Vice President of Operations for unpaid Wood Company (Wood) was pleased with the introduction of new packaging systems for refrigerators and freezers (known as a "clear bag"). Despite some initial startup issues, the problems were solved, and the customers have even begun to praise timber changes. Thus, it was a surprise when Maytag refused to take delivery of clear product packaging, and instead notice the upcoming Wood insurance claims under their contract with the product damage. Tree filed all forms of product testing and approval prior to implementation with Maytag clear product packaging, but the warehouse Maytag distribution were not aware of the relevant requirements of processing. In addition, Maytag's largest customer were not made aware of the changes in circulation and was as unprepared. As a result, damage claims increased by more than 300 percent, and is expected to increase if something was not done quickly. "Hide
by David Wood Source: Richard Ivey School of Business Foundation 1 pages. Publication Date: September 3, 2010. Prod. #: 910D11-PDF-ENG
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