This supplement is to accompany the case. Case (A) describes how a major player in the agricultural chemicals industry struggles to transform a fragmented group of newly acquired businesses into an integrated supply chain. The case highlights the firm's operational and organizational problems from the perspective of the European supply chain manager, whose primary objective is to streamline operations and cut costs.

Europal is a family-owned medium sized company supplying packaging logistics solutions to customers in Europe. The company originally focused on the manufacture and selling of corrugated board packaging, but decided in the year 2000 to grow from a mere vendor towards a trusted partner accommodating the packaging logistics needs of its customers. Daikin Europe, the leading manufacturer and seller of air conditioning units, was the first company with whom Europal Logistics developed a close partnership. Thanks to the success of its value-added partnership with Daikin Europe, Europal was able to acquire the confidence of various companies such as Atlas Copco, Barco, Baxter, Mutoh and Tyco, and roll out similar collaboration initiatives at these organisations.

This is the second of a two-case series (603-020-1 and 103-057-1). The (B) case focuses on the performance measurement tools that Sainsbury's has implemented to improve the efficiency and effectiveness of its supplier relations. It describes the internal information system that provides up-to-date performance data on suppliers as well as an Internet- enabled system aimed at sharing daily supply chain information with suppliers. The case also demonstrates how a performance assessment tool called the Global Scorecard helps Sainsbury's and its suppliers identify opportunities for jointly improving their interface. The teaching objectives are: (1) to illustrate state-of-the-art information systems aimed at measuring and managing supplier performance in a retail context, and (2) to discuss how retailers and suppliers can work together to improve the efficiency of their interface and strengthen their relationship.

This is the first of a two-case series (603-020-1 and 103-057-1). In 2000, under increasing competitive pressure from other major UK retailers, J Sainsbury's Supermarkets embarked on a radical transformation of its supply chain. The case study describes the challenges involved in rejuvenating the firm's supply chain infrastructure, systems, processes, and skill sets as part of an 'all-or-nothing' strategy to regain a leadership position in the marketplace. The teaching objectives are: (1) to learn about recent developments in supply chain configuration and information systems in the retail industry, and (2) to assess the opportunities and risks associated with major investments in supply chain restructuring.

This is a condensed version. In a maturing market, Hewlett-Packard's (HP) attention moved from Return on Sales to Return on Net Assets. Mismatches between demand and supply, aggrevated by a long supply chain, were a burden on profit. HP realised that conventional logistics costs (warehousing, inventories, transport) were only the tip of the iceberg. Hidden underneath were large costs due to price protection, material devaluation, returns and obsoletes (Inventory Driven Costs). Uncovering all true demand/supply mismatch costs allowed HP to redress the situation and restore competitiveness. The case aims to illustrate the strategic impact of supply chain management and the increasing cost of supply/demand mismatches. To enable sound decision making (eg in prioritising supply chain improvement projects), a clear link needs to be established between supply chain performance indicators and bottom-line impact.

This is part of a case series. The case briefly outlines the European strategy for a major player in the agricultural chemicals industry. This description provides the basis for developing a Balanced Scorecard program to help align the firm's European supply chain operations with the company's strategic goals. Case (B) is designed to allow students to develop some hands-on experience in building a balanced scorecard that addresses the supply chain issues discussed in the (A) case. The case demonstrates how a supply chain scorecard provides a framework for improving operational efficiency as well as long-term value creation.