Question: Task 4 Based on the given scenario, identify the critical points in the processes and justify their importance to achieve the company's supply chain strategy


Task 4 Based on the given scenario, identify the critical points in the processes and justify their importance to achieve the company's supply chain strategy in terms of cost & responsiveness. Then, analyze the supply chain performance and benchmark them against the competitors to identify the main challenges affecting the company's strategies. Finally, develop and create justified recommendations for improvement in terms of Practices and Organizational Design 4 . . Task 4 Scenario You are required to evaluate and recommend improvements to the following supply chain scenario. The company manufactures medical equipment and is located in Jordan. The company sources their components from Germany, Canada and the USA. The company has limited production capacity of 6200 units per week. The company outsources the warehousing, packaging and distribution functions to a local 3PL. Customers return defective products or the products they no longer want because the company offers a 3 week return policy. Costs of processing returned products is 150 JD per unit . . 6200 . 3PL . 3 . 150 . Use the data in the below table to make you assessment and recommendations. Total no. of orders Late deliveries Damaged Average Packages Lead time (Unit) (Unit) (Unit) (days) Week 1 6,236 36 22 3 Week 2 5,987 0 14 3 Week 3 4,863 0 20 2 Week 4 7,824 1,624 13 4 Week 5 8,102 1,902 17 4 Week 6 7,300 1,100 19 4 Week 7 6,482 282 16 3 Week 8 5,877 0 11 2 Consider the below data for your competitors: Competitor 1 Delivery performance 95% Perfect order fulfillment 94% Supply chain response time 2 Supply chain management cost (JD) 362,000 Return processing costs(JD) 50,000 Number of Returns. (Unit) 56 54 42 53 68 80 83 78 Labor Overhead Material Costs Costs Cost (JD) (JD) (JD) 18,640 23,486 10,375 17,896 22,548 9,961 13,956 17,584 7,768 17,509 22,061 9,746 22,749 28,663 12,662 26,630 33,553 14,822 27,681 34,877 15,407 26,087 32,869 14,520 Competitor 2 98% 98% 1.5 298,000 29,200
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