TABLE OF CONTENTS
EXECUTIVE SUMMARY 1 INTRODUCTION 1 BUSINESS SITUATION 1 External Environment 2 Internal Environment 2 SUPPLY CHAIN DESIGN 4 Supply Chain Drivers 4 Assumptions, Factors and Uncertainties 6 SUPPLY CHAIN ASSESSMENT / ANALYSIS 6 Figure 6: Costs Savings from centralization 9 SUPPLY CHAIN STRATEGY 10 CONTINGENCIES 10 KEY PERFORMANCE INDICATORS 10 CONCLUSION 11 WORKS CITED 12
EXECUTIVE SUMMARY
Our objective is to analyze the distribution network in order to minimize annual system wide costs that subject to a 95% customer service level for ALKO. Integrated Minds considered a scenario approach and looked at net present values to factor inventory costs and quality over the planning horizon.
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The Distribution centers in the 5 regions order every 6 days using a periodic review while maintaining their safety stock levels to ensure a customer service level of 95% (Chopra, 323). External Environment
With many external factors affecting Alko it is important to assess these threats and look for areas of opportunity that allow for strength and improvement. First, Alko’s closest competitor has been offering new and redesigned products annually as well as adding direct shipping as an option to their customers. They have even begun offering two day shipping; something Alko is not currently capable of offering to their customers. Lightoiler has even been able to raise their prices after opening their new centralized warehouse (SCM 479, HW 4 Supplemental Information). However, Alko can use their competitions price increases to their advantage and look to becoming the low costs leaders with the potential to gain or at least maintain their market share. Their competition is by far their biggest threat but not to be forgotten is the number of defective products has been increasing from the inspection performed from the supplier deliveries, the inspections as the plants as well as the distribution centers. It has been recommended by quality to increase safety stock of items to account for the
IgG – funtions in neutralizing, opsonation, compliment activation, antibody dependent cell-mediated cytocity, neonatal immunity, and feedback inhibition of B-cells and found in the blood.
As a member of management Clive Jenkins is responsible for boosting employee morale to ensure that company goals are met
The applicants are morally correct as long as their action promotes their long term interest. If their action produces or will produce for them a greater outcome of good, versus evil in the long hall than any other alternative, than that action is the right one to act on, and the individual should take that to be a moral act. An Assessment of Morality by Ethicsinbusiness.net
Kim, W. Chan, and Renée Mauborgne. "Blue Ocean Strategy." Davidhenard.com. Harvard Business Review. Web. 22 Oct 2013. .
Case Study on Valpak Company background Valpak is a direct marketing company with their main office in St. Petersburg, Florida. They do digital and print advertising and sell coupons pertaining to the customer’s location with a wide network of local franchises. They also support apps for smartphones. Valpak is a large-scale company and has been in business for the past 48 years and is currently owned by Cox target media.
Inventory stratification also affects the ship and store segments of the 7S process group. With the knowledge that can be obtained from the data slow moving items can be removed from branch inventory and a Regional Distribution Center (RDC) may be implemented. This allows the branches to carry more A or B items, or simply to reduce their inventory cost. RDC’s are usually able to operate with less inventory by sales volume. Labor expense is also reduced driving profitability to the shareholders.
Nick Freitag, who is the current vice president of distribution, and also is the manager of the National Distribution Center, gave all the information for this paper to me. Before his current position, Nick was the director of distribution at Gildan from 2008 to January 2013. He also spent eight years as the vice president of distribution at Russell Corporation.
1. Table 8.1 shows results of an eight-center clinical trial to compare a drug to placebo for curing an infection. At each center, subjects were randomly assigned to two groups.
Akasha is Sanskrit in origin and it is derived from the word 'kas' or 'kash' which means to 'shine or radiate'. This word has many different meanings between Hinduism, Jainism, and Buddhism. For example in Hinduism, the word akasha is not just an element, but the basis for all other creations in the world. They do, however exclude the fifth element due to the fact that it cannot be perceived. It's direct translation is 'upper sky' or 'space'. In Jainism, akasha means 'space' and is divided into two parts inside the Ajiva category; the Loakasa which is occupied by the material world and the Aloakasa which is space beyond which is completely void and empty. Lastly, in Buddhism, they divide akasha between endless space, also known as ajatākasā,
We began our analysis by searching for bottlenecks that existed in the current system. It was easily identified that major issues existed in the ordering process. Without calculations, you could tell the reorder point was too low since the historical plots showed inventory levels at zero for two or more days at a time. The number of jobs in customer orders showed correlating spikes at the same time of the inventory outages. We reviewed the utilization and queues of the other stations in the system but were hesitant to make in immediate changes since we were not entirely certain the effects of correcting the inventory policy.
In the first scenario, an organization was seeking to hire a medical director. The company peruse through the resumes and came across a candidate who had an impressive work and educational background. After hiring the candidate, the organization decided to run a background search that should have been conducted prior to offering the position to the person. Unfortunately, the search showed that the candidate that the organization had chosen had a prior criminal conviction and had served seven years in prison. With a record such as this he would have been eliminated.
In my point of view, the problem from this case is whether Axeon NV pursue constructing the new manufacturing plant in the UK or manufacture the product (AR-42) in its existing plant in Netherland. This problem arises from the the proposal from UK Subsidiary (Hollandsworth) that become a matter of controversy as its projected profitability is questioned by management at Axeon’s headquarter. I analyze that there are three issues from this case: (1). Decentralization, since Axeon allows its subsidiaries’ manager considerable autonomy regarding what products to sell in their territories, however, in this case, Hollandsworth’s proposal seems to be rejected by Axeon, (2). Management behavior issues, facts in the case suggested that Mr van Leuven
13 distribution centers are actually increasing lead-time and delivery costs. In fact, very high inventory levels are lying at distribution centers. Annual inventory turn is 3.3 times.
Last thing is that, surveys have showed that, consumers think that, If products’ price is lower product has a lower quality. If there would be any decrease in prices, consumers feel that, this brand is not the best in market in terms of quality. But this issue is not problem for Industrial segment, but it is a problem for
From the As-is process, we can see that there are approximately 45,000 service orders each week across all branches; the volume of service orders per week is quite large. In order to maximize time and fuel efficiency, and also reduce the cost of