(TIỂU LUẬN) throughout five parts analyzed in the report, the problems are acknowledged as the difficulties in maintaining the relationship with suppliers

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(TIỂU LUẬN) throughout five parts analyzed in the report, the problems are acknowledged as the difficulties in maintaining the relationship with suppliers

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Introduction to Logistics and Supply Chain Management Assessment – Group Assignment Term Semester 3, 2019 Title of Assignment Assignment 3: Group Report Names and student IDs Ho Nguyen Nien Giao – s3778482 Le Ha Giang – s3823072 Tran Ngoc Quynh – s3803726 Pham Le Tuyet Vi – s3651316 Location Saigon South Campus Lecturer Dr Scott McDonald Word Count (Main content without the list of references, cover page, introduction, executive summary, conclusion and summary of teamwork) 3797 (Identify + Discussion A + Discussion B) Executive Summary Supply chain management is the involvement of organization to corporate and executive different parts from the upstream to the downstream linkages, and thus by the optimized coordination with partners, to deliver the ultimate value of products and services to end consumers (Mentzer 2001) As demonstrated by the concept of ‘supply chain management’, this report highlights the findings of critical information, which illustrates how firm pursues an integrated supply chain management in their core business and typical issues that are enhanced in the supply chain’s context More specifically, this report conducts the findings based on a retailer Q Industries that provides a variety of hospitality’s product to Vietnam’s market The report is divided into five parts The first part is the introduction of the company’s background - Q Industries, the reports conduct a deep research about Q Industries’ information through the official webpage created by Q Industries; associated with the objectives in providing a consistent and excellent service of a 3PL’s retailer by developing and conducting an innovative approach in delivering their products to the end-consumers, and thus, generating a cost-effective solution for not only the business itself but also providing that benefit, to their clients The second part highlights the identification of Q Industries’ major activities that are integrated by the company into their supply chain management, the report had found that Q Industries places heavy concentration on the flow of their activities since one process leads to another, thus, resulting in a great extent that the company focuses how consistent and reliable each process is executed The third and fourth parts are carried out to examine whether Q Industries, as a retailer, besides the major activities are performed, the difficulties faced by the company, but it is also pointed out as a big picture to reflect the difficulties faced by other retailers in general; furthermore, assessing the importance of the relationship between Q Industries with their suppliers; the advantages of push-pull strategies associated with the implementation of advanced technologies and worldwide trending - those approaches are considered as a leverage to boost firm’s success and sustainable growth Throughout five parts analyzed in the report, the problems are acknowledged as the difficulties in maintaining the relationship with suppliers, the extent to which Q Industries had reached regards to the accuracy of their forecasting model and continuous flow in the warehouse management Hence, the recommendations are conducted with the highlight of keeping up to date with the market’s changes regards to customer’s demand, being aware and prepared towards the sudden dilemma and thus, being ready to integrate the advanced technologies that are required to build a sustainable growth of a retailer TABLE OF CONTENT Executive Summary .2 Introduction Identification of The Supply Chain Aspect/Processes Demand Management Strategic Sourcing Procurement Warehouse and Distribution Channels .5 Transportation Discussion A The Core Competence of The Supply Chain The Supply Chain Network in Us – Push-pull System .7 The Relationship Between the Supplier and Buyer The Technological Changes/Disruptions Discussion B Conclusion 10 Reference List .11 Introduction According to Blancas et al (2014, p,1), as a middle-income country with a speedy growing economy, national logistics cost in Vietnam lies in the range of 20.9 to 25% of GDP, which is 10% higher than the average for developing countries in the region Along with the social and political stability after the economic reforms of the late 1980s and a favorable geographic position, has facilitated a strong trade sector performance over the past 20 years Yet, logistics efficiency improvement still remains a challenge in Vietnam Based in Singapore with offices in South East Asia, Q Industries is not only a 3PL company that provides hospitality solutions to the finest brands in the hospitality and F&B sector but it also owns several in-house brand itself like Q.essentials, Quantum Pro™, They offer an extensive range of products that can be found in some of the most reputable hospitality establishments all over the world They have been working with well-known partners in the field all over the world like InterContinental, Sheraton, Rex hotel, Suite 26, Moreover, Q Industries has stated on their website that they provide their clients with a unique 5D approach: Discover, Define, Design, Develop and Deliver; starting with the ‘getting to know you’ phase (discovering the client’s positioning and targeted customers) then define which approach works best for their business and, after that the design and develop process come in to maximize the overall experience And finally, it is about time the logistics team took action, working altogether behind the scenes to ensure all the products are ready to be delivered right to the clients’ doorstep safe and sound In short, Q Industries’ supply chain consists of four main processes: demand management, strategic sourcing procurement, warehouse and distribution channels and transportation This report is to identify and highlight the importance of each process in the supply chain and more specifically, our chosen product line - linen; also, the report will address issues related to the process Identification of The Supply Chain Aspect/Processes Material flow - Suppliers send products to Qindustries accordance to what Qindustries placed in their orders And Qindustries send their products that received from suppliers, to their customers, through customer’s order information Financial flow – After Qindustries recive and verify the quality of the products shipped from suppliers, Qindustries then send payment/money to suppliers Same applied between Qindustries and their customers Product In – Store Pickup Information Flow - Once Qindustries placed orders, suppliers then send Qindustries information regards to their orders including invoice, receipt, ordering number, shipping time, etc Same applied to Qindustries via their customer’s order End Consumer Shipping the products from Qindustries warehouse to retail store using railroad Place order Send back invoice and ordering number Qindustries retail store in District 7, Ho Chi Minh City Demand Planning Qindustries’ Warehouse Strategic Sourcing Procurement Qindustries places order Shipped using FOB Suppliers send back invoice and ordering number Supplier’s Production (Manufacturing) E-commerce After successfully signing the contract, suppliers then send the requirement of production accordance to Qindutstries products’ forecasting Demand Management using Quantitative and Qualitative forecasting methods Contacting suppliers after identify the suitable suppliers Suppliers from aboard Demand Management Demand management is the integration of firms throughout the supply chain to collaborate on the core activities (Mentzer) According to Croxton et al (2002), demand management encompasses demand planning, in which requiring firm to forecast and synchronize information The ambiguous concept of ‘demand’ was misleading in the past as firms only concentrate on how their actions affect customers’ demand Yet, the demand is also impacted by the market volatility (Coyle et al 2016) As a kitchenware retailer, the first process undertaken is to look at the sales cycles in the past few years to identify the needed quantity for future stocks Q Industries supplies linen products to mostly top luxury restaurants, resorts and hotel (B2B) in Vietnam (Qindustries n.d.) The need to stock up of Q Industries’ linen increase especially Tet holiday when tourists domestically and internationally travel to Vietnam, such as Vinperal (VietnamNews 2019) This indicates that demand planning rises the understanding of firm regards to the real market requirement of their customers Nevertheless, Q Industries cannot just rely on historical data Hence, the second process is to analyze the impact of market fluctuation using demand intelligence, which helps Q Industries to deal with changes in the market (Christopher 2016) For instance, in term of bed and bath linen, customer’s trend is heading towards the innovative materials such as Colton or silk, or eco-friendly interests that customers demand the linen made from organic cotton or wool (Strategyr 2019) Those are the factors that affect consumers’ behavior as they willing to experience Thus, combing analyzing the sales cycle of linen – called Quantitative forecasting and linen’s trends in the industry – called Qualitative forecasting are two methods in the demand management that will help Q Industries build a reliable forecasting model After conducting the forecasting model, it is known as a resource plan that Q Industries are aiming for The resource plan lists out the essential requirement for the forecasted customer’s demand that Q Industries used as a fundamental step for their strategic sourcing More specifically, the plan establishes the needed capacity For instance, which suppliers that Q Industries needs for a particular type of linen? How many would they need to meet their demand and prevent stock-out costs? How much those products cost and are the price negotiable? The origin that customers demand, internationally or domestically? Thus, generating KPI to measure the reliability of Q Industries’ forecasting by comparing the available linen with the number of stocks Strategic Sourcing Procurement Strategic sourcing is a broader approach that involves the integration of firm with other partners to procure goods and services based on the requirement of forecasted and actual demand with the best possible low cost (Hodges 2012) The first step in the strategic sourcing of Q Industries is to establish an accurate spend area of the linen More specifically, after developing a reliable forecasting model, Q Industries re-evaluates the quantity of the specific type of linen that the company needs For instance, in the historical sales, the white linen might account for the highest revenue in Q Industries compared to others, this then encourages Q Industries to conduct large re-buy purchasing; or the silk cotton which brings the least profitability to the company as comes with higher purchasing costs, which Q Industries need to reconsider the quantity of purchasing and negotiate the final price with suppliers Q Industries then need to establish ideal suppliers for the product they want Correspondingly, when spend area is identified, it is critical that as a retailer, Q Industries is able to identify its potential suppliers that can supply Q Industries specific linen associated with the lowest risk when dealing and negotiating with partners Specifically, establishing a critical understanding in which suppliers Q Industries are aiming to procure As a linen’s retailer, the products are categorized into highly competitive market, which Q Industries have wide ranges of suppliers due to its competitiveness For example, linen’s supplier plays dominance in China of up to $1.1B of export value (OEC 2019), assessing those Chinese suppliers help Q Industries generate the best cost for their products Thus, pre-qualifying the particularly potential suppliers and requesting for information Such as, Yongji Shanghai Textile is a Chinese supplier that provides high-end linen with the concentration of the firstclass design and sophisticated quality, which is suitable for the need of Q Industries to supply their clients – luxury hotel and resort (Q Industries n.d.) Next, after identifying suitable suppliers such as Yongji, the supplier’s sourcing strategy is generated In particular, prior to supplier selection, this process is to establish a more detailed supplier portfolio regards to their capabilities of meeting Q Industries product’s demand For example, Yongji will be assessed based on their quality, capability, reliability, desired quality and their financial status (conducting RFI) Those are the criteria that Q Industries as a retailer undertakes to integrate a long-term relationship Otherwise, if the company fails research and capture deep information about their supplier’s partner, problems might occur during transactions Yet, the most critical criteria are the cost of the product, as this is the key in the procurement process which all retail seek for, the lowest possible cost Warehouse and Distribution Channels Nowadays, the importance of warehouse and distribution channels are integrated critically in the supply network, there is no longer long-term storage’s concentration; as an alternative, firms are moving towards implementing the distribution facilities as they help firms add values in the flow of materials (Langevin & Riopel 2005) Firstly, Q Industries’ type of transportation consolidation is that the company has their own central distribution facility in District 7, Ho Chi Minh City; which helps Q Industries to assort and arrange the flow of linen from international suppliers efficiently More specifically, Q Industries’ distribution facility will segment the different types of linen based on their lot number, SKU and case pack size – called sortation; and those linens are thus, concentrated on matching their availability to customers order using SKU – called allocation As such, this includes the benefit of tracking the availability of linen, managing linen’s stock to with a strong connection to the order processing so that Q Industries is able to receive the order, track the linen’s stock, pack the linen’s product and then ships to customers (Hodges 2012) For instance, Q Industries will allocate the white blank linen associated with the order made from Vinpearl resort with the aim of separating the specific type linen’s into smaller quantity according to the client’s order for an efficient shipment As Q Industries has one main distribution which all of their linen’s products from Yongji’s supplier flows into one place Q Industries then needs to distribute their linen throughout Vietnam once linens are shipped to the main storage The typical problem might occur is that if the linen’s orders placed largely in the Northern Vietnam or other provinces that is far from distribution facility’s location, costs are high in term of shipping the linen’s products Furthermore, in term of distribution’s strategy, Q Industries linens are classified based on criteria and characteristics For instance, their own products – Quantum Pro (glassware priority) – which is put in front, lower shell and then the best seller’s linen, such as white cotton linen which accounts for highest profits last several years, the green linen that brings the least sales or not achieving high profitability will be put behind the outstanding products Transportation Transportation is the key driving factor in the SCM as this process is the critical tool that provides the connection between organization to their customers (Langevin & Riopel 2005) Transportation is part of a customer service’s indicator as they will promote the competitiveness of firms through their delivery process There are many modes of transportation in the supply chain, and the wide implementation for the motor carriers which comprise of for-hire and private fleet (MH&L) In Q Industries, the company also has their own transportation to deliver their linen to the end consumers More specifically, Q Industries’ motor carriers allow firms to avoid shipping fee which reduces the variables costs In term of inbound logistics, Q Industries procures their linen from Yongji in which the company refers to use FOB method of shipment in order to gain more control over their purchases associated with lower costs In term of the e-commerce website, beside Q Industries’ webpage - Q.essentials, the company also present their linen through Lazada and Shopee; this involves the delivery through the external providers – Lazada and Shoppe shippers, delivery providers in Vietnam integrate last-mile delivery which focuses on delivering to the-end user ASAP – usually personal residence As operating in Vietnam, the typical issues are enhanced through the poor infrastructure (25% of unpaved road, only 0.05% highway and 0.002% expressway, low ranking in Global Competitiveness Index on Road Quality (Schwab 2019), which restrains the punctuational customer’s delivery including delay, late shipment as well as the developing technologies which might restrain the efficient tracking of shipment Discussion A The Core Competence of The Supply Chain Being a 3PLs’ firm, Q Industries puts a heavy concentration on two factors, which are sourcing management and warehouse designs Firstly, the component takes significant place is the forecasting system (Su & rule 2010) Q Industries supply chain and their customers share information across each other regards to order’s information, invoice, customer’s database, product type, delivery date, and availability of stock through a centralized database’s platform Thus, it is then directly and mechanically delivered to the corporate system Moreover, this method facilitates the arrangement of transportation which reports the information regards to departures and arrivals In future, Q Industries is going to integrate the accounting and warehouse management checker systems which the aim of ensuring Q Industries’ product - linen, is able to achieve the seven “rights” for the benefit delivered to both the company itself and their clients All Q Industries linen’s products are managed by the barcode system, anytime the products are moved in (receiving the linen from their suppliers) and/or out (sending to their customers) The barcode system is a crucial component for a 3PLs company like Q Industries to subsume and solve cross-functional and cross-enterprise issues, thus making sure their products are safely punctually shipped (Dittman 2013) Additionally, by implementing this technology, Q Industries is able to gain more customers satisfaction and confidence The second competence is the warehouse operation In Vietnam, Q Industries has one warehouse which located in Ho Chi Minh city However, this center is clean-climbed and systematic In practice, when the linens have arrived, Q Industries’ warehouse manager will check the barcode In this stage, the barcode help Q Industries forklift truck driver to arrange the linen in the correct places Indeed, Q Industries warehouse’s designed plays an essential role in supporting material-handling The Supply Chain Network in Us – Push-pull System The current trend in production and business in regard to the criteria of being lean, on time and avoiding wasting the resources and time It is also the goal of the supply chain in general and logistics activities in particular To achieve this goal, the companies have to determine their style of supply chain network In the case of Q Industries, they implement both push and pull strategies in their supply chain network There are several benefits that Q Industries is able to capture when they utilize the push-pull strategy Firstly, it helps Q Industries to simultaneously respond to their customers’ demand in a proactive way despite the everchanging market’s condition, and increasing the productivity integrated into the company Secondly, the advantage of push-model is turning business’s plan into the valuable ones In order to implement push-system, Q Industries need to have a reliable forecasting system in their supply chain It allows companies to get ready with producing a product that satisfies customer demand Moreover, by applying this forecasting system, Q Industries can prevent the stock-out problem - the problem dissatisfies their customers Whereas, pull offers chainedges which embraces less wastage in case of the decrease in customer demand occurred This strategy involves Just-In-Time in inventory management As a result, it helps reduce the amount of storage and concentrate on delivery on time In reality, Q Industries tends to turn from the push strategy into the pull strategy to bring their clients to the best experience However, the requirement for applying push-pull depends on the demand of every separated service and its lifecycle The challenges associated all the ways as the important barriers that Q Industries must take into consideration For instance, the push-pull strategy should embrace the seasonality peaks, lifecycle, short productions, high-demand volatility, and/or implementing the new technology In practice, if Q Industries aims to manage their entire supply chain effectively, they have to focus on interpreting and integrating the new technology and advanced facilities that are at the same time, being more expensive than those traditional management systems The Relationship Between the Supplier and Buyer For Q Industries supply chain and its suppliers, since in the logistic channel map, they are in different level, their relationship will be categorized as the vertical relationship Each of Q Industries’ suppliers wishes to gain higher profitability without wasting time, resources and capital investment (Fernandopulle 2015) However, the collaboration between Q Industries and their suppliers will not witness as much direct competition as that is in a horizontal relationship For example, Q Industries and its material handling or linen suppliers not supply a similar product, targeting identical groups of consumers Therefore, the relationship between Q Industries and their partners becomes close and more trustworthy Besides, Q Industries had to choose the suppliers in versatile ways, which is supported by the list of metrics; thus, giving the company a chance to interact with suppliers who can provide good quality of linen associated with the reasonable prices Certainly, it will give Q Industries several economic advantages However, since one supplier might serve various orders at the same time, Q Industries might have to pay for a higher price in terms of the specific features based on customers’ requirements In the future, once the relationship between supplier and Q Industries is made with trust, this will provide the advantage for Q Industries to maintain its sustainability (Fernandopulle 2015) For example, when the linen’s suppliers are able to supply the customized style linen to accordance to Q Industries’ requirement with a reasonable cost and right delivery time, as a tool helping Q Industries to bring satisfaction to customers In fact, more and more buyers want to transfer from the short-term relationship to the long-lasting relationship in order to ensure sustainability (Grace & George 2014) The Technological Changes/Disruptions The progression of technology is pushing the boundaries and limitations of businesses As logistic is one of the foremost dynamic business, it is believed to depend on disruptions from the world’s trending including keeping up to date with technology Nowadays, most companies around the world determine to invest in technology to consolidate their operation's necessities (Barrios 2018) With the implications of barcode check and cloud technology that provides platform solutions via IoT, thus making sure in-transit visibility and delivery; in term of RFID, its effectiveness of reducing labor costs thanks to its inventory’s tracking Technology shapes the longer term of business’s growth as digital fitness is an important component for the achievement of long-term success For Q Industries, if the company wants to keep the market share as well as keep up a veritable competitive edge, they need to adapt to these technology trends in order to keep up a veritable competitive edge Improved technology conjointly improves Q Industries productivity for the provision chain; at the same time, minimizing costs and errors Consequently, providing Q Industries with the benefits in all areas of a being a retail Discussion B A 2014 Deloitee survey found that 79% of companies with a comprehensive supply chain performance will achieve superior revenue growth against their competitors in the same industry (Rob 2019) To have a comprehensive supply chain, companies need to have a sustainably excellent risk management strategy However, risks are inevitable in each supply chain, especially for a retailer’s company like Q industries Limited production capacity associated with the rapid demand growth has forced companies to increase outsourcing, leading to the risk of interdependence On the other hand, the product lifecycle is shorter and faster with the rapid change of technology, while the needs of customers are more diverse and stricter, leading to increasingly obsolete inventory Therefore, businesses need to cooperate and link with other businesses to form a supply chain system One of the obvious weaknesses in this supply chain is that when problems arise, it is difficult to prevent them demonstrating the lack of preparation and prevention in companies’ long-term and short-term planning The reliance on outsourcing supplies will put Q industries under pressure with regards to the price and product quality Sudden intensification in the number of suppliers due to inflation or fluctuations in the price of materials or labor, would greatly affect Q industries' revenues The market is always changing fast, abruptly and unpredictably, so planning is also more difficult In addition, the risk of the unmet quality also put an impact on the competitiveness of enterprises, the firms are lacking the quality that customers demand, they lack competitiveness in the market The commodity market is most volatile, leading to the consumers in this market often signing security contracts in which the product price may be higher or lower than the present value In addition, the dependence on suppliers is very easy to lead to unmet quality risks, it can simply be dented but has serious consequences Quality is an important factor in customers' purchasing decisions and creates a reputation for businesses Therefore, bananas supplied with ineffective suppliers can kill businesses To control the risk of quality and price, Q industries need long-term contracting strategies to reduce the impact of future price increases However, it is necessary to carefully consider the price offered to be suitable in the long term Moreover, the quality control system should also be guaranteed From the outset, the source of reputable vendors is extremely important This is followed by ongoing quality control of suppliers, with appropriate and prompt corrective actions in the event of an incident Along with that, reserving a list of other reputable suppliers to replace in case of necessity Next is the risk of product’s shipment in the supply chain that can impact business performance in three ways including delay in delivery, delivery not accordance to the time late/early delivery, and cancellation Q industries provides linen for the hotel, bar and restaurant in Vietnam’s industries This is one of the customer groups with diverse and rigorous demands for quality and delivery time For example, a hotel needs huge amount of linen for an upcoming event with unique designs Q industries have finalized the idea and signed a production contract with the supplier - Yongji, but for some reason, the supplier suddenly changed the delivery dates, leading to a delay in the shipment process, and thus, Qindustries are not prepared for the stocks of linen providing to the hotel Hence, this will greatly affect the reputation and revenue of Q industries Furthermore, especially linen products, in some special seasons the products are usually delayed that cannot deliver to customers on time Like the upcoming Tet holiday in some countries which have the Lunar New Year, if the shipment arrives in Vietnam at that time, people will spend a long time for holiday around two weeks Before that time, goods are rushed in order to deliver to customers because everybody knows that all of the works will be postponed This is the most time in the year that they have traffic jams caused by goods, thus goods might stuck in the harbor or the airport As a result, Q-industries tries their best to get the linen as soon as possible and doing hard-work a hundred percent after that to catch up on the schedule then transmission the linen and achieve the satisfaction from customers This is just an example of what could happen in Q industries' supply chain Managing these risks is important to becoming a reputable business Q industries need to be aware of changes and changes that may affect the transport process, thereby enhancing their reaction capacity In addition, there are appropriate backup options, such as checking regular delivery schedules to keep up with expected delivery schedules as well as problems encountered in case of a contract Finally, in today's globalized production and trade, as companies step up their operations in new territories in searching for the lower costs, leading to the complexity of the supply chain’s network Natural disasters pose a risk of supply chain disruption and harm the bottom line of business such as flight cancellations, port closure and the shutting down of highways According to Sodhi & Lee (2007), natural disasters can lead to disruption in suppliers or organizations of the manufacturing process and affecting the transport and distribution of goods and services A good example is the Tohoku earthquake and kidney wave in Japan a few years ago that caused huge damage to Japan up to $ 210 million (Graham 2019) Natural fire is one of the unpredictable risks and effective solutions However, with the help of technology, businesses can fully gather accurate information about the presence of disasters to take appropriate precautions One of these is to increase the collection of upcoming disaster data and implement a supply plan before or after the time of the disaster to minimize risks For instance, because of the tidal estuary with shipping traffic, it is also one of the common factors that causes losing or delaying shipped items As reported by (Walree, Neashan & Schrijver 2007) the high or rise tide affect the time of arrival of containers at the harbor This is also the factor from nature, sometimes humans cannot control it but actually, Q Industries could prevent this problem by using the environmental system from the study above It is better when every big harbor in every trading nation trying this kind of system to reduce and resolve the situation of delaying shipments Q Industries also presented this problem throughout many workshops, it adversely affects their business because there is not only to resale but also global trading with 4- or 5-star hotels It is the fact that the success of your business is closely linked to the performance of your supply chain, especially to trading companies like Q industries With the perfect supply chain, businesses will have many competitive advantages including the cost advantage, cost per product unit, along with the ability to meet customer orders line Although risks in the supply chain are inevitable, with careful preparation of possible risks, Q industries can minimize risks to become more successful in the long term Conclusion Despite how innovative Q Industries supply chain is, they still have to cope with issues regarding independence, inconsistent price points due to increasing outsourcing and lead time because of unexpectedly uncontrollable incidents (natural disasters) Customers’ needs are getting more and more diverse along with the rising trend of Internet and technology can contribute to increasingly obsolete inventory Therefore, businesses need to connect with each other in order to provide support when needed Depending on outsourcing can cause inconsistent price points and products’ quality The market is always changing very fast so for example, sudden intensification in the number of suppliers due to inflation or fluctuations in the price of materials or labor can greatly affect Q Industries This can either be positive or negative So as to control the risk of quality and price, Q industries needs long-term contracting strategies to reduce the impact of future price increases It is also important to carefully 10 consider the price in the long run The source of reliable vendors is highly appreciated since quality is key especially with a big business, like Q Industries Along with that, reserving a list of other reputable suppliers to replace in case of emergency The next risk is the performance of the logistics department Ensuring that goods will be delivered just-in-time is key More particularly, Q industries provides linen for the hotel, bar and restaurant in Vietnam’s hospitality sector This is one of the customer groups with diverse and rigorous demands for quality and delivery time for instance, during their business season If Q Industries does not try their best to get the linen as soon as possible and doing hard-work a hundred percent after that to catch up the schedule then they will be likely to lose the customers and also, leaves a bad reputation in the industry due to that unexpected incident To deal with this, Q Industries need to be aware of changes and those that may affect the transportation process, thereby enhancing their reaction capacity In addition, there should be appropriate backup options, such as checking regular delivery schedules to keep up with unexpected delivery schedules Last but not least, natural disasters are beyond human control, Q Industries has mentioned that this kind of risk is impossible to control (high tide) However, with the help of technology, businesses can fully gather accurate information regarding this to take appropriate precautions One of these is to increase the collection of upcoming disaster data and implement a supply plan before and after the time of the disaster to minimize risks It is the fact that the success of your business is closely linked to the performance of your supply chain, especially to trading companies like Q industries so it is important that they carry out appropriate back up plans to succeed in the long run In terms of limitation, it is obvious that Q Industries not public much information online which is why we are required to make various assumptions in this report Industry and company reports were used as alternatives for Q Industries The possible reason to this is Q Industries not really attract their customers via online marketing Their clients are mostly in the long-term contract, so Q Industries is not expected to reveal too much information online In addition, the guest speaker mentioned that there is no demand management step in the process, but it is obviously impossible to not forecast the demand in the first place especially in the competitive hospitality sector Reference List Barrios, K 2018, The Future Of The Logistics Industry, Xeneta, 23 January, viewed 09 January 2020, Blancas, L, Isbell, J, Isbell, M, Tan, H, Tao, W, ‘A Key to Vietnam’s Competitiveness Efficient Logistics’, The World Bank, p.1, viewed January 2020, Chambers, J, Mullick, S & Smith, D 1971, ‘How to Choose the Right Forecasting Technique’, Havard Business Review, July, viewed 26 November 2019, Christopher, M 2016, Logistics & Supply Chain Management, Pearson Education Limited, ProQuest Ebook Central database 11 Croxton, K.L., Lambert, D.M., García-Dastugue, S.J & Rogers D.S 2002, ‘The Demand Management Process’, The International Journal of Logistics Management, 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foreign tourists during Tết holiday 2019’, VietnamNews, 14 February, viewed 26 November 2019, Walree, P.A., Neasham, J.A & Schrijver, M.C 2007, ‘Coherent acoustic communication in a tidal estuary with busy shipping traffic’ The Journal of the Acoustical Society of America, 122(6), pp.3495-3506, viewed 31 December 2019, RMIT database 13 ... sustainable growth Throughout five parts analyzed in the report, the problems are acknowledged as the difficulties in maintaining the relationship with suppliers, the extent to which Q Industries... also pointed out as a big picture to reflect the difficulties faced by other retailers in general; furthermore, assessing the importance of the relationship between Q Industries with their suppliers; ... willing to experience Thus, combing analyzing the sales cycle of linen – called Quantitative forecasting and linen’s trends in the industry – called Qualitative forecasting are two methods in the

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