...Kimberly Clark – Lean Logistics June 25, 2012 Executive Summary Organizations in today’s economy often include cost control or reduction in their overall strategies. Logistics is an area of increasing focus where internal and external costs affect the margins and customer demands require excellence of service. In distribution, selective, exclusive and intensive are three primary channels in which an organization must determine the best option in relation to products and customers. The Kimberly Clark Company provides an excellent example for today’s organizations with “a customer-oriented supply chain reorganization begun more than four years ago, K-C is improving distribution efficiencies, reducing transportation costs and shrinking its carbon footprint, while becoming an indispensable partner to retail customers” (Jamison, 2008, para.3). Technology and the Supply Chain Continuous advancements in technology offer new solutions to old problems in supply chain management as well as placing focus on the current needs of distribution in global markets. Real-time locations systems (RTLS) are among emerging technologies where “RFID is no longer considered an emerging technology. It is a proven solution with high value add and an increasingly attractive ROI, said Michael Liard, Director, AutoID for VDC Research Group.” (Zebra Technologies, 2012). Technology plays an important role in distribution where retail customers focus on inventory reduction...
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..."Search By Author" Comparing lean and agile logistics strategies: a case study Ruth Banomyong* & Nucharee Supatn Thammasat Business School Thammasat University BANGKOK 10200, THAILAND Abstract The purpose of this paper is to compare the effect of lean and agile strategies on the manufacturing process of an aquarium manufacturer. Numerous studies has demonstrated the benefits of lean and agile strategies in enhancing the competitiveness of firms but none has really discussed or compared how performance differed when utilizing either strategies. Lean strategy can reduce, or even eliminate waste in the production process but lean might not be able to respond to fluctuation in customer demand while agile strategy enhance the responsiveness of the manufacturer. The results of this research show that both strategies provide different types of impact for the manufacturer. The findings also suggest that the manufacturer should not select either a lean or agile strategy but rather to combine both strategies. Keywords: lean, agile, manufacturing strategy, case study, Thailand * Corresponding author. He can be contacted at: Banomyong@thammasat.net 1 Back to "Search By Author" Background The aquarium industry and in particular an aquarium manufacturer in Thailand has been chosen in this paper as the study object for the implementation of a lean strategy versus an agile strategy. The purpose of this paper is to compare the effect of lean and agile strategies on the manufacturing...
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...freight takes center stage Contents Snapshot The challenge The solution The rollout Issues encountered Results Logistics finally catches up with ‘lean’ 1 2 3 4 4 5 5 Share this case study Tweet about this case study Follow Viewlocity on Twitter Share this on Linkedin Connect to Viewlocity on Linkedin Share via email Inbound freight takes center stage | Page 1 Snapshot Ford Motor Company Key challenge To balance inbound freight costs for thousands of parts across hundreds of suppliers with the high frequency of deliveries needed to support just-in-time (JIT) automobile manufacturing. Solution Ford deployed the Inbound Planning Engine from Viewlocity Technologies that considers multiple factors and constraints necessary to meet lean manufacturing requirements at the lowest possible cost. Factors considered included: • • • • • • • • Load sequencing across suppliers Quantities per load Trailer capacity Load configuration Dock schedules and capacities Production schedules Target plant inventory levels Return of part containers to suppliers Upon consideration of all of these factors, the Viewlocity Inbound Planning Engine was used to determine the plan for the right quantity and delivery frequency for every part at the lowest possible cost. The Viewlocity Inbound Planning Engine was first employed by Ford Materials Planning and Logistics Group to support the launch of the company’s best selling F-150 pickup. Results Fewer transport miles, better trailer...
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...provided a service by logistic service providers within the supply chain which makes it necessary to formulate strategies (Davenport, Jarvenpa, & Beers, 1996). Logistics is a part of the supply chain, which plans, implements, and controls the efficient, effective forward and reverse flow and storage of goods, services, and related information between the point of origin and the point of consumption to meet the clients’ needs (Butterworth-Heinemann, 2004). A number of logistical strategies exist from company to company, each claiming to be more efficient, faster, and better than their competitors. Any logistical strategy should contain some common components that supports the company’s overall logistics strategy (Waters, 2003). An effective strategy can be established for any logistical situation utilizing these four components: Agile logistics, lean management, a good relationship with vendors and effective technology systems. Logistical Strategies within the Supply Chain Because supply chain strategy depends on the type of supply chain a company uses, the type of functional strategies chosen should complement the type of supply chain that the company is a member of (Langabeer and Rose, 2002). The purpose of this paper is to explore and expand on the identified components within the supply chain that can be used as a framework when developing a logistics strategy. This framework consists of four identified components: Agile logistics, lean manufacturing, and...
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...LOGISTICS is the function responsible for the flow of materials from suppliers into an organisation, through operations within the organisation, and then out to customers. Supply chain management, however, is about managing the flow of materials, components and information throughout the total pipeline from raw materials to end user, and is based on effective customer/supplier relationships to ensure quality, delivery, cost and flexibility can be improved throughout the supply chain. This integration will result in a reduction in the total cost of logistics rather than the cost of each activity. This is due to the improved flow of material and information, improved transport and warehouse asset utilisation and elimination of duplicated department efforts. Consequently this results in an improved capability to respond to customers ―Quick Response‖ needs. The goal is to improve customer service, save cost and increase revenues. to satisfy the end customer whilst achieving competitive advantage over any competitors through ensuring maximum efficiency and return. To respond more accurately to actual customer demand and keep inventory to a minimum (Pull System), leading companies have adopted a number of speed-to-market management techniques that help them to build a comprehensive supply chain structure, such as just in time (JIT), quick response (QR), efficient consumer response (ECR) and vendor managed inventory (VMI). There is a need to develop collaborative relationships...
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...ON-LINE DEGREE PROGRAMME MODULE: LOGISTICS AND INTERNATIONAL TRADE FACULTY MODERATOR: Dr Armin Zehtabchi STUDENT: RICHARD WALWASA ASSIGNMENT QUESTION WEEK 4: Question: Read the paper and evaluate the arguments put forward by Professor Christopher to arrive at a conclusion about what makes up the essential characteristics of effective logistics. What value does his thesis that there are 'three feasible pipeline designs' have for your industry or an industry you know? Introduction: In his paper, Professor Christopher, examines a number of arguments in an aim to come up with unique essential characteristics of an effective supply chain. He has discussed matching of pipelines to the market place needs under conditions of demand volatility and price pressure and thus discovers that the scenario of “one size fits all” does not apply to pipe line design, implementation and control. In his analysis of various researches from other authors, he suggests appropriate supply chain strategies that can be developed upon existing contingent market characteristics to achieve high level of customer responsiveness at a less total cost to the supply chain as a whole. He considers three key dimensions that may lead to a taxonomic approach to selection of the appropriate strategy with in a supply chain as: • Product characteristics • Demand characteristics • Replenishment lead time He marries together particular combinations of lean/agile operations and develops a taxonomy...
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...AHMED MOUSA Address: Apartment 2, 4th Floor, Building No. 5, Al Awqaf Buildings, Monshaat Al Qanater, Giza, Egypt. E-Mail: ahmed_mousa@hotmail.com Skype: a_mousa_83 Phone No: 002-01010804380 JOB OBJECTIVE Seeking middle level assignments in Supply Chain Management and Logistics Operations with a reputable organization. PROFILE SUMMARY • A performance driven professional with nearly 9 years of total experience including nearly 7 years in Purchase Management, Quality Control and Logistics Operations. • Currently associated with El Sewedy Electrometer, Hangzhou, China as Purchasing Manager. • Deft at gathering requirement and administering the sourcing & purchase operations for ensuring cost & time effectiveness of the processes. • Dexterous in ensuring availability and delivery of right quality materials at the right time, price and terms. • Adept at coordinating and following up with the stakeholders for facilitating smooth running of the operations. • Proficient at implementing stringent quality measures including preparation / maintenance of necessary documents to ensure compliance with the various standards & requirements. • Equipped with good project management skills coupled with the ability to identify issues, obtain mutual agreements and implement changes, as required. • An analytical thinker with exceptional communication, planning & problem solving skills. CORE COMPETENCIES Sourcing/Procurement/Purchase Management • Developing and implementing key strategies for...
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...Task 1 Using different supply chain measurement models and frameworks from the literature, critically identify and recommend the most important supply chain measures in each supply chain process for a maritime cargo logistics and transport organization. You are required to look at different supply chain processes and measures in the SCOR Models, and also use supply chain measurement models from …… Executive Summary The purpose of this assignment is to understand the usage of different measurement models to evaluate supply chain management. Besides that, understanding the interaction between quality and environmental sustainability is also a purpose of this assignment. The overall article will be separated into two parts. The first part will focus on the measurement of supply chain based on the SCOR model and Balance Scorecard. The second part will evaluate the possible pressure that MPA may face with in the future in order to analyze the balance of quality and environmental sustainability. From the first part of the article, there are four factors chosen as the most important measurements for the SCOR model. In the ‘Plan’ stage, forecast has been picked up for the main measurement for COSCO because forecast can help to balance the demand and supply; in the ‘Source’ stage, information management is the most important one to measure due to the importance of information availability for all the sources; in the ‘Deliver’ stage, delivery speed becomes the most suitable one to...
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...China 2015: Transportation and Logistics Strategies Leadership requires innovation, expansion and redesigned networks A s China’s economy grows, so grows its transportation and logistics industry. China is becoming a more mature and self-confident country and a driving force in the new global economic structure, and this is bringing new challenges and opportunities to the five sectors of the country’s transportation and logistics industry — express, road freight, air freight, contract logistics and international freight forwarding. How can Chinese companies improve the country’s transportation and logistics environment? Leadership in this industry requires innovation, expansion and redesigned networks. China’s extraordinary economic growth continues. Even as the global economy struggles to recover from the financial crisis, various statistics indicate that China’s economy has emerged resilient, with rapid growth expected to last into the foreseeable future. In this context, the transportation and logistics industry in China is also poised for major growth over the next five years, portending significant changes for its five main segments: express, road freight, air freight, contract logistics and international freight forwarding (see figure 1 on page 2). As the boundaries between these segments blur, consolidation will accelerate and network coverage and density will grow. At the same time, an increasing focus on sustainability will add new pressures to cost structures....
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...Barriers to ‘US style’ lean retailing: the case of Wal-Mart’s failure in Germany Susan Christophersonà Abstract Wal-Mart’s exit from the German market in 2006 after 10 years of attempting to achieve sustainable competitive advantage contributes an interesting case to the small but expanding literature on ‘failure’ in international investment. The work on the disinvest decision in all its forms has been critical to a re-conceptualization of the international investment process as dynamic rather than static, linear and inexorable. An important segment of the work on investment and disinvestment as dynamic processes focuses on the environment in which investment and disinvestment decisions evolve. While the environment of the host country market has begun to be examined, the market environment of the country in which the retail transnational corporation (TNC) originates also affects the international disinvestment process. To explore this ‘home country effect’, I examine the resources Wal-Mart brought into the German market and their ability to use those resources in the German context. WalMart’s resources were shaped by the market governance regime in which the firm evolved, and not insignificantly, over which it had and has influence. Within this theoretical frame, Wal-Mart’s reliance on the resources of network dominance and autonomous action that made for its success in the USA contributed to unsuccessful strategies in the German retailing market. Keywords: lean retailing, Wal-Mart...
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...Your Postgraduate Programme Learning Goals At the end of your programme of study you will have achieved the following goals: * Goal One: Be independent, reflective critical thinkers * Goal Two: Be culturally and ethically aware * Goal Three: Have developed leadership and management capability * Goal Four: Have developed and applied knowledge of international business and management theory * Goal Five: Have developed a range of research skills and project capabilities * Goal Six: (Specialist programmes only) Have developed specialist knowledge about the theory and practice of your programme of study All of the learning that takes place within modules is designed to enable you to achieve the above goals and your assessment tasks are mapped directly to these goals as outlined in each assessment brief. OUTLINE STUDY PLAN 2012/2013 | | Global Supply Chain Management MO0255 | S01 | Week | Lectures | Lecture Topic | Seminar | Recommended Reading | Directed study | 1 | Lecture 1 | Module Introduction | Making the groups of 4-5 studentsCase Study ReviewIntroduction to operation management (Operation Objectives in the Penang Mutiara Hotel) | Slack, N. (2010), sixth Edition, Chapter 2 | -Reading the TLP carefully-Reading stipulated chapters 1, 2 and 3 of the Slack, N. (2010). | | Lecture 2 | Introduction to Global Supply chain and management | | Slack, N. (2010), sixth Edition, Chapter 13 | -Evaluate the supply chain performance...
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...Master of Science in Logistics and Transport Management Master Degree Project No. 2011:72 Supervisor: Ove Krafft ACKNOWLEDGEMENT I would like to express my enormous gratitude and appreciation to all those who supported me and contributed to complete this thesis successfully throughout the entire research process. My special thanks go to the Logistics and Transport Research Group within Graduate School, the University of Gothenburg, for giving me the great opportunity to commence this thesis in the first instance. I am also thankful to my supervisor Ove Krafft, whose stimulating suggestions, guidance and encouragement helped me all the time in the research and writing process of this thesis. Special appreciation is further devoted to all the respondents in the interviews, for their openness and patience in taking time to answer the questions and providing me with relevant and essential information for my study. Without their contribution, it would have been inconceivable to make this thesis a success. Particular appreciation goes to Suning Appliance. In additional I am also grateful to my classmates in Master Programme of Science in Logistics and Transport Management, especially those who opposed on my work and posed their constructive suggestions for further improvements of this thesis. Last but not least, I would like to give my immense thanks to my family for their love and patience. Göteborg, May 2011 Wei Yin I Master Degree Project in Logistics and Transport Management...
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...adapted to the recession than Gap’s because of its lean inventory system. Firstly, the lean system allows Zara to offer a much more up to date line of fashions. With its lean inventory and its fast and effective logistics system, Zara is able to avoid the profit damaging markdowns that Gap constantly battles with due to its high inventories. Gap struggles in this aspect since they have large inventories and are forced to store much of their inventory in warehouses. This forces Gap to offer generic products that are less susceptible to changes in customer demands. The lean system that Zara practices also enables the company to quickly and easily adjust to seasonal fads and fashions that continuously occur in this industry. From the article it sounds like Zara practices an international strategy. Zara focuses on centralizing its core activity of providing the most up to date fashions at a low cost, and decentralizing its operation. Zara has effective mechanisms for diffusion and adaptation, which are the required assets and capabilities for this strategy. Discussion Question 2: By the same token, what kinds of business conditions might expose hidden weaknesses in Zara's business model? The article mentions the issue of Zara's complexity. When would this or other aspects of Zara's business model become strategic liabilities? Overall, what should Zara worry most about beyond the current business cycle? By having a lean inventory system, conditions of higher than expected...
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...Thailand is an export-dependent country. The Thai economy relies mainly on its products’ quality, manufacturing efficiency, and logistics competence. Moreover, ASEAN Economic Community (AEC), commencing in 2015, will intensify the future competitive atmosphere. In this upcoming regionalization, Thailand’s betterment depends on being well prepared in the logistics area. Thus, Thai businesses should develop their logistics capability especially in terms of business cooperation, business information synchronization, and logistics skilled labors. In this context, good business cooperation means multiple companies in the supply chain jointly operate in order to meet their goals effectively. It could not only help increase the revenue, but also to reduce their cost in several perspectives. For instance, a global carmaker such as Toyota usually coaches their automotive part suppliers regarding their successful Lean Manufacturing concept which would help these suppliers to operate with more efficiency and effectiveness. At the same time, these suppliers share their knowledge concerning the part production methods, conditions, and common difficulties to Toyota, so Toyota would learn and comprehend more in feasibility of each part’s manufacturing and can design their automotive parts more practically. From this example, useful business cooperation may result in mutual benefits for many stakeholders. Furthermore, business information synchronization, particularly information technology...
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...1 a) Give three different examples of how sustainability has been introduced in a supply chain through product redesign (for example changes to packaging and labeling, etc). [10 points] Environmental Sustainability is not only important but it has become a business imperative—part of the "triple bottom line" comprising economic dimensions (profits) as well as environmental and social dimensions. http://www.greenmanufacturer.net/publication/green/issue/9 A sustainable supply chain is one that includes measures of profit and loss as well as social and environmental dimensions (Carter and Rogers 2008; Linton, Klassen, and Jayaraman 2007). For example, in July 2009, retail giant Walmart announced the creation of a sustainability index,which will be rolled out in three phases including a sustainability index for suppliers, a life cycle analysis database, and a labeling system to provide the consumer with the environmental measurement of the product they are purchasing (Bustillo 2009; Walmart n.d.). An example of environmental sustainability is Pretty Products, a manufacturer of floor mats for the automotive industry, was recently featured in Green Manufacturer Magazine (June 10, 2011;www.greenmanufacturer.net/article/machinery-andequipment/ eco-strategies--drive-mat-makeras-u-turn, based in LaGrange, Georgia, was able to use sustainability as the foundation of an innovation and growth strategy to turn the company around and become a leader in the industry. The company was...
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