Integrated Case Study Analysis

This report analyzes the case study of Lea sun's digital transformation, identifying issues and proposing solutions to problems faced by the organization. The report recommends the adoption of a problem-solving model to select the best-fit solution.

Integrated Case Study
Analysis

Table of Contents
INTRODUCTION ..........................................................................................................................1
MAIN BODY...................................................................................................................................1
Description of the situation (Situation Analysis) ..................................................................1
Problem statement and Plan of analysis ................................................................................2
Current Positions faced by the organization...........................................................................6
Proposed Solution to Problem ...............................................................................................7
Recommendations and action plan ........................................................................................8
CONCLUSION................................................................................................................................9
REFERENCES .............................................................................................................................10
Appendices (Graphs, Charts and Financial Reports) ..........................................................12

Executive Summary: The present report is based upon the case study analysis and identifies the
issues, problems and challenges which are faced by the company. The entire analysis deals with
the introduction to the case study, description of the situation, plan of analysis, analysis and
findings, proposed solution to problem and related financial reports, data and documentation
used in the case study analysis.

INTRODUCTION
The Business basically involves the different activities of carrying out money with the
support of buying and producing of goods and services. The business plays a really important
part in improving the quality of life into two different parameters. It generally helps in offering
services and good quality food to the individuals. The current report basically focuses on case
study based on “Lea sun: Digital Transformation of a traditional canned food company”. In
reference to Leasun, the organization is planning to undertake a digital transformation in order to
increase the online sales. The company is very confuse regarding which direction to basically
follow. As per the viewpoint of some senior management team members, they suggested that
company should focus on transformation while the other individual suggested that digital supply
chain could be considered crucial. The organization has been facing the issues of inventory
backlog, rising labour costs and high promotional fees in large supermarkets. For the purpose to
deal with these issues, the company is focusing on online strategy as an opportunity to reach the
customers directly in order to sell their commodities. Moreover, the organization adopted digital
technologies for the purpose to store and collect data related to customer. Also with the support
of digital technologies, it played a really important role in overall improvement of internal
operation of Leasun and also reducing raw materials wastage. Also the company should focus on
two specific digital technologies for the purpose to improve the efficiency internally. The current
report will basically cover the discussion regarding the issues, problems and challenges faced by
the organization. Moreover, the report will cover analysis regarding the case situation and also
the findings and analysis. Furthermore, it will involve the application of the theories, models and
concepts and choosing a best fit solution from the available alternatives.
MAIN BODY
Description of the situation (Situation Analysis)
As per the case study, Leasun was basically the organization who was the first canned
food manufacturer who began its operations in Northeast China. The enterprise has been certified
internationally with the European Union's British Retail Consortium and also along with
International Food Standards. In the year 1999(Dakora and Rambe, 2022). The organization
transitioned from being an equipment manufacturer to independent branch. Also the organization
1

was the first who introduced 360 gram size for the canned products in the Chinese Market. Due
to company's inefficient process, it resulted in creating an inventory backlog at the organization.
Due to rising labour costs issues and high promotional fees, it resulted in becoming more
constraint. With the support of online strategy, it offered the company basically an opportunity to
reach out to the consumers in a direct manner. Also the organization adapted various digital
technologies for the objective to manage and collect customer data and also starting the data
mining process. Also in order to support the e-commerce business, the company redesigned and
developed its canned products which began in the year 2016(Troise and et.al, 2022). Moreover,
the company used digital technologies for the objective to store and collect customer data. With
the digital technologies, it played a really important role in overall improvement in the efficiency
related to reduction of raw materials and internal operation. Also the company focused on two
specific digital technologies which involved establishment of a new e-commerce website and
upgrading its enterprise resource planning system. Also for the aim to adopt the new digital
surroundings, the company revised its overall organizational structure. Furthermore, to support
the digital transition the organization has attracted a new segment of young and qualified
employees in order to operate its online channels (Diamante and Leavey, 2020).
Problem statement and Plan of analysis
As per the case study, the main issue is that to undertake a digital transformation in
response to the vast increase of online sales. Also the senior management team members
suggested that the customers should pay emphasis on future transformation. Another suggestion
involved digital supply chain(Annosi and et.al, 2021). The major problem was the inefficient
process of the organization which created an inventory backlog at the company. Also it lead to
other issues and problems such as rising labour costs and higher promotional fees. For the
objective to analyse the situation in a better manner it is very crucial to have deep understanding
about the issues in a deep manner and carrying out possible actions for the purpose to resolve the
issue in an effective way. It is very important for the company to take necessary steps in order to
resolve the issue. Moreover, it is very important to find out certain alternatives in order to find
out the best possible solution and choosing the best solution from the available options. Also
there are various techniques which can be taken into consideration for the purpose to analyse the
2

case study into effective manner. Also the company, in order to gather data can use documentary
analysis, observation techniques and experiments(Hartley and Sawaya, 2019). As per the case
study, in order to solve the issue and problems faced by the organization, there is a requirement
to use a Problem-solving model. The model basically comprises of ten steps which the team will
encounter and these steps could be defined into the following way:
S/N Functional Area of Study The
Problem/Issue
The Theory to Use
1 Inventory management In case of the
organization,
inventory backlog
is considered to
be the major
problem.
With the support of
human resource theory
and investing in
software.
2 Finance In reference to
the organization,
the company is
facing major
labour cost issues
which is resulting
in creating a
barrier for the
company to carry
out digital
transformation.
In order to solve the
issues benchmarking
will be used.
Define the Problem: At this step, the team members will identify the issue or problem in a
detailed manner. Once the problem is identified, further steps would be taken into consideration
in order to measure the outcomes. As per the case study, the main problem statement is that the
company is facing inventory backlog and rising labour costs issues which is creating a barrier for
the organization to undertake a digital transformation in response to the vast increase of online
sales(Bednarčíková and Repiská, 2021).
Measure the problem: Under this step, it is very crucial for the company to collect the baseline
data on the current process if they do not exists on the earlier basis. It is significant for the team
to collect the data and make a decision on how to collect the baseline data. If the data collection
3

takes place in timely manner than it is important to consider it under one month period of time.
In this manner, the standard control chart could be used. Also the data which is collected for less
than one month basically has a very limited usage. As per the case study, in order to analyse the
problem the company can consider the data through different sources including the trend, online
basis and newspapers which could be analysed through charts and bar graphs in a better
manner(Meister Burmann and Deiters, 2019).
Setting the goals: This step basically comprises of setting up of objectives which can be easily
measured and which could be easily evaluated by the team in order to proceed towards the end
objectives. As per the case study, it is important for the company to undertake a digital
transformation for the purpose to vast increase of online sales and to reach the consumers
directly to sell its products(Strategy, 2021).
Determining the root cause: At this step, it is important for the team to study the process. Also it
is crucial to determine to check if the process is in control or not in control. For any reason, if the
process is out of control then the team should highlight the special causes and moving further.
On the other hand if the process is in control then the team will need to take into consideration
the cause and effect analysis, experimental design formats and scatter plots in order to identify
the root causes available in the system producing common causes variation. As per the case
study, it is significant to find out the root cause of the digitalization. The major reason behind
creation of inventory backlog at Leasun was the complex regional divisions and vast geography
of China. Also due to rising labour costs and higher promotional fees in large supermarkets
resulting in creating issues in digital transformation of the company(Guinan, Parise and
Langowitz, 2019).
Selection of Best strategy: During this step, the company has to plan and brainstorm out the
possible solutions into a effective manner. At this step, it could be easily supported by the
benchmarking and Fish Bone diagrams. In order to solve the problem in a effective manner, it is
important for the company to either focus on future transformation or to focus on the digital
supply chain method(Taliangis, 2018).
4

Implementation of Strategy: At this stage, it basically involves development of an action plan
which further comprises of main objectives, time frame and when to implement the solution in a
effective manner (Ashmarina, Mesquita and Vochozka, 2020).
Evaluation of Results: For a team, it is very important to evaluate the most effective solution. As
per the case study, the organization has decided to undertake a digital transformation in response
to the vast increase of online sales. According to the suggestions provided by the senior
management, there are basically two options available for the organization which comprises of
paying emphasis on customers and making them the focus of future transformation. Another
option is to take into consideration the digital supply chain in its operations(Gong and Ribiere,
2021).
Implementation of appropriate changes in the process: At this step, it basically comprises of
ongoing process for the purpose to assure that the outcomes stay in place for the longer time
period. Such type of change happens when the problem is determined but the process or system
to keep the problem solved is not adopted in a successful manner(Watanabe and Takahashi,
2022).
Continuous Improvement: The concept of continuous improvement is basically considered as the
ongoing improvement of processes, products or services through breakthrough or incremental
improvements(Xu and Long, 2021).
Celebrate: It is basically the step which comprises of the disbanding of the team and the
recognition celebration(Sola, D’Angelo and Capo, 2021).
5

In such manner, the model could be applied for the purpose to find out the
solutions of the different problems into a practical manner with the right kind of approach. Such
type of model basically supports the parameters of the problem faced by the organization due to
which the model could not be properly applied. It becomes easier to find out the solutions in a
effective manner with the right kind of approach(Zhang, Li and Rajwani, 2022).
Current Positions faced by the organization
In context to the case study, the company has decided to basically consider the next steps
for the digital transformation of the company. In addition to that, the organization has decided to
undertake a digital transformation in response to the vast increase of online sales. In reference to
the company, it has began adopting cloud computing services, collection of relevant consumer
data, building a customer-centric online platform, installing online sales channels and adding its
own digital centre(Schoeman, Bick and Barnardo, 2021). With all these techniques, the
organization has become one of the leading Chinese brand of canned fruit for both the online
sales and traditional sales. In relation to the position in the market, the company began by
developing an e-commerce business and also establishing online sales channels. Also for the
objective to support the e-commerce business, the company redesigned and developed its canned
products. The organization totally paid emphasis on improving their taste of food and positioned
its products more like a leisure food. In addition to that, the company adopted digital
technologies in order to store and collect customer data. In the year 2017, the organization has
migrated from an old enterprise resource planning system to a better and more advanced e-
commerce management system(Jouanjean, 2019).
In the year 2020, the organization introduced a customer relationship management system
which established a better communication process with the customers and also integrating
interaction with consumers. Also the company became one of the exclusive canned good
supplier. The situation of COVID-19 pandemic affected the company's operations. Soon after
that the company resumed its operations in February 2020. Also with the gained experience and
effective use of resources during the time period of digital transformation, the organization
launched its live online broadcasting sessions acting as one of the best marketing strategy for the
company to achieve success(Al Mashalah and et.al, 2022). Despite the issues of COVID-19
6

pandemic and various business interruptions, the organization has recorded an increase in e-
commerce sales revenue in 2020. Moreover, in order to support its e-commerce business, the
company has redesigned and developed its canned products. The enterprise also focused on
upgrading its technology and production process to appeal the preferences by the consumers for
taste and spices(Venkatesh, Mathew and Singhal, 2019).
The company also focused on further adoption regarding the digital technologies in order
to store and collect data related to customers. Also the business adopted the data mining process
in order to gain meaning from the collected data(Turban, Pollard and Wood, 2021). Through
such technologies, the organization could improve the packaging and taste of its products leading
to boosting up the business value. With the support of data mining, the organisation was able to
identify the basic preference of consumers which comprises of regional trends, discounts and
specific products. The company used the information in order to offer value to the organization
also improving the packaging and taste of the commodities. In relation to Leasun, the digital
technologies played a really important role in overall improvement of the internal operation of
the company and also reducing the wastage of raw materials(Barrane and et.al, 2020).
In case of company, the organization pay emphasis on generally two specific digital
technologies which involved new e-commerce warehouse and upgradation of enterprise resource
planning system. When it comes to digital transformation, the human resource factors plays a
very important role(Agrawal and Khosla, 2021). In order to adapt the new digital environment,
the company revised its organizational structure. In order to provide support to the digital
transition, the organization attracted a new segment of young employees in order to operate the
online channel of companies(Mercier-Laurent, 2021). In the year 2020, the company was a long
established traditional canned food manufacturer. The organisation's managers realised that it is
important to focus on the company's digital transformation journey. As per the thoughts of other
team members that company suggested that the way of transforming digitally was basically with
the aim to create more value for the customers and which is the main reason why the company
should focus on improving its management of customer relationship(Achtenhagen and
Achtenhagen, 2019).
Proposed Solution to Problem
In context to Leasun, for the purpose to undertake the digital transformation in order to
boost the online sales, the team members belonging to the senior management suggested two
7

possible solutions. One is considering the consumers as the focus of future transformation and
the other is the implementation of supply chain(Melović Jocović and et.al, 2020).
In order to resolve the issue, the company conducted a extensive market research and
came to a conclusion that without adopting an online channel, it basically reached the ceiling in
revenue and sales. With the help of online strategy, the company could reach the consumers
directly to sell its products(Lichtenthaler, 2020). With the implementation of a direct-to-
consumer strategy, it could result in conducting a precise marketing based on accurate data
analysis, management of the large volume distributors, selling directly to the end consumers,
offering sufficient data information, enhancing the recognition of company and reduction in the
inventory backlog which caused due to unsold items. For years, the company is focusing on
building its brand, improving the capacity of operations and strengthening its production. In case
of Leasun, the organization basically opted for a lean digital transformation strategy and
identified urgent and important needs for the purpose of digital transformation in areas such as
management, product, strategies of business, production and service. Also the company started
its transformation process by keeping focus on digitalized internal operations and customer
oriented online platform(Garamendi-Colos and et.al, 2020).
Recommendations and action plan
In context to Organisation, it is important for the company to start building a digital
supply chain and management model. With the support of a effective management model and
digital supply chain, the organization could easily improve the capability of the organization to
collaborate with the suppliers and also enhancing the operational flexibility(Alexandre, Faria and
Providência, 2021). Moreover, it will help in reducing the costs and operational waste, overall
improvement assessment, providing a digital basis for decision making and delivering more
objective assessment results. It is also recommended to the organization to create more value for
the customers and focusing more on improving management of customer relationship(Rogers
and Euchner, 2022). Also it is recommended to the organization to implement a dynamic
corporate culture which will help in stimulating enthusiasm among the co-workers. In context to
action plan, it basically refers to as the detailed plan which basically outlines the actions which
are important for the purpose to reach towards more than one objectives. It basically comprises
8

of steps or various activities which are performed in order to perform in a better manner. In
reference to company, it is significant for the enterprise to work on certain parameters and
always looking for new opportunities which could support the company in transforming its
operations digitally.
CONCLUSION
From the above report, it can be concluded that digital transformation plays a very
important role for the company. For organization like Leasun, it is very important for the
company to adopt cloud computing, adding own digital centre, collection of right information,
building a customer-centric online platform and installing online sales channels. Through
implementing all these changes, the organization could become a leading Chinese Brand in
context to canned fruit for both its online and traditional sales. Also it helped in determining that
the inefficient process of the organization resulted in creating an inventory backlog at
organization. Moreover, the major of rising labour costs and higher promotional fees was also a
major issue for the company.
9

REFERENCES
Books and Journals
Achtenhagen, C. and Achtenhagen, L., 2019. The impact of digital technologies on vocational
education and training needs: An exploratory study in the German food industry. Education+
Training.
Agrawal, A. and Khosla, V., 2021. How artificial intelligence and the digital transformation
change business and society. Managing Digital Transformation: Understanding the Strategic
Process.
Al Mashalah, H., Hassini, E., Gunasekaran, A. and Bhatt, D., 2022. The impact of digital
transformation on supply chains through e-commerce: Literature review and a conceptual
framework. Transportation Research Part E: Logistics and Transportation Review, 165,
p.102837.
Alexandre, R., Faria, A.P. and Providência, B., 2021, November. Design attributes for the
development of digital solutions: an exploratory study from the perspective of professionals
connected to digital transformation. In International Conference on Design and Digital
Communication (pp. 287-295). Springer, Cham.
Annosi, M.C., Brunetta, F., Bimbo, F. and Kostoula, M., 2021. Digitalization within food supply
chains to prevent food waste. Drivers, barriers and collaboration practices. Industrial Marketing
Management, 93, pp.208-220.
Ashmarina, S., Mesquita, A. and Vochozka, M. eds., 2020. Digital Transformation of the
Economy: Challenges, Trends and New Opportunities. Springer International Publishing.
Barrane, F.Z., Ndubisi, N.O., Kamble, S., Karuranga, G.E. and Poulin, D., 2020. Building trust
in multi-stakeholder collaborations for new product development in the digital transformation
era. Benchmarking: An International Journal.
Bednarčíková, D. and Repiská, R., 2021. Digital Transformation in the Context of the European
Union and the Use of Digital Technologies as a Tool for Business Sustainability. In SHS Web of
Conferences (Vol. 115). EDP Sciences.
Dakora, E. and Rambe, P., 2022. The digital transformation of food and grocery retailing under
the covid-19 pandemic: a case of major South African retailers. The Retail and Marketing
Review, 18(1), pp.59-75.
Diamante, T. and Leavey, N., 2020. Leading Is Learning: Constant Change, Digital
Transformation, and Leadership Development.
Garamendi-Colos, V., Cano-Lazarte, M., Mamani-Macedo, N., Raymundo, C. and Dominguez,
F., 2020, July. Agile Inventory Management Model Under a Digital Transformation Approach
for Stockout Reduction in Chemical Industry’s MSE. In International Conference on Applied
Human Factors and Ergonomics (pp. 455-461). Springer, Cham.
10

Gong, C. and Ribiere, V., 2021. Developing a unified definition of digital
transformation. Technovation, 102, p.102217.
Guinan, P.J., Parise, S. and Langowitz, N., 2019. Creating an innovative digital project team:
Levers to enable digital transformation. Business Horizons, 62(6), pp.717-727.
Hartley, J.L. and Sawaya, W.J., 2019. Tortoise, not the hare: Digital transformation of supply
chain business processes. Business Horizons, 62(6), pp.707-715.
Jouanjean, M.A., 2019. Digital opportunities for trade in the agriculture and food sectors.
Lichtenthaler, U., 2020. Building blocks of successful digital transformation: Complementing
technology and market issues. International Journal of Innovation and Technology
Management, 17(01), p.2050004.
Meister, S., Burmann, A. and Deiters, W., 2019. Digital health innovation engineering: enabling
digital transformation in healthcare: introduction of an overall tracking and tracing at the Super
Hospital Aarhus Denmark. In Digitalization Cases (pp. 329-341). Springer, Cham.
Melović, B., Jocović, M., Dabić, M., Vulić, T.B. and Dudic, B., 2020. The impact of digital
transformation and digital marketing on the brand promotion, positioning and electronic business
in Montenegro. Technology in Society, 63, p.101425.
Mercier-Laurent, E., 2021, August. Greening and Smarting IT–Case of Digital Transformation.
In IFIP International Workshop on Artificial Intelligence for Knowledge Management (pp. 1-18).
Springer, Cham.
Rogers, D. and Euchner, J., 2022. Digital Transformation: An Interview with David Rogers Jim
Euchner talks with David Rogers about the ways digital technology is changing strategy and
what leaders can do to manage the pace and complexity of the digital world. Research-
Technology Management, 65(5), pp.11-17.
Schoeman, A., Bick, G. and Barnardo, C., 2021. Cape union mart: digital transformation and
customer experience during a crisis. Emerald Emerging Markets Case Studies.
Sola, E., D’Angelo, V. and Capo, F., 2021. Digital Transformation in the Energy
Industry. Handbook of Research on IoT, Digital Transformation, and the Future of Global
Marketing, p.97.
Strategy, A.K.Q.A., 2021. Consulting for digital transformation. Managing Digital
Transformation: Understanding the Strategic Process.
Taliangis, P., 2018. Digital transformation of the oil, gas and energy value chain. The APPEA
Journal, 58(2), pp.488-492.
Troise, C., Corvello, V., Ghobadian, A. and O'Regan, N., 2022. How can SMEs successfully
navigate VUCA environment: The role of agility in the digital transformation era. Technological
Forecasting and Social Change, 174, p.121227.
Turban, E., Pollard, C. and Wood, G., 2021. Information Technology for Management: Driving
Digital Transformation to Increase Local and Global Performance, Growth and Sustainability.
John Wiley & Sons.
11

Venkatesh, R., Mathew, L. and Singhal, T.K., 2019. Imperatives of business models and digital
transformation for digital services providers. International Journal of Business Data
Communications and Networking (IJBDCN), 15(1), pp.105-124.
Watanabe, Y. and Takahashi, T., 2022. The Digital Transformation of Health and Fitness Clubs
in Japan. In The Digital Transformation of the Fitness Sector: A Global Perspective (pp. 119-
126). Emerald Publishing Limited.
Xu, D. and Long, Y., 2021. The role of supply chain integration in the transformation of food
manufacturers: a case study from China. International Journal of Logistics Research and
Applications, 24(2), pp.198-212.
Zhang, B., Li, J. and Rajwani, T., 2022. Towards a Process Theory of Digital Transformation
through Mixed Ownership Reform. In Academy of Management Proceedings (Vol. 2022, No. 1,
p. 16991). Briarcliff Manor, NY 10510: Academy of Management.
Appendices (Graphs, Charts and Financial Reports)
12

13

14

15

16