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

Use the data in the below table to make you assessment and recommendations.

	Total no. of orders (Unit)	Late deliveries (Unit)	Damaged Packages (Unit)	Average Lead time (days)	Number of Returns (Unit)	Material Cost (JD)	Labor Costs (JD)	Overhead Costs (JD)
Week 1	6,236	36	22	3	56	18,640	23,486	10,375
Week 2	5,987	0	14	3	54	17,896	22,548	9,961
Week 3	4,863	0	20	2	42	13,956	17,584	7,768
Week 4	7,824	1,624	13	4	53	17,509	22,061	9,746
Week 5	8,102	1,902	17	4	68	22,749	28,663	12,662
Week 6	7,300	1,100	19	4	80	26,630	33,553	14,822
Week 7	6,482	282	16	3	83	27,681	34,877	15,407
Week 8	5,877	0	11	2	78	26,087	32,869	14,520

Consider the below data for your competitors

	Competitor 1	Competitor 2
Delivery performance	95%	98%
Perfect order fulfillment	94%	98%
Supply chain response time	2	1.5
Supply chain management cost (JD)	362,000	298,000
Return processing costs(JD)	50,000	29,200

Task 4

Based on the given scenario, identify the critical points in the processes and justify their importance to achieve the companys 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 companys strategies.

Finally, develop and create justified recommendations for improvement in terms of Practices and Organizational Design

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 (Unit) Late deliveries Damaged Average Packages Lead time (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 Material Costs Cost (JD) (JD) 18,640 23,486 17,896 22,548 13,956 17,584 17,509 22,061 22,749 28,663 26,630 33,553 27,681 34,877 26,087 32,869 Overhead Costs (JD) 10,375 9,961 7,768 9,746 12,662 14,822 15,407 14,520 Competitor 2 98% 98% 1.5 298,000 29,200 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 (Unit) Late deliveries Damaged Average Packages Lead time (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 Material Costs Cost (JD) (JD) 18,640 23,486 17,896 22,548 13,956 17,584 17,509 22,061 22,749 28,663 26,630 33,553 27,681 34,877 26,087 32,869 Overhead Costs (JD) 10,375 9,961 7,768 9,746 12,662 14,822 15,407 14,520 Competitor 2 98% 98% 1.5 298,000 29,200 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 . .