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Logistics Distribution Locating Competitive Benchmarking Analysis, A Case Study In Furniture Manufacturing In Eu

2926 words - 12 pages

Design and operation of Logistics System
Heriot Watt universityLogiscitcs and Supply Chain Management

SCHOOL OF MANAGEMENT AND LANGUAGE

A case study in Vaskor Furniture manufacturing in EU

ALAN mCKINNON
Student No: 081448766
WORDS COUNT: 2583

3/3/2009

Contents3Introduction 3Aim of research work: 3Originality/value 4Assumption: 5Part one: analysis on benchmarking data 51.1 Furniture Market analysis 61. 2 Total cost analysis 81.3 Inventory level 91.4 Transportation related analysis: 10Part three: Possible implementation to strengthen competitive position, additional information required for dc locationing assessment 13Part five: Closing statement 14Works Sited 15Appendixes 15Appendix 1: Expected centralization versus decentralization costs 16Appendix 3: Square root law 16Appendix 4: Some estimations IntroductionThe paper aims to demonstrate and suggest possible approaches in restructuring logistical system to improve overall competitiveness, as a case study on Vaskor furniture manufacturing in UK and Italy to provide whole EU market, which has been facing emergency of losing its market to competitors, based in Italy, using given Benchmarking research data of Vaskor's main competitors and established principles of logistics system design. To achieve goal, main techniques e.g. heuristic, and modular approaches to redesign distribution channels, considering industry and company specification.Aim of research work:Making detailed analysis in Vaskor's current level, using given data to make logistical decision alternatives, raising further data needed for further analysis are the aim of this paper.Originality/valueThe paper has tried to see data in 'comparing changes of companies' way using 'marginal' value of data gathered so far. As well as tried to see things in a longer term, where the case study mainly valued on 'cost, corporate philosophy and long term strategy' of current system (EU regional manager said, Vaskor is less flexible to at adopting into changing market situation, however, company always have dilemma for cost VS corporate philosophy) The paper, generally tried to put variety of problems to solve under established relevant sciences, theories and tools. Although, it has some unique originality. converting data gathered from Benchmarking data into 'like for like' situation by estimating 'marginal' of the data, which favourably, enables comparing market shareholders with their speed of changes and enables us to see situation from the view of comparing changes of companies'.As performance management studies and observes operational error, relevant to use benchmarking and having weak characters of Vaskor's distribution system, the need for 'like for like' measurements re essential at the rate of using data from benchmarking . However, it was possible, to estimate characteristics relating to ´total sales´, to get the best of benchmarking converting data into relevant features is essential. Moreover, as it is not the best...

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