...appeared to have limited insight on customer interest in Kentucky Swamp Brew and we also failed to properly coordinate with the brewery so they can have supplies on hand to meet projected and actual retail orders. Strategy: For product ordering, I employed a three phase strategy. The first phase was to order more products from KHBC Brewery then current retail order level so we would have inventory on hand to support increased orders, when the advertising efforts took effect. The second phase was to order products based on increased retail order level while adjusting the final order to compensate for brewery delivery in efficiencies. The third phase, towards the end of the Kentucky Swamp Brew sales campaign was to adjust ordering so excess inventory would be controlled. Results: From the attached excel product you will see that our ordering strategy was effective as we were able to stay up with customer demands, compensate for brewery inefficiencies, and then maintain backlog and minimize the bull-whip effect. Conclusion: The KHBC campaign was mildly successful. We observed positive, increased retail orders initially but after the brief advertising campaign, sales dropped off. Better customer research would have enabled us to better tap into this college age demographic (21-30 year olds). In the future I...
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...Supply Chain Management & E-Commerce Technology By Nachiappan Annamalai P.No: 2843-5431 Dept. of Industrial Engineering State University of New York at Buffalo [pic] Submitted in partial fulfillment of the requirement of CSE 712, "Seminar on E-Commerce," Spring Semester 2000 Instructor: Dr. Aidong Zhang, State University of New York at Buffalo Abstract: Technology improves day by day. What is the latest Technological trend today will eventually be an outdated one tomorrow. Man, ever since evolution has found new things and transformed himself from the Stone Age to an Age called the "Information Age". Now we live in a world where Information in the right sense at the right time and right place is what determines the economic success of nations. This Report presents a Comprehensive review of the fundamentals of Supply Chain Management and the various issues related to it. The Report also explains a few complex problems each entity in the Supply Chain faces and about the hardships that arise out of it. Finally the ways and means to tackle these issues are dealt with. It is at this stage that we find that We could solve all these complex issues through the latest cutting edge information technology tool called e-commerce. So the concluding part of the report presents how E-Commerce Technology can be used to tackle the complex problems in the Modern day Supply Chain. It provides examples of how these concepts that have been applied in various...
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...Supply Chain Management & E-Commerce Technology By Nachiappan Annamalai P.No: 2843-5431 Dept. of Industrial Engineering State University of New York at Buffalo Submitted in partial fulfillment of the requirement of CSE 712, "Seminar on E-Commerce," Spring Semester 2000 Instructor: Dr. Aidong Zhang, State University of New York at Buffalo Abstract: Technology improves day by day. What is the latest Technological trend today will eventually be an outdated one tomorrow. Man, ever since evolution has found new things and transformed himself from the Stone Age to an Age called the "Information Age". Now we live in a world where Information in the right sense at the right time and right place is what determines the economic success of nations. This Report presents a Comprehensive review of the fundamentals of Supply Chain Management and the various issues related to it. The Report also explains a few complex problems each entity in the Supply Chain faces and about the hardships that arise out of it. Finally the ways and means to tackle these issues are dealt with. It is at this stage that we find that We could solve all these complex issues through the latest cutting edge information technology tool called e-commerce. So the concluding part of the report presents how E-Commerce Technology can be used to tackle the complex problems in the Modern day Supply Chain. It provides examples of how these concepts that have been applied in various organizations...
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...Supply Chain Management & E-Commerce Technology By Nachiappan Annamalai P.No: 2843-5431 Dept. of Industrial Engineering State University of New York at Buffalo [pic] Submitted in partial fulfillment of the requirement of CSE 712, "Seminar on E-Commerce," Spring Semester 2000 Instructor: Dr. Aidong Zhang, State University of New York at Buffalo Abstract: Technology improves day by day. What is the latest Technological trend today will eventually be an outdated one tomorrow. Man, ever since evolution has found new things and transformed himself from the Stone Age to an Age called the "Information Age". Now we live in a world where Information in the right sense at the right time and right place is what determines the economic success of nations. This Report presents a Comprehensive review of the fundamentals of Supply Chain Management and the various issues related to it. The Report also explains a few complex problems each entity in the Supply Chain faces and about the hardships that arise out of it. Finally the ways and means to tackle these issues are dealt with. It is at this stage that we find that We could solve all these complex issues through the latest cutting edge information technology tool called e-commerce. So the concluding part of the report presents how E-Commerce Technology can be used to tackle the complex problems in the Modern day Supply Chain. It provides examples of how these concepts that have been applied in various...
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...------------------------------------------------- ------------------------------------------------- A Case study of Dell supply chain management Liu Xingrui 920514-7482 tml10xlu@student.hig.se Xiao Ziye 920801-6619 tml10zxo@student.hig.se Peng Yunyi 930204-9128 tml10ypg@student.hig.se Liu Siqi 921026-9628 tml10slu@student.hig.se Date Summary Dell’s supply chain is typical paragon among the computer manufacturing industry. The advantage of supply chain lead to a rather strong marketing performance for dell than it ever had been. This paper takes an overview of Dell’s supply chain and strategies used in supply development. Generally, three sections are involved in the analyses which are build-to-customer strategy, direct sale model and IT system. Build-to-customer strategy’s purpose is to give quick responsiveness from supplier to end of users to apply the customer diversification demands. Meanwhile combine with stronger IT system, information is highly sharing without enormous unnecessary intermediaries. Under the great execution of direct to sale model, JIT standard inventory control is obtained and supply efficiency is approved to handle the delivery time limit set Dell. SWOT analyze as the power tool to distinguish a company current situation. The result distinctively shows that despite the advantage of cost, there are still many opportunities as untapped market for Dell to exploit. But no matter how unpredictable the future would be...
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...Case study analysis on ‘Sport Obermeyer’ Sport Obermeyer is a US based manufacturer of fashion ski apparel industry, Parkas were their centrepiece. ANALYSIS 1. Inaccurate forecast of retailer’s demand Due to incorrect forecast the company is held with unsold merchandise which even the retailers wouldn’t purchase, and later the company sold those products at deep discounts which were often below their manufacturing cost, this caused bull whip effect. This resulted loss of sales revenue and further decline in market share. On the other hand, the company ran out of shortage of popular products. The company suffers from long lead time which magnifies bull whip effect, because of the supplier’s capacity constraints which makes it difficult to forecast. The company doesn’t include suppliers and retailers in their future forecasting process. 2. Difficulty in allocation of production between Hong Kong and China. Wally, observed quality and reliability in the operations of China, and lower labour cost. The labours in China weren’t highly skilled as that of Hong Kong which leads to longer production line in China .The plants in China required larger minimum quantities and there were quota restrictions on products by the U.S Government. Highly skilled labours of Hong Kong produce products much faster when compared to China. 3. Raw materials acquired from different countries increased the lead time. This should be avoided in order to implement efficiency in ordering process...
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...an activity may be outsourced, with the rest kept in-house Reasons to Outsource and the Resulting Benefits Drawbacks of Outsourcing • • • • • Layoff Hired back wages and benefits reduced Bypassing union contracts Noncore activities may become core Loss of competitive knowledge A Framework for Structuring Supplier Relationships Outlet: 10/F, World Interest Building, Kwun Tong, Kowloon, Tel: 22701263, make a phone call B4 you go Cisco Source: finance.yahoo.com Cisco In Trouble In 2001…… • Inventory cycle rose from 53.9 days to 88.3 days • Historical inventory write off in IT Biz USD 2.25 billion • Layoff 8500 staff • Steepest stock price drop Volatility Amplification in the Supply Chain: “The Bullwhip Effect” Customer Retailer Distributor Factory Tier 1 Supplier Equipment...
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...Flowers in the Attic Wendy Lupton ENG 225 Introduction to Film Jonathan Beller March 25, 2012 Flowers in the Attic Introduction The movie in this essay will be on the 1987 movie the Flowers in the Attic by Jeffrey Bloom. It is a movie where you will feel very suspenseful with all the drama that is happening to the children and what their mother does to stop it. Their grandmother treat’s them very awful when their mother is not home. Storytelling The story of the Flowers in the Attic is four children that fight to survive when slowly forgotten about by their mother played by Victoria Tennant. The mother of four children, who loses her husband and father of the kids, returns to her mother’s mysterious family mansion hoping to regain the love from her father to receive an inheritance. But when the children are imprisoned and abandoned by their evil grandmother, the children must find a way to survive a nightmare of brutal cruelty, forbidden passion and final shocking discovery that will shatter their innocence forever. The children consist of Chris, Cathy, and the two younger children, Cory and Carrie. Little do the children know, their mother has essentially given them over to their abusive, religiously-fanatical grandmother (played by Oscar winner Louise Fletcher), and they are locked away in the attic and kept there, while their health deteriorates and they are abused constantly. All the while, their evil mother conspires to receive the inheritance from her...
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...SUPPLY CHAIN NOTES CLASS 3 JAN 20 2016 ANSWER: B ANSWER: D ANSWER: C ANSWER: B ANSWER: A ANSWER: WE HAVE INCREASED DELIVERY TO STORES, COST ARE LIKELY TO HAVE GONE UP AND CUSTOMER SERVICE LEVELS UP. D. ANSWER: C ANSWER: E ANSWER: D ANSWER: A Answer: C Answer: D Raw materials purchased represents: well over 50% of sales for most major manufacturers. Answer: C Answer: D Total cost of ownership Bull Whip Effect: lack of synchronization among supply chain members, lack of communication. Disease is: variability moving upstream moving up to the supply chain. Antidote is communication coordination. ie: infrastructure Class 2 1/22/15 Supply Chain: Buy (Procurement/Purchasing) Make (Manufacture/Operations) Deliver (Logistics) Supply Chain multiple organizations that have internal value chains that link up to make external value chains. Effectiveness is getting to the goal and Efficiency is reaching the goal with less resources. Elements of supply chain is buy make deliver plus integration. Tier 1 has more value than Tier 3, true. Products flow downstream and money upstream and information flows upstream and downstream. Chapter 2 Good that are finished can be equipment, services, and maintenances. 2 categories: merchants and industrial buyers. Walmart would be merchants, all retailers are more into merchants, and Colgate would be industrial buyers. Supply management: find out sources of supply and buy them. Get the right stuff (access...
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...distribution system, determining order quantities was not easy. Orders swung wildly from week to week. * High Lead time- The average lead time was ten calendar days. Barilla product was shipped to the distributor eight days after the order was placed and ended fourteen days after the order was placed. Moreover the distributors’ sales volume varied all the time. Order batching has no minimum or maximum quantities and leads to problems of stock outs and backorders. * High Level of inventory- Miscalculation of ROP and safety stock. The standard deviation of 227 quintals in the weekly demand for Barilla dry products reflects the level of inventory that needs to be maintained. Thus there is increase in the inventory holding costs. * Bull whip effect- Due to the different levels in the entire distribution chain, the fluctuations in forecasting percolated through the entire process. This made demand swings a major issue for Barilla thus resulting in unmet expectations of the distributors and retailers. * More focus on DOs and not on GDs- Barilla sales representatives serving DOs spent an estimated 90% of their time working at the store level. In contrast, a very small sales force served the GDs. The sales force rarely visited the GD's warehouses and GDs usually sent their orders...
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...1) Compare and contrast the pre-1995 Lucent supply chain to the 1996-2000 supply chain with respect to the focus and structure of each. Identify what you believe to be the key factors that necessitated the changes that Lucent made. Did the changes make sense from a strategic perspective? In the pre 1995 Lucent’s supply chain, most of the Asian production was manufactured in Oklahoma City. The focus was on USA customers and business from Asia was not significant, therefore there were no manufacturing facilities set up in Asia. Lucent formed joint ventures with telecommunications-related companies across Asia to facilitate market entry into Asian markets. The focus was on the market entry strategy and not manufacturing. These joint ventures performed only final assembly and testing for customers in the countries in which the joint venture is located. The joint ventures had little or no production capabilities. However, for the 96-2000 supply chain, as there was huge growth of communications infrastructures in Asia, the Lucent also had to focus on Asia customers due to the amount of business opportunities. The manufacturing structure was changed such that custom engineering and manufacturing of Asian orders would be done in Taiwan. In addition, the joint ventures also manufacture their own circuit pack and outsourced the production of low volume level circuit packs. The ordering process was also different. In pre-95 supply chain, countries with local joint ventures...
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... Executive Summary: The Italian Pasta Manufacturer, Barilla SpA, is experiencing a tremendous impact of the BULL WHIP effect (Appendix 1) causing inefficiencies and increases in cost due to variability in demand from its distributors. Giorgio Magialli, the Director of Logistics, wants to implement a Just-In-Time Distribution (JITD) system to gain more control. The new system is untraditional and is being rejected by both distributors and Barilla's internal departments. I have reviewed the reasons for opposition and have made recommendations to gain support for the new JITD system. I feel that with proper implementation and some tweaks; Barilla can garner leverage in the near future and can outgrow the pangs of the newly launched system. Although the case focuses on domestic (Italy) distribution-related operational issues, the Barilla management team should define their operation strategy for the near future that covers both domestic and international markets in alignment of Barilla’s market vision. The operation strategy should identify the order of importance of the five KPIs, and explain management’s expectations clearly from operations. As per me, Barilla’s management team should order the KPIs as follows (most important to least); - Cost - Speed - Dependability - Flexibility – Quality. Statement of Issues: Barilla is experience an enhanced Bull Whip Effect. The main reasons for the fluctuations in demand are: Promotions: Barilla's...
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...Supply Chain Management According to APICS, a supply chain is a “Global network used to deliver products and services from raw materials to end customers through an engineered flow of information, physical distribution and cash.” The Basic Supply Chain consists of three units….Supplier, Producer and Customer Four basic flows connect these entities together: 1. The flow of physical materials and services from suppliers to producer to customer 2. The flow of cash from the customer back “upstream” toward the supplier 3. The flow of information back and forth along the chain 4. The reverse flow of products returned for repairs, recycling or disposal.(This is called reverse supply chain and is handled by reverse logistics.) Value Chain (Vs) Supply Chain A Value Chain can be any series of activities that increases the value of a product or service as it passes through stages of development and distribution before reaching the end user. Supply Chain is but one part of value Chain. In basic terms, your supply chain consists of your suppliers, your customers and of course, yourself—the producer. Your extended supply chain adds your supplier’s supplier and your customer’s customers to create your extended supply chain. In order to maximize your competitive advantage you need to strengthen your whole supply chain (the extended supply chain) and turn-it into a value chain. Converting supply chains into value chains is a powerful strategy. Supply chains consist of weak bonds and can be broken...
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...The Gap, H&M, and Benetton are the three most comparable competitors of Inditex. The most interesting company to compare with Inditex is The Gap. It has 5 times higher net operating revenues than Inditex in 2001. ROE measures a firm's efficiency at generating profits from every unit of shareholders' equity. However, comparisons between their ROE shows that The Gap incurred a -0.3% net loss while Inditex achieved a 22.9% return on investment. The case shows that The Gap outsourced more than 90% production while Zara has its own factories and half of its productions are kept in-house, which means The Gap has insufficient control over production and capital costs. That is to say, Inditex is much more profitable than The Gap and has a relatively better operating economics. Zara has several distinctive features in its business model that has affected its operating economics. Firstly, it manufactures most of its fashion sensitive products internally under a just-in-time manufacturing system. In order to control the manufacturing process and to allow information flow more smoothly, it centralizes its design and production facilities in its home office. It produces about 11,000 distinct items every year, compared with 2000- 4000 items for key competitors. They shipped these products twice a week to reduce its inventory holding costs. Its short cycle time reduces working capital intensity and facilitated continuous manufacture of new merchandize, even during the biannual sales periods...
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... and coffee-related retail items. These are considered “specialty items” (Store Products). Overarching responsibility includes Community, Ethical Sourcing, Environment, Diversity and Wellness. Global Responsibility includes an “All Hands” year in review on-line. Ethical Sourcing includes Coffee, Tea and Farmer support. Cost Sharing (Operations), provides discounts on wholesale prices. Contracts Starbucks Ethical practices when sourcing: Starbucks uses long-term contacts providing teaching and support to the farmers for the best quality organic beans. These agreements are usually fixed commitment; mixed long-term and flexible contacts for one time harvesting -- overages of beans are purchased from a farmer to avoid the bull-whip effect. (e.g., floods, freezes, drought or other catastrophic events). The farmers store the beans. Global Responsibility includes ethical sourcing of coffee, Tea and Farmer support. Environment stewardship means to recycle everything by establishing wells for farmers, and providing or conserving energy as needed; including all the materials from the foundation to the paper cups in a store. Community Involvement includes community service, creating jobs, and training the youth. From the environment to the partner to the farmer and their land there is a responsibility to ensure healthy living. By 2015, all partners will be providing organic bean; handpicked and are of the top quality beans in the world. Each...
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