Greaves Brewery Essay example

1119 Words Feb 18th, 2011 5 Pages
Executive Summary

Greaves Brewery is a growing beer operation based out of Trinidad. The purchasing manager for the brewery finds himself struggling in finding a balance between ordering enough bottles to support sales; yet minimizing over ordering to avoid issues associated with growth decelerating trend from an off year, continued impact from government excise tax, tourism, and growth of exports particularly the USA.
In addition to previously mentioned concerns ordering the right number of bottles would have to take into consideration the impact of storage limitations, erratic sales, and a looming bottle design change that once introduced will make the inventory of all bottles in storage regardless of new or used totally
…show more content…
Previous years that experienced a tax increase had shown a lingering effect on sales for the following two years after implementation. Primarily because one could not really be sure the full impact of the tax had been accepted by the market and the fact that beer prices were higher than the previous year with a lower tax and lower price point.

All options and markets were considered for beer bottler manufacturers. Unfortunately procuring the bottles locally wasn’t an option as local beer bottlers only manufactured clear glass and Greaves had an amber glass requirement. Greaves had a longtime German supplier they had been working with that met their needs and provided excellent service, but based on location and ordering requirements added more pressure to having an accurate forecast as quick turnarounds was neither feasible nor cost effective. On a positive note the German company did an excellent job with packing and shipping that breakage prior to filling was less than one percent.
Regarding the empty bottle flow process it was manual procedure, Greaves used reusable corrugated cardboard cases, and the facility had limited covered space; therefore leaving room for breakage. This could impact overall bottle supply regardless of how accurate the sales forecast ended up. In addition no one factually knew the exact turnaround time to recycle the bottles; this

Related Documents