The main aim of this report is to understand the existing logistics supply chain of the Land Rover. This report will look at the internal and external process that occurs within the organization. The report will also look at the limitations towards implementing the recommended services…
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This case study of land rover and UPF-Thompson implicates the risks that the company possess if the indulge themselves in one supply management chain. The emphasis is usually put on the management of the workflows of individuals and the information that accompany it. The supply chain of the organization usually carries one or more of these value streams. When The Land Rover company had decided that UPF-Thompson would be its main supplier of chassis, the land rover did not know that when UPF-Thompson, the manufacturer of chassis, would become insolvent the impact would be severe. KPMG, which was the receivers of the chassis, threatened the land rover that they would stop the supply unless the land rover company decided to make the up-front payment that was demanded immediately of between £35 and £45m. The reason as to why KPMG had decided to do this is that they claimed that they were entitled to recover on behalf of their creditors. The sole supplier agreement, which was signed, deemed to provide a valuable asset. A court ruling that was made recently justified this action as they stated that for the benefits of the creditors, the receivers were legally permitted to exploit the vulnerability of a customer. Until a temporary injunction could be secured which entitled Land Rover a short-term reprieve, then the land rover company was forced to halt the production of the discovery temporarily. The consequences of the injunction were that land Rovers supplier of network and around 1500 workers who worked at the Solihull plant were laid off. Process stream The land rover was using an end-to-end supply management perspective. The vulnerability of the
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