Strategic Warehousing/Logistics Plan

Directions:

Using the materials learned each week throughout this course, create a comprehensive warehousing and logistics plan for the given scenario provided to you.

Written report must be completed to a highly professional level, which could be provided to any major firm or government agency. Clarity, appearance, content, spelling and grammar are all important aspects.  NO CITED WORK

Where information is not provided you may make assumptions based upon business logic. These assumptions must be listed in your proposal under a separate page titled: Statement of Assumptions.

Written Report (100 marks)

Prepare a comprehensive proposal that must address

  1. Identification of your customer(s) and their specific needs
  2. Benefits of the plan: what specific Value(s) does it provide to the customers?
  3. Explanation of business operations in relation to warehousing activities
  4. Scope of the plan- what is included and what is not included and why omitted
  5. Warehousing operations – what specific activities take place, where, when, why  and how often
  6. Identification of WH key performance measurements to gauge success
  7. Products to be warehoused/supplied
  8. Warehouse layout
  9. Warehouse staffing requirements –organizational structure and positions
  10. Any potential WH capacity issues or limitations
  11. Inventory control/materials requirements or supply chain/distribution considerations
  12. Scheduling and control over warehouse/logistics activities
  13. Distribution activities
  14. WH Risk and Contingency planning for unforeseen issues that could arise
  15. Other issues important to your proposal – quality control, suppliers, packaging, government regulations, environment, etc.

The report must begin with an Executive Summary followed by the Statement of Assumptions, listing any assumptions you have made based upon the limited information presented in the provided material. Then each section covered must take into consideration these assumptions you have made. Each section should take into account the subject materials presented within each week’s class.

Assignment is due the beginning of Week #11, Please submit in the BCIT D2L drop box.  

SCENARIOS

Scenario 1

Mike Farnworth is the appointed BC Minister of Public Emergency Control. His ministry is responsible to ensure the Province of BC is fully prepared for any type of large natural disasters, such as earthquakes, floods or adverse weather conditions.

Mike just completed a review of the existing operation and was shocked that while many studies have been done over the years, little actual activity has taken place. BC is clearly not prepared and Mike has turned to your consulting group to develop and implement a total plan as quickly as possible.

Details

  • Plan must cover ALL areas of BC
  • Determine what items must be stocked and where these should be located
  • Determine the logistics method on how to get these supplies to local people as quickly as possible once the disaster has struck
  • Must look at immediate need, short term need and long term need
  • Plan must cover the following: earthquake, flooding and severe cold/snowy weather
  • Plan must include shelter/housing for people and their pets

Mike has made it clear that cost must be considered when determining levels and locations of suppliers and it would be infeasible to have supplies located in each and every town or city in the Province so this fact must be taken into consideration in your plan

Scenario 2

BabyFirst! (BF) Design, manufactures and sells a large variety of items for newborns to toddlers. BF has a large and loyal customer base who trust the quality and robustness of the products. BF prides itself on listening to its customers and then design innovative products to meet their needs.

BF has one manufacturing plant in Winnipeg, regional warehouses in Calgary and Toronto, which serve their geographic markets in both Western and Central/Eastern Canada. Products are sold from these warehouses to large retailers, small shops and distributors. BF also sells products on-line direct form the factory.

Recently a design flaw has been discovered with one of their stroller products, the Get Up and Go Stroller, designed for people with healthy active outdoor lifestyles. A section of the tubing frame can bend or twist under repeated stress. The stroller has been sold for over 6 years, and is much loved by its owners. BF has an easy retrofit for the stroller, a mounting bracket, but the bracket must be applied by the factory or authorized retailers.

BF has issued a product recall retrofit.

Details:

  • BF must manufacture the bracket in their factory
  • Customers can return their stroller to BF directly and it will be fixed and returned within several days. These customers will receive a free gift from BF – An all weather stroller cover
  • BF will also send the bracket to authorized retailers and its geographic warehouses
  • Customers can return the stroller to BF if they are unhappy and do not want a replacement
  • BF is acting extremely quickly on this issue so as to maintain its quality reputation, this is the most important issue to the company right now

BF has never had to deal with a recall retrofit and have turned to your consultancy group for direction. They have made it clear to you that customer responsiveness and service will be key over the next tie period as this issue is addressed,

Scenario # 3

Mark Johnston is the Operation Manager for Mountain Safety Supplies. The firm supplies PPE to several different industries such as construction, transportation, and medical including hospitals and long term care facilities across British Columbia. The firm has a central office/warehouse in Burnaby on Eastlake drive and retail locations with back-end warehouses in most major towns on Vancouver Island and Interior and Northern BC. These retail stores are replenished from Mountains main warehouse on a weekly basis due to the fact they are quite small and can only hold 1.5 weeks’ worth of stock

The retail stores carry items that would be used regularly by businesses:

  • 3M Masks
  • Face shields
  • Medical grade gloves, and hand sanitizer
  • Industrial cleaners
  • Protective fall equipment
  • Work boots and coveralls
  • And other safety supplies – goggles, ear plugs, gloves

Mountain also carries some larger items like ultraviolet lamps, portable hand washing stations. These are stocked in the main warehouse and shipped direct whenever ordered by customers.

Due to rapidly increasing costs Mark is moving the office/warehouse to a newly purchased building in a business park in Langley within the next three months. The timing is not good as Mountain is entering its busiest season of the year, but the cost reduction means the move must take place soon. Mark has contacted your group to help her develop a warehouse move/transition plan to ensure the move goes smoothly. The move must take place over only a few days – he is adamant that there can be no disruption to the flow on replenishment orders to the retail locations nor or direct shipments to customers.

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