One member from each work group will be nominated to make a presentation on the case study.
Apply your knowledge and experiences of any related disciplines. Be as flexible (but racial) as you want. Do not be restricted by theories. Due to limitation in time, Concentrated on “why’ you will do it more than “what” you will do.
There will not be perfect or model answers. The idea is to create your thoughts and support them professionally. If you feel the case information provided is insufficient, you are free to make logical assumptions. ISSUES – Global Operations & Logistics Management THE COMPANY BBC Company Limited is a IIS$1 5 billion worldwide organization headquartered in Switzerland with affiliates in more than 60 countries, and employing around 100,000 people. Founded in 1970 by the merger of two long-established firms in Switzerland, BBC is an international leader in specialist chemicals.
The company has six operating divisions, with each division responsible for its own manufacturing, marketing and sales activities, but the financial and administrative functions and technical support services are centralized in Switzerland and in various regional centers. The company also has wholly-owned subsidiary companies and major Joint ventures in fields whose niche technology complements the core specialist chemical business. In all of its operations, BBC Co. , Ltd. Lays emphasis on the quality of its products and services.
High quality standards are achieved by extensive international research and development as well as by releasing the full potential of human resources within the group. BBC Co. , Ltd. specialist chemicals are value-adding constituents of numerous end products for both industry and the consumer that affect many aspects of daily life. These products range from Jumbo Jets to tennis racquets, magazines to containers, printed circuit boards to high-fashion clothes. Some of BBC Co. , Limiter’s reparations, such as prescription medicines and veterinary products reach the end- user directly.
Arguments have been made recently on which warehouse should be allocated for which countries in terms of lead time and cost effectiveness. Upon receipt of customer orders, the out port countries place their orders to the Hong Kong Office who in turn place their orders on a consolidated basis to the supply sources in Europe. Deliveries are then made from Europe either to the regional warehouses or directly to the ordering countries, depending on the instructions from the Hone Kong office. Both sea freight and airfreight are used. But airfreight is usually discouraged due to high costs.
In order to work out a better logistics system for the region, discussions have continued on how improvements can be made to the existing systems of sales forecast, replenishment forecast, order processing, shipment of product and invoicing. Since the logistics function of the division is responsible by the Department of Regional Administration, the Regional Administration Manager is recently given the assignment of working out a special project for the re-engineering of the logistic flows in the region with regards to the above proposed improvements. 3 Organization Chart Hong Kong Region 4
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