These Questions is related Managing Transportation and Distribution in Supply Ch

Question

These Questions is related Managing Transportation and Distribution in Supply Chains-

1-“Milk runs” and “Cross-docks” are two terms that are used with respect to distribution of goods in supply chains. Explain what these terms mean and also clearly show how each one of them provides benefits to a supply chain.

2- What do you understand by the term “Dispersed Manufacturing”? Explain one (1) benefit it provides for supply chains and one (1) challenge with its implementation.

3-Strategic factors and Macroeconomic factors can impact a company’s decision to locate its operations in a particular country or in a given region of the world. Using suitable examples, clearly explain how these factors are at play in companies’ decision making processes?

Explanation / Answer

1.Milk run is a process in logistics which is nothing but a round trip, aimed at facilitating the distribution in supply chain. In the round trip, the main objective is to collect goods from several suppliers and deliver to one customer(a company or retailer) or collection of goods from one supplier and delievring them among several customers.

The advantage of milk runs in logistics and supply chain is that it provides a higher utilization of the transport modes and reduces transport costs.

Cross docking is a mechanism followed in logistics where the products are directly distributed from the supplier to the customer, with minimal or no handling charges or storage time.

The main advantage of cross docking in SCM is that transportation costs are saved as several product loads are combined into one load for delivery

2. Disbursed manufacturing is a manufacturing mechanism, which is decentralised in nature where the entities are disbursed across the globe and are interconnected using information technology. This is also known as distributed manufacturing.

The main advantage of this mechanism is that it is more cost effective and fast way of manufacturing. Products are brought to the market quite quickly with cost-effectiveness using this approach. One major challenge in this approach is that all entities must have similar infrastructure for smooth functioning of production and distribution system.

3. The various factors that impact the location decision of any company are:

Related Questions

Navigate

• Browse (All)
• Browse T
• Subjects

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.