L’Oréal’s ACD supply chain puzzle: Diagnosing the root causes of underperformance
This case depicts an actual, real sequence of events in L’Oreal’s Active Cosmetics Supply Chain. The case provides an illustration of the challenges facing large, multi-national organizations in aligning their supply chain planning along several dimensions. The span of the planning is from customers in several markets to the centralized production at the single source factory. The framework for laying out the facts of the case is the senior operations management request to conduct a supply chain planning audit on the Active Cosmetics planning process. The audit request was a direct response to complaints regarding customer service levels by general management. The case begins by setting the narrative that sets the audit in motion. Key actors across the supply chain speak their voices through testimony to the auditor, who serves as protagonist in the story of the case. This vehicle permits the case to express different points of view with objectivity, allowing the reader to consider the validity of each actor’s behaviour using that actor’s perspective. The case ends with a challenge to the reader to finish what the narrator has started. Having seen the case through his eyes, the reader must now experience the rest of the story as the narrator experienced, and prepare their own analysis and presentation for senior management.
- To illustrate the organizational challenges in large, multinational teams, where information is difficult to disseminate, alignment is difficult to obtain and incentives can distort good intentions.
- To deepen understanding of the technical and managerial challenges of supply chain planning in a complex, multinational configuration.
- To learn how to transform an analysis into a coherent presentation for senior management.
L'Oréal, Consumer Goods
Cranfield University
Wharley End Beds MK43 0JR, UK
Tel +44 (0)1234 750903
Email [email protected]
Harvard Business School Publishing
60 Harvard Way, Boston MA 02163, USA
Tel (800) 545-7685 Tel (617)-783-7600
Fax (617) 783-7666
Email [email protected]
NUCB Business School
1-3-1 Nishiki Naka
Nagoya Aichi, Japan 460-0003
Tel +81 52 20 38 111
Email [email protected]
IMD retains all proprietary interests in its case studies and notes. Without prior written permission, IMD cases and notes may not be reproduced, used, translated, included in books or other publications, distributed in any form or by any means, stored in a database or in other retrieval systems. For additional copyright information related to case studies, please contact Case Services.
Research Information & Knowledge Hub for additional information on IMD publications
Alex Reinhardt was brought in to turn around a renewable-energy company that had been on the verge of bankruptcy until the German government bailed it out. After he fainted from overwork and burnout and had to take a medical leave, the board appoi...
The world’s second-largest economy will need to balance domestic reforms with its global ambitions as exporters brace for a new set of tariffs from US President-elect Donald Trump.
Did our predictions for 2024 come true, a turbulent election year, bitcoin and CBDC, COP29 and electric cars, China, EU integration and Euro football
Asia's economic landscape 2024 and 2025. Three distinct approaches: Japan's technology-driven revival amid demographic challenges, China's deflation and growth concerns, and India's manufacturing ambitions through foreign investment and strategic ...
You won't be able to understand how power operates in your unique context on your first day in the company, but it's highly achievable after about six months of closely observing the environment. You won't be able to understand how power operates ...
David Michels, CFO at Kinder Morgan, a US energy infrastructure company, explores how rapid AI and data center growth have quickly reshaped energy demand
Keeping healthy and prioritizing your emotional and physical well-being during Christmas and New Year is important to avoid burnout caused by the stress and pressure of the holiday season.
After a few false dawns, we could finally be on the eve of the quantum era – which means organizations need to start thinking about encryption now. Here's what you need to know. After a few false dawns, we could finally be on the eve of the quantu...
Based on extensive research conducted in the past several years at the International Institute for Management Development in Switzerland (IMD), Leading the Sustainable Business Transformation: A Playbook from IMD helps readers understand why susta...
Research Information & Knowledge Hub for additional information on IMD publications
Research Information & Knowledge Hub for additional information on IMD publications
Research Information & Knowledge Hub for additional information on IMD publications
in I by IMD
Research Information & Knowledge Hub for additional information on IMD publications
in I by IMD
Research Information & Knowledge Hub for additional information on IMD publications
Research Information & Knowledge Hub for additional information on IMD publications
in I by IMD
Research Information & Knowledge Hub for additional information on IMD publications
Research Information & Knowledge Hub for additional information on IMD publications
Research Information & Knowledge Hub for additional information on IMD publications
Research Information & Knowledge Hub for additional information on IMD publications