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Kudler Fine Foods Problem

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Kudler Fine Foods Problem describes the problem that Kudler Fine Foods (KFF) is experiencing, defects causing the problem and the end vision if management realizes the opportunities. The owner of KFF has the majority of the responsibilities and a product line in which a high percentage of the perishable goods rotate out of inventory every two to three days creating a decrease in net income.
Once the problem is defined, KFF must identify the defects causing the problem. First, one must look for opportunities within the owners’ various responsibilities. The owner, Kathy, is the main management person handling the planning, organizing, leading, and controlling people for three stores. She handles purchasing and inventory. In addition, she is the accountant and financial planner. An important key opportunity is that the management team is small and lacks the right expertise. No contingency plan is in place for Kathy’s responsibilities. If she is out, none of the inventory orders take place or any major business decisions occur. A potential risk is the business could go under because there is no one to handle those responsibilities. Because she is doing so much, opportunities are overseen. She does not have the time to research and analyze to assist in being proactive for future endeavors. She is always in react mode. Several opportunities exist to explore the 12% of perishable goods removed from inventory every two to three business days. The inventory process is manual and must be automated to create efficiencies. Need to determine what perishable goods are not selling and is it different for each of the stores. The question needs to be asked if it is specific to a department and is it different dependent on the stores’ location. One must identify if each store should have different departments. After analysis of the opportunities, solutions are…...

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