Executive Summary
The comprehensive document is an overview of Fastenal Canada LTD and how it relates to sales management.
The document first provides an introduction to the problem and company background of Fastenal, which includes a description of various views of Fastenal. It further goes into detail about the recommendations that relates to the two main parties involved, which are the customers and the company itself.
The document also includes an in-depth implementation plan, which is broken down into short, medium, and long-term tasks to accomplish. Through out the document there is a mention of the vendor managed inventory model (VMI). By using VMI, we were able to use a different approach to avoid risks associated with
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Customers are also able to check parts availability and prices, as well as place an order. However when PartStore was introduced there was some confusion with it. Creating a frustrating relationship between the customer and sales person.
Recommendations
Consignment Inventory
Consignment inventory usually involves the supplier, placing inventory at a customer’s location without getting rid of its ownership of the inventory. Since the owner retains the ownership of its products the customer does not pay until it is sold or used. However, before we examine how Fastenal can benefit from our proposed consignment program it is important to first examine some potential market of interest.
The City of Edmonton
According Edmonton’s 2012 budget report, almost all municipalities across Canada face a significant infrastructure deficit. Neighborhood renewal occurred periodically with funding from other orders of government, yet it failed to address the full life-cycle requirements of preventative maintenance, rehabilitation, and reconstruction. Over time, the condition of roads, sidewalks and sewers deteriorated, resulting in more frequent collapsed sewers, increased sidewalk hazards, and dramatically increased maintenance like pothole repairs. The Office of Infrastructure and Funding Strategy highlighted the need for ongoing funding for neighborhood infrastructure to overcome an anticipated $2.2 billion funding gap in neighborhood roads and related infrastructure.
Furthermore each operating office is required to develop a strategy and action plans to support the suppliers’ performance for continuous improvement and more important is that to bring the suppliers and theirs supply chain into line with the entire code. The codes of
In the past ten years there have been many infrastructure failures that make you wonder when the government will get serious about the issue at hand. Not paying attention to the condition of infrastructure has proven to
From an outsider’s perspective, the city of Sault Saint Marie, Ontario is not one that initially appears as being beautiful. As a result of the Algoma Steel Plant (the town’s primary industry), a pervasive scent of tar often paves the air and so, coats the lungs in the burning by-products of melted rubber. The persistence of long, harsh winters, courtesy of residing in the “True North” and along the banks of Lake Superior—where wind and water gush like spilled arteries over the land and sky—means that much of the Sault’s infrastructure has likewise melted with the frequent snowfall. This is prevalent in the sidewalks and roads which are in many places cracked, or in the process of doing so; they are like fissured wounds of asphalt that
Schenck, J., McInerney, J. 1998. Applying vendor-managed inventory to the apparel industry. Automat. I.D. News 14(6) 36-38
It identifies diverse procedures that lead to client contentment. It is used to depict development opportunities and is based on process modeling, performance measures, and best practice sharing. It helps the companies measure the flow of information and physical goods and consists of three levels, the scope and content of the supply chain ( level 1), the supply chain strategy is configured ( level 2) and aligning available and forecasted resources to meet expected demand (level 3).
Flood of the century or not, tech companies are taking steps to limit their exposure to the next traumatic event. Some are revising their inventory models; others are implementing supply chain software and setting up Web supplier hubs. Everyone wants tighter collaboration with suppliers and timelier information from customers. Tech companies are trying, in short, to make their supply chains shorter, transparent, and as flexible as possible. Rethinking of supply chain management at large networking, telecom equipment, PC and chipmakers is the remedy in this unstable
New York faces a various number of infrastructure issues, regardless of the neighborhood status quo. Many city roads, subways, bridges, water mains, sewer systems, school buildings, and other public buildings are over 50 years old. More than 200 of New York City’s public
Apply time, money, people and other resource involve in early supply and supplier to assure continuous availability at the lowest cost in strategy spend.
Chabot needs to increase the flexibility in its supply chain. Chabot is an innovative product manufacturer trying to utilize an efficient supply chain. In order to be able to meet demand, the company needs to deploy excess buffer capacity. Lead time is not up to par so Chabot needs to increase its inventory if it plans to meet unpredictable demand. This will also help increase Chabot’s level of
worldwide to serve the customers and is famous for the variety of products that it provides in the
Asset Management Parts Inventory Turnover in Days is higher than the industry average as a large proportion of parts must still be sourced from Asia due to lack of North American suppliers. Transportation raises the cost, and additional stock must be carried to guard against interruptions in the longer supply chain. This should improve in the future as the more local suppliers are developed and JIT principles are applied. WP Inventory Turnover in days is lower than industry average due to the modern, highly automated assembly line. FG Inventory Turnover in days is much lower than industry average due to the flexible nature of the assembly lines that allows it to quickly switch between the products. Also inventory can be delivered quickly
When offers of reduced pricing are accepted for equipment, meeting delivery expectations becomes an important part of enhancing the customer experience to maintain satisfied loyal customers. An inventory specialist in the current distribution center would be given the additional task of segregating and maintaining inventory levels to meet the needs of the customer loyalty department.
Our transportation system, quite arguably, may embody our most vital system, as Infrastructure and Democracy clarifies, “access is the hallmark of a great infrastructure” (Jones, Reinecke). By great contrast, our roads remain a current issue. 42 percent of America’s urban highways remain congested, costing the United States 101 billion dollars in wasted time and fuel each year. Also, the32 percent of roads, in poor or mediocre condition, cost the average traveler $324 per year (American Infrastructure Report Card). Unfortunately, updating the highway systems seems longer than it may seem, as the Government Accountability Office (GAO) estimates that from proposal to completion most highways will need nine to nineteen years to fix (Leduc, Wilson 129). In addition to the roads, our bridges are failing just as much. One of every nine bridges within the United States is categorized as structurally deficient. The average bridge 42 years old, and in order to eliminate the bridge renovation backlog, our country would need to invest twenty and a half billion dollars until 2028 (American Infrastructure Report Card). However, in 2013, the United States only invested 12.8 billion dollars in bridge reconstruction and repair (American Infrastructure Report Card). Also, our countries transit
For partners of ASOS, they generally go through the same production process as ASOS own-branded dress. However, they receive the order from ASOS and its merchandisers instead of consumers. It is an important process for ASOS as understanding the product lifecycle and stock level, they can plan the introduction and withdrawal of product. Also price can be adjusted accordingly with which sales are introduced during the decline period (The Times 100, NA). However, this supply chain requires a high collaboration of functions across supply chain (Fernie, 2009). The reason why ASOS can eliminate the traditional functions of a retail store is due to its well-managed supply chain, effective stock keeping system and fast-going logistic system (Meadows, 2007).
Vendor managed inventory (VMI) is a means of optimizing supply chain performance in which the manufacturer is responsible for maintaining the distributor's inventory levels. The manufacturer has access to the distributor's inventory data and is responsible for generating