Xây dựng chiến lược hoạt động cho sản phẩm bàn ghế ngoài trời xuất khẩu vào thị trường hoa kỳ e

Developing operation strategy for outdoor furniture export to US market Page of 19 I GENERAL INTRODUCTION Introduction Company name: WOODSLAND JOINT STOCK COMPANY Abbreviation name: WOODSLAND Head office: Lot 11, Quang Minh Industrial Zone, Me Linh District, Hanoi Tel: +84 435 840 122 - Fax: +84 438 134 944 Email: info@woodsland.com.vn The scale: Main factory: - Woodsland Factory: 1.5 - Tan Phu Ha Factory: 1ha - Phu Ha Factory: 2.5 - Thuan Hung Factory: 2.5 Power production of wood products: 50 containers per month Kitchen cabinets production capacity: 1000 sets / month Number of employees: 1,300 people Woodsland Joint Stock Company officially started producing from November, 2003 Up to now Woodsland has achieved great strides in the field of timber export and became one of the largest timber companies in Vietnam The Woodsland products for furniture manufacturing has been present throughout most of the United States, Canada, Europe, Russia Vision and Mission Becoming the leading furniture manufacturers in Vietnam and Asia Pacific region by providing customers quality high value furniture products with the best service in Vietnam, supported flexibility financial solutions based on the core competencies, the ability to connect and build relationships with strategic partners, customers and suppliers worldwide Core value Page of 19 The core value is as a guide, a model for all our actions and is the foundation for building people's organizations and Woodsland These are: Creative innovation, focus on core competencies, and globally flexible thinking Organization chart Business results in recent years Page of 19 II IDENTIFY TARGET MARKET AND COMPETING PRIORITIES Analysis the U.S furniture market and identify the target market The criteria for the market analysis are: income, age and geography Income People who have average and high income are subjects that towards the outdoor furniture market High-income customers tend to purchase items with more valuable and more frequently For income groups often have features such as: (1) They are the young professional age, (2) Recently purchased the first home in the city, (3) Proper outdoor space, (4) Like purchasing the high quality outdoor furniture with reasonable price Age The two largest age group is from 35-44 and from 45-54 Customers in the 35-44 age groups are usually young married couples and have just built the first house, looking for comfort like their parents' house 45-54 age groups focus on high-income individuals, who tend to buy outdoors furniture or furnished to their 2nd home In fact, from the years 2006-2010, sales has increased by the population boom of this group which is expected the consumption of luxury products Geographic location is also decided customer tastes and buying habits The US is divided into regions: The North, The West, and The South Northwest customers are considered the most promising in the consumption of outdoor furniture This group also has a higher income than others, and the severe weather in the Northwest is also necessary to create demand for using outdoor furniture The most common reason for promoting customer is buying outdoor furniture needs replacing broken and old appliances Furthermore, those in the Northwest tend to move more and they rarely move the outdoor furniture when moving house The customers in this area seem like small things, while those in the West prefer the exterior products which are large and bulky size Customers in the coastal states have tastes of heavy structural items because of the sea breeze influence In the southern states, consumers prefer outdoor space as they enjoy the warm weather than Page of 19 other areas, but they create the less potential for the consumption of outdoor furniture items than the other customers because their income is significantly lower Thus the target customers are the elderly, married, middle and high income in western North and South America Competing priorities selection Woodsland competing priority is low-cost operations following advantages: - The materials: Characteristics of outdoor furniture manufacturing requires a large amount of material which is wood derived from forest trees, to ensure sufficient volume provided in the peak period, fine quality wood and to ensure meeting the requirements for production Woodsland will select placement in the plant to reduce transportation costs of raw materials and maintain stability of supply - Workers: Manufacturing outdoor furniture requires high-skilled workers with certain large numbers The proportion of workers occupied high production costs, so we will select the location of the plant in the province that has abundant labor force to reduce labor costs, recruitment costs and maintaining production stability - In the value chain to create outdoor furniture products, Woodsland will analyze and processe outside the given simple tasks to cut costs and increase the flexibility capacity - In manufacturing, Woodsland check regularly to improve manufacturing processes, limit waste and rational use of materials, energy, tools to optimize production - Combining with the competing priorities of maintaining stable quality, timely delivery, and high yield will take Woodsland up to the leading position in the production of outdoor furniture exporter in Vietnam and the region III MANUFACTORING PROCESS AND CAPACITY SELETION The process of export furniture manufacturing in Woodsland factory is simulated in the following block diagram: Page of 19 Input material Returning vendors Receiving Inspection Pre-processing - Cut-off - Drying - Classification Handling inappropriate product QC Intermediate Warehouse Fine woodworking - Spore - Cut to shape - Cut back, graft - Milling - Drilling holes Handling inappropriate product QC Finishing - Sanding - Preliminary assembly - Coatings, wiping oil Handling inappropriate product Handling QC inappropriate product Packaging - Assembling more clusters - Packaging and labeling Final Inspection Loading Dispatch Page of 19 Power option Planning is defined as a capacity building project The export outdoor furniture production line is calculated on the basis of output power over a period of one year after production to stabilize In the furniture industry, statistical power is often measured by the number of cubic meters of products With factories, Woodsland estimated maximum capacity of approximately 10,00012,000 m3 of product per year Capacity for outdoor furniture production line plans 50 x 15m3 container per month x 12 months = 9,000 m3 of product per year Power lines for kitchen cabinets, domestic goods = 1000-2000 m3 of products per year IV CHOOSING LOCATION AND SUPPLY CHAIN BUILDING Choosing location Place is related to location, activity is done in parts of the supply chain The choice here is the quick response and efficiency The decision will be focused on activities in a number of areas to achieve efficiency and economies of scale The decision will reduce the focus on activities in the area near our customers and suppliers to work more timely response The decision on the location is seen as a strategic decision that impact to the financial in a long-term planning When deciding on the location, managers need to consider a range of factors such as department costs, labor and skills needed in manufacturing, infrastructure conditions, tax and closer to suppliers or consumers To make an informed decision requires carefully research a variety of complex issues Specifying the priority order of the above issues, keeping an open attitude to other options, conducting research and making available are one of the most important decisions to start business activities Building supply chain has its own market needs and challenges in operations, but in general there are similar problems in some cases Any company in the supply chain needs to individually decide their course of action and the five following areas: Field The related decision Related activities Page of 19 Furniture -Which product? - Production scheduling and this manufacturing -When and how many? schedule must be consistent with production capacity of the plant - Balancing work process - Quality control Inventory - Equipment Maintenance - Which Inventory will be stored at Against uncertainty of the supply each stage in the supply chain chain - How many inventory levels for raw materials, semi-finished and finished products - Determining inventory levels and Location the best re-order point - The place can facilitate the When the decision is made that production and storage of goods we have defined a logical - The most cost effective in the direction to take the goods to production and storage of goods consumers through distribution place systems - The use of the existing favorable conditions or create new favorable conditions Page of 19 Transport - What way inventories are - Cost of shipping comparison: transported? Transported by air or by truck is - When using the best transport? faster and more reliable, but the cost is expensive Shipping or by train has lower costs but longer and unreliability transit times - Reserving inventory at a higher level to compensate for the unreliability of transport Information - Collecting and information - Catch-accurate sharing Good information will make people determine the timely effectiveness of what to produce, information creates the ability to how much, where to put the combine and make better decisions inventory and what the best transportation is All decisions will determine the capacity and efficiency of the supply chain The effectiveness of the supply chain creates operational efficiency and competitiveness of the company Woodsland supply chain included suppliers of raw materials which are wood, sawn timber, kiln drying service providers, satellite manufacturers offer semi-finished products, suppliers of materials other combinations such as steel, aluminum, glass, fabric cushion, plywood, packaging suppliers, chemicals, plastic with metal accessories, labels, transport services, customs services V GENERAL PLAN Production related to the supply chain capacity and storage products The means of production are factories and warehouses The basic problem of the manager when making production decision is: how to resolved balance between responsiveness and efficiency If factories and Page of 19 warehouses are built with high excess capacity, the flexibility and quick response to large volumes demand of products However, the factory was built by one of the two following methods to match production - Focusing on a factory production and manufacturing a product, we can perform many different operations in manufacturing production from the different parts to the assembly of the parts - Focusing on functionality Just focus on a number of activities such as producing a set of performance parts or assembly This approach can be applied to produce a variety of different products Tendency to approach a product often leads to the development of specialized products for a cost equivalent to the force Approach toward generating functions creates the professional development of the special function rather than developing a given product The company should decide to approaching method and what combination of these two methods to give the ability and knowledge to meet customer needs Similarly, for the warehouses are also built many different approaches There are three main approaches used in the warehouse - Stock Keeping Unit: In this traditional method, all products of the same type are stored together It is effective and easy to implement storage products - Batch storing: Under this method, all products which were related to the needs of a particular customer or a job are stored together This allows the selection and effective packaging but requires more storage space than SKU traditional storage methods - Cross-docking: This method is designed to increase the efficiency of the supply chain Under this method, the product is not classified as parts inventory Instead of parts that are used to store a product from the suppliers trucks unloading bulk to many different products The major shipment is divided into smaller lots The smaller shipment with more different products are combined according to daily needs and loaded onto trucks sent to the end customer Inventories include raw materials, semi-finished products, and finished products by the manufacturer, distributor and retailer of storage spread throughout the supply chain The managers have to decide where to store to balance between responsiveness and efficiency Page 10 of 19 There are three basic decisions to make and store inventory: - Inventory cycle: This is needed to determine the stage of demand between the products purchasing period Many companies aim to produce or purchase the large to achieve economies of scale However, large shipments also increase storage costs - Safety inventory is stored against uncertainty If demand forecast is made entirely accurate, inventory is only periodically necessary levels Each of the forecast errors should have to compensate for this uncertainty It is higher or lower level by storing goods when demand spikes than expected - Seasonal inventory is built on the basis of forecasts Inventory will increase demand and this demand usually occurs a few times a year VI HUMAN RESOURCE PLAN Project board To implement a business plans, the company will establish a project board to make this project The proposed project model as follows: Project Manager Analysis and Customer Management market relations and and investigation market production group development coordination group group Project support group Functions and duties: The project team is responsible for implementing business projects “export outdoor furniture products to the U.S market” Among them: + Project manager Page 11 of 19  Project Manager is responsible for coordinating and managing the entire process of project operation  Supervising, managing staff and taking measures to accelerate the process of project implementation  Decision of competent leaders to report + Market research group  Planning, conducting market surveys U.S market about outdoor furniture products  Providing the market analysis report, assessing market potential and development orientation  Monitoring and analysis of project activities and providing alternatives to market changes + Customer relation and market development group  Planning market analysis report of market analysis team  Searching for potential customer  Implementing customer relationships, seeking sales opportunities, contracting with partners and customer care  Coordinating with delivery team and implementing other provisions in the contract + Production management team  Receiving contract from the customer development team  Coordinating with production department to plan and implement production contract  Coordinating with business development team to check the quality of products which will be delivered to customers  Report to project manager + Support team  Monitoring the progress of the contract, synthesizing report  Reporting directly to the Board of Directors and warning of possible problems  Support other groups on documents, forms, plans, costs and other office work Human resource Page 12 of 19 No Position Number Personnel manager 01 Market survey group 02 Customer relationship and 02 market development group Production management team 05 Sales support 05 Arranging directly production force Note Sales director or deputy sales director Transfer from sales department Transfer from sales department Transfer from the planning department Transfer from accounting department This is the main resource of direct labor to create products Woodsland main stages are organized into groups with production force as follows: - The preliminary: 80 people, including groups: receiving timber, sawn, drying, sorting: the preliminary work includes unloading logs reception, sawn timber for warehousing and receiving input checking Unloading the pallet lumber, in wood stoves and wood - classification after drying into categories corresponding to the request The refined: 60 people, including groups working on the planer, cut, milling dream, - drilling holes The completed: 60 people, including the working group made sanding stages, - preliminary assembly details, clean oil storage or decorative coatings The packing: 50 people, including the group assembled sub-assemblies after surface - finishing, packing, loading container shipment The electric: 10 personnel performing duties in support of production, repair service, tool sharpening, balancing installation Material panning - The cost of materials used in production accounts for a large proportion of production costs Perform material cost reduction slows spinning faster than the working capital and facilitate critical to lowering production costs Thus, each stage of the procurement process management, storage transportation, storage of used materials is directly - affecting cycling the working capital of the business Organize working plan, tasks and materials supply is an indispensable condition, which will always provide timely, uniform material for the production process, the basis for the use and storage of materials logical Savings and prevent the consumption, losses and waste materials in all stages of the production process Page 13 of 19 - During the manufacturing process, material planning, the existence of materials in storage buffer necessary steps to ensure the continuous operation of the enterprise The enterprises in a market economy should not be engaged in the production which should have a reserve source of materials Reserve materials not directly generate revenue, but it has a huge role to the production process is continuous Therefore, if the company is large reserves of raw materials will also costly, capital accumulation If too few reserves - to make business process is interrupted, causing a series of subsequent consequences Raw material is one of the current assets of the company, which is often circulated in the business process Management and rational use of raw materials affect critical to the - completion of common tasks of the enterprise  Materials classification and assessment Raw materials: wood, sawn timber wood derived from forest Semi-finished products purchased are also reflected in the materials as detailed, more - clusters of outdoor furniture products have undergone processing, refining Raw and auxiliary materials: metal accessories to link the product, chemicals such as glue, oil coated, coating, packaging, labels, paper printed assembly instructions, user - manual The standards and testing of materials shall comply with the requirements of the - customers or the manufacturer’s standard Use of standard raw materials required by the import market is a prerequisite for export production VII PRODUCTION PLANS CONTROL The process of planning and scheduling including these steps: - Capacity Planning Production Planning Production Schedule Production Level Capacity planning is the long-term resource decisions including production facilities and production equipment Production planning decides medium-term on the use of the production machinery, manpower, inventory, subcontracted from outside for the manufacturing activity Scheduling detailed producing to carry out production This level Page 14 of 19 of production is short-term decisions about the allocation of specific, detailed machinery, labor and materials to perform working production Due to the nature of export production, delivery time is competing priorities, so that the opposite approach is used by Woodsland Starting from the due date of the job, the end of the previous steps, back to work the first step, in order to complete the work on time The common method aims to: - Minimum time completed Maximizing the use of machinery Minimum amount of work being done Minimum time overdue Completion time is determined by the average completion time for each moderation job The used machines are defined by the percentage of the total available time Amount of done work is measured by the average amount of work in the system Minimizing the amount of done work is to minimize the amount of sold inventory in the system Delay time limit is determined by the average number of late working days Product strategy is often used in production is interrupted production orders Product in interrupted production is often different about used materials, manufacturing processes, machining time, and setup time These differences lead to the interruption of production which is very complex The production system must be: - The orders to the binding capacity of the processing stations Check the availability of materials and tools before the purchase Set due date for each task, check the progress of the due date and time order fulfillment Check the work being done to implement the order Feedback status job done Noting the necessary statistics, such as working time for analysis and distribution of manufacturing workforce Production system is held by one information system with a database including Planning Records, records control Profile planning includes: - Profile of materials Product Profile Design Profile of the production process Produced documents station Page 15 of 19 Profile of materials containing records for each material consists of information materials and supplies such as code, description of materials, production time, inventory availability, the amount of the appropriation, the amount of willing, of receive scheduled production Products Profile Design contains a list of ingredients and supplies corresponding number Profile also provides information on parent material for easy traceability of used materials Records production process contains the records of the production process for each material Record production process includes the trade unions, the same sequence, the fragment described, performed the stations, the tools needed to perform the fragment, setup time, the time taken following Records production stations including all information, data of each station as the station code, station name, capacity, number of shifts worked per week, number of hours worked per shift, performance, utilization, future average consumer, alternative stations Profile control including record of the purchase in the workshop include: Profile record orders and tasks Profile order is the order of the records contained in the record shop to open in factory orders Each order has record in the workshop summary information such as the application code workshop, orders, output has completed, not completed quantity, damage amount, the amount of materials used, date completed, the priority first single of the same information about the costs involved Profile task is a detailed record for each order at the factory, which contains records for the necessary production tasks include the following information: code-tasking, time to plan and set realistic time task planning and practice, the amount has been completed, the amount of damage, completed time and remaining time VIII QUALITY MANAGEMENT PLANS Quality management is the process of identification and management activities needed to achieve the quality objectives of the organization The functions of quality management are: Planning Quality - QP, Quality Control - QC, Quality Improvement – QI Quality Planning Page 16 of 19 Quality Planning including: Strategic planning quality, strategic quality planning, and planning tasks quality Strategic planning is the quality of the process of setting long-term goals, customer orientation and identifies solutions to satisfy the goals set forth Quality Planning is a strategic part of the overall strategic plan of the organization, developed, and directed by leadership organization, is made at the highest level of the organization Strategic planning is planning quality products and processes Planning products and processes are very important and affect product quality, customer satisfaction, market share, sales of which affect profits Planning products and processes often take time and effort These organizations tend to not take the time to plan, but take the time to edit the mistakes by bad planning led to Planning tasks are to develop the quality of production quality, made in the workshop when the material transformed into products Planning the production quality is the quality of integrated production planning in order to prevent damage and minimize variability Planning the quality of production including design testing to ensure product technology, process checks to ensure consistent product created and designed to minimize test damaged in the production process The quality policy is Woodsland publicly for all officials and employees as well as stakeholders for implementation Quality Control The system of quality control process of Woodsland include: Product launch process, Inspection process to receive input, The process of checking in-line, End process control, Process control of the container, Document Process Management, Testing process instrumentation, Process product traceability All kinds of materials, supplies received are checked before being put into production warehouse The quality control on raw materials can be conducted in-house or at the customer's facility, subject and commodity contracts Staff set up quality control inspection records input quality, certified by the purchasing staff, customers and storekeepers This record is a Page 17 of 19 record supplies used later traceability These materials are satisfactory warehousing and put into use The types of materials and supplies unsatisfactory be handled according to the provider or return, or reduce the rate of delivery or reduced, depending on agreements with employees and customers purchase Quality control on the ball is a key step in the production process to prevent defects and ensure quality maintenance during operation At Woodsland, each worker is trained as a real "QC staff" per production The slogan and act like: "I not product damage, not accept damaged products, our products are not handed down" is common to their workers to be conscious about quality At the transfer point between the main stages of production, QC personnel must be available daily for quality control, along with statistics Logistic semi-finished products between manufacturing processes such as processing, refining, finishing and packing are counting statistics of staff and verified by QC checks on the assembly quality Woodsland made last quality check after the product packaging and warehousing of goods to the test in a strict order to bring quality products to customers to maintain Division QC - Quality Control responsible to the Board of Directors on the activities of quality control The control of records and samples as well as updated standards, the trial is guaranteed by the process During the inspection, receiving inspection area, control area is set at the end nearest warehouse near the input and finished product inventory, is equipped with tables, chairs, filing cabinets, process control samples, stored samples, measuring equipment, proper lighting to ensure the quality of the inspection process Quality improving Quality improvement is the operation of the entire organization, addressing long-term issues, in order to improve the effectiveness, efficiency, generates additional benefits for organizations and customers Quality improvement is the ongoing effort to maintain and improve the quality of products with the principle of better product after product to the distance between the front and product specifications to the requirements of customers is decreasing Page 18 of 19 Woodsland apply 5s, Kaizen and the principles of lean quality improvement, reduction of waste in order to improve competitiveness REFERENCE Bernard W Taylor III and Roberta S Russell (2011) - Operations Management - 7th Edition - John Wiley & SONS, INC Lee J Krajewski Larry P Ritzman Operations Management Processes and Value Chains 7th Edition Intermational Prince-Hall, Inc., U.S Woodsland website: www.woodsland.vn Page 19 of 19 ... have to decide where to store to balance between responsiveness and efficiency Page 10 of 19 There are three basic decisions to make and store inventory: - Inventory cycle: This is needed to determine... is determined by the average completion time for each moderation job The used machines are defined by the percentage of the total available time Amount of done work is measured by the average amount... tastes of heavy structural items because of the sea breeze influence In the southern states, consumers prefer outdoor space as they enjoy the warm weather than Page of 19 other areas, but they