Logistics and Supply Chain Management

Logistics and supply chain management

Running Head: Report
Contents
1.0 Introduction................................................................................................................................2
a. Background..............................................................................................................................2
b. Purpose.....................................................................................................................................3
c. Key Information.......................................................................................................................3
2.0 Interfaces....................................................................................................................................4
2.1 Logistics and Production........................................................................................................5
a. Length of production runs and reasons.................................................................................5
b. Seasonal demand..................................................................................................................6
c. Supply - Side interfaces........................................................................................................6
d. Protective packaging............................................................................................................6
3.0 Order cycle.................................................................................................................................7
4.0 Inventory Management..............................................................................................................9
5.0 Conclusion...............................................................................................................................11
6.0 Reference.................................................................................................................................13
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Running Head: Report
1.0 Introduction
a. Background
Logistics is progressively playing an important role in the day to day business. This is due to the
global market and its fierce competition where firms are required to deliver quality products at
the required destinations; consuming short span of time that too at the lowest possible prices. In
the course of recent decades’ organizations have been encountering sensational changes in the
business condition portrayed by such wonders as expanding buyer awareness, the quick
transference of innovation, globalization and rivalry to decrease costs (Kristianto, Ajmal, &
Addo-Tenkorang, 2011). The perplexing operations of the organizations crossing over the
created and developing economies require abnormal amounts of logistics efficiencies and
viability. The pressure on companies to configure esteem - creation frameworks that use overall
assets to satisfy the consistently rising needs of the worldwide clients has additionally prompted
emphasizing the significant job of logistic services in SC (supply chains) inside and among the
organizations (USAID, 2011).
Logistics is defined as the process of planning and moving assets including individuals,
materials, stock, and hardware from one location to the other storage location. Logistics is the
concept which is related to what happens inside the specific company or manufacturer which
incorporates purchasing of raw materials, packaging, transportation of goods, distribution of raw
materials and shipment. Logistics plays a very significant role in today global competition,
especially in manufacturing companies. It is witnessed that, organizations at times focus on the
design and development of their products but they fail to focus on the timely delivery to their
customers which results in hampering the company’s image and impacts negatively to the
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Running Head: Report
business profit. Therefore, manufacturers should seek to excel in terms of their performance and
should effectively manage their logistics in order to develop new competencies for
accomplishing leadership in context to cost and differentiation strategies (Jones, 2012).
b. Purpose
This study aims to analyze the logistics of a manufacturing company named “Maestro guitars”.
The main objective of this work is to regulate the areas in which main functioning departments
of the company like production, marketing and accounts interface with the logistics. The study
will also analyze and highlight the effectiveness of the present order cycle and IM (Inventory
management) prevalent in the company. Being the logistics manager of the company, a few
recommendations will be made on the basis of the analysis in order to enhance the logistics
management of the company.
c. Key Information
Maestro guitars is a Singapore based manufacturing company which was established in 2004
with a vision to offer value-for-money musical instruments. This company is the leading
manufacturer of premium custom–made guitars and ukuleles across the globe. The products in
this company are manufactured in a humid controlled environment to ensure the stability and
dependability of the products (Jeremiah, 2019). The owner of this company Ho Zen Yong is
expert in making handmade instruments with premium quality of woods known as tonewood and
alternative tonewoods include some species of spruce, Maple, Rosewood and few species of
Mahogany as well. Other materials used for the manufacturing and assembling of the
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