The Case Challenge of Global College International

UG Cakes, featured in the Apsara Case Study, is a high-tech baking company operating under the Urban Girl brand, a leading e-commerce entity since 2014 in Nepal. UG Cakes began by collaborating with local bakeries for cake production and later established its own bakery in 2016. The company is recognized for its commitment to technological innovation in baking, offering services such as a mobile app for orders and utilizing technology in production.

The case study outlines several challenges faced by UG Cakes. Key issues include human resource management, the integration of innovation and technology, product diversification, and funding challenges. The company’s workforce largely comprises women from underprivileged communities, posing challenges in technology adoption due to varied skill levels. Additionally, UG Cakes’ diverse product range, including non-food items, creates complexities in management and market positioning.

Proposed solutions to these challenges include investing in targeted marketing campaigns, seeking new investors, increasing pick-up points, and focusing on core products to streamline the business model. The company is also advised to leverage its training programs to recruit skilled workers, offering competitive wages and benefits to attract and retain talent. Emphasis is placed on balancing technological integration with human resource development to ensure efficient operations and maintain product quality.

 

Kokroma, established in 2019 in Nepal, is a baby garment company known for its sustainable and ethical production practices. Using locally-sourced raw materials and natural dyes, Kokroma creates high-quality baby clothes that reflect Nepal’s cultural heritage. The company is also committed to empowering marginalized women, providing them with employment opportunities, and using Nepalese fiber produced by prisoners, contributing to their rehabilitation.

Kokroma faces several challenges: increasing raw material costs, poor quality of raw materials, a shortage of skilled operational employees, and a lack of effective marketing. These challenges affect production costs, product quality, production efficiency, and the company’s ability to reach new customers and increase sales.

To address these challenges, Kokroma can implement solutions like establishing long-term contracts with suppliers and seeking alternative sources of raw materials. Investing in inventory management systems can reduce waste and optimize material usage. Collaborating with a human resource management consultancy firm can help hire skilled operational employees, and investing in training and development programs for employees can improve efficiency. Additionally, increasing marketing efforts through digital advertising, influencer collaborations, and attending seminars can enhance visibility, attract new customers, and build the company’s reputation.

Foodmandu, established in 2010, is Nepal’s pioneer food delivery service. It has significantly impacted the Nepalese food industry by partnering with thousands of restaurants and food outlets in major cities like Kathmandu. Foodmandu has made it easy for people to order food online through its website and mobile app, offering a wide range of cuisine choices and efficient delivery services. Its success has spurred competition in the food delivery market in Nepal, where it remains a popular and trusted service.

However, Foodmandu faces several challenges. These include logistical complexities, such as traffic congestion and unfamiliar delivery areas leading to delays and incorrect orders, significant labor turnover, and growing competition in the food delivery industry. These issues impact Foodmandu’s ability to maintain its market position and customer satisfaction.

To address these challenges, Foodmandu plans to expand its grocery business, which is seeing increasing market demand. This expansion aims to broaden its customer base and increase revenue. Furthermore, the company intends to address delivery delays and dependence on restaurants by launching cloud kitchens. Foodmandu is also working on opening more than 100 new delivery rider positions to address manpower issues and is considering establishing a separate vendor management department due to increasing issues with restaurant partners, which affect customer experience.

 

As the winner of the Case Challenge of Global College International, Shrijan Dhakal made a fantastic presentation about the case and his personal reflection at the final meeting on December 2023, in Laos. Below is the presentation:

Burger House and CFC, founded in 2016, has become the largest fast food chain in Nepal. Specializing in burgers and crunchy chicken, the brand has expanded to over 148 outlets nationwide. Its rapid growth and affordable pricing have made it a leading name in Nepal’s fast food industry.

The company faces significant challenges in maintaining uniformity in taste across its outlets, despite using the same ingredients. This inconsistency has led to issues in brand value and customer satisfaction. Additionally, Burger House and CFC struggle with human resource management, particularly in franchise operations where recruitment is managed by franchise owners. Supply chain management also presents challenges, especially in ensuring timely delivery of fresh ingredients to various outlets.

To address these issues, some solutions were proposed. The company has categorized products as fast-moving and slow-moving, improving inventory management and supply chain efficiency. The management structure has been divided into two groups: the Restaurant group, focusing on ambiance and staff management, and the Burger House group, overseeing supply chain and production. The company is also enhancing software systems for better tracking and management of food preparation, aiming to standardize recipes and reduce waste.

 

Paicho Pasal Pvt. Ltd., established in 2014 by Durga Dutta Pant and Dhruba Neupane in Nepal, focuses on utilizing local farmers’ products to support organic agriculture and enhance market access for these products. The company’s model is based on bartering agricultural goods, aiming to fulfill urban demand for rural produce while supporting farmers along the value chain. The company faces challenges in credit management due to unrecovered debts from the pandemic, insufficient funds for expansion, supplier-related issues, and poor transportation infrastructure. To tackle these issues, some solutions were proposed such as:  improving retailer credit analysis, seeking alternative funding sources, assisting suppliers through educational programs, and exploring better transportation and infrastructure development. These strategic measures aim to address the company’s operational difficulties, improve supply chain efficiency, and ensure sustainable growth by enhancing the quality and accessibility of rural agricultural products in urban markets.