Woodmere Case Study

...

However, time based strategy also brings many benefits for Woodmere. Firstly, Woodmere is using national carriers for shipment to interfacility and to customer. This carrier is applying time-based strategy in its business. Therefore, the collaboration with this carrier will create the chance to establish a strategic alliance in this industry

Secondly, currently, Woodmere needs to create new business relationship as its main alliance is in financial trouble (Bowersox et al 2013). HomeHelp has a great potential in future, especially when exhibiting this strategy. Therefore, co-operation with HomeHelp in setting up time-based strategy helps Woodmere share benefits with HomeHelp. One important detail we should attention is HomeHelp determined to do this strategy at any cost. Thus, if Woodmere does not take this chance, they may lose this attractive opportunity to its competitors.

Thirdly, HomeHelp is planning to enhance relationship with decorators and this group of customers is also target customer in future of Woodmere. Board of manager knows that Woodmere has been spent long time to build up and keep relationship with HomeHelp and it will be a huge lost if company lose those important customers.

Recommendation

It is recommended that Woodmere and HomeHelp take this investment into consideration as the initial fund requirement is 1 million dollar. Besides, continual technological upgrading is necessary.

In addition to, both companies must determine if their prospective partner in the project is operationally sound, to avoid a repeat of the Happy Home & Living “false sense of security” (Bowersox et al., 2013 p.437).

Conclusion

Time based logistics is the right strategy for both companies. This strategy appears to offer both companies a significant upside potential. HomeHelp will be able to offer more efficient service to customer. Woodmere will get an exclusive partnership with an emerging force in this industry. Both companies will be also to reduce inventories throughout the system. The proposal also creates a collaborative alliance and increased communications between HomeHelp and Woodmere and it brings upon an exclusive distribution arrangement for both companies. It is recommended that both companies should look at the financial aspect when performing this strategy. However, there is no reason to turn down this offer regarding to a promising scenario for both companies in the future after operating time-based logistics strategy.