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Case Study: 6 1. Given its volume growth and supply chain process changes, what technology challenges will CPP face? CPP needs to face the challenges of information technology because through this, information about the flow of products particularly from the point of origin will be easily available to the organization. The challenges of information either hardware or software must be given importance during the transaction because information needs to be shared as “the connection between the supply chain’s various stages allowing them to coordinate their actions and brings them about many of the benefits of maximizing total supply chain profitability (Kulkarni, 2004, p. 252). CPP should also make certain that the change process is secured by the top management or steering committee particularly in allocation to ensure a successful aligning of resources. 2. As the scope of the CPP supply chain expands, which information technology capabilities will be most important for the company to pursue?
As the scope of CPP supply chain expanded, integration of all supply chains is necessary so that there would be connectivity and flexibility between the supply chain of CPP and the supply chain of trading channel partners (Kulkami, 2004, 214). The company can pursue the capability of adaptive supply chain network (ASCN). This is to become more responsive to unexpected changes in real time, be able to respond with the growing demand of Catnappers, and the fast travel of information with their third party logistics (3PL) company.
Another capability to pursue is the IT capability of 3PL firms which brings success to logistics outsourcing relationships. This technology can help in facilitating communication among the trading partners so that the flow of goods, information, and other resources will reach the point of consumption (Sauvage, 2003). 3. From an information sharing standpoint, how will the requirements of PETCO and Target differ from CPP’s current customer base? How should CPP respond to these requirements? Information among CPP’s current customer base flows directly to the customers through an order sharing information.
The information sharing is supported by technology as both sellers and buyers are using software (internet-based) and hardware (catalog, faxes, carriers, etc), and it is not contracting with subcontractors in order to generate an output for current customers (Benton & McHenry, 2010, p. 129). On the other hand, the information requirements for PETCO and Target are having intrinsic complexities for it needs more information, construction materials, and money flows in order to produce the finished project with quality.
In responds to these requirements, CPP must make the third-party logistics providers their routine or through a construction supply chain execution in order to satisfy customers. 4. What type(s) of software will be most beneficial for CPP to adopt? Why? Supply chain management execution software is the most beneficial to CPP because it “helps with tasks such as warehouse and transport management” (Scheneirder, 2009, p. 442). This kind of software also managed end-to-end supply chain activities as it tracked the physical status of the finished Catnappers from the manufacturers in China to the point of consumption (Target and PETCO), and ensured that these are delivered at the right location, time, and cost.
References Benton, W. C., & McHenry, L. F. (2010). Construction purchasing & supply chain management. USA: McGraw-Hill Companies, Inc. Kulkarni, S. (2004). Supply chain management: Creating linkages for faster business turnaround. New Deli: Tata McGraw-Hill. Sauvage, T. (2003). The relationship between technology and logistics third-party providers. International Journal of Physical Distribution and Logistics Management, 33 (3), 236-253. Retrieved from http://www.kouvola.lut.fi/files/download/ Therelationshipbetweentechnologyandlogisticsthird-part.pdf. Schneider, G. P. (2009).
Electronic commerce. USA: Course Technology.
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