(A) Supply Chain Operations spread at three locations are completely inefficient and carry wasteful activities costing time, money and manpower. It is recommended to centralize manufacturing, finishing plant and finished goods warehouse at one location to eliminate non-value adding/unnecessary /repetitive steps like:…
References: Simchi-Levi, D., Kaminski, P., & Simchi-Levi, E. (2008). Designing and managing the supply chain: Concepts, strategies, and case studies (3rd ed.). Boston, MA: McGraw-Hill/Irwin.…
7-Consider a firm redesigning its logistics network. What are the advantages to having a small number of centrally located warehouses? What are the advantages to having a larger number of warehouses closer to the end customer?…
Many companies face a challenge that seems to burden them with contradiction: how to reduce transportation and operations costs while increasing customer service levels. Designing the right global supply chain network provides a solution to both issues. Although there are many factors to consider when designing a supply chain network, with the right partner the process is not overly complicated. The key is to analyze your network across the entire supply chain spectrum from source to consumption. Unlike other firms that consider DC-to-store or DC-to-customer. Implementing an optimal network is especially beneficial to those companies who must effectively and efficiently consolidate two different networks prior to or following a merger, as well as those who are considering expanding into new territories. Organizations that put off designing a new network, or making improvements to an existing one due to perceived complexities or complications, are actually putting their competitive advantage at risk.…
References: Bianco, D. (2011). The business encyclopedia 2nd Ed. Retrieved March 28, 2011, from http://www.referenceforbusiness.com/encyclopedia/Str-The/Supply-Chain-Management.html.…
3. Supply Chain Drivers and Metrics: Drivers of supply chain performance, A framework for structuring key drivers i.e. facilities, inventory, transportation, information, sourcing, and pricing, Obstacles to achieving fit…
Topshop is a British multinational retailer which specialises in fashion clothing, shoes, make-up and accessories. It has around 440 shops, 319 of which are in Britain, across 37 countries and online operations in a number of its markets. It is part of the Arcadia Group(75%), which is controlled by Sir Philip Green and owns a number of other retail outlets including Burton, Dorothy Perkins and Miss Selfridge(25%).…
I am looking at Topshop for this report. Topshop is a very large British fashion store for young women selling fashion clothes, shoes and accessories. There are Topshop stores throughout the UK. The flagship store in London Oxford Street is the biggest fashion store in Europe. Topshop is part of the Arcadia group which owns other fashion stores such as Miss Selfridge and Warehouse. Topshop mainly sells its own brand products but in larger stores it has concessions of other more expensive similar clothes. As well as selling Topshop clothes in Topshop store, they have concessions in large department stores such as Selfridges. They also have a website where you can buy a lot of the Topshop range including shoes and clothes for the boutique sections of Topshop.…
Topshop being a popular brand never fails to have the latest styles and fashion trends.…
In January 2000, Sanjay Gupta and his management team evaluated the performance of the company in 1999. They estimated that the growth rate of the business will be about 80 percent per year in the following three years. Although the company were pleased with the growth in sales and profit, the increasing cost would be greater than the revenue if the supply chain network design didn’t change simultaneously. If the supply chain network design stayed the same, the company would lose sales without the appropriate capability. Also, in order to meet the increasing demand, the cost will increase at the same time, like laboring cost, inventory cost, transportation cost and fixed facility cost. Therefore, the supply chain network design of sportstuff.com has to change to meet the demand. The allocation of warehouse will involve different cost and…
Produce and store at the manufacturing plant Pick, load, and ship to a warehouse/distribution center Unload and store at the warehouse Pick, load, and deliver to store…
The content (page 3 to 11) is based on questions 1, 2, 3, 4 and 6, page 88 of the textbook “Supply Chain Management: Strategy, Planning & Operations” by Sunil Chopra & Peter Meinld (Pearson Education, 3rd Edition).…
A retail chain has eight stores in a region supplied from four supply sources. Trucks have a capacity of 40,000 units and cost £1,000 per load plus, £100 per delivery. Thus. A truck making two deliveries charges £1200. The cost of holding one unit in inventory at retail for a year is £0.20. The vice president of supply chain is considering whether to use direct shipping from suppliers to retail stores or setting up milk runs from suppliers to retail stores. What network do you recommend if annual sales for each product at each retail store are 960.000 units? What network do you recommend if sales for each product at each retail store are 120.000 units? In your analysis assume that all trucks travel full.…
Logistics and facility costs incurred within a supply chain change as the number of facilities, their location, and capacity allocation is changed. Companies must consider inventory, transportation, and facility costs when designing their supply chain networks. Inventory and facility costs increase as the number of facilities in a supply chain increase. Transportation costs decrease as the number of facilities is increased. If the number of facilities increases to a point where inbound. Economies of scale are lost, then transportation cost increase. The goal when designing a supply chain network is to maximize the firm's profits while satisfying customer needs in terms of demand and responsiveness.…
In January 2000, Sanjay Gupta and his management team evaluated the performance of the company in 1999. They estimated that the growth rate of the business will be about 80 percent per year in the following three years. Although the company were pleased with the growth in sales and profit, the increasing cost would be greater than the revenue if the supply chain network design didn’t change simultaneously. If the supply chain network design stayed the same, the company would lose sales without the appropriate capability. Also, in order to meet the increasing demand, the cost will increase at the same time, like laboring cost, inventory cost, transportation cost and fixed facility cost. Therefore, the supply chain network design of sportstuff.com has to change to meet the demand. The allocation of warehouse will involve different cost and affect…