1. Reducing New Product Stockouts atColes
You have been employed in the supply chain management organizationof Coles for the past two years. You are very excited when you areasked to join a team being formed to address serious inventorymanagement problems often associated with the introduction of newproducts. Too often, customers who make a trip to Coles to purchasea highly advertised new product are disappointed to find the storeis out of stock of that particular item. Such stockouts result inlost sales for both Coles and the product supplier and thepotential loss of customers as shoppers look elsewhere to find thenew product. The
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