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Logistics Management

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Rebecca Polley

on 20 April 2014

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Transcript of Logistics Management

Logistics Management
design by Dóri Sirály for Prezi
Dankers Furniture Ltd
We are the Operations Management team for the cabinet division of Dankers Furniture Ltd. Our research involves the logistics and distribution of this division.
Overview of the Organisation
Warehouses and contracted distributors located in:

Main warehouse is located in Dublin.
Analysis of the Effectiveness of the Approach Adopted by Management
The Perfect Order:

Delivery on Time
A Completed Shipment
Correct Invoices
Undamaged Product
Reverse Logistics System
Order & Collection System
Customer Service Line
Description of Main Issues Raised in the Case from the Point of View of Logistics Management
Description of the Approach Management Adopted to Address the Issues Raised in the Case
Recommendations - Long Term
Customer Orders
Customer orders are compiled in the finished good warehouses.

Relevant distributors then collect the orders and transport them to their regional warehouses.

Orders are then stored until delivery.
- Part of logistics strategy outsourced to basic service providers for collection, warehousing and distribution.
Transportation Mode
- Highway.
Warehousing Method
- Cross docking and break bulk warehousing.
Material Handling and Packaging
- Orders are packaged and pallet-wrapped in the Dublin warehouse.
Inventory Management
- Fast transportation mode so low inventory levels, try to match large incoming shipments with smaller outgoing deliveries.
Logistics Information Systems
- Paper based delivery note and invoicing system.
Late deliveries.

Defects in operating documentation leading to potential damages.

Administration failures leading to consumer dissatisfaction.

Contracted distributors unwillingness to provide for individual customer demands.
Recommendations - Short Term
Service Provider Performance Management System
Quantifiable Control:

Range of Targets:
Inventory Levels
Delivery Times
Spot Checks on Material Handling & Storage

Regular Review:
Logistics Management

Outsourcing Vs. Owning:

Hub and Spoke Framework:

Postponement warehousing
Material handling and packaging

Inventory Management:
Minimum stock level
Safety stock level

Improved Labeling:

RFID tags
The perfect order method of measuring logistics performance:

Current Effectiveness ctnd.
Landed Costs
Products are distributed at a low cost
Sacrificing Quality?

Weighted Center of Gravity Method
Are Dankers' distribution centers placed as strategically as first thought?
This could limit their ability to become efficient.
Full transcript