Describe advantages and disadvantages of holding inventory, Business Management

Describe advantages and disadvantages of holding inventory

You are the Logistics Manager for a Spanish retailer of sports clothing and equipment (shirts, shorts, swimwear, training shoes, and sports equipment) which has over 150 retail outlets across Spain.

In the past, your company has purchased its products from local suppliers.

To remain competitive the company has decided to purchase its products from 3 overseas manufacturers based in Brazil (swimwear), South Africa (sports equipment) and China (clothing). This will enable the company to purchase their products at a much lower price than from their local suppliers. However, there will be a requirement to carefully plan the logistics support required to ensure the products are shipped in an efficient manner to the Spanish port of Algeciras and then by road to the retail outlets. 

1 Inbound Logistics (30%)

What logistical issues would you have to consider before you could ensure the products could be successfully transported from the overseas suppliers to the port of Algeciras in southern Spain? Assume the goods are shipped in standard 20ft and 40ft containers.

2 Shipping Services (10%)

Select a major container port in Brazil, South Africa and China and produce a table showing:

(a)    Two shipping lines offering services from these ports to Algeciras.
(b)    Their transit times.
(c)    Their frequency of service.

3 Distribution Centre in Algeciras (20%)

The Company's local suppliers currently deliver directly to the retail outlets on a weekly basis. The suppliers use their own fleet of vehicles to make these deliveries. With the planned move to use overseas suppliers, Sol Sport is considering establishing a distribution centre in Algeciras with a view to holding 6 weeks inventory.

Describe what would be the advantages and disadvantages of holding this inventory.

Posted Date: 2/15/2013 2:00:49 AM | Location : United States







Related Discussions:- Describe advantages and disadvantages of holding inventory, Assignment Help, Ask Question on Describe advantages and disadvantages of holding inventory, Get Answer, Expert's Help, Describe advantages and disadvantages of holding inventory Discussions

Write discussion on Describe advantages and disadvantages of holding inventory
Your posts are moderated
Related Questions
QUESTION a) (i) Outline the concept of the Real Time Gross Settlement (RTGS) system in Mauritius and name the THREE main system components of the MACSS. (ii) Differentiate b

explain the various approaches that are followed by FMCG companies in test marketing

Question 1: It has been stated in the case that the new ‘Human Resource Manager was failing to recruit the right kind of people ... and new recruits were unenthusiastic about a

Referring to the organisation you researched in Section A of this report give two (2) examples of where that business should be socially responsive to issues that have arisen or c

How is the dividing and grouping work affected in the organisation? Dividing and grouping work: Divisionalisation gives a broader perspective, a greater sense of responsi

QUESTION 1 As the Human Resources manager of an organization of your choice, discuss how Maslow's theory of human motivation and the goal theory can be applied for managing peo

How is packaging and sales promotion affected in marketing management? Packaging: Packaging is a significant activity of a sales promotion department since an attractive

what is the span of control of the financial manager

QUESTION 1 Discuss the importance of communicative behaviour observed in class rooms. QUESTION 2 Music is a powerful means of communication among children. How far do y

On an individual basis, formulate a business plan to start a specialty coffee joint at an appropriate "chic location" in Singapore. The business plan has to be well written so that