. for announcing and promotion of its new products from time to time. However, the selection of the media is based on the product range and the targeted market segment.

            In spite of considerable strength in many aspects of business, the company has failed in the launching of new products. It was not able to meet the demand owing to the inadequate purchases of raw materials, the wastage of the raw materials as the processing plant of the company was not available due to its maintenance schedule or it was scheduled for some other food processing operation. The company also faces the problems of high seasonal inventory which, if not disposed of in time, becomes a non- moving and sometimes a non-saleable inventory.

            The UFDL has its Marketing Division headed by a Manager-Marketing supported by the Product Manager for a group of its products.

Q1. Suggest the different Decision support systems (DSS) which the management of UFDL may use for the strategic management of the business

Q2. Suggest the sources of information for the top management to support their decision-making, justifying its position in an MIS.

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