Scientific Glass, Inc.: Inventory Management Essay

Outsourcing the warehousing functions: In this option, all warehousing actions will be outsourced to Global Logistics (GL) and distribution will start from main warehouse at

In Tenessee Williams, The Glass Managerie, he took an almost obsessive-compulsive approach to his stage instructions. His directions call for a very detailed list of a ton of procedural props and directions in order to get the point across that this is a play based on memories, such as several of the scenes being set with various types of screens or gauze nets between the audience and the actors. In some parts, Williams called for titles or images to be projected onto the screen as a way to be sure, and almost force, the thoughts of Tom’s memories and to bring to mind specific events that happened during the part of the play. He went to great lengths to get his vision across. However, when the play is recreated, they are practically never used.

Big Daddy’s Glass and Detail Co. is one-stop shop for auto glass and auto detailing needs. They service Tulsa, Oklahoma and 14 of its surrounding areas. Big Daddy’s Glass and Detail Co. is serving Tulsa, Broken Arrow, Bixby, Wagoner, Coweta, Owasso, Collinsville, Sapulpa, Glenpool, Okmulgee, Sand Springs, Muskogee, Catoosa, Claremore, and all of Green Country. This establishment has mobile glass services. So if customers can’t make into the shop, Big Daddy’s Glass and Detail Co. comes to them.

In order to optimize their logistics, a company needs high flexibility and a way to achieve time and cost savings. Based in Cincinnati, OH, Commonwealth Inc. has established itself as the region’s preeminent storage and distribution center. With a network of warehouses throughout Ohio, the company is strategically well-positioned to help any business with their flow of goods.

Large companies are looking for ways to save on shipping costs, therefore we will revise our company's procedures for sending supplies

[1] Manzini, Riccardo, ed. Warehousing in the Global Supply Chain. London: London: Springer, 2012. Print.

In the following part, the total cost will be calculated for Option 1: Leasing more warehouse space in St. Louis itself and Option 2: Leasing warehouses all over the United States. The total cost for the next three years of both options included the facility cost, inventory holding cost and the UPS charges. In the calculation, we assumed that the inbound transportation costs of shipments from suppliers were stay the same for both options. Also, we assumed that the delivery is between warehouses to end users only. The transportation cost between warehouse to warehouse is not in the case.

To understand why companies are outsourcing their logistics operations, we must first define and understand what logistics and logistics management actually is, and what it actually does for a business. Logistics management, according to the course text, is “An approach that seeks efficiency of operations through the integration of all material acquisition, movement, and storage activities” (Heizer & Render, 2014, p. 444). It is part of the supply chain management system that addresses the shipping, receiving, and storage of goods and services. The goal of efficient logistics management is to “…obtain efficiency of operations through the integration

Moving products from manufacturing plants to warehouses, between international, national, and regional facilities and to distributors, can represent more than half of total logistics costs. Add international sourcing and final distribution to store or end customer, and those costs can rocket even higher.

Blanchard (2006) defined third party logistics as, “A single entity that coordinates all the logistics requirements for a given company/agency.” Today’s world business environment has become so competitive that companies in order to be successful in the market must deal with different resources for satisfying their customer need. In the past decade or so the competitive global market has made a big influence in the growing for external business. Third party logistics providers are more and more employing external companies for inventory management, transportation, warehousing, and other value added activities for customer services. Third party logistics ultimate goal is to provide a competitive advantage to the organization for which they are serving. According to Cardinal Logistics (2012), “Third-Party Logistics is an effective way to reduce operational costs, and allow a company to focus on their core competencies.

In the article, “Best Practices for Transporters and 3PL Service Provider”, it talks about the advantages and disadvantages of third-party logistics. It also talks about how the industry is growing now and in the future. Third-party logistics primary focus is on global expansion. Expansion in the marketplace that can have a greater impact in a company’s supply chain management function. Most businesses today choose to outsource a portion if not all of its logistics functions to third parties in the hope of achieving operational efficiencies within the supply chain area of operations. By doing this companies are able to place more focus on core business activities. Third-party logistics providers has the capability of taking

Third party logistics industry (3PL) also referred to as logistic outsourcing has become a thriving sector within the supply chain and logistics sector. As the world of logistics and supply chain management has grown so has the need for third party logistics providers to deliver comprehensive services to companies that are constantly looking for ways to stay competitive and innovative in order to improve processes, increase profits, and lower cost throughout their organization. Third party logistics providers have come to play a major role in helping companies meet those goals. As the demand for third party logistics providers increases it becomes even more important that they are able to both stay competitive among other third party logistic providers and exceed at meeting the needs of companies. The supply chain world is ever changing especially when it comes to technology which means that third party logistics providers have to be able to deliver the best and latest in technology to companies as well. As there is never a one fit all solution in the supply chain industry third party logistics providers have to be able to meet the organizational demand of their customers supply chain structure however complex and challenging it may be.

Inventories are those asset items which are either used for the production of goods to be sold or used directly for the purpose of sales. It is a major portion of current assets and thus there is need to do careful investment in the same. Different kind of companies has different forms of inventory. For example; a company that is into direct selling of readymade goods will have only merchandise inventory in their accounts while the manufacturing companies will have inventory in three forms i.e. raw materials, work in progress and the final or finished product. The inventory at different stages plays different roles like the raw materials are that inventory which is used for the production of goods for selling purpose. Work in progress is that inventory which is in production, i.e. goods in production for sale and the final or finished product is that inventory which is ready for sale .

Blanchard (2006) defined third party logistics as, “A single entity that coordinates all the logistics requirements for a given company/agency.” Today’s world business environment has become so competitive that companies in order to be successful in the market must deal with different resources for satisfying their customer need. In the past decade or so the competitive global market has made a big influence in the growing for external business. Third party logistics providers are more and more employing external companies for inventory

Today, if you walk into any of your favorite supper shopping center, whether it is Wal-Mart or Target and you scan through any section’s aisle, you are sure to find something that was made in a country other than the United States. Globalization has made the world a smaller place, and today a product that was made in Brazil yesterday, can be on a Wal-Mart shelf in the United States today. The biggest problem with globalization is not stocking the shelves, but getting the items to the customers who needs it in a timely manner. The task of accounting for, transporting, tracking, storing, and unloading all have to be done effectively and efficiently and at the same time still get the goods to the customers on time. It is obvious that