Producing on Real Demand in a High Efficient Industry

Producing on Real Demand – In a High Efficient Industry

- A Case Study at Tetra Pak Japan

Johanna Eckerwall Andreas Johnsson

Producing on Real Demand-In a High Efficient Industry

Copyright © Eckerwall, Johanna; Johnsson, Andreas

Department of Industrial Management and Logistics Lund Institute of Technology, Lund University Box 118 SE-22100 Lund Sweden

Department of Business Administration Lund School of Economics and Management, Lund University Box 7080 SE-22007 Lund Sweden

Master’s Thesis Technology Management - No 206/2010 ISSN 1651-0100 ISRN LUTVDG/TVTM--10/5206--/SE Printed in Sweden Wallin & Dalholm Lund 2010 I

Producing on Real Demand-In a High Efficient Industry

Abstract

Title: Authors: Tutors: Producing on Real Demand – In a High Efficient Industry Johanna Eckerwall and Andreas Johnsson Jens Hultman -Assistant Professor, Department of Business Administration, Lund School of Economics and Management Aki Matsuzaki-Business Control Manager, Supply Chain Division, Tetra Pak Japan Bertil Nilsson-Adjunct Assistant Professor, Department of Industrial Management and Logistics, Lund Institute of Technology Background: The production philosophy at Tetra Pak Japan is make-to-order. Although, in reality it is more make-to-stock due to the current pricing structure based on discounts for large volume orders. As a result, the inventory levels are high and the responsiveness towards customer demand is limited. Alongside, the marketplace is changing and the competition is increasing. This calls for a change in the supply chain structure. The question is whether it is possible to find a balance between bringing value to the customers and to Tetra Pak Japan. The purpose of this master’s thesis is to explore the possibilities of combining cost efficiency with responsiveness towards customer demands. This balance will be investigated through co-printing on real demand. The process has involved continuous movement between the empirical world and the...