Reference no: EM134045682
Case Study:
You work as Senior Logistics Manager at OTIF Distribution Pte Limited. Your General Manager Supply Chain has just returned from attending a workshop in Singapore that focused on how to bring effectiveness and efficiencies in warehouse and transportation. He is aware that you recently completed the Professional Diploma in Procurement and Supply and that you can lead this project.
1. The General Manager has asked you to prepare a report focusing on the following: 1. The GM is deciding on expanding its warehouse facility. The current warehouse which is only 2500 square meters will be too small considering OTIF winning the recent distribution tender which will require at least 5000 square meters of space. There are warehouse service providers within the vicinity of OTIF who can offer multi-client and public warehousing options. Within OTIF there are some issues with the capital funding as the business didn't plan for warehouse expansion, so they don't have the funds to build the warehouse. Please provide a comparison of the various types of warehouses together with advantages and disadvantages focusing on why the company should look at leasing instead of constructing its own warehouse.
2. The use of single cross-docking as OTIF will have to move 1800 pallets to 2000 pallets weekly. Currently, the pallets are offloaded in the warehouse and then loaded in the small trucks for distribution to the customers. Please provide some advice to GM regarding the construction of the Single Dock focusing on the advantages, and disadvantages of crossdocking and will there be some savings you can drive from cross-docking compared with the current process.
3. The GM is looking forward to understanding better the use of different modes of transportation as OTIF will be using all five modes of transportation for distribution. He has asked you to give him an overview of each mode of transportation addressing the advantages and disadvantages. The local port is 50 km away from the warehouse and can be accessed by road via truck loaded in a 20ft shipping container. He requires details on how best the intermodal mode of transportation can be used as OTIF will be distributing to the outer Islands by sea.
4. In addition, he has also asked to highlight some of the impacts on the five modes of transportation due to the Covid 19 Pandemic and the recent war in Ukraine. This will give him some background on the likely impact on importation and local distribution which will be part of the services provided to the new client.
5. Lastly, he needs a summary report of the significance of warehouses and transportation in the entire supply chain. You must address how transporting and warehousing assist in cost savings and improve customer services. Consider, the supply chain as OTIF imports raw materials from its supplier in China and manufactures the noodles as finished goods which are distributed directly by OTIF in the local and international markets.