athishi case

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  • 8/8/2019 Athishi Case

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    Whats next for Athishi??

    At the end of the phone call Mr. Raj Verma, theproprietor of Athishi Pvt. Ltd. calls his assistant Rahul tohis cabin. On entering the cabin Rahul finds a beamingmanager facing him. What has happened Sir? Rahulasked. Guess what?" said Mr. Verma, "Today's day willgo down in the history of Athishi". Our most covetedambition has materialized. We have received a big orderof Starline King Distillery Company." " Incredible, "saidRahul, "with a client like King's we can move on withfurther growth of Athishi."

    Athishi Pvt. Ltd. is a reputed carton manufacturing

    company founded by Mr. Udhav Verma, the late father ofMr. Raj Verma. It was established on 5th November2003 having its plant located at the Verna IndustrialEstate in South Goa. It is a small-scale manufacturingunit, engaged in a single production line consisting ofseven machines providing a basic packing solution. The

    machinery involved are a cardboard feeder/corrugatingmachine, a gluing machine, an off-set printing machine,a slotting machine, a cutting machine, a stitchingmachine and a carton binding machine.

    Athishi Pvt.Ltd. has built a reputation for itself as avery reliable, competitive and customer friendlyenterprise and has been successfully conducting its

    business so far. The company's growth plans involvedsetting up a new production line, machinery of whichcoincidently was to arrive the very next day from Kumar& Co. Punjab, and installation would be complete withinthree days. This new production line would be ready foroperation immediately after that.

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    Starline King Distilleries is a respected twenty yearold bottling company located in Corlim Industrial Estate,

    Goa. It manufactures its own Liquor Products and alsohas tie-up arrangements with various leading liquorcompanies in India to manufacture their popular brands.Starline King Distilleries, having such a large distributionnetwork, expect their carton suppliers to be highlyprofessional and disciplined in their supplies anddisassociate themselves from suppliers who prove to beotherwise.

    On the historic date referred to by Mr. Raj Verma,Mr. Mehta, Purchase Manager of Starline King Distilleriestelephonically confirms a purchase order long awaited byAthishi Pvt. Ltd. A Purchase Order coming from such areputed company would take business operations to amuch higher level, hence all the excitement!!!! An order

    for 4000 cartons of 12"x 12" x12" dimensions was to besupplied within 10 days from the next date of thetelephonic order, door delivery. It was an opportunemoment for Athishi Pvt. Ltd. as Starline King Distillerswere on the lookout for an alternate supplier of cartonsas their presentsupplier was not abiding to their commitments.

    The management of Athishi decided to dedicate thenew production line solely to the order of Starline KingDistilleries and the existing production line wouldcontinue with the production for other orders. In thisway it would be possible to execute Mr. Mehta's orderand deliver the consignment door deliver at end of thestipulated period.

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    The machinery having arrived on the schedule datewas installed within the next three days by Kumar & Co.technicians, suppliers of the machinery. The newproduction line was ready for operation on the third daybeginning with Mr. Mehta's order, on single shift. Half anhour of operation and the production comes to a deadhalt. On checking the machinery the Foreman reports tothe Chief Mechanic who in turn discovers that possibly

    during installation some gaskets were missing hence itwas not possible to continue with operation. "This can'thappen!!!!" said a shocked Mr. Verma, when the chiefmechanic reported the incident. "We need to get theproduction in place and dont have much time, what dowe do??"

    Mr Verma immediately calls up Kumar & Co. who

    profusely apologize for such a drastic error and assuresthat their technicians would reach their plant withinthree days along with the parts and set things right.

    Mr. Raj Verma is in a very tight spot !!!!. He wouldlike to satisfactorily implement his commitment toStarline King Distilleries whose business orders wouldtake Athishi Pvt. Ltd. to new heights. He has to find asolution to deliver his new consignment within hisexisting production line.

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    Athira.K.ARashi Kumari

    SYBBAM.E.S College of Arts And Commerce