Supply Chain Integration at Teabox India
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Case Code: CLOM023 Case Length: 6 Pages Period: 2021 Pub Date: 2023 Teaching Note: Available |
Price: Rs.300 Organization: Teabox Industry: Food & Beverage Countries: India Themes: Supply Chain Management, Logistics & Supply Chain, |
Abstract
India-based online seller of tea, Teabox, was founded by Kausshal Dugarr (Dugarr) in 2012. Dugarr wanted to sell tea fresh rather than dried up tea. Usually, tea that was plucked from the tea gardens was dried, processed, and stored, and reached the consumers only after several months. Dugarr was looking at taking tea to the consumers directly from the growers. This called for an overhaul of the existing supply chain. Teabox disrupted the 200-year-old Indian tea industry and changed the tea supply chain from a long 5 step process to a leaner 2 step process. Teabox vertically integrated the tea manufacturing process and was directly involved from manufacturing the tea to selling it to customers. In the process, Teabox emerged as the only vertically integrated tea business in the world.
Issues
- Understand the benefits of supply chain integration
- Understand the supply chain of the Indian Tea industry
Introduction
India-based online seller of tea, Teabox, was founded by Kausshal Dugarr (Dugarr) in 2012. Dugarr wanted to sell the tea fresh and not after it was dried and packed into teabags, as was being sold in supermarkets. He said, “Tea is an agriculture product. You would not want your fruits and vegetables, six months, three months old, and if you are having it that old, it needs to be stored and preserved well. That meant rethinking the entire supply chain.”
Teabox disrupted the 200-year-old Indian tea industry and changed the tea supply chain from a long 5-step process to a leaner 2-step process.
Keywords
Teabox; lean supply chain; vertical integration; supply chain integration; supply chain overhaul; Farmers to consumers; supply chain disruption
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