The Supply Chain Network Design

The Supply Chain Network Design

Requirements

  • All responses in the discussion board must be written in your own words demonstrating your understanding and analysis of the topics being discussed.
  • Merely agreeing with another student’s answer is not enough, explain WHY you agree or disagree.
  • In all your responses assume that the reader has no idea what the topic is about.
  • Each discussion is worth 30 points.

Due Dates

  • Initial Post: Each student must answer the discussion questions in DETAIL by Thursday night.
  • Response Post: Later in the unit, re-enter the thread and respond to at LEAST 2 answers composed by your classmates. These peer responses should be thought provoking, stimulating further discussion of the topics with perceptions, ideas, and supported facts.

Discussion Cases

Case 4.1 Johnson & Johnson PG. 130

  • Complete questions #1 and #2.

What factors help to explain why J&J historically had as many as 12 distribution centers in Europe?

The factors that help to explain the existence of 12 distribution centers in Europe are:-

  • Johnson & Johnson one of the giants in the Healthcare and Pharmaceutical products always focused on customer service by meeting the service expectations of clients who are widely spread in Europe.
  • The geographical location of the distribution centers were as such to cater the needs of the customers and as Johnson & Johnson deals with healthcare which makes fast delivery a basic need.
  • In order to improve its supply chain practices and the distribution customs the number of distribution centers were more considering the area.

What steps in the supply chain network design processed in this chapter would have been most relevant to the task faced by J&J in Europe?

Perform a supply chain audit: This step profile the current supply chain network and helps to gather essential types of information that will be used throughout the design process. This process would also establish key performance measurements or KPIs to track during and a)er the design process. Information relevant to Johnson & Johnson’s case would be the customer requirements and their key logistics goals and objectives. This is the step where Johnson & Johnson would have established that a high level of customer service is a main objective in the design process. As mentioned, that the transportation cost in Europe was relatively much low compared to the operational costs which the company had to pay in order to ensure smooth functioning of the distribution centers, therefore reducing the number of distribution factors was the best way discussed here in order to maximize the profit and minimize the expenses of the organization.

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