Learning Outcomes and Assessment Feedback Name of the Assessor.
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AI Summary
I already did the assignment but i need someone to correct two parts only
Part 3.1:
Assess how information technology could assist integration of different parts of the supply chain of an organization.
Part 3.2:
Evaluate how information technology has contributed to the management of the supply chain of an organization
* Please insert the correct answer under the wrong one and highlight it.
*Please do not use my answers for part 3.1&3.2.
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Learning Outcomes and Assessment Feedback
Name of the Assessor Parag Tikekar
Learning Outcomes Assessment Criteria (AC) Assessor
Feedback
LO 1 TASK-1
AC METUnderstand the relationship
Between supply chain
management (SCM) and
organizational business
Objectives
1.1 Explain the importance of effective supply chain
management in achieving organizational objectives
1.2 Explain the link between supply chain
management and business functions in an
organization.
AC MET
1.3 Discuss the key drivers for achieving an integrated
supply chain strategy in an organization. AC MET
LO 2
AC MET
Be able to use information
Technology to optimize
supplier relationships in an
organization
2.1 Evaluate the effectiveness of
Strategies used by an organization to maintain supplier
relationships.
2.2 Use information technology to create strategies to
develop an organization’s relationship with its
suppliers.
AC MET
2.3 Develop systems to maintain an
Organization’s relationship with it
Suppliers.
AC MET
LO 3
AC NOT MET
AC NOT MET
AC MET
Understand the role of
information
Technology in supply
chainManagement
3.1 Assess how information technology could assist
integration of different parts of the supply chain of an
organization
3.2 Evaluate how information technology has
contributed to the management of the supply chain of
an organization
3.3 Assess the effectiveness of information technology
in managing the supply chain of an organization
LO 4
AC METUnderstand the role of logistics
and
Procurement in supply chain
Management
4.1 Explain the role of logistics in supply chain
management in an organization
4.2 Evaluate procurement practices inan organization AC MET
4.3 Discuss the factors that must be
Considered when improving logistics and procurement AC MET
Name of the Assessor Parag Tikekar
Learning Outcomes Assessment Criteria (AC) Assessor
Feedback
LO 1 TASK-1
AC METUnderstand the relationship
Between supply chain
management (SCM) and
organizational business
Objectives
1.1 Explain the importance of effective supply chain
management in achieving organizational objectives
1.2 Explain the link between supply chain
management and business functions in an
organization.
AC MET
1.3 Discuss the key drivers for achieving an integrated
supply chain strategy in an organization. AC MET
LO 2
AC MET
Be able to use information
Technology to optimize
supplier relationships in an
organization
2.1 Evaluate the effectiveness of
Strategies used by an organization to maintain supplier
relationships.
2.2 Use information technology to create strategies to
develop an organization’s relationship with its
suppliers.
AC MET
2.3 Develop systems to maintain an
Organization’s relationship with it
Suppliers.
AC MET
LO 3
AC NOT MET
AC NOT MET
AC MET
Understand the role of
information
Technology in supply
chainManagement
3.1 Assess how information technology could assist
integration of different parts of the supply chain of an
organization
3.2 Evaluate how information technology has
contributed to the management of the supply chain of
an organization
3.3 Assess the effectiveness of information technology
in managing the supply chain of an organization
LO 4
AC METUnderstand the role of logistics
and
Procurement in supply chain
Management
4.1 Explain the role of logistics in supply chain
management in an organization
4.2 Evaluate procurement practices inan organization AC MET
4.3 Discuss the factors that must be
Considered when improving logistics and procurement AC MET
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practices in an organization
LO 5
AC MET
Be able to plan a strategy to
improve an organisation’s
supply
Chain
5.1 Plan a strategy to improve an organisation’s
supply chain
5.2 Assess how a supply chain improvement strategy
will benefit overall business performance in an
organization
AC MET
5.3 Explain how barriers will be overcome in an
organization when implementing a supply
chain improvement strategy
AC MET
Over All Result/Grade REDO Date: 18/06/2019
Summative Feedback:
Overall Feedback on
current work with
emphasis on how the
student can further
improve in future.
Redo Remark:
Task 3.1:
Details found too short and vague. No key point discussion has been found to meet the task
requirement.
Task 3.2:
Evaluation has to be done in an evident manner while submitting relevant key points with
supportive descriptions
LO 5
AC MET
Be able to plan a strategy to
improve an organisation’s
supply
Chain
5.1 Plan a strategy to improve an organisation’s
supply chain
5.2 Assess how a supply chain improvement strategy
will benefit overall business performance in an
organization
AC MET
5.3 Explain how barriers will be overcome in an
organization when implementing a supply
chain improvement strategy
AC MET
Over All Result/Grade REDO Date: 18/06/2019
Summative Feedback:
Overall Feedback on
current work with
emphasis on how the
student can further
improve in future.
Redo Remark:
Task 3.1:
Details found too short and vague. No key point discussion has been found to meet the task
requirement.
Task 3.2:
Evaluation has to be done in an evident manner while submitting relevant key points with
supportive descriptions
General Guidelines
(Please read the instructions carefully)
1. Complete the title page with all necessary student details and ensure that the signature
of the student is marked in the declaration form.
2. All assignments must be submitted as an electronic document in MS Word to the
LMS (Use 12 Times New Roman script).
3. Assignment that is not submitted to the LMS by the prescribed deadline will be
accepted ONLY under the REDO and RESIT submission policy of Westford.
4. You will PASS the full assignment task only if you achieve “AC Met” in each of the
Assessment Criteria.
5. The results are declared only if the student has met the mandatory attendance
requirement of 75% and/or a minimum of 50% under extenuating circumstances
approved and ratified by the Academic Director. The student has to repeat the module
(with additional fees applicable) if the attendance is below 50%.
6. The assignment should not contain any contents including references cited from
websites like www.ukessays.com, www.studymode.com, www.slideshare.net ,
www.scribd.com.
7. Students can refer Wikipedia as a source of information, but the references cited
in Wikipedia has to be mentioned.
8. Submit the assignment in a MS Word document with the file name being:
First Name Last Name_ abbreviation of the subject.
Example: John Smith_SSCML.
Quick reference Checklist for the students before submitting the assignment:
1. Adherence to the deadline of submission date.
2. Original cover sheet and format retained.
3. Student information and signature intact.
4. Font style and size used as instructed.
5. Harvard Referencing System and Citations are strictly followed.
(Please read the instructions carefully)
1. Complete the title page with all necessary student details and ensure that the signature
of the student is marked in the declaration form.
2. All assignments must be submitted as an electronic document in MS Word to the
LMS (Use 12 Times New Roman script).
3. Assignment that is not submitted to the LMS by the prescribed deadline will be
accepted ONLY under the REDO and RESIT submission policy of Westford.
4. You will PASS the full assignment task only if you achieve “AC Met” in each of the
Assessment Criteria.
5. The results are declared only if the student has met the mandatory attendance
requirement of 75% and/or a minimum of 50% under extenuating circumstances
approved and ratified by the Academic Director. The student has to repeat the module
(with additional fees applicable) if the attendance is below 50%.
6. The assignment should not contain any contents including references cited from
websites like www.ukessays.com, www.studymode.com, www.slideshare.net ,
www.scribd.com.
7. Students can refer Wikipedia as a source of information, but the references cited
in Wikipedia has to be mentioned.
8. Submit the assignment in a MS Word document with the file name being:
First Name Last Name_ abbreviation of the subject.
Example: John Smith_SSCML.
Quick reference Checklist for the students before submitting the assignment:
1. Adherence to the deadline of submission date.
2. Original cover sheet and format retained.
3. Student information and signature intact.
4. Font style and size used as instructed.
5. Harvard Referencing System and Citations are strictly followed.
Task 1: Report covering LO1, LO2, LO3, LO4& LO5.
Assignment title Strategic Organizational Supply Chain Management and Logistics
Scope (LOs and ACs) of this assignment:
Learning Outcome 1: Understand the relationship between supply chain management (SCM) and
organizational business objectives.
AC 1.1: explain the importance of effective supply chain management in achieving
organisational objectives
AC 1.2: explain the link between supply chain management and business functions in an
organisation.
AC 1.3: discuss the key drivers for achieving an integrated supply chain strategy in an
organization
Learning Outcome 2: Be able to use information technology to optimise supplier relationships in
an organization
AC 2.1: Evaluate the effectiveness of strategies used by an organisation to maintain supplier
relationships
AC 2.2: Use information technology to create strategies to develop an organisation’s relationship
with its suppliers tactics.
AC 2.3: Develop systems to maintain an organisation’s relationship with its suppliers.
Learning Outcome 3: Understand the role of information technology in supply chain management
AC 3.1: Assess how information technology could assist integration of different parts of the
supply chain of an organisation
AC 3.2: Evaluate how information technology has contributed to the management of the supply
chain of an organisation
AC 3.3: Assess the effectiveness of information technology in managing the supply chain of an
organization
Learning Outcome 4: Understand the role of logistics and procurement in supply chain
Assignment title Strategic Organizational Supply Chain Management and Logistics
Scope (LOs and ACs) of this assignment:
Learning Outcome 1: Understand the relationship between supply chain management (SCM) and
organizational business objectives.
AC 1.1: explain the importance of effective supply chain management in achieving
organisational objectives
AC 1.2: explain the link between supply chain management and business functions in an
organisation.
AC 1.3: discuss the key drivers for achieving an integrated supply chain strategy in an
organization
Learning Outcome 2: Be able to use information technology to optimise supplier relationships in
an organization
AC 2.1: Evaluate the effectiveness of strategies used by an organisation to maintain supplier
relationships
AC 2.2: Use information technology to create strategies to develop an organisation’s relationship
with its suppliers tactics.
AC 2.3: Develop systems to maintain an organisation’s relationship with its suppliers.
Learning Outcome 3: Understand the role of information technology in supply chain management
AC 3.1: Assess how information technology could assist integration of different parts of the
supply chain of an organisation
AC 3.2: Evaluate how information technology has contributed to the management of the supply
chain of an organisation
AC 3.3: Assess the effectiveness of information technology in managing the supply chain of an
organization
Learning Outcome 4: Understand the role of logistics and procurement in supply chain
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management
AC 4.1: Explain the role of logistics in supply chain management in an organisation
AC 4.2: Evaluate procurement practices in an organisation
AC 4.3: Discuss the factors that must be considered when improving logistics and procurement
practices in an organization
Learning Outcome 5: Be able to plan a strategy to improve an organisation’s supply chain
AC 5.1: Plan a strategy to improve an organisation’s supply chain
AC 5.2: Assess how a supply chain improvement strategy will benefit overall business
performance in an organization
AC 5.3: Explain how barriers will be overcome in an organisation when implementing a supply
chain improvement strategy
Assignment Task: Read the following Scenario and prepare a report with the guidelines provided.
Scenario: The learner selects an organization, understands and undertakes a full review of how it
manages its supply chain and logistics. They will need to produce a report that includes how the
management of the supply chain impacts on business performance, the role of IT in managing
the supply chain, the role of procurement and logistics management. The final part of the report
will be a plan for a strategy to improve the organisation’s supply chain and logistics
management.
The report should include the following:
1. Executive Summary
2. Introduction of the Chosen Organization
3. Explain the importance of effectiveness of supply chain management in achieving
organizational objectives and the link between supply chain management and business
functions in the organization. What is the supply chain strategy of the organization and
discuss the key drivers for achieving an integrated supply chain strategy? (AC 1.1, 1.2,
1.3)
4. Assess and evaluate how information technology has contributed in effective management
and integration of various parts of the supply chain management. Explain the strategies
employed by the organization to establish relationship with the suppliers and evaluate
them. Discuss how IT can be used to develop systems and strategies to enhance and
maintain the relationship with suppliers. (AC 2.1, 2.2, 2.3, 3.1, 3.2, 3.3)
5. Evaluate the procurement practices in the organization and the role of logistics in
effectively managing the supply chain management in the organization. Also, discuss the
factors to be considered to help improve the logistics and procurement practices in the
organization. (AC 4.1, 4.2, 4.3)
AC 4.1: Explain the role of logistics in supply chain management in an organisation
AC 4.2: Evaluate procurement practices in an organisation
AC 4.3: Discuss the factors that must be considered when improving logistics and procurement
practices in an organization
Learning Outcome 5: Be able to plan a strategy to improve an organisation’s supply chain
AC 5.1: Plan a strategy to improve an organisation’s supply chain
AC 5.2: Assess how a supply chain improvement strategy will benefit overall business
performance in an organization
AC 5.3: Explain how barriers will be overcome in an organisation when implementing a supply
chain improvement strategy
Assignment Task: Read the following Scenario and prepare a report with the guidelines provided.
Scenario: The learner selects an organization, understands and undertakes a full review of how it
manages its supply chain and logistics. They will need to produce a report that includes how the
management of the supply chain impacts on business performance, the role of IT in managing
the supply chain, the role of procurement and logistics management. The final part of the report
will be a plan for a strategy to improve the organisation’s supply chain and logistics
management.
The report should include the following:
1. Executive Summary
2. Introduction of the Chosen Organization
3. Explain the importance of effectiveness of supply chain management in achieving
organizational objectives and the link between supply chain management and business
functions in the organization. What is the supply chain strategy of the organization and
discuss the key drivers for achieving an integrated supply chain strategy? (AC 1.1, 1.2,
1.3)
4. Assess and evaluate how information technology has contributed in effective management
and integration of various parts of the supply chain management. Explain the strategies
employed by the organization to establish relationship with the suppliers and evaluate
them. Discuss how IT can be used to develop systems and strategies to enhance and
maintain the relationship with suppliers. (AC 2.1, 2.2, 2.3, 3.1, 3.2, 3.3)
5. Evaluate the procurement practices in the organization and the role of logistics in
effectively managing the supply chain management in the organization. Also, discuss the
factors to be considered to help improve the logistics and procurement practices in the
organization. (AC 4.1, 4.2, 4.3)
6. Propose a plan with a strategy to improve the organization’s supply chain and assess how
the proposed strategy will benefit the overall business performance of the organzation.
Identify the internal and external barriers and explain how the barriers would be overcome
when the proposed strategy is being implemented. (AC 5.1, 5.2, 5.3)
7. Findings, conclusions and recommendations.
8. References (Adhering to Harvard Referencing Format)
The report shall not exceed 10,000 words and should include relevant examples and
illustrations.
Recommended guidelines for learners and assessors:
The report should address the essence of the ACs within the guidelines provided below:
For AC1.1, learners need to explain the importance of effective supply chain management in
achieving organisational objectives. To illustrate this, they could relate this explanation to the
achievement of objectives in their own organisation.
For AC1.2, learners need to explain the link between supply chain management and business
functions in their own/chosen organisation. To illustrate these links, the explanation needs to
contain real examples from their chosen organisation.
For AC1.3, learners need to discuss the key drivers that are moving their chosen organisation
towards implementing an integrated supply chain.
For AC2.1, learners need to describe the strategies used in their chosen organisation to
maintain relationships with suppliers before evaluating the effectiveness of these
strategies.
For AC2.2, learners need to demonstrate how they have used IT to create strategies to develop
their chosen organisation’s relationship with its suppliers. From this, they need to develop
systems to maintain these relationships (AC2.3).
To demonstrate their understanding of the role of IT in supply chain management for their chosen
organisation, they need to assess the effectiveness of IT in managing the supply chain, (AC3.3),
evaluate how IT has contributed to the management of the supply chain (AC3.2) and assess how
IT could assist in the integration of different parts of the supply chain (AC3.1).
For AC4.1, learners need to explain the role of logistics in the management of the supply chain in
their chosen organisation and then evaluate procurement practices (AC4.2). Having examined both
procurement and logistics management, learners need to discuss the factors that must be
considered when looking at making improvements to both procurement practices and logistics in
the organisation (AC4.3).
For AC5.1, having reviewed their chosen organisations’ supply chain and logistics activity, learners
need to plan a strategy to improve the management of the supply chain.
the proposed strategy will benefit the overall business performance of the organzation.
Identify the internal and external barriers and explain how the barriers would be overcome
when the proposed strategy is being implemented. (AC 5.1, 5.2, 5.3)
7. Findings, conclusions and recommendations.
8. References (Adhering to Harvard Referencing Format)
The report shall not exceed 10,000 words and should include relevant examples and
illustrations.
Recommended guidelines for learners and assessors:
The report should address the essence of the ACs within the guidelines provided below:
For AC1.1, learners need to explain the importance of effective supply chain management in
achieving organisational objectives. To illustrate this, they could relate this explanation to the
achievement of objectives in their own organisation.
For AC1.2, learners need to explain the link between supply chain management and business
functions in their own/chosen organisation. To illustrate these links, the explanation needs to
contain real examples from their chosen organisation.
For AC1.3, learners need to discuss the key drivers that are moving their chosen organisation
towards implementing an integrated supply chain.
For AC2.1, learners need to describe the strategies used in their chosen organisation to
maintain relationships with suppliers before evaluating the effectiveness of these
strategies.
For AC2.2, learners need to demonstrate how they have used IT to create strategies to develop
their chosen organisation’s relationship with its suppliers. From this, they need to develop
systems to maintain these relationships (AC2.3).
To demonstrate their understanding of the role of IT in supply chain management for their chosen
organisation, they need to assess the effectiveness of IT in managing the supply chain, (AC3.3),
evaluate how IT has contributed to the management of the supply chain (AC3.2) and assess how
IT could assist in the integration of different parts of the supply chain (AC3.1).
For AC4.1, learners need to explain the role of logistics in the management of the supply chain in
their chosen organisation and then evaluate procurement practices (AC4.2). Having examined both
procurement and logistics management, learners need to discuss the factors that must be
considered when looking at making improvements to both procurement practices and logistics in
the organisation (AC4.3).
For AC5.1, having reviewed their chosen organisations’ supply chain and logistics activity, learners
need to plan a strategy to improve the management of the supply chain.
For AC5.2, learners need to assess how their improvement strategy from AC5.1 will benefit overall
business performance in their chosen organisation.
For AC5.3, learners need to identify any current or potential barriers that could prevent or hinder
their improvement strategy from being implemented successfully in their chosen organisation.
Learners need to explain clearly how these barriers will be overcome.
business performance in their chosen organisation.
For AC5.3, learners need to identify any current or potential barriers that could prevent or hinder
their improvement strategy from being implemented successfully in their chosen organisation.
Learners need to explain clearly how these barriers will be overcome.
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Table of Contents
Assignment Cover Sheet................................................................................................................1
Student Declaration.......................................................................................................................2
Learning Outcomes and Assessment Feedback.............................................................................3
General Guidelines.........................................................................................................................5
Example: John Smith_SSCML.........................................................................................................5
Quick reference Checklist for the students before submitting the assignment:..........................5
Task 1: Report covering LO1, LO2, LO3, LO4& LO5........................................................................6
Executive Summary......................................................................................................................11
Introduction..................................................................................................................................11
Task 1: Understand the relationship between SCM (SCM) and organizational objectives............12
Task 1.1: Explain the significance of effective SCM in achieving organizational goals..............12
21st century, one major concern for organizations is to develop effective strategies that
facilitate product delivery in the shortest time. In various sectors, various sectors attain a
competitive advantage over their competition by delivering services to customers faster, further
asserting the importance of time. For such firms to stay ahead of their rivals, they craft solutions
to ensure that their supply chain is time effective (.....................................................................12
Assignment Cover Sheet................................................................................................................1
Student Declaration.......................................................................................................................2
Learning Outcomes and Assessment Feedback.............................................................................3
General Guidelines.........................................................................................................................5
Example: John Smith_SSCML.........................................................................................................5
Quick reference Checklist for the students before submitting the assignment:..........................5
Task 1: Report covering LO1, LO2, LO3, LO4& LO5........................................................................6
Executive Summary......................................................................................................................11
Introduction..................................................................................................................................11
Task 1: Understand the relationship between SCM (SCM) and organizational objectives............12
Task 1.1: Explain the significance of effective SCM in achieving organizational goals..............12
21st century, one major concern for organizations is to develop effective strategies that
facilitate product delivery in the shortest time. In various sectors, various sectors attain a
competitive advantage over their competition by delivering services to customers faster, further
asserting the importance of time. For such firms to stay ahead of their rivals, they craft solutions
to ensure that their supply chain is time effective (.....................................................................12
The supply chain is a corporate function, and as a result, various organizational challenges such
as outsourcing and reengineering globalization influence it directly and indirectly. Arguably, time
is a crucial factor, as the quicker a company can provide products to customers, the higher the
sales (............................................................................................................................................12
Task 1.2: Explain the link between SCM and business functions in Alamarai...........................13
Task 1.3: Discuss the key drivers for achieving an integrated supply chain strategy in an
organization..............................................................................................................................13
Task 2: To use information technology to optimize supplier relationships in an organization.....13
Task 2.1: Evaluate the effectiveness of strategies used by an organization to maintain supplier
relationships.............................................................................................................................13
Task 2.2: Use information technology to create strategies to develop an organization's
relationship with its suppliers...................................................................................................14
Task 2.3: Develop systems to maintain an organization’s relationship with its suppliers.........14
Task 3: Understand the role of information technology in SCM...................................................14
Task 3.1: Assess how information technology could assist the integration of different parts of
the supply chain of an organization..........................................................................................14
Task 3.2: Evaluate how information technology has contributed to the management of the
supply chain of an organization................................................................................................15
Task 3.3: Assess the effectiveness of information technology in managing the supply chain of
an organization.........................................................................................................................15
Task 4: Understand the role of logistics and procurement in SCM...............................................15
as outsourcing and reengineering globalization influence it directly and indirectly. Arguably, time
is a crucial factor, as the quicker a company can provide products to customers, the higher the
sales (............................................................................................................................................12
Task 1.2: Explain the link between SCM and business functions in Alamarai...........................13
Task 1.3: Discuss the key drivers for achieving an integrated supply chain strategy in an
organization..............................................................................................................................13
Task 2: To use information technology to optimize supplier relationships in an organization.....13
Task 2.1: Evaluate the effectiveness of strategies used by an organization to maintain supplier
relationships.............................................................................................................................13
Task 2.2: Use information technology to create strategies to develop an organization's
relationship with its suppliers...................................................................................................14
Task 2.3: Develop systems to maintain an organization’s relationship with its suppliers.........14
Task 3: Understand the role of information technology in SCM...................................................14
Task 3.1: Assess how information technology could assist the integration of different parts of
the supply chain of an organization..........................................................................................14
Task 3.2: Evaluate how information technology has contributed to the management of the
supply chain of an organization................................................................................................15
Task 3.3: Assess the effectiveness of information technology in managing the supply chain of
an organization.........................................................................................................................15
Task 4: Understand the role of logistics and procurement in SCM...............................................15
Task 4.1: Explain the role of logistics in SCM in an organization...............................................15
Task 4.2: Evaluate procurement practices in an organization...................................................15
Task 4.3: Discuss the factors that must be considered when improving logistics and
procurement practices in an organization................................................................................16
Task 5: Plan a strategy to improve an organization’s supply chain...............................................17
Task 5.1: Plan a strategy to improve an organization’s supply chain........................................17
Task 5.2: Assess how a supply chain improvement strategy will benefit overall business
performance in an organization................................................................................................17
Task 5.3: Explain how barriers will be overcome in an organization when implementing a
supply chain improvement strategy.........................................................................................18
Bibliography..................................................................................................................................19
Task 4.2: Evaluate procurement practices in an organization...................................................15
Task 4.3: Discuss the factors that must be considered when improving logistics and
procurement practices in an organization................................................................................16
Task 5: Plan a strategy to improve an organization’s supply chain...............................................17
Task 5.1: Plan a strategy to improve an organization’s supply chain........................................17
Task 5.2: Assess how a supply chain improvement strategy will benefit overall business
performance in an organization................................................................................................17
Task 5.3: Explain how barriers will be overcome in an organization when implementing a
supply chain improvement strategy.........................................................................................18
Bibliography..................................................................................................................................19
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Report On Alamarai’s Supply Chain
Executive Summary
Almarai is a global dairy giant, and its headquarters are in Saudi Arabia. Due to its
massive size, the company's supply chain is a matter of great concern. The following
document critically evaluates and discusses various aspects of the supply chain. The
introduction provides a summary of the focus of the discussion and the organization's
background. The second section of the paper discusses the role and significance of IT in
SCM, which progresses to the third section of the document. The next part examines the
role of logistics and procurement in the firm's supply chain. Finally, the fifth section
critically evaluates the supply chain implemented at Almarai, illustrating issues, and
offering recommendations on how the supply chain can be enhanced to provide
organizational benefits.
Introduction
SCM strategies are crucial for sustainability, growth, and development of
organizations regardless of the sector. Notably, there are multiple to SCM: strategic,
operational, and tactical phases (Li, Li, &Lent 2015). Almarai's management makes
critical strategic decisions of the supply chain aimed at reflecting the organization's
corporate strategy. At the strategic level, the supply chain decisions affect the overall
supply chain, including logistics, vendors, customers, product development, and
manufacturing. The focus of this study is the SCM strategies applied at Almarai, a dairy-
Executive Summary
Almarai is a global dairy giant, and its headquarters are in Saudi Arabia. Due to its
massive size, the company's supply chain is a matter of great concern. The following
document critically evaluates and discusses various aspects of the supply chain. The
introduction provides a summary of the focus of the discussion and the organization's
background. The second section of the paper discusses the role and significance of IT in
SCM, which progresses to the third section of the document. The next part examines the
role of logistics and procurement in the firm's supply chain. Finally, the fifth section
critically evaluates the supply chain implemented at Almarai, illustrating issues, and
offering recommendations on how the supply chain can be enhanced to provide
organizational benefits.
Introduction
SCM strategies are crucial for sustainability, growth, and development of
organizations regardless of the sector. Notably, there are multiple to SCM: strategic,
operational, and tactical phases (Li, Li, &Lent 2015). Almarai's management makes
critical strategic decisions of the supply chain aimed at reflecting the organization's
corporate strategy. At the strategic level, the supply chain decisions affect the overall
supply chain, including logistics, vendors, customers, product development, and
manufacturing. The focus of this study is the SCM strategies applied at Almarai, a dairy-
based company in the Kingdom of Saudi Arabia (Almara 2017). Almarai was established
in 1977 with its headquarters in Saudi Arabia. Previously, it had partnered with Alastair
McGuckian, an Irish food company. Almarai invested a plant for cheese and a bakery
2005 and 2007 respectively (Almarai 2016).
In 2009, it acquired HADCO, which lead to the launch of Alyoum, a poultry
brand. Also, in the same year, Almarai partnered with PepsiCo to launch a joint venture.
Owing to these collaborations, Almarai offers a wide variety of products, including
juices, poultry, infant formula, dairy, and bark products. Over the past decade, Almarai
has developed into a household name in the Middle Eastern region (Almarai 2016).
Accordingly, the report evaluates the SCM strategy that Alamarai currently uses
critically. The goal is to identify its strengths and the challenges it encounters to propose
approaches the firm can incorporate to develop supply chain qualities
Task 1: Understand the relationship between SCM (SCM) and organizational
objectives
Task 1.1: Explain the significance of effective SCM in achieving organizational goals
21st century, one major concern for organizations is to develop
effective strategies that facilitate product delivery in the shortest time.
In various sectors, various sectors attain a competitive advantage over
their competition by delivering services to customers faster, further
asserting the importance of time. For such firms to stay ahead of their
rivals, they craft solutions to ensure that their supply chain is time
effective (Niknam, Golestaneh, & Malekpour 2012). They achieve this by
in 1977 with its headquarters in Saudi Arabia. Previously, it had partnered with Alastair
McGuckian, an Irish food company. Almarai invested a plant for cheese and a bakery
2005 and 2007 respectively (Almarai 2016).
In 2009, it acquired HADCO, which lead to the launch of Alyoum, a poultry
brand. Also, in the same year, Almarai partnered with PepsiCo to launch a joint venture.
Owing to these collaborations, Almarai offers a wide variety of products, including
juices, poultry, infant formula, dairy, and bark products. Over the past decade, Almarai
has developed into a household name in the Middle Eastern region (Almarai 2016).
Accordingly, the report evaluates the SCM strategy that Alamarai currently uses
critically. The goal is to identify its strengths and the challenges it encounters to propose
approaches the firm can incorporate to develop supply chain qualities
Task 1: Understand the relationship between SCM (SCM) and organizational
objectives
Task 1.1: Explain the significance of effective SCM in achieving organizational goals
21st century, one major concern for organizations is to develop
effective strategies that facilitate product delivery in the shortest time.
In various sectors, various sectors attain a competitive advantage over
their competition by delivering services to customers faster, further
asserting the importance of time. For such firms to stay ahead of their
rivals, they craft solutions to ensure that their supply chain is time
effective (Niknam, Golestaneh, & Malekpour 2012). They achieve this by
avoiding and addressing a wide variety of issues, including problems
with distribution network designs, SCM , route planning, load planning,
and modal analysis.
The supply chain is a corporate function, and as a result, various
organizational challenges such as outsourcing and reengineering
globalization influence it directly and indirectly. Arguably, time is a
crucial factor, as the quicker a company can provide products to
customers, the higher the sales (Niknam et al. 2012). Such a firm has a
potential profit advantage for each extra minute it is in the market and
its competitors are not. Given that, if a company can strategically
ensure that its products reach the market first, it is more likely to
increase its orders and market share. Indeed, an organization can only
make more profits than its competitors only if it has a more efficient
SCM strategy. In effect, the firm ensures that its products always arrive
earlier than those that its rivals sell. Such an aspect asserts the
significance and role of SCM strategies in aiding a company to attain
its goals.
Task 1.2: Explain the link between SCM and business functions in Alamarai
Organizational innovation has a significant role in driving changes in a company's
framework as well as that of the work force, further affecting the functions of the
with distribution network designs, SCM , route planning, load planning,
and modal analysis.
The supply chain is a corporate function, and as a result, various
organizational challenges such as outsourcing and reengineering
globalization influence it directly and indirectly. Arguably, time is a
crucial factor, as the quicker a company can provide products to
customers, the higher the sales (Niknam et al. 2012). Such a firm has a
potential profit advantage for each extra minute it is in the market and
its competitors are not. Given that, if a company can strategically
ensure that its products reach the market first, it is more likely to
increase its orders and market share. Indeed, an organization can only
make more profits than its competitors only if it has a more efficient
SCM strategy. In effect, the firm ensures that its products always arrive
earlier than those that its rivals sell. Such an aspect asserts the
significance and role of SCM strategies in aiding a company to attain
its goals.
Task 1.2: Explain the link between SCM and business functions in Alamarai
Organizational innovation has a significant role in driving changes in a company's
framework as well as that of the work force, further affecting the functions of the
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comprehensive supply chain. The rising demands for effective connection and
collaboration between various stakeholders such as suppliers and buyers have the
potential to impact organizational innovation significantly (Williams 2002; Stoppato
2012). Similarly, Autahene-Gime argued that SCM focuses on the quality and advantages
of product design innovation(1996). Conversely, the hospitality industry benefits from
being innovative, resulting in the provision of quality (Kanji 1995). Nonetheless, it is
subject to a functional SCM system.
Notably, the organization’s culture directly influences the probability of
organizational innovation, whereas bureaucratic culture limits personal creativity and an
organization's ability to implement any transformation targeting its competition.
Consequently, it makes it easier for a supportive culture to promote innovation positive
about variations for enhancing their capabilities. Nonetheless, an excessive emphasis on
results creates conflicts among employees, resulting in an abyss for organizational
transformation (Autahene-Gime 1996). Overall, a company provides more resources that
encourage innovation as well as the development of capabilities if its corporate culture
focuses on innovative advances.
Task 1.3: Discuss the key drivers for achieving an integrated supply chain strategy
in an organization
Since firms apply the supply chain to acquire a portion of the market, expenses
and activities in this sector are on a high. Advances in technology in innovative
companies indicate that an excellent supply chain is a mostly accepted business strategy
(Williams 2002). Such an approach increases the customers' value, which is a concern for
collaboration between various stakeholders such as suppliers and buyers have the
potential to impact organizational innovation significantly (Williams 2002; Stoppato
2012). Similarly, Autahene-Gime argued that SCM focuses on the quality and advantages
of product design innovation(1996). Conversely, the hospitality industry benefits from
being innovative, resulting in the provision of quality (Kanji 1995). Nonetheless, it is
subject to a functional SCM system.
Notably, the organization’s culture directly influences the probability of
organizational innovation, whereas bureaucratic culture limits personal creativity and an
organization's ability to implement any transformation targeting its competition.
Consequently, it makes it easier for a supportive culture to promote innovation positive
about variations for enhancing their capabilities. Nonetheless, an excessive emphasis on
results creates conflicts among employees, resulting in an abyss for organizational
transformation (Autahene-Gime 1996). Overall, a company provides more resources that
encourage innovation as well as the development of capabilities if its corporate culture
focuses on innovative advances.
Task 1.3: Discuss the key drivers for achieving an integrated supply chain strategy
in an organization
Since firms apply the supply chain to acquire a portion of the market, expenses
and activities in this sector are on a high. Advances in technology in innovative
companies indicate that an excellent supply chain is a mostly accepted business strategy
(Williams 2002). Such an approach increases the customers' value, which is a concern for
all stakeholders. Indeed, there is a shift in perceptions about the role and importance of
the supply chain.
Almarai collaborates with leading suppliers and distribution companies that assist
it in addressing numerous organizational changes. Over the decades, the company has
gained experience working with firms in various industries resulting in six major trends
that significantly influence the supply chain performance and design (Almarai 2019).
Accordingly, these aspects include globalization, demand planning, outsourcing, product
life cycles, partnership with suppliers, and changes in competition and price.
Task 2: To use information technology to optimize supplier relationships in an
organization
Task 2.1: Evaluate the effectiveness of strategies used by an organization to
maintain supplier relationships
Manufacturers are intent on implementing strategies that improve performance,
and one approach is to ensure the effective management of suppliers. Of note is that
sourcing strategies, information exchange policies, and the definition of relationships
with the management characterize supplier management. Numerous surveys argue that
solid relationships with suppliers should the focus of an organization as opposed to
developing price-driven transactional relationships. Apart from this technique,
manufacturers should aim at implementing a unique sourcing strategy as opposed to a
multi-sourcing technique (Sink, Morris, & Johnston 1995). Accordingly, the paper
illustrates the findings of a survey carried out on supplier management strategies that
Almarai implemented. In the recent past, the company has shifted its relationship with
suppliers, creating stronger and better connections, hence, leading to partnerships with
the supply chain.
Almarai collaborates with leading suppliers and distribution companies that assist
it in addressing numerous organizational changes. Over the decades, the company has
gained experience working with firms in various industries resulting in six major trends
that significantly influence the supply chain performance and design (Almarai 2019).
Accordingly, these aspects include globalization, demand planning, outsourcing, product
life cycles, partnership with suppliers, and changes in competition and price.
Task 2: To use information technology to optimize supplier relationships in an
organization
Task 2.1: Evaluate the effectiveness of strategies used by an organization to
maintain supplier relationships
Manufacturers are intent on implementing strategies that improve performance,
and one approach is to ensure the effective management of suppliers. Of note is that
sourcing strategies, information exchange policies, and the definition of relationships
with the management characterize supplier management. Numerous surveys argue that
solid relationships with suppliers should the focus of an organization as opposed to
developing price-driven transactional relationships. Apart from this technique,
manufacturers should aim at implementing a unique sourcing strategy as opposed to a
multi-sourcing technique (Sink, Morris, & Johnston 1995). Accordingly, the paper
illustrates the findings of a survey carried out on supplier management strategies that
Almarai implemented. In the recent past, the company has shifted its relationship with
suppliers, creating stronger and better connections, hence, leading to partnerships with
various companies (Almarai 2019). Despite Almarai's collaborations with a portion of its
suppliers, certain aspects of its business still rely on multi-sourcing policies.
Task 2.2: Use information technology to create strategies to develop an
organization's relationship with its suppliers
In the last couple of decades, technological advances have significantly changed
the way organizations operate, resulting in a decline in search costs. Consequently,
supply chain theorists predict the need for companies to enhance the number of suppliers
they engage in. Despite the reduction of the search costs, there is little evidence to
support the argument that there is a rise in suppliers used (Ala-Risku, Kärkkäinen, &
Holmström 2003). Conversely, many companies are collaborating with less suppliers,
suggesting that other forces influence buyer-supplier relationships.
The interface with suppliers has become crucial, as companies aim at increasing
their performance. Moreover, the debates on customer-supplier relations are gaining
much popularity as firms evaluate various connections across borders. For example, the
trade relationships between American and Japanese companies provide significant
benefits for Japanese manufactures at a $300-600 per cost advantage (Zhang, Shah, &
Papageorgiou 2013). It proves the impact that IThas on supplier relationships.
Task 2.3: Develop systems to maintain an organization’s relationship with its
suppliers
The common technique for determining the best possible number of supplier is
based on the theory that a firm is expected to benefit by broadening its choice of
suppliers. It should broaden its supplier list despite the limitations that technological
factors create. Usually, the cost of initiating relationships, transaction fees, and search
suppliers, certain aspects of its business still rely on multi-sourcing policies.
Task 2.2: Use information technology to create strategies to develop an
organization's relationship with its suppliers
In the last couple of decades, technological advances have significantly changed
the way organizations operate, resulting in a decline in search costs. Consequently,
supply chain theorists predict the need for companies to enhance the number of suppliers
they engage in. Despite the reduction of the search costs, there is little evidence to
support the argument that there is a rise in suppliers used (Ala-Risku, Kärkkäinen, &
Holmström 2003). Conversely, many companies are collaborating with less suppliers,
suggesting that other forces influence buyer-supplier relationships.
The interface with suppliers has become crucial, as companies aim at increasing
their performance. Moreover, the debates on customer-supplier relations are gaining
much popularity as firms evaluate various connections across borders. For example, the
trade relationships between American and Japanese companies provide significant
benefits for Japanese manufactures at a $300-600 per cost advantage (Zhang, Shah, &
Papageorgiou 2013). It proves the impact that IThas on supplier relationships.
Task 2.3: Develop systems to maintain an organization’s relationship with its
suppliers
The common technique for determining the best possible number of supplier is
based on the theory that a firm is expected to benefit by broadening its choice of
suppliers. It should broaden its supplier list despite the limitations that technological
factors create. Usually, the cost of initiating relationships, transaction fees, and search
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costs, collectively termed as coordination fees, limit the number of suppliers (Zhang et al.
2013). For instance, when attempting to decide the quantity of suppliers needed for a
specified input, one may argue that the suppliers' offerings are substitutes which differ in
particular desirable features, including fit, product characteristics, and price.
Of note is that the organization incurs a coordination cost each time it interacts
with a supplier. After evaluating numerous suppliers, it compels the company to select
the product offering that gives it higher value based on its predesigned criteria (Sedaghati
& Kavousi-Fard 2014). Moreover, the firm may determine the most effective number of
suppliers it requires the process of trading off the value of further searches against the
perceived advantage of selecting a different supplier.
Task 3: Understand the role of information technology in SCM
Task 3.1: Assess how information technology could assist the integration of different
parts of the supply chain of an organization
In the 21st century the use of information technology will definitely help the
development of the supply chain management. Using the information technology, the
supply chain management can control the inventory and proper level of inventory
management can be smoothly done by ICT (Prause and Hunke, 2014).
Task 3.2: Evaluate how information technology has contributed to the management
of the supply chain of an organization
One of the important role that is played by ICT in the improvement of supply
chain management is the utilization of bar code scanning machine that actually scans the
2013). For instance, when attempting to decide the quantity of suppliers needed for a
specified input, one may argue that the suppliers' offerings are substitutes which differ in
particular desirable features, including fit, product characteristics, and price.
Of note is that the organization incurs a coordination cost each time it interacts
with a supplier. After evaluating numerous suppliers, it compels the company to select
the product offering that gives it higher value based on its predesigned criteria (Sedaghati
& Kavousi-Fard 2014). Moreover, the firm may determine the most effective number of
suppliers it requires the process of trading off the value of further searches against the
perceived advantage of selecting a different supplier.
Task 3: Understand the role of information technology in SCM
Task 3.1: Assess how information technology could assist the integration of different
parts of the supply chain of an organization
In the 21st century the use of information technology will definitely help the
development of the supply chain management. Using the information technology, the
supply chain management can control the inventory and proper level of inventory
management can be smoothly done by ICT (Prause and Hunke, 2014).
Task 3.2: Evaluate how information technology has contributed to the management
of the supply chain of an organization
One of the important role that is played by ICT in the improvement of supply
chain management is the utilization of bar code scanning machine that actually scans the
barcode within big shops in order to get the information about the product and its
manufacturer (Gonzálvez-Gallego et al. 2015).
Task 3.3: Assess the effectiveness of information technology in managing the supply
chain of an organization
Previously, information flow in the supply chain required the use of hard copies.
Communication and transaction were, thus, significantly slow. As a result, the value of
information as a competitive resource was ignored, as its role in the supply chain was not
outlined. ITinfrastructure outputs create a competitive advantage for business activities,
including implementation and the application of redesigned multi-functional processes.
Since the 1990s, many scholars have asserted the significance of ITas firms note that IT
and the supply chain work hand in hand (Zhang et al. 2013). The three factors initiated
the change in perception of the importance of information. Firstly, the need to guarantee
customer satisfaction has is a concern for corporate entities. Secondly, managers feel the
urgency to reduce their human resources and inventory requirements to attain competitive
levels. Thirdly, information plays a critical role in strategic planning.
Task 4: Understand the role of logistics and procurement in SCM
Task 4.1: Explain the role of logistics in SCM in an organization
For Almarai, SCM and logistics are equally critical aspects of the business. The
company operates in the food industry; hence, consumers take its products daily, most of
which are perishable goods. As a result, the organization is much concerned about how
these products can reach the customers at an affordable cost. Previously, bulky raw
materials characterized international trade. Presently, the situation is different as semi-
processed and finished goods play a more significant role in global trade. For that reason,
manufacturer (Gonzálvez-Gallego et al. 2015).
Task 3.3: Assess the effectiveness of information technology in managing the supply
chain of an organization
Previously, information flow in the supply chain required the use of hard copies.
Communication and transaction were, thus, significantly slow. As a result, the value of
information as a competitive resource was ignored, as its role in the supply chain was not
outlined. ITinfrastructure outputs create a competitive advantage for business activities,
including implementation and the application of redesigned multi-functional processes.
Since the 1990s, many scholars have asserted the significance of ITas firms note that IT
and the supply chain work hand in hand (Zhang et al. 2013). The three factors initiated
the change in perception of the importance of information. Firstly, the need to guarantee
customer satisfaction has is a concern for corporate entities. Secondly, managers feel the
urgency to reduce their human resources and inventory requirements to attain competitive
levels. Thirdly, information plays a critical role in strategic planning.
Task 4: Understand the role of logistics and procurement in SCM
Task 4.1: Explain the role of logistics in SCM in an organization
For Almarai, SCM and logistics are equally critical aspects of the business. The
company operates in the food industry; hence, consumers take its products daily, most of
which are perishable goods. As a result, the organization is much concerned about how
these products can reach the customers at an affordable cost. Previously, bulky raw
materials characterized international trade. Presently, the situation is different as semi-
processed and finished goods play a more significant role in global trade. For that reason,
an increase in inventory in various sectors had led to the development and
implementation of systems to decrease unnecessary purchases. In SCM, logistic
management focuses on the planning, implementing, and controlling of the
multidirectional flow and storage of goods and information in the supply chain (Jin et al.
2015) Furthermore, logistics involves ensuring that the right product reaches the
consumer in the right way, time, place, and at the right quality and cost.
Task 4.2: Evaluate procurement practices in an organization
As previously discussed, Almarai is an integrated company that distributes its
beverage and food products from the dairy farms all through to retail stores. In addition,
it manufacturers various brands, including Almarai, Alyoum, Smoothy, and Zady. The
firm also extends its services throughout the Middle Eastern region. Due to the size of the
company, it influences dairy processing, agricultural, and food distribution sectors in the
Arabian Peninsula.
Logistically, the firm's scale is large in terms of mile cover and quantity
deliveries, making Almarai's logistics and transport division the largest in the region.
Notably, the logistics division comprises of over 1,400 and 1, 300 cold trailers and trucks
respectively (Almarai 2019). Moreover, the farming division manages over 600 trucks.
The wholly owned logistical system ensures that the company delivers products in perfect
condition and on time to various customers.
Almarai is intent on maintaining stringent quality standards, hence, the
implementation of vertical integration. It sources the first class ingredients it uses from
different parts. Later, the firm sends them to its manufacturing facilities in Jordan, Egypt,
implementation of systems to decrease unnecessary purchases. In SCM, logistic
management focuses on the planning, implementing, and controlling of the
multidirectional flow and storage of goods and information in the supply chain (Jin et al.
2015) Furthermore, logistics involves ensuring that the right product reaches the
consumer in the right way, time, place, and at the right quality and cost.
Task 4.2: Evaluate procurement practices in an organization
As previously discussed, Almarai is an integrated company that distributes its
beverage and food products from the dairy farms all through to retail stores. In addition,
it manufacturers various brands, including Almarai, Alyoum, Smoothy, and Zady. The
firm also extends its services throughout the Middle Eastern region. Due to the size of the
company, it influences dairy processing, agricultural, and food distribution sectors in the
Arabian Peninsula.
Logistically, the firm's scale is large in terms of mile cover and quantity
deliveries, making Almarai's logistics and transport division the largest in the region.
Notably, the logistics division comprises of over 1,400 and 1, 300 cold trailers and trucks
respectively (Almarai 2019). Moreover, the farming division manages over 600 trucks.
The wholly owned logistical system ensures that the company delivers products in perfect
condition and on time to various customers.
Almarai is intent on maintaining stringent quality standards, hence, the
implementation of vertical integration. It sources the first class ingredients it uses from
different parts. Later, the firm sends them to its manufacturing facilities in Jordan, Egypt,
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and Saudi Arabia. In addition, Almarai annually imports over 1.5 million tons of animal
feeds it sources from various arable farming assets it owns (Almarai 2019).
Almarai's supply chain design enhances the profitability and valuation of shareholders.
Source: (Flint, Signori & Golicic 2016)
Purchasing is an integral aspect of the firm. In effect, the company has
implemented innovative and flexible systems and techniques. In modern firms, relevant
experience in purchasing often contradicts with the business environment due to its
dynamism. Usually, the global competitive pressures demand additional contribution to
the supply and purchasing management functions, suppliers, and procurement practices.
According to recent surveys, buyers spend millions of dollars daily, accounting for less
than 50 percent of an organizations budget and revenue (Parisio, Rikos, & Glielmo 2016).
Research about payments indicates that 55 percent of cheques to suppliers are often
below $ 500 (Parisio et al. 2016).
feeds it sources from various arable farming assets it owns (Almarai 2019).
Almarai's supply chain design enhances the profitability and valuation of shareholders.
Source: (Flint, Signori & Golicic 2016)
Purchasing is an integral aspect of the firm. In effect, the company has
implemented innovative and flexible systems and techniques. In modern firms, relevant
experience in purchasing often contradicts with the business environment due to its
dynamism. Usually, the global competitive pressures demand additional contribution to
the supply and purchasing management functions, suppliers, and procurement practices.
According to recent surveys, buyers spend millions of dollars daily, accounting for less
than 50 percent of an organizations budget and revenue (Parisio, Rikos, & Glielmo 2016).
Research about payments indicates that 55 percent of cheques to suppliers are often
below $ 500 (Parisio et al. 2016).
Task 4.3: Discuss the factors that must be considered when improving logistics and
procurement practices in an organization
As previously stated, procurement is a critical activity in the supply chain, as it
can significantly affect the overall performance in emergency response. In humanitarian
supply chains, procurement accounts for the most substantial portion of spending, hence
it should be managed well to acquire maximum benefits. Notably, procurement serves
three levels of users: the internal customer, prepositions of stock, and response programs
(Helleno et al. 2011). Through collaboration with various stakeholders, the firm can
mobilize and deliver products.
Task 5: Plan a strategy to improve an organization’s supply chain
Task 5.1: Plan a strategy to improve an organization’s supply chain
The strategy illustrated above focuses on a multi-tiered approach. Almarai's
supply chain comprises of numerous stakeholders, including farmers, consumers,
distributors, and retailers. Due to the many supply chain stakeholders, the organization
should implement a multi-tiered approach will significantly streamline its supply chain.
As discussed above, it produces various brands. Consequently, the company has a
logistical system with a large fleet of motor vehicles to solve its logistical problem.
Therefore, the organization's management should follow the market and use sourcing
strategies that can support its financial performance (Helleno et al. 2011). It should adopt
a supply chain that manages its margins and constraints.
The management has an opportunity to generate higher profits by addressing its
limitations and increasing its margins. However, some uncertainties and risks in the
procurement practices in an organization
As previously stated, procurement is a critical activity in the supply chain, as it
can significantly affect the overall performance in emergency response. In humanitarian
supply chains, procurement accounts for the most substantial portion of spending, hence
it should be managed well to acquire maximum benefits. Notably, procurement serves
three levels of users: the internal customer, prepositions of stock, and response programs
(Helleno et al. 2011). Through collaboration with various stakeholders, the firm can
mobilize and deliver products.
Task 5: Plan a strategy to improve an organization’s supply chain
Task 5.1: Plan a strategy to improve an organization’s supply chain
The strategy illustrated above focuses on a multi-tiered approach. Almarai's
supply chain comprises of numerous stakeholders, including farmers, consumers,
distributors, and retailers. Due to the many supply chain stakeholders, the organization
should implement a multi-tiered approach will significantly streamline its supply chain.
As discussed above, it produces various brands. Consequently, the company has a
logistical system with a large fleet of motor vehicles to solve its logistical problem.
Therefore, the organization's management should follow the market and use sourcing
strategies that can support its financial performance (Helleno et al. 2011). It should adopt
a supply chain that manages its margins and constraints.
The management has an opportunity to generate higher profits by addressing its
limitations and increasing its margins. However, some uncertainties and risks in the
supply and demand exist which the organization should consider while designing its
supply chain (Waller & Fawcett 2013). In addition, Almarai should balance its long term
and short term objective. Notably, a supply chain design should facilitate insight which
can assist in illustrating the way demand for products can ensure that a company achieves
profitability. Moreover, a firm can apply a supply chain design to use noticeable
opportunities to increase its profit margins. Furthermore, a supply chain can be effective
in reducing consumers' responsiveness. Undoubtedly, Almarai should invest in a SCM
system which will effectively manage and connect various levels of its supply chain,
streamlining the different functions and making sure they focus on the organizational
objectives
Task 5.2: Assess how a supply chain improvement strategy will benefit overall
business performance in an organization
The supply enhancement strategy focuses on various areas of the supply chain,
which benefit the organization. Firstly, the firm will enjoy a streamlined supply chain,
where it can profit from the implementation of SCM software. Such software assists the
management in accessing the entire supply chain as information is collectively used to
illustrate problematic areas. Moreover, such a system aids the organization to monitor
various levels of the supply chain, including suppliers, warehouses, distribution centers,
and production plants. Of note is that Almarai is a large company with numerous
production centers, warehouses, fleets of trucks, and many suppliers (Parisio 2016).
Consequently, the size of the company makes it challenging to manage the information in
its physical form. For that reason, the management requires automated systems which
supply chain (Waller & Fawcett 2013). In addition, Almarai should balance its long term
and short term objective. Notably, a supply chain design should facilitate insight which
can assist in illustrating the way demand for products can ensure that a company achieves
profitability. Moreover, a firm can apply a supply chain design to use noticeable
opportunities to increase its profit margins. Furthermore, a supply chain can be effective
in reducing consumers' responsiveness. Undoubtedly, Almarai should invest in a SCM
system which will effectively manage and connect various levels of its supply chain,
streamlining the different functions and making sure they focus on the organizational
objectives
Task 5.2: Assess how a supply chain improvement strategy will benefit overall
business performance in an organization
The supply enhancement strategy focuses on various areas of the supply chain,
which benefit the organization. Firstly, the firm will enjoy a streamlined supply chain,
where it can profit from the implementation of SCM software. Such software assists the
management in accessing the entire supply chain as information is collectively used to
illustrate problematic areas. Moreover, such a system aids the organization to monitor
various levels of the supply chain, including suppliers, warehouses, distribution centers,
and production plants. Of note is that Almarai is a large company with numerous
production centers, warehouses, fleets of trucks, and many suppliers (Parisio 2016).
Consequently, the size of the company makes it challenging to manage the information in
its physical form. For that reason, the management requires automated systems which
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facilitate the sharing and storing of information that it relies on to make executive
decisions.
In addition, the company incurs expenses while managing its supply chain with
various individuals employed to handle different functions (Mohammadi, Soleymani, &
Mozafari 2014). Through the implementation of the SCM system, the company will
reduce its cost of operations and increase its accuracy in various supply chain functions.
Moreover, since the organization collaborates with numerous entities, it will benefit from
enhanced communication and collaboration as the system facilitates the sharing of
information in real time.
Task 5.3: Explain how barriers will be overcome in an organization when
implementing a supply chain improvement strategy
Almarai has been in existence for more than three decades; hence, it has
developed a culture on the way it operates and manages its supply chain. Given that, the
management will receive much opposition from the employees at all levels in its bid to
implement a SCM system, as it affects them directly or indirectly. Consequently, the
company should communicate such changes effectively (Burgess 1998). By using
effective communication channels, the organization will inform the employees on the
new changes, the purpose, and the impact such changes will have in each department.
Furthermore, the company should undertake various training sessions to educate the
employees on the new system and the impact.
Since Almarai has workers who have been in the organization for a long time, it
should assure them of job security and make the transition to this new development
smooth. Indeed, job security is a major concern for employees. Since the company
decisions.
In addition, the company incurs expenses while managing its supply chain with
various individuals employed to handle different functions (Mohammadi, Soleymani, &
Mozafari 2014). Through the implementation of the SCM system, the company will
reduce its cost of operations and increase its accuracy in various supply chain functions.
Moreover, since the organization collaborates with numerous entities, it will benefit from
enhanced communication and collaboration as the system facilitates the sharing of
information in real time.
Task 5.3: Explain how barriers will be overcome in an organization when
implementing a supply chain improvement strategy
Almarai has been in existence for more than three decades; hence, it has
developed a culture on the way it operates and manages its supply chain. Given that, the
management will receive much opposition from the employees at all levels in its bid to
implement a SCM system, as it affects them directly or indirectly. Consequently, the
company should communicate such changes effectively (Burgess 1998). By using
effective communication channels, the organization will inform the employees on the
new changes, the purpose, and the impact such changes will have in each department.
Furthermore, the company should undertake various training sessions to educate the
employees on the new system and the impact.
Since Almarai has workers who have been in the organization for a long time, it
should assure them of job security and make the transition to this new development
smooth. Indeed, job security is a major concern for employees. Since the company
strongly relies on its employees, it should ensure that it communicates to them that it
values their contribution. Moreover, the firm's management should emphasize that the
aim of making these new changes is not to eliminate them but rather to facilitate the
company's sustainability for the benefit of all.
Conclusion
In conclusion, the importance of SCM is critical to the success of an organization. Also,
advances in IT provide organizations with diverse approaches to addressing a wide
variety of issues affecting the Supply Chain. Overall, Almarai can indeed benefit from
the implementation of SCM systems as they enhance the performance of the supply chain
as well as reduce the challenges affecting the organizations. It is apparent that Almarai’s
size is a major concern as its operations include numerous stakeholders who need to
collaborate on various issues which can be enhanced by IT.
values their contribution. Moreover, the firm's management should emphasize that the
aim of making these new changes is not to eliminate them but rather to facilitate the
company's sustainability for the benefit of all.
Conclusion
In conclusion, the importance of SCM is critical to the success of an organization. Also,
advances in IT provide organizations with diverse approaches to addressing a wide
variety of issues affecting the Supply Chain. Overall, Almarai can indeed benefit from
the implementation of SCM systems as they enhance the performance of the supply chain
as well as reduce the challenges affecting the organizations. It is apparent that Almarai’s
size is a major concern as its operations include numerous stakeholders who need to
collaborate on various issues which can be enhanced by IT.
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