I. Statement and description of cardinal issue ( 1 page ; 2 proceedingss ) II. Identification/description of options ( 2 pages ; 4 proceedingss ) III. Rationale for choice of best alternate ( 3 pages ; 6 proceedingss ) IV. Description of execution program ( 1 page ; 2 proceedingss ) V. Conclusion ( 1/2 page ; 1 minute )

Statement/description of cardinal issue
• Clearly provinces issue to be responded to with recommendations • Explains underlying tenseness to warrant why this is an issue • Cites instance facts as grounds to clear up why uncertainness requires attending Identification/description of options

• Presents feasible possible solutions to cardinal issue
• Explains how each proposed option will address/resolve cardinal issue Rationale for choice of best alternate
• Explains pros/cons of each option
• Explains why chosen option is preferred to others despite restrictions Analysis
• Uses facts and informations from instance suitably
• Uses appropriate techniques and models

December 10. 2012
Group 12H
Kaizer Budhwani
Chanwoo Lee
“Our nutrient is fresh. our clients are spoiled. Order on the web today and acquire next-day bringing of the best nutrient at the best monetary value. precisely the manner you want it. with 100 percent satisfaction guaranteed. ”

Section. I – Statement and description of cardinal issue

FreshDirect was launched in July 2001 and it offers over 5. 000 perishable merchandises and 3. 000 packaged goods through online shopping and bringing
service to more than 300 nothing codifications in New York City. Long Island. New Jersey. and Connecticut.

The cardinal issue for FreshDirect which came as the on-line food market retailing concern continued to maturate is environmental concerns. First. because of the conveyer packing system at the cardinal processing installation in Long Island. FreshDirect is forced to utilize tonss of composition board boxes to present the food markets. Produce came in on box. dry goods in another. and a individual tubing of toothpaste in its separate composition board bringing container. Although FreshDirect had transitioned to the usage of 100 per centum postconsumer recycled paper. the reusability of the composition board boxes is limited. There is no system of returning them to FreshDirect to be recycled.

Second. the extra fumes exhausts that FreshDirect trucks contribute to the urban atmosphere is an environmental issue. As the company relies on the cardinal processing installation in order to avoid expensive rent for a retail infinite. the company uses its owned refrigerated trucks which can keep 500 orders to present the goods to their customer’s doorsills and office parking tonss. When the minimal order is $ 30 and the company’s gross is $ 250 million. anyone can think how many trucks have been operated and produced exhaust exhausts.

Third. FreshDirect trucks double parked in busy metropolis streets had merely made the traffic congestion jobs worse. The trucks park in metropolis streets in order to present goods to each customer’s doorsills and it takes significant sum of clip. Section. II – Identification and description of options

In order to cut down the sum of composition board boxes use. FreshDirect can advance recycle system. Every clip when clients finish orders. the company emphasizes on the after-order page that if the client returns the composition board boxes. FreshDirect will give credits to the client for the following purchase price reduction. This publicity will increase customers’ consciousness of recyclability of the composition board boxes and promote them to return the boxes to a bringing agent.

Another option to the composition board boxes use is to utilize the current SAP fabrication package system to cut down the composition board boxes use. Alternatively of seting about everything individually. develop a package system that will calculate out the minimal figure of composition board boxes used to pack an order. This will cut down the composition board boxes use in the first topographic point.

In order to cut down the extra fumes exhausts that FreshDirect trucks contribute to the urban ambiance. FreshDirect will utilize electric trucks and intercrossed trucks that will devour less or no gas at all. With the recent electric and intercrossed auto motion. FreshDirect could acquire fund from authorities which will assist the company to purchase trucks needed.

Another option to the extra fumes exhausts is the company to construct partnerships with local retail shops to keep onto FreshDirect customers’ packaged goods. FreshDirect will pay handsome money to local retail merchants and clients will pay less on bringing charges due to the clients themselves picking up the goods at the local retail merchants. FreshDirect will run fewer paths and bring forth less exhaust exhausts since the bringing agent will drop off packaged goods in one topographic point.

In order to work out the traffic congestion jobs. FreshDirect will besides use the system of partnering with local retail merchants. Alternatively of the bringing truck parked on a metropolis street and delivers the goods to each customer’s houses. if the bringing is made at one topographic point. the truck will salvage some clip on bringing and it will cut down traffic congestion.

One option is alternatively of engaging merely a bringing individual at a minimal pay. engage experience bringing individual and develop them with high quality developing plan in order to accomplish faster and efficient bringing procedure. The bringing clip decrease will cut down traffic congestion.

Another option is to construct a partnership with bing bringing service companies such as FedEx or UPS. This partnership will cut down the figure of FreshDirect trucks running. If the goods don’t required refrigerating. so another bringing service company can present them and cut down traffic congestions.