Case Study of Kalon

Case Study of Kalon

Table of Content

Serial Number and Heading Page Number

1 .0 Introduction 02

2 .0 Case Study : Kalon 03

3 .0 Company Overview and Strategy 04

4 .0 Logistics 05

4 .1 Warehouse Management System 07

4 .2 Supply Chain Management 08

5 .0 Conclusion 10

6 .0 References 11

Introduction

There has been a drastic change in the way logistics operate today Today , logistics is about economics of scope than economics of scale What this means is that more and more

companies are now concerned about the scope for development rather than volume . Quality is what is foremost on the agenda of logistic operators

Business is characterized as evolving away from the earlier objective of single exchange transactions towards a long-term buyer-seller relationship of mutual benefit . These strategic relationships generate managed supply chains

Today , logistics involves the cooperation through economic networks for mutual benefits . In other words , individualism has given way to collectiveness . That 's right ! Logistics is about one roof . This way , companies manage their business with lesser work , less tracking and negotiations , and shared responsibilities What brought about this transformation ? Consumers that 's right Consumers today seek greater product variety at high quality level and obviously , reliability . Product availability is mandatory . Thus , the huge containers that used to carry high volumes of consignments have now been cut to size to accommodate quicker and easier handling , thereby accommodating faster and efficient services , plus continuity . In to attain such professionalism , global corporate houses have become centres of corporate structures , centred on the principles of co-operation and partnership outsourcing of logistics functions . Kalon is one among them

Globalization and outsourcing has opened new vistas for logistic operators in relatively all areas of operations , be it shipping lines forwarders , terminal operators , road haulers , or rail operators . The integration of these services under a single umbrella is what corporate managers seek today . Together , this integration provides new value-added services as an integrated package

2 .0 Case Study : Kalon

Kalon , the UK paint company , achieved impressive growth to become one of the major forces and one of the best financial performers in the UK paints industry in 1995 . Financial analysts attributed this success at least in part to efficient logistics systems which had produced benefits in terms of both costs and customer service . Kalon 's other key achievements had been to position itself very well in two key paint market sectors - the professional decorators ' market and the production of own label paints for leading retailers . Depressed trading conditions and strong competition in the late 1990s reduced the profitability of the company . This called for improved effort in logistics and corporate strategies to allow the company to grow rapidly , and at the same time maintain a highly professional , yet competitive logistic operational cost

Kalon 's success can be put down to astute acquisitions , a series of well-judged strategic decisions regarding the future direction of the business and efficient management , not least in the area of logistics To quote...