ViewCase Study on Distribution at Hewlett PackardEven well-managed organizations do not always work as efficiently and effectively asmanagement would like. At Hewlett-Packard (HP), billions of dollars of product are beingshipped from computers and diagnostic devices to toner cartridges each year. Customerorders come in 24 hours a day, 365 days a year. Nearly 16,000 different products arerequested daily and have to be shipped from six different warehouses which are located 30 ormore miles apart. It often takes weeks to get the products into the customer's hand. This is aserious problem if customers have contracts with HP stating deliveries are to be made in three(3) business days, or less. That means that from the time a customer calls the HP customerservice line, they will have their replacement part and be back in operation within 72 hours orless, no matter where that customer is located. On average, delivery to customers takes 6+days. It is imperative that HP guarantee for delivery of products and services are followed toprotect their image, secure its position in the market place, increase its competitive advantageand its customers engagement. One of the characteristics that distinguishes an outstandingorganisation is the ability to know when problems need to be addressed and then to proceedto do something about it. The job of getting the deliveries made on time fell on the shouldersof HP's Distribution and Logistics Manager, Loretta Wilson who reports to the head of HP.For the execution of the project, Wilson needed a team that is dedicated solely to the project,away from their substantive duties who are ready to move at the drop of the hat, work longhours per day and willing to relocate for the sole purpose of the project. The selected teamwill be divorced from his/her substantive post and replacement added for the duration of theproject period. Wilson started brainstorming the team she needed to resolve the problem. Shebriefly spoke with the Directors of Operations, Planning, Communication and PR, who weresubject matter experts. They quickly assessed the situation and established their goals. Inessence, the team wanted to "find smarter and simpler ways to handle parts, at several timesin the distribution channel to meet delivery guarantee period." They concluded that a new,high tech facility was needed – one in which the distribution process could maximiseefficiencies, within a four hour turn around band. The team designed a 405,000 square footfacility hub and specified the precise equipment and layout of the operation and staff. Forexample, the distribution facility now has over two miles of conveyor belts that runconstantly. New sorting machines are capable of sorting over 75 pieces a minute enabling thecompany to process over 75,000 products each day. Inventory is stocked within minutes afterbeing received in the warehouse, rather than the nearly nine (9) days it previously took.Packing and creating are done with the assistance of robotics. Work stations for employeeshave been redesigned to reduce product handling. A special shipping dock is equipped so thatshipments can be held and their weight determined right up to the moment that FederalExpress backs up to the dock. The cargo is then immediately placed into the trucks and thedrivers are sent to the airport. Then, as the FedEx drivers head to the airport, they call in thecargo's weight on their cell phones and drive to a waiting aircraft and send the cargo off tothe customer. In addition, 16 warehouse locations were added, across US, serving all 52RFocusMacBook Air constantly. New sorting machines are capable of sorting over 75 pieces a minute enabling thecompany to process over 75,000 products each day. Inventory is stocked within minutes afterbeing received in the warehouse, rather than the nearly nine (9) days it previously took.Packing and creating are done with the assistance of robotics. Work stations for employeeshave been redesigned to reduce product handling. A special shipping dock is equipped so thatshipments can be held and their weight determined right up to the moment that FederalExpress backs up to the dock. The cargo is then immediately placed into the trucks and thedrivers are sent to the airport. Then, as the FedEx drivers head to the airport, they call in thecargo's weight on their cell phones and drive to a waiting aircraft and send the cargo off tothe customer. In addition, 16 warehouse locations were added, across US, serving all 52states. There was only one uncertainty remained to be considered and that was, should UPSbe engaged as a partner in the logistical framework?.1S1. Give four (4) reasons why you think a team was needed for the design of acomplex project like the distribution center for HP2. How would you classify the team in Question #1 andprovide two (2) reasons why thisselection chosen?3. Does your team believe that the advantages accrued from specialization are lost ordiminished when individuals from different specialties are put together on a team?Discuss, citing 4 reasons.4. Do you think Loretta Wilson's team achieved its objective? State two (2) reasons foryour conclusion.5. State two (2) additional benefits from the changes that could be derived that was notnamed or considered in the caseFocusMacBook Air000000DD

Question

ViewCase Study on Distribution at Hewlett PackardEven well-managed organizations do not always work as efficiently and effectively asmanagement would like. At Hewlett-Packard (HP), billions of dollars of product are beingshipped from computers and diagnostic devices to toner cartridges each year. Customerorders come in 24 hours a day, 365 days a year. Nearly 16,000 different products arerequested daily and have to be shipped from six different warehouses which are located 30 ormore miles apart. It often takes weeks to get the products into the customer's hand. This is aserious problem if customers have contracts with HP stating deliveries are to be made in three(3) business days, or less. That means that from the time a customer calls the HP customerservice line, they will have their replacement part and be back in operation within 72 hours orless, no matter where that customer is located. On average, delivery to customers takes 6+days. It is imperative that HP guarantee for delivery of products and services are followed toprotect their image, secure its position in the market place, increase its competitive advantageand its customers engagement. One of the characteristics that distinguishes an outstandingorganisation is the ability to know when problems need to be addressed and then to proceedto do something about it. The job of getting the deliveries made on time fell on the shouldersof HP's Distribution and Logistics Manager, Loretta Wilson who reports to the head of HP.For the execution of the project, Wilson needed a team that is dedicated solely to the project,away from their substantive duties who are ready to move at the drop of the hat, work longhours per day and willing to relocate for the sole purpose of the project. The selected teamwill be divorced from his/her substantive post and replacement added for the duration of theproject period. Wilson started brainstorming the team she needed to resolve the problem. Shebriefly spoke with the Directors of Operations, Planning, Communication and PR, who weresubject matter experts. They quickly assessed the situation and established their goals. Inessence, the team wanted to &#34;find smarter and simpler ways to handle parts, at several timesin the distribution channel to meet delivery guarantee period.&#34; They concluded that a new,high tech facility was needed – one in which the distribution process could maximiseefficiencies, within a four hour turn around band. The team designed a 405,000 square footfacility hub and specified the precise equipment and layout of the operation and staff. Forexample, the distribution facility now has over two miles of conveyor belts that runconstantly. New sorting machines are capable of sorting over 75 pieces a minute enabling thecompany to process over 75,000 products each day. Inventory is stocked within minutes afterbeing received in the warehouse, rather than the nearly nine (9) days it previously took.Packing and creating are done with the assistance of robotics. Work stations for employeeshave been redesigned to reduce product handling. A special shipping dock is equipped so thatshipments can be held and their weight determined right up to the moment that FederalExpress backs up to the dock. The cargo is then immediately placed into the trucks and thedrivers are sent to the airport. Then, as the FedEx drivers head to the airport, they call in thecargo's weight on their cell phones and drive to a waiting aircraft and send the cargo off tothe customer. In addition, 16 warehouse locations were added, across US, serving all 52RFocusMacBook Air constantly. New sorting machines are capable of sorting over 75 pieces a minute enabling thecompany to process over 75,000 products each day. Inventory is stocked within minutes afterbeing received in the warehouse, rather than the nearly nine (9) days it previously took.Packing and creating are done with the assistance of robotics. Work stations for employeeshave been redesigned to reduce product handling. A special shipping dock is equipped so thatshipments can be held and their weight determined right up to the moment that FederalExpress backs up to the dock. The cargo is then immediately placed into the trucks and thedrivers are sent to the airport. Then, as the FedEx drivers head to the airport, they call in thecargo's weight on their cell phones and drive to a waiting aircraft and send the cargo off tothe customer. In addition, 16 warehouse locations were added, across US, serving all 52states. There was only one uncertainty remained to be considered and that was, should UPSbe engaged as a partner in the logistical framework?.1S1. Give four (4) reasons why you think a team was needed for the design of acomplex project like the distribution center for HP2. How would you classify the team in Question #1 andprovide two (2) reasons why thisselection chosen?3. Does your team believe that the advantages accrued from specialization are lost ordiminished when individuals from different specialties are put together on a team?Discuss, citing 4 reasons.4. Do you think Loretta Wilson's team achieved its objective? State two (2) reasons foryour conclusion.5. State two (2) additional benefits from the changes that could be derived that was notnamed or considered in the caseFocusMacBook Air000000DD

Accepted Answer

Answer 1:
 
The team is expected to oversee and design the complex project because of the…