Secret Squirrel Stationery Consulting Project

Secret Squirrel Stationery

Consulting Project

by ANNOX Consulting Group

Submission Date: Saturday, 4 June 2011

Unit of Study: TPTM 5001, Logistics and Supply Chain Management

FULL NAME

SID

Ornsiri Lertkiertdamrong

311077455

Narisara Tirawatanawit

311037550

Amolaya Kahasathien

311150262

Xuan Wu

310303893

Ningning Ye

311081169

Orn : 23 May 2010 added/changed financial Information (text in dark orange)

Goi: 23 May 2011 added/changed financial Information (text in purple)

Rebecca: 24 May 2011 added operation information of recommendation (text in green)

Executive summary

Table of contents

1 Introduction

2 Background of Secret Squirrel Stationary

2.1 Company Overview

Secret Squirrel Stationary is an international fashion stationary label from US. Its vision is to ‘create memory’ through its extensive range of products. The company in Melbourne is a subsidiary and owned by parent company in US. More specifically, Secret Squirrel in Melbourne is a distribution center for Australian market that source most products from its parent company and re-distribute through two main channels, retail outlets and party planners. The company generated net revenue of AUD$29.2 million in 2010 and is expected to increase to AUD$32 million in 2011, which equals to 15% market share in fashion stationary.

2.2 General Information

The company has vertical hierarchy structure (appendix) with four main departments, finance and administration, sales, marketing, and operation. Inventory planner and warehouse operators are under operation department. Despite having own warehouse and distribution center, the company currently outsource all logistics activity. Management meetings are schedule every two months, which, in fact, rarely happens. Employees are given bonus based on company performance. There are also additional commissions for sales and marketing personnels to encourage more sales.

As a subsidiary, budgets are...