IDEAS home Printed from https://ideas.repec.org/a/inm/orinte/v30y2000i6p1-16.html
   My bibliography  Save this article

Divide and Conquer: Rohm and Haas' Response to a Changing Specialty Chemicals Market

Author

Listed:
  • Anthony J. D' Alessandro

    (Rohm and Haas Company, 100 Independence Mall West, Philadelphia, Pennsylvania 19106)

  • Alok Baveja

    (School of Business, Rutgers University, Camden, New Jersey 08102)

Abstract

Rohm and Haas is caught between giant raw-material suppliers and powerful retailers at opposite ends of the supply chain. In the early 1990s, several new competitors entered the emulsions market, threatening the company's largest business unit, Polymers and Resins (P and R). P and R also faced increasing price pressure from customers and calls to improve the rate of return to corporate shareholders. In 1995, P and R formed a redesign team to examine its precepts. Over a three-year period, we aligned P and R operations around well-defined business policies, segregating products into make-to-stock and make-to-order supply channels, prioritizing customers, and serving nonstrategic customers through distributors. These changes saved millions of dollars, increased productive capacity, and transformed the business into a leaner, more disciplined operating unit.

Suggested Citation

  • Anthony J. D' Alessandro & Alok Baveja, 2000. "Divide and Conquer: Rohm and Haas' Response to a Changing Specialty Chemicals Market," Interfaces, INFORMS, vol. 30(6), pages 1-16, December.
    • Handle: RePEc:inm:orinte:v:30:y:2000:i:6:p:1-16
    DOI: 10.1287/inte.30.6.1.11627
    as

    Download full text from publisher

    File URL: http://dx.doi.org/10.1287/inte.30.6.1.11627
    Download Restriction: no
    File URL: https://libkey.io/10.1287/inte.30.6.1.11627?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Lambrecht, Marc R. & Chen, Shaoxiang & Vandaele, Nico J., 1996. "A lot sizing model with queueing delays: The issue of safety time," European Journal of Operational Research, Elsevier, vol. 89(2), pages 269-276, March.
    2. Charles R. Sox & L. Joseph Thomas & John O. McClain, 1997. "Coordinating Production and Inventory to Improve Service," Management Science, INFORMS, vol. 43(9), pages 1189-1197, September.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Olhager, Jan & Prajogo, Daniel I., 2012. "The impact of manufacturing and supply chain improvement initiatives: A survey comparing make-to-order and make-to-stock firms," Omega, Elsevier, vol. 40(2), pages 159-165, April.
    2. Lengu, D. & Syntetos, A.A. & Babai, M.Z., 2014. "Spare parts management: Linking distributional assumptions to demand classification," European Journal of Operational Research, Elsevier, vol. 235(3), pages 624-635.
    3. Brun, Alessandro & Zorzini, Marta, 2009. "Evaluation of product customization strategies through modularization and postponement," International Journal of Production Economics, Elsevier, vol. 120(1), pages 205-220, July.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Ananth V. Iyer & Apurva Jain, 2003. "The Logistics Impact of a Mixture of Order-Streams in a Manufacturer-Retailer System," Management Science, INFORMS, vol. 49(7), pages 890-906, July.
    2. James A. Rappold & John A. Muckstadt, 2000. "A computationally efficient approach for determining inventory levels in a capacitated multiechelon production‐distribution system," Naval Research Logistics (NRL), John Wiley & Sons, vol. 47(5), pages 377-398, August.
    3. S. Rajagopalan, 2002. "Make to Order or Make to Stock: Model and Application," Management Science, INFORMS, vol. 48(2), pages 241-256, February.
    4. Kim, Bowon, 2000. "Coordinating an innovation in supply chain management," European Journal of Operational Research, Elsevier, vol. 123(3), pages 568-584, June.
    5. Awi Federgruen & Ziv Katalan, 1999. "The Impact of Adding a Make-to-Order Item to a Make-to-Stock Production System," Management Science, INFORMS, vol. 45(7), pages 980-994, July.
    6. Beemsterboer, Bart & Land, Martin & Teunter, Ruud, 2016. "Hybrid MTO-MTS production planning: An explorative study," European Journal of Operational Research, Elsevier, vol. 248(2), pages 453-461.
    7. Nico J. Vandaele & Marc R. Lambrecht & Nicolas De Schuyter & Rony Cremmery, 2000. "Spicer Off-Highway Products Division-Brugge Improves its Lead-Time and Scheduling Performance," Interfaces, INFORMS, vol. 30(1), pages 83-95, February.
    8. Kuik, Roelof & Tielemans, Peter F. J., 1997. "Setup utilization as a performance indicator in production planning and control," International Journal of Production Economics, Elsevier, vol. 49(2), pages 175-182, April.
    9. Zhang, Zhe George & Kim, Ilhyung & Springer, Mark & Cai, Gangshu (George) & Yu, Yugang, 2013. "Dynamic pooling of make-to-stock and make-to-order operations," International Journal of Production Economics, Elsevier, vol. 144(1), pages 44-56.
    10. Lambrecht, Marc R. & Vandaele, Nico J., 1996. "A general approximation for the single product lot sizing model with queueing delays," European Journal of Operational Research, Elsevier, vol. 95(1), pages 73-88, November.
    11. Marc R. Lambrecht & Philip L. Ivens & Nico J. Vandaele, 1998. "ACLIPS: A Capacity and Lead Time Integrated Procedure for Scheduling," Management Science, INFORMS, vol. 44(11-Part-1), pages 1548-1561, November.
    12. Beemsterboer, Bart & Land, Martin & Teunter, Ruud, 2017. "Flexible lot sizing in hybrid make-to-order/make-to-stock production planning," European Journal of Operational Research, Elsevier, vol. 260(3), pages 1014-1023.
    13. Tang, Loon Ching & Lee, Loo Hay, 2005. "A simple recovery strategy for economic lot scheduling problem: A two-product case," International Journal of Production Economics, Elsevier, vol. 98(1), pages 97-107, October.
    14. Soylu, Ahu & Oruc, Cihan & Turkay, Metin & Fujita, Kaoru & Asakura, Tatsuyuki, 2006. "Synergy analysis of collaborative supply chain management in energy systems using multi-period MILP," European Journal of Operational Research, Elsevier, vol. 174(1), pages 387-403, October.
    15. Altendorfer, Klaus, 2015. "Influence of lot size and planned lead time on service level and inventory for a single-stage production system with advance demand information and random required lead times," International Journal of Production Economics, Elsevier, vol. 170(PB), pages 478-488.
    16. Boute, Robert N. & Disney, Stephen M. & Lambrecht, Marc R. & Houdt, Benny Van, 2014. "Coordinating lead times and safety stocks under autocorrelated demand," European Journal of Operational Research, Elsevier, vol. 232(1), pages 52-63.
    17. Sato, Yutaro & Maeda, Hiroyuki & Toshima, Ryusei & Nagasawa, Keisuke & Morikawa, Katsumi & Takahashi, Katsuhiko, 2023. "Switching decisions in a hybrid MTS/MTO production system comprising multiple machines considering setup," International Journal of Production Economics, Elsevier, vol. 263(C).
    18. Kuik, Roelof & Tielemans, Peter F. J., 1998. "Analysis of expected queueing delays for decision making in production planning," European Journal of Operational Research, Elsevier, vol. 110(3), pages 658-681, November.
    19. Akkerman, Renzo & van Donk, Dirk Pieter, 2007. "Product prioritization in a two-stage food production system with intermediate storage," International Journal of Production Economics, Elsevier, vol. 108(1-2), pages 43-53, July.
    20. S. Creemers & M. Lambrecht & N. Vandaele, 2007. "Queueing Models in Healthcare," Review of Business and Economic Literature, KU Leuven, Faculty of Economics and Business (FEB), Review of Business and Economic Literature, vol. 0(3), pages 471-498.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:inm:orinte:v:30:y:2000:i:6:p:1-16. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Asher (email available below). General contact details of provider: https://edirc.repec.org/data/inforea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.