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LOGISTICS AND SUPPLY CHAIN

MANAGEMENT ASSIGNMENT
CASE STUDY

NAME- Ibrahim Kadiri


ROLL NO- BBA018087 [MARKETING]

Gucci the worlds leading brand has voluntarily launched its world
wide eco friendly programme to reduce the dependence on
materials and use 100% recyclable paper in packaging.
This 90 years old company during its 90th anniversary in 2011 has
taken this important action towards environmental responsibility.
The shopping bag is 100% recyclable and FSC(Forest Stewardship
Council) certified.
FSC certificate verifies that trees use to create paper bags and boxes
comes from well managed forest. All stages in production process
comply to FSC standards. In addition Gucci is also rationalizing its
packaging to limit the access for example shoes will be packed in one
flannel instead of 2.
Gift boxes will only be given out when requested. All Mannequin will
be replaced by 100% recyclable material.
Gucci took a leadership position in industry by voluntarily initiating
the process of certification for CSR (Corporate Social Responsibility).
1) State the fact and analyse the case?
ANS-
 Gucci is a eco-friendly company, it is coming up with certain
modifications on its 90th anniversary that is 2011.
 It will be using 100% recyclable paper for packaging.
 It is FSC certified.
 All the mannequins will be replaced by 100% recyclable
material.
 Gift boxes will be given as requested by customer
 Shoes will be packed in one flannel instead of two.
 It is trying to optimize all its activities as per the FSC
certification
 Gucci took a leadership position in industry by voluntarily
initiating the process of certification for CSR (corporate social
responsibility).

2) What are the advantages and disadvantages of


green logistics?
ANS-
Advantages-
 Reduced Utility Costs- Even small businesses can significantly
reduce their utility costs by using technologies that are energy
efficient and less wasteful.
 Decreased Environmental Impact- Recycling paper and using
longer-lasting products reduces the amount of energy needed
to produce replacement products.
 Improved Public Image- Include your green initiatives on
product packaging, ads and marketing materials to appeal to
consumers who prefer green products.
 It is eco-friendly and Causes less pollution. It is more efficient
process. It uses recyclable material so the wastages are less.
 Disadvantages-
 The material may not be available easily.
 Costs may rise in the short term and medium term due to
introduction of new technologies and practices.

3) what is green logistics? How does green logistics helps


an international brand like Gucci to sustain in the
global market?
ANS-
 Green logistics describes all attempts to measure and minimize
the ecological impact of logistics activities.
 This includes all activities of the forward and reverse flows of
products, information and services between the point of origin
and the point of consumption.
 It is the aim to create a sustainable company value using a
balance of economic and environmental efficiency. Green
logistics has its origin in the mid 1980s and was a concept to
characterize logistics systems and approaches that use
advanced technology and equipment to minimize
environmental damage during operations.
 The new packaging evokes perfectly the combination of Gucci’s
values and the traditions for which it has become renowned.

 Green logistics help an international brand like Gucci to


sustain in the global market-
In developed countries environment protection laws are very strict,
green logistics may help attract customers as it is eco-friendly
company. In developing countries people are price sensitive, they
can always adapt market segmentation, it can capture the upper
class people who are more image conscious.
4) How IT helps to achieve logistical objective?
ANS-
 There are many options for logistical companies that want to
implement logistics software for business. Most software has
been designed to work in specific industries. This helps the
business enhance its market focus, products, services, and
customer support.
 The digital age takes advantage of real-time information to
ensure that companies are cognizant of customer needs.
Information technology helps businesses know what specific
groups require and assists in identifying customer needs. 
 We can analyse our company through digital media, we can
have quotation on various suppliers and can compare it with
our own capability then finalize the place of order.
 Bar coding is a sequence of parallel lines of different thickness
with spaces in between. These bars are nothing but the items
of information in the codified form, which can be read with the
help of a scanner. The information printed in bar code includes
country code, manufacturer name, product details, date of
manufacture, material content etc. These details are required
at user end for inventory management.
 RFID has improved the ability of manufacturers to better
manage the inventory levels. It has improved the tracking,
logistics and planning operations.
 Demand forecasting, Analysing the data, data warehousing, can
be done with the help of right technology.

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