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SCM Decision Making

The document contains responses to 5 questions about how different types of companies can improve aspects of their supply chains. For a grocery retailer, using accurate inventory information allows adjusting production to demand. An auto manufacturer can use efficient transportation to reduce lead times and inventory. A bicycle manufacturer can increase responsiveness by having flexible, locally-located facilities. An industrial supplier can leverage customer information and demands to improve inventory management. A food delivery company can use pricing strategies like discounts to attract more customers and increase sales and profitability.

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Ahmed Raza
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41 views1 page

SCM Decision Making

The document contains responses to 5 questions about how different types of companies can improve aspects of their supply chains. For a grocery retailer, using accurate inventory information allows adjusting production to demand. An auto manufacturer can use efficient transportation to reduce lead times and inventory. A bicycle manufacturer can increase responsiveness by having flexible, locally-located facilities. An industrial supplier can leverage customer information and demands to improve inventory management. A food delivery company can use pricing strategies like discounts to attract more customers and increase sales and profitability.

Uploaded by

Ahmed Raza
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
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Ahmed Raza 20201-27370

SUPPLY CHAIN DECISION MAKING

Q1 How could a grocery retailer use inventory to increase the responsiveness of the company’s
supply chain?

Answer: The grocery retailer can use the inventory to increase the responsiveness of the
company’s supply chain in a way by accurately communicating the ups and down of the demand
of the customer so that company can plan the production accordingly and manage their supply
chain in accordance with the demand of the consumer. The grocery retailer can attract the
consumers by purchasing the fresh inventory from the company which could imply that he can
efficiently communicate the actual and accurate demand to the company which can in turn
adjust their supply chain accordingly.

Q2 How could an auto manufacturer use transportation to increase the efficiency of its supply
chain?

Answer: Transportation is one of the main drivers of the supply chain which transports the
goods from producer to the retailers. The efficient use of the transportation can be used to
increase the supply chain. The auto manufacturers generally assemble the auto parts locally
which means the supply chain strategy of the assemble can be used which implies that there
would be lesser lead time to get the orders ready therefore they delivery will heavily depend
upon the transportation to the retailer and if the transportation is used intelligently lesser
inventory will have to be maintained at the retailer’s end. Therefore, the transportation in
benefit the auto manufacturers in above written way.

Q3 How could a bicycle manufacturer increase responsiveness through its facilities?

Answer: The demands of the bicycle often changes time to time. The facilities is a driver of the
supply chain. The flexible the facilities of the bicycle, the more it will be easier to respond to the
fluctuating demand plus the location of the facilities also plays a very important role in the
supply chain, the closer the facility will be located to the city the lesser the transportation cost
will be and which would eventually increase the responsiveness of the bicycle manufacturer.

Q4 How could an industrial supplies distributor use information to increase its responsiveness?

Answer: The information could be translated into important data about the demands and needs
of the consumer about the goods which could impact the inventory management of the
distributor which could help the supply chain of the company to make decisions.

Q5 How could a home delivery company like food panda use pricing of its delivery service to
improve its profitability?

Answer: The home delivery companies like food panda can use pricing with discount to increase
the sales which could increase to an extent that the profitability could improve. The offering of
deals could attract those customer also who do not often use the home delivery foods but the
attractive deals attracts those customers leading to the increase the customer which eventually
lead the orders and eventually leading the profitability.

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