Logistics: Work place simulation, Case study of Sabah Furniture (SF)

This document discusses the logistics and supply chain management for Sabah Furniture (SF) through a workplace simulation and case study. It covers topics such as developing a process map for exports, realigning the supply chain for more value, defining and communicating a clear corporate strategy, aligning supply chain performance metrics, optimizing strategic goals, aligning incentives, refreshing the strategy and alignment process, risks in the supply chain, and changing logistics processes for an international retailer contract.

Logistics: Work place simulation, Case study of Sabah Furniture
(SF)

Table of Contents
Develop a process map for Sabah Furniture exports.......................................................................3
How could the supply chain be realigned to develop more value for SF........................................4
Define and communicate a clear corporate strategy....................................................................4
2. Identify the areas of your corporate strategy that are enabled by the supply chain................4
3. Align supply chain performance metrics with the corporate strategy....................................4
4. Structure your supply chain to optimize the strategic goals....................................................5
5. Align incentives end to end.....................................................................................................5
6. Keep refreshing the strategy and alignment process................................................................5
The risks that may occur in the supply chain to meet the potential international retailer’s
requirements....................................................................................................................................6
How could SF change its logistics processes to successfully deliver the contract for the
international retailer.........................................................................................................................7
Bibliography....................................................................................................................................9

Develop a process map for Sabah Furniture exports

How could the supply chain be realigned to develop more value for SF
Define and communicate a clear corporate strategy.
One of the greatest failure points in aligning strategy is the point at which the supply chain
organization doesn’t realize what to align with. Strategies can’t be excessively restricted and
failing to consider and organize all the market prerequisites and components on which members
contend (highlights, value, conveyance, and so on (Gbadamosi, 2013). What's more,
methodologies can't be platitudes promising all things to all individuals. Corporate procedure
needs to characterize how you will be distinctive and superior to anything your rivals and it
needs to set particular, quantifiable objectives. At that point the methodology should be
conveyed to the organization altogether and more than once.
2. Identify the areas of your corporate strategy that are enabled by the supply chain
You have to come to an obvious conclusion regarding your vital objectives and how those get
conveyed by the organization. This procedure characterizes what your supply chain should be
great at, and it permits you to organize supply chain destinations. Ask the question, "What part
of my center ability and aggressive separation falls within or gets from my supply chain
action?" This progression is particularly basic in making in-house/outsource choices.
3. Align supply chain performance metrics with the corporate strategy.
A standout amongst the most well-known issues we see is the beliefs that there are standard
supply chain performance measures, and the organization ought to endeavor to amplify them
all. This conviction neglects to represent the way that there are tradeoffs in enhancing diverse
objectives (Haddad, 2016). There are likewise no absolutes in focused procedure. Objectives
ought to be set in light of your performance with respect to your rivals.

We have a customer who had worked their supply chain with the objective of transporting item
within one day after a request. In any case, their mature market no longer required that level of
performance. Unwinding that conveyance prerequisite opened up a noteworthy open door for
stock change. Note that they didn't quit conveying in a convenient way or quit measuring
conveyance performance they just re-organized their objectives to streamline an alternate target.
4. Structure your supply chain to optimize the strategic goals.
This progression is the place you address the components of supply chain configuration: Supply
chain arrange, areas, provider choice and business terms, stock and arranging strategy,
hierarchical structure (Nijssen, 2001). Supply chains that are improved for cost effectiveness will
look not the same as supply chains that are advanced for adaptability and responsiveness. Your
organization and the ability sets of your kin will be distinctive, as well.
5. Align incentives end to end.
Internal performance assessments and bonus structures need to coordinate the Align end to end
measurements that have been set. Provider performance administration and plans of action ought
to align the providers' motivators to yours. Keep in mind that channel and request administration
are a piece of the supply network, as well. Construct a vigorous S&OP process and drive your
deals and advertising groups with destinations that aren't inconsistent with your supply chain
goals. One normal disappointment is when deals and advertising have no impetus to control
stock. They will overdrive the gauge to ensure accessibility and afterwards the supply chain
organization is left with the abundance stock.
6. Keep refreshing the strategy and alignment process.
Most organizations have key arranging cycles of one to three years, yet we have seen
organizations that actually go decades without re- aligning their supply chain technique. Put

your supply chain technique on an indistinguishable calendar from whatever remains of your
arranging.
The risks that may occur in the supply chain to meet the potential international retailer’s
requirements
The intricacy of supply chains requires an appraisal of the sorts of risks included and the related
elements that may bring about them. The risks are interrelated:
Supply Risks. Impacts components of inbound supply, inferring that a supply chain can't take
care of the demand as far as amount and nature of parts and completed merchandise. The result is
named as a supply interruption.
Demand Risks. Impacts components of the outbound supply chain where the degree or change of
the request is sudden. This is marked as request interruption.
Operational Risks. Impacts components inside an inventory network, hindering its capacity to
supply administrations, parts, or completed products inside the standard prerequisites of time,
cost, and quality. Transportation is a standout amongst the most notable operational hazard.
The most noteworthy variables affecting supply chain risks are natural, geopolitical, financial,
and mechanical. Each variable has a likelihood of bringing on disturbances inside worldwide
supply chains (communicated by an overview of 400 officials performed by the World Economic
Forum and Accenture), extending from high to low (Eric, 2002). There is likewise a level of
moderation related with each element, running from wild, where a performer has no impact on
an occasion and should along these lines essentially expect the outcomes, to controllable where
an on-screen character affects the occasion itself and may in this manner ready to relieve all the
more successfully some of its angles. The principle elements are:

Ecological. Thought to be that components that have among the most astounding likelihood of
event and that can be the minimum successfully relieved since they have a tendency to be wild.
Cataclysmic events (e.g. quakes) and outrageous climate are inside this classification, including
potential ocean level ascents. Pandemics are likewise plausibility, yet their likelihood and
moderation stays dubious.
Geopolitical. A few geopolitical elements have a tendency to have a high likelihood, specifically
clashes and exchange limitations, however supply chain on-screen characters affect the result.
Financial. The most critical monetary variables identify with request stuns, frequently connected
with political or financial sudden changes. Value unpredictability is likewise a worry since it
importantly affects input costs. Like geopolitical components, production chain performing
artists affect the result. For example, exchange limitations subjective forced by governments can
have critical effects, yet the business can either consent or to put weights to have these
confinements change on the off chance that they are judged to be unsuitable. Innovative.
Transport framework disappointments are genuinely uncommon, so the most striking mechanical
concern includes ICT interruptions (Nijssen, 2001). As supply chain administration progressively
depends on data innovations for its administration and operations, any data framework
disappointment has imperative repercussions.
How could SF change its logistics processes to successfully deliver the contract for the
international retailer
Transportation is an extremely key component of the logistic procedure and the supply chain
which keeps running from merchants through to the company to your clients. It includes the
development of item, administration/speed, and cost which are three of the five key issues of

compelling logistic. It additionally impacts with the other two logistic developments of data and
mix inside and among providers, clients, and bearers.
A transportation methodology, to be compelling in supply chain administration, is not playing
one transporter off against another. It is not reducing the rates. Or maybe it is an approach to
react to the elements of your business, its clients, providers, and operation.
The system, paying little heed to whether the company is included with household or worldwide,
is substantially more and ought to perceive
Client necessities. The supply chain includes consistent and effective development of item from
seller to maker to client. Along these lines the transportation program must reflect and meet the
client’s needs. The time and administration parts of transportation are crucial.
Shipments must move auspicious (Eric, 2002). Clients request their shipments be conveyed as
they require- - on the date required, by the bearer favored, in the best possible transportation
bundling technique and finish, both dispatched finish and conveyed finish and in great request.
Having the capacity to have a transportation program with can do this gives consumer loyalty
and can give your organization an upper hand.
Mode determination. In what capacity will the company move your item, via air versus surface?
What parts do travel time play in your inventory network? In what capacity will the stock and
administration effects be measured when contrasted with the cargo charges?
Transporter connections. Volume makes transporter/forwarder consideration. Regardless of the
possibility that the company have no procedure, the quantity of transporters attempting to meet
with the company will make the company create one. Rare delivery manages another approach.

Bibliography
Eric, D. (2002) Value-Based Marketing for Bottom-Line success, London: Cengage Learning.
Gbadamosi, A. (2013) Principles of Marketing: A Value-Based Approach, London: John Wiley $
Son's.
Haddad, M. (2016) 21st Century Fmcg Consumer Marketing: Creating Customer Value, New
York: Springer.
McDonald, M. (2014) Marketing Value Metrics: A New Metrics Model to Measure Marketing,
New York: Cingage Learning.
Nijssen, E. (2001) Creating Customer Value Through Strategic Marketing Planning, New York:
John Wiley & Son's.