Part I. Backgrounds Study:
Headquartered in Hong Kong, Li & Fung Limited’s extensive global sourcing network covers more than 80 offices in more than 40 economies around the world. The global trading company supplies high-volume, time-sensitive consumer goods. Particularly, garments make up a large part of its business which also covers the sourcing of hard goods such as fashion accessories, furnishings, gifts, handicrafts, home products, promotional merchandise, toys, sporting goods and travel goods.
Li & Fung plays the role as a supply chain manager across many producers and countries, covering over 80 offices and over 13,000 employees in more than 40 economies across North America, Europe and Asia. They provide product design and
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Li & Fung Limited has engaged in export trading of many different kinds of both hardgoods and softgoods, such as fashion accessories, furnishings, gifts, handicrafts, toys, sporting goods and traveling goods (see Figure 3). If one of them becomes unpopular, they can easily shift their focus on the other goods. Then, it does not affect the company’s profit won’t be impacted by the drop in sales or consumer loyalty of one single goods. Figure 3: Diversity in Li & Fung’s multiple brands supply
5. Complete chain of service
In the past, Li & Fung used to do simple searching of products. For example, a customer wants product X, and then their task is to find a factory that can do that. Now, Li & Fung expand their business. It provides a complete and one-stop shopping service for customers, that means from product design and development; through raw material and factory sourcing, production planning and management, quality assurance, and export documentation; to shipping. All the process is processed by them and it brings more revenue to them
(see Figure 4 at the right). Figure 4 : Supply Chain
6. Advanced information system and management
Li & Fung has established sophisticated & Internet-based systems to link up all its business partners, including customers, producers, distributors, logistics service providers etc. The application
This review provides an in-depth strategic SWOT analysis of the company’s businesses and operations in the areas of internal strengths and weaknesses and external opportunities and threats. (Sector Publishing Intelligence)
Hup Seng’s products not only sell in the domestic market, they also export their products to over 25 countries such as Asia, Europe, America, and Africa and so on. For example, from year 2003 to year 2009, Hup Seng builds a profitable and successful business in the market. It will expand enterprise scale and meet more future demands in the market.
Esquel, one of the leading cotton-shirt-manufacturers in the world came from China and it supplies lots of clothing brand such as Banana Republic, Tommy Hilfiger, Hugo Boss, Brooks Brothers, Abercrombie and Fitch, Nike, Nordstrom and Lands’ End, in addition to private companies (Plunkett Research, Ltd.). However, due to the high demand of the US apparel stores for Chinese products, the low cost, which was the main reason why raw materials are being purchased from China, have increased. China’s competition is huge, with Vietnam, the Philippines, Malaysia and Sri Lanka also producing material at cheap prices (Plunkett Research, Ltd.). The US apparel stores can instead purchase from these other Asian countries. It is hard to determine the exact number of suppliers in this industry; but, in general, majority of them are in Asian countries that can provide low-cost raw materials to US-based apparel stores. Therefore, the US apparel stores may acquire higher net profi
Li & Fung is a long-standing Hong Kong based company that that has evolved from an export trading company to a coordinator of value-added services across the entire supply chain in a global, open manufacturing environment. They assess the clients’ product and delivery needs and orchestrate supply, manufacture and delivery in a very tailored and specialized way (Claremont Conversation Online, 2008). In the prevailing business environment, it has not been cost effective to trade with SMEs since production orders were below the factory minimums. Through the implementation of an internet portal, they have secured their position with the SME market while maintaining economies of scale.
With those roles, the R&D center should perform each role by meeting due date and reflecting requests from brand marketing teams. The R&D center should also make cost reduction and synergy effect within different products or brands, on reflecting that ULG restructured its organization by centralizing R&D capabilities.
For retailers, P&G has developed a sophisticated ordering application whereby retailers can now order via wired phone or wirelessly via a mobile
L.L.Bean’s supply chain faces numerous global challenges. These challenges are not unique to L.L.Bean and affect almost all players in the global marketplace. The first issue facing L.L.Bean is the continued volatility of customer demand for premium products. While US markets have shown strong economic recovery, other global markets are still battling recovery (Gyorey, Jochim, & Norton, 2010). This results in restrained global spending, a substantial challenge for L.L.Bean who distributes their catalogs to over 170 countries (“About L.L.Bean: Company Information”, 2015).
Truly, CG Company has followed the supply chain management process successfully. They implement some techniques and routines that allow them to stay in business. They also use the theory of constraint to manage every possible constraint. They are proactive in predicting and identifying issues and plan
PAC Resources, Inc. is a small manufacturing company that specializes in high-quality specialized components for computers. Recently the company has faced a number of issues involving depleting sales, employee unrest, poor management and employee relations, and a lack of HR support. Currently, there are several pending decisions to be solved involving the organization and the HR department, human resource development, safety and security, staffing, compensation and benefits, and employee relations. Ultimately, to resolve these problems the solutions will take account of a SWOT analysis of the company along with multiple sources, potential alternatives, and dissenting opinions as a guide to the best
This paper is reference to provide a draft of a complete research project. So, I provide details for car industry, specifically Al-Futtaim organization. I will analysis the SWOT for Al-Futtaim Company and I will show in issues and challenges. For that, I can found Suggestion for the research. Moreover, I will identify at least three relevant CLOs from semester 7 and 8. My organization for my research is Al-Futtaim Company. The company founder is Majid Al-Futtaim; he has many companies and projects like City Centers, hotels, Emirates Mall, Carrefour and others. I will talk about Al-Futtaim Company which is for cars. It is a big company in the UAE and they have many branches in GCC and Greater Middle East, Australasia, Africa, South East and North Asia and Europe. They established in 1930 until now and they are famous organization.
Andrews Corporation is a multimillion dollar company that was designed when the parent company was mandated by the SEC in a monopoly settlement. This action resulted in six smaller companies. Along with the other five companies when the government split a monopoly into identical competitors, Andrews manufactures and sells sensors in five diverse market segments. As a monopoly, operating inefficiencies and poor product offerings were not addressed because increasing costs could be passed onto customers. Secondly, mediocre products would sell because customers had no other choices. Although last year’s financial results were decent, it is now our job increase product sales, marketing strategies, efficient production, and proper financial management to achieve financial greatness.
The company consistently provides superior customer services to its clients before and after providing investment solutions (Invesco Ltd., 2013).
This organization developed and sold an inventory tagging technology which permits its customers to streamline their supply chains.
The shifts in the jeans manufacturer Levi Strauss’s global strategy could vividly demonstrate how global sourcing strategy works and affect its supply chain. At first, the company was created in the USA. As it developed and became a global company, they began to employ workers all over the world. However, in face of fierce competition, Levi Strauss started to shift its operation to lower-cost countries in the late 1980s. By the year 2003, Levi Strauss closed the last four plants in North American and ‘has become an entirely offshore producer’ (Dicken 2011 p.318). The German fashion company Hugo Boss also provides similar example. In face of high production cost, namely high labor cost in domestic market, more and more fashion retailers choose to outsource their production. Moreover, some fast
I feel that what helped them move along was the trust they had with the companies they were already dealing with because they had proved to them that they were more than capable and also focused on value and loyalty. The company put their customers first. They still believed in the old-economy know how. Another thing that made them stand above some of the others is when Li & Fung started to focus on the small and medium-sized enterprises (SMEs). This was decided after they did some market research. These smaller companies want the same options as the larger companies when ordering their products. Lifung.com allowed the smaller companies to at least get some options for customization unlike other online companies. Usually the smaller companies are not able to compete because they do not have the options to customize their product as much. By lifung.com being flexible and innovative it allowed them to reach even more businesses.