Essay about Case 8-3 Isol -Global Value Chain Logistics Case Analysis

Katja Ruth and Constantine Moros sat facing each other in the empty conference room. Covering the table between them were the latest operational and financial figures from the supply chain optimization pilot Hugo Boss had been running in its global bodywear and hosiery Division.1 Ruth, the director of the division, agreed with Moros, the division’s head of operations and procurement, that the pilot had been a success—better product availability and lower inventory to sales ratios had been observed for the stock-keeping-units (SKUs) involved in it—but was not convinced that expansion of the initiative beyond

Improve inventory days. This is part of Horniman’s business; it is unclear whether the inventory can be improved, particularly if they are moving to more-mature plants. The analysis to make this trade-off is similar to that of the payables policy. One would divide the expected margin gain by the increase in inventory levels to compute a marginal return on capital. One additional level of concern is the substantial additional risk associated with increasing inventory when facing uncertainty with respect to the effects of interest rates and adverse weather.

After weighing the different options to improving the inadequacies of the TSC supply chain, we feel that a combination of both reducing the number of SKUs and reorganizing the direct shipments would help soften the demands of future growth the most. Before reducing the number of SKUs, It is important that TSC take into consideration which items offer the better gross margin return on investment (GMROI). In conjunction with knowing which items are more profitable and which items require the most inventory space in both the stores and the DC, TSC could start to eliminate inefficient SKUs. This does not mean eliminate a product offering altogether, if the company currently offers four different types of a single product, it would mean reducing the selection offered to customers. Increasing the number of products shipped directly to the stores would decrease the stress on the DC; however, TSC must take into consideration the stress of additional stores on the vendor shipping the product. TSC does not want the added stress to cause an increase in lead times, which could lead to more hole counts. That is why it would be important to systematically isolate the SKUs that require the most space in the DC, and focus on working with the vendors to reliably ship those products directly to the stores.Brad’s model predicts that the yard will reach max capacity as soon as next spring.

Generally speaking, there are many factors that need to be considered when a manufacturing business starts up, such as raw material supply, product distribution channel, the competitiveness between rivals, government policy, and capital raising. In this case analysis report, LorPel would be used as an example to illustrate why these factors are of great importance. In the following, the primary problem of LorPel will be identified and discussed based on the unique situation where it was operating.

One of the most developed in the world logistics systems is in the Netherlands: first place in the world on water logistics and fourth - on the air. The Netherlands is the land of opportunity and innovation. A constant stream of innovative solutions and technological improvement allows you not only to effectively conduct business in the Netherlands office, but also to introduce

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

The Just-in-Time Distribution was created to solve many difficulties that Barilla and their customers were facing. Barilla increasingly felt the effects of fluctuating demand. Orders for Barilla dry products often swung widely from week to week. With this demand variability, it strained Barilla’s manufacturing and logistics operations. Even though JITD was created to solve the problems they were having, many stakeholders did not agree with the program. Some manufacturing and logistics personnel would rather ask distributors or retailers to carry additional inventory to reduce the fluctuation in distributors’ orders even though with their current inventory levels, many distributors’ service levels to the retailers were unacceptable. Others

It is not only distance that causes replenishment lead-times to lengthen in global sourcing. It is the delays and variability caused by internal processes at both ends of the chain as well as the import/export procedures in between. The end result is longer ‘pipelines’ with more inventories in them with the consequent risks of obsolescence that arise.

Throughout history, the business community doesn’t necessarily think of a chemical, wholesale distributor, as having the ability to reach double-digit growth rates, all while revolutionizing the distribution process. But that is exactly what Cape Chemical has done. By offering “next day delivery,” the company was able to differentiate itself from its competitors and gain a significantly larger market share than those same adversaries. But with the new increase in demand, a lack of borrowing power, a very “loose” accounts payable collection system and a growing inventory pool, Cape Chemical ran into cash flow issues. Since they are running into cash flow issues now, even with double-digit growth

The Republic of Poland is a country whose vast and turbulent history created the country that exists today. Located in the center of Europe and surrounded by superpower countries such as Germany and Russia, Poland has experienced unimaginable tragedy but they have also reveled in their successes. Poland has managed to bounce back from a dark time in world history to become a thriving and stable country. The Lewis Globalworks Company has to keep several factors in mind when considering opening a production facility in an international location such as Poland. The company should take into account the country’s history, economic stability and growth as well as current events happening in Poland before they make a final decision to open a new production facility in Poland.

The concept of logistics involve planning, delivering and controlling, George Dixon's company is situated near to a busy port and agricultural areas, in addition, this company also bought a cold storage near to their location so they can take fully control over the flow of physical goods, marketing materials and information from the manufacturer to the market to meet the customers need.Keeping up an association's aggressive edge implies understanding and actualizing a viable advertising coordinations procedure with respect to product, price, place and promotion.

As discussed above, the company required a well-developed logistics set-up. In the analysis of the inbound and outbound logistics of the organisation, it can be seen that there is a huge emphasis on the subsidiary of Groupe Casino - Easydis, which is hugely responsible for carrying out the operations of the company and management of the procurement of the supplies and effectively delivering them the the concerned retail outlet at the required point of time.

One of the defining features of globalization is the clear line of separation which this has drawn between preferable venues for production and sensible outlets for retailing. The automobile industry is one sector which has been especially impacted by this dichotomy, primarily because of the high cost of its primary retail output and the need to reduce the costs which are required to deliver it to market. It is thus that auto manufacturers have increasingly used a specific set of determinants for where to locate factories or, alternately for destination countries in which to commission existing factory facilities.

As Avon was thinking of developing their business, they thought about merging their supply chain as a one efficient and optimal entity. The strategy had as a goal to double their income with the help of a wider market and a better supply chain. Consequently, Avon thought as an overall about different aspects of the supply chain such as the planning process, supply process, manufacturing process, and the distribution process. First, the strategy consisted in consolidating the two main factory plants in Germany and Poland, which has a goal of fulfilling the order for the new emerging markets using the low labor cost of those regions. The second strategy was the label postponement; this idea comes originally from that the product is common for all areas but the labels are specific to every region because of the

We have several logistics and supply chain management practices that increase the competitive advantage of a business. They include among others lean thinking, information quality, customer relations, strategic alliance and information sharing (Elizabeth, p.14). This section discusses lean thinking and customer relations in the manufacturing and retail markets respectively. The discussion is also based on a critical analysis of recent literature review in logistics and supply chain management.