1) collect supplies and materials required to assemble a notional product (rotating whirlygig) from overseas suppliers, 2) deliver those parts to a manufacturing facility in a separate country, 3) collect those parts and ship them to retail outlets in the continental United States (CONUS). You will be responsible for finding costs for each segment of the chain, providing cost-benefit analysis and recommendations for contracting or buying transport, type of transport for each link of supply chain, best storage options, supporting software and hardware, and final cost for “break even” on sale of each unit, given all non-shipping related costs.
Project Scenario
Develop a plan to collect, package and ship pre-manufactured components of a rotating whirlygig from the following locations:
Part 1 – Guangzhou, China. Each piece weighs 2 oz and ships in boxes of 50. Manufacturer needs 200,000 units.
Part 2 – Manila, The Philippines. Each piece weighs 4 oz and ships in boxes of 100. Manufacturer needs 200,000 units.
Part 3 – Ulaanbaatar, Mongolia. Each piece weighs 1 oz and ships in boxes of 200. Manufacturer needs 400,000 units.
All parts must be collected and delivered to a manufacturing facility in Yokohama, Japan, where they will be assembled into a finished rotating whirlygig (weight: 8 oz).
You must determine the best way to deliver the finished product from Yokohama to distributors in the United States. Plan should include:
Storage of finished materials in Yokohama until freight is shipped. Some parts require 30 days of storage while order is completed.
Shipping method from Yokohama to freight facility on the west coast of the United States. (You may choose the method).
You must determine the cost and best option for shipping from the west coast freight facility to distributors in the following locations:
Seattle
Chicago
Phoenix
Philadelphia
You must identify the price and means to store the product in each distributor location until the distributor can collect the goods. Plan for three days at each location.
Once you have your plan for the supply chain, you must provide a suggested retail price for each finished article that will cover the cost of goods sold (COGS). For the purposes of this exercise, assume all costs other than shipping are $5.
TMT Plan Structure
Title Page
Introduction
Domestic Components and Strategy
International Components and Strategy
Technology Components and Strategy
Conclusion
References
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