Recommended actions
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Recommended actions
Admin Mon Jan 30, 2012 2:54 am
Here we can copy the recommended actions for each function and the final decisions of each manager, for alignment purposes.
Admin- Admin
- Posts : 18
Join date : 2012-01-30
Age : 35 -
note from the slides, lecture 1
Admin Mon Jan 30, 2012 3:59 am
Think before you start
– What is your strategy?
– What is your logistics and energy approach?
– Who are your intended partners and how many?
– How do you balance interests? How to negotiate?
– Develop scenario’s responding to possible behaviour of
partner actors in the SC.
– What is your strategy?
– What is your logistics and energy approach?
– Who are your intended partners and how many?
– How do you balance interests? How to negotiate?
– Develop scenario’s responding to possible behaviour of
partner actors in the SC.
Admin- Admin
- Posts : 18
Join date : 2012-01-30
Age : 35 -
summary of (confliction) recommended actions
Admin Mon Jan 30, 2012 4:22 am
Recommendations round 1:
Purchasing: Tom
Rejection components (%): The rejection percentage for components supplied by supplier Trio PET PLC is high.
Impact: These rejected components must be repurchased. Moreover, rejections have a negative effect upon the stock management of the components. After all, it is then difficult to forecast how much stock is present in the warehouse and when it is present.
Action: See to it that you are supplied with higher-quality packaging material or select a more tolerant bottling line.
Delivery reliability suppliers: Trio PET PLC, Mossi Mango and Seitan Vitamins are significantly less reliable than was agreed to.
Impact: The availability of the components for production could come under pressure.
Action: Contract a supplier with a higher reliability of supply, or increase the safety stock in order to cover the uncertainty.
Supply Chain: Plamen
Availability components (%): There is a low level of availability for components Vitamin C and Mango for production.
Impact: Poor availability of components leads to lower production plan adherence. A finished product cannot, after all, be produced if not all components are available in sufficient quantity.
Action:Increase the safety stock or ensure that delivery is more reliable
Stock components (weeks): Pack 1 liter and PET have a high level of stock.
Impact: A high level of stock leads to high stock expenses, greater risk and higher capital demands.
Action: Decrease the safety stock or order stock in smaller batches.
Sales: Wouter
Obsolete products (%): The finished products Fressie Orange/C-power PET, Fressie Orange PET and Fressie Orange 1 liter have a high obsoletes percentage.
Impact: Purchasing and production costs have been made for products that go obsolete. These costs are not absorbed by revenue.
Action: Decrease inventory levels in the outbound warehouse or negotiate a less ambitious shelf life agreement with customers (decrease the length of time that products can remain in a salable condition on the customer's shelves).
Service level outbound order lines: A lower service level than agreed to is being provided to Food & Groceries, LAND Market and Dominick's.
Impact: A service level that is lower than that agreed to leads to stiff penalties. This affects turnover.
Action: Ensure that the service level agreements are in line with performance and that performance is in line with the agreements.
Operations: Marc
Cube utilization raw materials warehouse: The raw materials warehouse is relatively full.
Impact: Pallets frequently have to be dispatched to the overflow warehouse, where greater costs are incurred for the space. It also uses valuable capacity on the part of the employees in the raw materials warehouse.
Action: Introduce more pallet locations or decrease the stock in the raw materials warehouse.
Cube utilization finished goods warehouse: The finished goods warehouse is relatively empty, with pallet locations open.
Impact: Unnecessary stock expenses are being incurred with respect to the pallet locations.
Action: Reduce the number of pallet locations.
Production plan adherence: The production plan adherence on the Swiss Fill 2 is low.
Impact: Low production plan adherence leads to a situation in which not all production orders can be fulfilled in accordance with the planning. This means that finished product will only be available later than planned, and the service level is placed under pressure
Action: Increase the availability of components for production or reduce the overtime on the bottling lines.
Utilization rate bottling lines: Bottling line Swiss Fill 2 has a high utilization rate.
Impact: A high utilization rate leads to overtime, and resultantly to the employment of flexible labor. It also results in lower production plan adherence.
Action: Introduce an additional shift or cut the amount of work.
Purchasing: Tom
Rejection components (%): The rejection percentage for components supplied by supplier Trio PET PLC is high.
Impact: These rejected components must be repurchased. Moreover, rejections have a negative effect upon the stock management of the components. After all, it is then difficult to forecast how much stock is present in the warehouse and when it is present.
Action: See to it that you are supplied with higher-quality packaging material or select a more tolerant bottling line.
Delivery reliability suppliers: Trio PET PLC, Mossi Mango and Seitan Vitamins are significantly less reliable than was agreed to.
Impact: The availability of the components for production could come under pressure.
Action: Contract a supplier with a higher reliability of supply, or increase the safety stock in order to cover the uncertainty.
Supply Chain: Plamen
Availability components (%): There is a low level of availability for components Vitamin C and Mango for production.
Impact: Poor availability of components leads to lower production plan adherence. A finished product cannot, after all, be produced if not all components are available in sufficient quantity.
Action:Increase the safety stock or ensure that delivery is more reliable
Stock components (weeks): Pack 1 liter and PET have a high level of stock.
Impact: A high level of stock leads to high stock expenses, greater risk and higher capital demands.
Action: Decrease the safety stock or order stock in smaller batches.
Sales: Wouter
Obsolete products (%): The finished products Fressie Orange/C-power PET, Fressie Orange PET and Fressie Orange 1 liter have a high obsoletes percentage.
Impact: Purchasing and production costs have been made for products that go obsolete. These costs are not absorbed by revenue.
Action: Decrease inventory levels in the outbound warehouse or negotiate a less ambitious shelf life agreement with customers (decrease the length of time that products can remain in a salable condition on the customer's shelves).
Service level outbound order lines: A lower service level than agreed to is being provided to Food & Groceries, LAND Market and Dominick's.
Impact: A service level that is lower than that agreed to leads to stiff penalties. This affects turnover.
Action: Ensure that the service level agreements are in line with performance and that performance is in line with the agreements.
Operations: Marc
Cube utilization raw materials warehouse: The raw materials warehouse is relatively full.
Impact: Pallets frequently have to be dispatched to the overflow warehouse, where greater costs are incurred for the space. It also uses valuable capacity on the part of the employees in the raw materials warehouse.
Action: Introduce more pallet locations or decrease the stock in the raw materials warehouse.
Cube utilization finished goods warehouse: The finished goods warehouse is relatively empty, with pallet locations open.
Impact: Unnecessary stock expenses are being incurred with respect to the pallet locations.
Action: Reduce the number of pallet locations.
Production plan adherence: The production plan adherence on the Swiss Fill 2 is low.
Impact: Low production plan adherence leads to a situation in which not all production orders can be fulfilled in accordance with the planning. This means that finished product will only be available later than planned, and the service level is placed under pressure
Action: Increase the availability of components for production or reduce the overtime on the bottling lines.
Utilization rate bottling lines: Bottling line Swiss Fill 2 has a high utilization rate.
Impact: A high utilization rate leads to overtime, and resultantly to the employment of flexible labor. It also results in lower production plan adherence.
Action: Introduce an additional shift or cut the amount of work.
Admin- Admin
- Posts : 18
Join date : 2012-01-30
Age : 35 -
In short
Admin Tue Jan 31, 2012 11:06 am
I think I get it: we have several recommendations for actions, each manager has sometimes even conflicting on his own, so a good strategy would be we sit together and decide on the ones which overall cover the most objectives for the whole company. Next time, we have to decide on the direction first and apply it for everyone ( for ex. increase/decrease the safety stock for every manager). After all, it's also about being consitent, not only making the best decisions for your department.
For round one they look like this:
Purchasing: Tom
Action: See to it that you are supplied with higher-quality packaging material or select a more tolerant bottling line.
Action: Contract a supplier with a higher reliability of supply, or increase the safety stock in order to cover the uncertainty.
Supply Chain: Plamen
Action: Increase the safety stock or ensure that delivery is more reliable.
Action: Decrease the safety stock or order stock in smaller batches.
Sales: Wouter
Action: Decrease inventory levels in the outbound warehouse or negotiate a less ambitious shelf life agreement with customers (decrease the length of time that products can remain in a salable condition on the customer's shelves).
Action: Ensure that the service level agreements are in line with performance and that performance is in line with the agreements.
Operations: Marc
Action: Introduce more pallet locations or decrease the stock in the raw materials warehouse.
Action: Reduce the number of pallet locations.
Action: Increase the availability of components for production or reduce the overtime on the bottling lines.
Action: Introduce an additional shift or cut the amount of work.
For round one they look like this:
Purchasing: Tom
Action: See to it that you are supplied with higher-quality packaging material or select a more tolerant bottling line.
Action: Contract a supplier with a higher reliability of supply, or increase the safety stock in order to cover the uncertainty.
Supply Chain: Plamen
Action: Increase the safety stock or ensure that delivery is more reliable.
Action: Decrease the safety stock or order stock in smaller batches.
Sales: Wouter
Action: Decrease inventory levels in the outbound warehouse or negotiate a less ambitious shelf life agreement with customers (decrease the length of time that products can remain in a salable condition on the customer's shelves).
Action: Ensure that the service level agreements are in line with performance and that performance is in line with the agreements.
Operations: Marc
Action: Introduce more pallet locations or decrease the stock in the raw materials warehouse.
Action: Reduce the number of pallet locations.
Action: Increase the availability of components for production or reduce the overtime on the bottling lines.
Action: Introduce an additional shift or cut the amount of work.
Admin- Admin
- Posts : 18
Join date : 2012-01-30
Age : 35 -
Update round 1-3
Rositsa Sun Feb 05, 2012 10:01 am
Recommendations rounds 1-3:
Purchasing: Tom
Action: See to it that you are supplied with higher-quality packaging material or select a more tolerant bottling line.
Action: Contract a supplier with a higher reliability of supply, or increase the safety stock in order to cover the uncertainty.
Round 2: Contract a supplier with a higher reliability of supply, or increase the safety stock in order to cover the uncertainty.
Round 3: Contract a supplier with a higher reliability of supply, or increase the safety stock in order to cover the uncertainty.
Supply Chain: Plamen
Action: Increase the safety stock or ensure that delivery is more reliable.
Action: Decrease the safety stock or order stock in smaller batches.
Round 2: Increase the safety stock or ensure that delivery is more reliable.
Round 3: Vitamin C, PET and Pack 1 liter have a high level of stock: Decrease the safety stock or order stock in smaller batches.
Sales: Wouter
Action: Decrease inventory levels in the outbound warehouse or negotiate a less ambitious shelf life agreement with customers (decrease the length of time that products can remain in a salable condition on the customer's shelves).
Action: Ensure that the service level agreements are in line with performance and that performance is in line with the agreements.
Round 2: Decrease inventory levels in the outbound warehouse or negotiate a less ambitious shelf life agreement with customers (decrease the length of time that products can remain in a salable condition on the customer's shelves).
Round 3: The finished products Fressie Orange/C-power PET, Fressie Orange PET and Fressie Orange/C-power 1 liter have a high obsoletes percentage: Decrease inventory levels in the outbound warehouse or negotiate a less ambitious shelf life agreement with customers (decrease the length of time that products can remain in a salable condition on the customer's shelves).
Operations: Marc
Action: Introduce more pallet locations or decrease the stock in the raw materials warehouse.
Action: Reduce the number of pallet locations.
Action: Increase the availability of components for production or reduce the overtime on the bottling lines.
Action: Introduce an additional shift or cut the amount of work.
Round 2: Introduce more pallet locations or decrease the stock in the finished goods warehouse.
Increase the availability of components for production or reduce the overtime on the bottling lines.
Round 3: Marc, u did a great job!
Purchasing: Tom
Action: See to it that you are supplied with higher-quality packaging material or select a more tolerant bottling line.
Action: Contract a supplier with a higher reliability of supply, or increase the safety stock in order to cover the uncertainty.
Round 2: Contract a supplier with a higher reliability of supply, or increase the safety stock in order to cover the uncertainty.
Round 3: Contract a supplier with a higher reliability of supply, or increase the safety stock in order to cover the uncertainty.
Supply Chain: Plamen
Action: Increase the safety stock or ensure that delivery is more reliable.
Action: Decrease the safety stock or order stock in smaller batches.
Round 2: Increase the safety stock or ensure that delivery is more reliable.
Round 3: Vitamin C, PET and Pack 1 liter have a high level of stock: Decrease the safety stock or order stock in smaller batches.
Sales: Wouter
Action: Decrease inventory levels in the outbound warehouse or negotiate a less ambitious shelf life agreement with customers (decrease the length of time that products can remain in a salable condition on the customer's shelves).
Action: Ensure that the service level agreements are in line with performance and that performance is in line with the agreements.
Round 2: Decrease inventory levels in the outbound warehouse or negotiate a less ambitious shelf life agreement with customers (decrease the length of time that products can remain in a salable condition on the customer's shelves).
Round 3: The finished products Fressie Orange/C-power PET, Fressie Orange PET and Fressie Orange/C-power 1 liter have a high obsoletes percentage: Decrease inventory levels in the outbound warehouse or negotiate a less ambitious shelf life agreement with customers (decrease the length of time that products can remain in a salable condition on the customer's shelves).
Operations: Marc
Action: Introduce more pallet locations or decrease the stock in the raw materials warehouse.
Action: Reduce the number of pallet locations.
Action: Increase the availability of components for production or reduce the overtime on the bottling lines.
Action: Introduce an additional shift or cut the amount of work.
Round 2: Introduce more pallet locations or decrease the stock in the finished goods warehouse.
Increase the availability of components for production or reduce the overtime on the bottling lines.
Round 3: Marc, u did a great job!
Rositsa- Guest
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