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Supply Chain Management Case

Autor:   •  September 10, 2015  •  Essay  •  416 Words (2 Pages)  •  621 Views

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SRIKANTH.THATI

ID:00584472

SUPPLY CHAIN MANAGEMENT

CHAPTER 3

QUESTION :1

ANSWER

Attempts

  • Demand by customers.
  • The quality for the buyier demand.
  • The most prefarable brand of demand.
  • The quatity of the buyier demand.

Risks

  • The idealogy and stratergy followed by other inventory
  • Maintainence cost for the inventory.

Customer needs:

  •  Selling the products at specific period accordingly
  • faster the products gona reach the customer,happier will be the customer
  • By gaining the good will in the customers the more revenue will be generated

Risks

  • The quality of product is sometimes unsatisfactory becuase of the faster delivery.
  • The lack of storage space  may causes the inventory problem.
  • The faster transportation may cause the more expensive.

Where customers need it:

  • The store should be located nearby for accesing easily.
  • The stores should be set up where the demand is more and people can be satisfied
  • The store should be easily understandable by the people than the other stores.

Risks

  • The advertising cost
  • The service of stores will be within the limits by interest.

QUESTION :2

ANSWER

The  risks involved in using direct replishment are

  • The manitainence cost and cost of setting up the inventory.
  • Lack of globalization.
  • The products that are replaced cannot be as the product that was used earlier.
  • The products that are shipped and replaced by company doesnt have a scope of globalization.

QUESTION :3

ANSWER

The seven eleven followed a main  strategy of setting up  company owned stores and third party owned franchise.

Facilities offered

  • Size of the stores are increased.
  • Around 16000 stores opened.
  • Sales of the stores were increased high
  • stores followed the local demands.

Transportation plans

  • combine delivery system was followed.
  • frozen food waqs delivered three to seven times a week
  • warm food was delivered thrice a week.
  • Deliveries are made in off hours.

Information plans

  • setted up a facility where people can pay their bills like electricity and telephone bills.
  • setted up the atms all over the outlets.
  • installed a information system where the people can get information

inventory method

  • used the store delivery directly by manufactures.
  • Some products were distributed by wholesalers.
  • The concept of combined distribution centres around 2000 were introduced.

QUESTION :7

ANSWER

PROS AND CONS:

  • Both the strategy served for supplying of fresh food.
  • the aim of supplying fresh food was greatly supported by facility of faster transportation.
  • increases faster transportation but requires the more cost.
  • managing an own distribution cell helps in reducing the cost spend on transportation.
  • ensures the faster lead time but requires larger inventory facilities.
  • separate department should be setup and manintained for own distribution setup

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