StudentShare
Contact Us
Sign In / Sign Up for FREE
Search
Go to advanced search...
Free

Logistics db - Essay Example

Comments (0) Cite this document
Summary
Demand for Going Inc. planes have increased over the past three years according to the information provided. However, the company have been slow to respond to this increase in demand compared to other competing companies like Bezna especially in forecasting, production capacity and process improvement.
Download full paperFile format: .doc, available for editing
GRAB THE BEST PAPER92.6% of users find it useful
Logistics db
Read TextPreview

Extract of sample "Logistics db"

Logistic db Demand for Going Inc. planes have increased over the past three years according to the information provided. However, the company have been slow to respond to this increase in demand compared to other competing companies like Bezna especially in forecasting, production capacity and process improvement.
Looking at the scenario in the Going Inc. Company, there are a number of operational management strategies that need to be addressed in order to reduce production cost in manufacturing division. These strategies are: the response strategy, low cost strategy, and differentiation strategy.
The recent increase in demand of Going Inc planes is evident that, Going Inc has so far differentiated its products to meet their target customers' needs and preferences. Therefore, the main thrust of operational strategy should be on how to reduce production cost and improve company's response to change in market demand.
Going Inc. sources its raw materials entirely from U.S markets. Though the company ensure that it gets its raw materials at the lowest possible price, expansion of the raw material sources to include other countries or more conveniently decision to make small parts instead of buying from vendors would automatically lead to even lower cost and better quality.
This will involve the realignment of supply chain of the company. According to Heizer and Render (2005), supply chain management is the integration of the activities that procure materials and services, transform them into intermediate goods and final products, and deliver them to customers.
In order for the Going Inc. to manage its supply chain effectively, it has to improve the speed and flexibility for its manufacturing framework. Currently, the company is relatively slow in its production speed; only fifteen planes per month. To make the matter worse, the production is riddled with scrupulous customization that takes a lot of time and gives very little room for design flexibility.
Going Inc. should address one of its major production hurdle; that is the time taken to produce one plane and the way in which the company adhere to its production design. This will involves a shift from the traditional company operation to a leaner operation strategy. This include among other thing, the expansion of its production facilities and the design structures of its hanger. This way the company would be able to produce more aircraft at each given time. Moreover, the company could as well integrate its operation so as to minimize time spent in communication and managerial logistics. This will involves, relocating, the warehouse, and head office near to the processing plant.
However, the company in an effort to minimize production costs, should not compromise its quality and dedication to customer needs and preferences.
Above all, Going Inc. needs to device proper employee's motivation strategies. This will include among other things, proper channel for employees to air their grievances, salary increases in line with market rates, better working conditions and retraining. This way, the company would be able to increase efficiency thus reducing production cost.
In a nutshell, the overall shortfall of Going Inc. operational management in its manufacturing division is the response strategy. The inability of Going Inc. to respond swiftly to the customer demands by improving its supply chain within reasonable time frame, have been the main cause of its slow growth and expansion. Notably; the speed of production, rigidity in design, lack of diversified material sourcing, and lack of employee coordination are all major areas that need careful attention in order to turn around the Going Inc. production efficiency.
Response to student posting
I do agree with the student essay that, the major hurdle of Going Inc. is the response strategy. The company have been very slow in responding to market demand. Going Inc. religiously concentrate more on the design and quality that involve 100% inspection of every aircraft made. This have slowed the production growth against the growing demand for its brand of aircraft.
Moreover, as the student argues in her essay, the overall goal of cost reduction in manufacturing division of Going Inc. can be approached as supply chain management. This is because, the main areas where Going Inc. seems not to respond well is the procurement of its raw materials which they source from the U.S market only and from specific vendors. There is also lack of positive response in term of increase in processing speed and expansion of production capacity to reflect the growing demand of its aircraft.
However, she fails to mention the significance of employee motivation to the overall production process. Going Inc. does not have best relationship with its employees. The company have not reviewed its employee salary for quite sometime now. It had also failed to introduce induction training of its members in order to be at par with current customer demands in terms of quality and preferences. Employee motivation, is the key to cost reduction as employee with refined skills will do much and produce high quality products with little or no supervision.
In addition, the student seems to concentrate too much on the supply chain management. Though the supply chain management will at most assist the company to reduce its cost of production, there are other strategies such as employee motivation which have none or little connection to the supply chain management.
Reference
Heizer J, and Render B, (2005), Operations Management, 7th Edition), New Jersey,Upper Saddle River.
Stahl E, (03/10/2004), "Six Cost Reduction Strategies for 2004",
http://dev2dev.bea.com/pub/a/2004/03/stahl04.html, accessed on 3rd,July, 2006. Read More
Cite this document
  • APA
  • MLA
  • CHICAGO
(“Logistics db Essay Example | Topics and Well Written Essays - 500 words”, n.d.)
Logistics db Essay Example | Topics and Well Written Essays - 500 words. Retrieved from https://studentshare.org/miscellaneous/1528646-logistics-db
(Logistics Db Essay Example | Topics and Well Written Essays - 500 Words)
Logistics Db Essay Example | Topics and Well Written Essays - 500 Words. https://studentshare.org/miscellaneous/1528646-logistics-db.
“Logistics Db Essay Example | Topics and Well Written Essays - 500 Words”, n.d. https://studentshare.org/miscellaneous/1528646-logistics-db.
  • Cited: 0 times
Comments (0)
Click to create a comment or rate a document

CHECK THESE SAMPLES OF Logistics db

Logistics

...?Logistics Task: Outline I. Introduction II. Logistics Systems III. Components of Logistics Management IV. ICT Systems in Components of Logistics Management V. Benefits and Challenges of Using ICT Systems VI. Conclusions VII. List of References Introduction A control system that is flexible and effective has to be used in managing logistic issues of virtually all firms in different sectors. This is mainly because the objectives of supply chain are not met in many firms. There are fluctuations and disturbances that interfere with the supply chain coupled with irrational decisions that firms make at certain times (STOCK & LAMBERT 2001, p. 7). The system selected should be able to tackle these fluctuations and disturbances and enable smooth...
9 Pages(2250 words)Essay

Logistics

...?Logistics Management Affiliation with more information about affiliation, research grants, conflict of interest and how to contact Logistics Logistics: An Introduction: While management is considered as an arts and science the logistics can be perceived as a part of management which include the flow of resources, mainly through transportation. The logistics of physical items normally consist of a series of information flow. The complexities associated with logistic activities need to be analysed and proper logistics management system must be followed for the success of any organization. Maintenance Planning: The advantages of Maintenance Planning Advantages in an Organisation: Equipment is a vital recourse, frequently used for value...
3 Pages(750 words)Term Paper

Logistics

Today, 49% of the equity of the company is owned by Nigerians and Nigerian organizations, while the remaining 51% is owned by Unilever Plc of UK. The company prides itself as being in virtually almost all sectors of the economy which includes nutrition, hygiene, personal care etc. and its products are of world class standards. The popular ones in the market include Omo detergent, Persil, Lux soap, Lipton Tea label, Blue band margarine, Close Up toothpaste and many more. With an employee strength of over 10,000, turnover of N44 bn, profit before tax of over N5 bn, shareholders funds of N8 bn, indeed Unilever Plc is a company the exemplifies a giant productive entity, hence the decision to adopt it as a case study for this paper. V...
14 Pages(3500 words)Essay

Db

...? Performance Appraisal The essay aims to proffer the various techniques of performance appraisal, to wit: (1) the numerical rating system; (2) Management by Objectives (MBO); (3) the 360-degree method; and finally (4) the trait-based system. It will also discuss the importance of having a performance appraisal system in an organization. Furthermore, an example of an appraisal technique in a bank will be illustrated. Performance Appraisal Appraising employee performance is an important part of the work of managers and supervisors. The performance of an employee is essential to the profitability of a corporation. This is the reason why every company should develop an appraisal system that will recognize an employee’s contribution... Performance...
2 Pages(500 words)Essay

Logistics

...? Logistics are highly important paradigms of successful business strategy. In the current environment of increasing logistic costs due to rising prices of oil, innovative approach needs to be evolved to survive and maintain competitive advantage. The shipment of inexpensive products to United States so that they could still be sold at margin is critical element of business survival. While the cost of transportation logistics would be considerably higher due to rising oil prices in the international market, the businesses must make efforts to reduce that through collective decision making. The most realistic technique for businesses would be to come together and use single transportation to ship their goods. It would greatly facilitate...
1 Pages(250 words)Essay

Logistics

...How does 'Services Response Logistics' differ from 'Logistics' Do you think the concept will grow in the future It is very interesting to that the terms 'logistics' and 'service response logistics' have gained a lot of importance in the fields of business and the realm of business intelligence systems over the years. Service response logistics has a lot more to do with the kind of response a company draws as a result of its provided services. These metrics are very important as they decide the success or failure of an organization as well as its attempts to treat and service its customers in a better way. "Logistics is defined as a business planning framework for the management of material, service, information and capital flows...
4 Pages(1000 words)Essay

Logistics

...Introduction For the last forty year a great number of studies on the of logistics effectivesness has been performed and a variety of research tools has been introduced into general use. Such an intensity of the reseach activity can be easily explained by the fact that well-tuned and efficient logistics system creates the competitive advantage for the company. An organisation wishing to implement integrated business logistics management, faces many great challenges, but can potentially reap considerable benefits. A well-designed and integrated business logistics management strategy ought to result in a sustainable competitive advantage. (Integrated logistics and supply chain management, 2004.) Stank, Keller, and Closs (2001) state...
9 Pages(2250 words)Essay

Logistics

In the near future, low-cost RFID “electronic product codes” or “smart-labels” may be a realistic substitute for optical barcodes on customer items. Unluckily, the worldwide consumption of RFID devices in consumer items may expose innovative security and privacy risks not present in closed manufacturing environments (Benny, 2002).
One auto-ID system missing the flaws of optical barcodes is supported by radio frequency identification (RFID). The name “RFID” could be applied to systems in use for more than sixty years. Possibly the earliest radio identification technology was the “Identify Friend” system used in Allied aircraft throughout World War II. In 1940, the British Royal Air Force prepared aircrafts with radio transponde...
5 Pages(1250 words)Essay

Logistics

...Logistics Table of Contents Introduction 3 Supply Chain Capabilities of Johnstons Enabling It to Attain a Competitive Advantage 3 Application of Johnstons Business Model to Companies in Other Industries 7 Conclusion 10 References 11 Introduction Johnstons of Elgin has been producing the premium cashmere and woollen clothing as well as accessories since the year 1797. The company became renowned due to its differentiation strategies to use the finest fibre strictly, i.e. cashmere in its knitted and woven products, which added to its competitive advantages (VisitScotland, 2014). The company’s mill is situated on the banks of the Lossie River, Elgin. From a broader understanding, the company has been able to attract its customers through...
9 Pages(2250 words)Essay

DB

...Product Analysis of Athletic Shoes for ZIP 94545 Analysis of the most common segments of the zip 94545 – critical insights Population by age 21-34 is the highest. Household composition of ‘Other’ with no children is the top placeholder, while ‘Other’ with children is the minimum. Household Composition is led by 2-Person, while 1-Person and 4-Person households are on the last leg of the threshold. From income point-of-view, below-7% households come in the bracket of $25-35k. It can be derived from the data that more than 30% of them earn in the higher range of $100-150k. Under the Population by Race and Ethnicity category, Not Hispanic/Latin people are relatively more than Hispanic/ Latin People. Out of the most common segments... Analysis of ...
1 Pages(250 words)Essay

E-logistics and Supply Chain Management: Tesco

...1. Supply Chain management (SCM) involves integrating all the functions to maximize benefits and reduce costs. SCM includes the logistics flows, thecustomer order management, the production processes, and the information flows necessary to monitor all the activities at the supply chain nodes (Swensson, 2003). Tesco.com has adopted the expansive strategy by including non-food items in its list and ensures proper coordination between all its processes in the supply chain. Tesco uses the latest technology which enables to shop any time from anywhere through the use of handheld computers and WAP-based wireless phones, internet, pocket PCs or digital TV. They have also opened up Internet cafes in stores to facilitate the customers with poor...
6 Pages(1500 words)Assignment

Operations and Logistics Management

Operations management is the entire spectrum of functions and processes that are used to carry out production, sales, quality control, and distribution of products and services to meet the goals of an organization. Inventory, storage, and supply of goods constitute logistics management. Logistics control has military origins, where it implied movement of supplies, rations, equipment, gear and weaponry to the waterfront. Now it means delivery of raw material for factory consumption and distribution of the finished product to the end consumer. Together Operations and Logistics management constitute the business process control of an organization. 

A competitive advantage is an advantage over competitors gained by off...
11 Pages(2750 words)Term Paper

The Scope of Reverse Logistics

...Introduction: Reverse logistics is the upcoming trend in the current scenario. Reverse logistics represents the entire operations linked to the reprocess of products. It is the procedure of planning, implementation, and monitoring of cost effective stream of resources and effectively using them, as well as zero wastage of the resources. In particular, reverse logistics is the practice of transferring raw materials from the classic concluding end with the intention of confining value, or for proper usage. Remanufacturing and recycling are the actions included in the explanation of reverse logistics. The scope of Reverse logistics: The main scope of the study is in identifying the various organizations and benefits reaped...
8 Pages(2000 words)Case Study

Logistics System Management

The logistics system is designed in such a manner as the combination of various facilities in the transportation at home, and the operations involved in the warehouse and the distribution channels for the manufacturing are the same. The supply chain is a collection of various complicated systems of logistics where they have a collection of raw materials and goods that are useful for the manufacturing of the final product and to the final distributors. “For example, in make-to-assembly (MTA) systems components and semi-finished products are manufactured in a push-based manner while the final assembly stage is pull-based. Hence, the work-in-process inventory at the end of the first stage is used to assemble the finished produc...
15 Pages(3750 words)Coursework

Operations and Logistics Management - Kudler Fine Foods

...Kudler Find Foods Introduction The case study that has been selected to study the operations and logistics management of the company is on Kudler Fine Foods. Kudler Fine Foods is a company that was created by Kathy Kudler to offer the people fresh food and the packed items to make meals in short time. The company is offering different products including fresh produce, fresh meat, bakery products and pastries, dairy products and seafood. The company is seeking to offer best quality products and customer services however, it is still unable to achieve target level of operational efficiencies. There are various reasons because of which the company is facing problems in its logistics and operations management. The aim of this report...
8 Pages(2000 words)Case Study

Logistics of Zara Company

...TABLE OF CONTENTS SECTION 1.0 COMPANY PROFILE 1 THE EXISTING PROCESS AND LOGISTICS OF ZARA   SECTION 2  2 Strategic Advantages Disadvantages 2.2 SWOT and PEST ANALYSIS 2.3 PEST Analysis                                                                                  2.4 EVALUATION OF THE EXISTING PROCESS FLOWS IN THE OPERATIONS CHAIN OF ZARA SECTION 3 3.0 IMPROVEMENT SUGGESTIONS FOR BETTER LOGISTICS AND OPERATIONS MANAGEMENT AT ZARA 3.1 Suggestions for Operations 3.2 Suggestion for Logistics  4.0 CONCLUSION 5.0 REFERENCES    SECTION 1  1.0 COMPANY PROFILE  In an atmosphere of severe competition where products and business concepts are being launched on a daily basis, it would apparently be very difficult for companies...
8 Pages(2000 words)Case Study

Logistics and Transportation Planning

...Logistics and Transportation Planning Part A According to Reed and Leavengood (2002) solving transportation problems represents one of the most successful applications of quantitative analysis. The mathematical model that minimizes the transportation cost at TNLogistics Company is the linear programming (LP) transportation model (Heizer and Render 2011). This model requires three different sets of numerical values. They are the capacity of the plant, customer demand, and the transportation cost per unit from each factory to each customer. In this case there are two factories with a total capacity of 6,500 per months and eight customers with forecasted demand totalling 6,816. This makes the demand greater than the capacity of the factory...
10 Pages(2500 words)Assignment

International Logistics

...Topic: Role of Logistics Service Providers in Horizontal Collaboration Partnerships Affiliation: Title: Date: Introduction Business enterprises undertake differentiated operations with a view to satisfy market demand and reap profits in the process. Organizational operations are influenced by market and industry changes, and the success of a business enterprise depends on how well that enterprise responds to the underlying changes. The rise of new and improved technologies has also redesigned the business environment. Essentially, dynamics of enterprise operations continue to influence and inform collaborations within and across markets. This has given rise to business partnerships that exhibit horizontal collaboration characteristics...
8 Pages(2000 words)Coursework

Logistics and Supply Chain Strategy

Sustainability increases the mode of rail and sea freight and intermodal transport. The demand characteristics in some cases influence the choice of transport mode and even the need for safety stocks. The appropriate logistic strategy is essential for any organization as the manufacturing lead time is affected by the product characteristics and design. Globalization is a factor that causes longer lead times as a result of longer distances (Chan and Lee, 2005, p.78). The basis for any logistic strategy is the product. The product pricing is affected by the choice of transport mode. The production flow is smoothened with good demand predictability. Demand predictability is improved with the help of information technology through gre...
6 Pages(1500 words)Assignment

Logistics: ALBA Company

 One of the big challenges faced by shipping through road transportation is the delay caused by traffic blocks and security checks. Trucks from Bahrain to Saudi reaching a certain destination should spend many hours because of the delays on the way caused by blocks and causeway security checks. ALBA Company faced difficulties to deliver the shipments in Saudi customer places and that causes problems for the company to meet their customer requirements on time. The following study explores the problem of traffic delays affected ALBA’s supply chain with their customers in Saudi and try to find out a proper solution for the problem.

Aluminum Bahrain (ALBA) is an aluminum manufacturer in Bahrain, and this company...
7 Pages(1750 words)Case Study
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.

Let us find you another Essay on topic Logistics db for FREE!

Contact Us