Recommendations Report | Supply Chain Strategy Analysis of the Unilever Company

Recommendations Report

RECOMMENDATIONS REPORT 2
Recommendations Report
Introduction
The report seeks to elucidate the implementation of the recommendations documented in
the Supply Chain Strategy Analysis of the Unilever Company. From the recommendations, the
Unilever Company needs to improve its distribution process to maximize profitability. Towards
this end, changes required include opening new distribution centers while at the same time
improving the capacity and capability of the existing distribution centers. Such measures will
result in an improved distribution process that will enable the organization to gain increased
profits from the market. On the other hand, the second recommendation provided new
technologies as a feasible way of improving profitability in the company. Specifically, the
implementation of Internet of Things (IOT) in warehouses and the company fleet will enhance
distribution through better warehousing and fleet management. The changes needed in the
distribution process and the implementation of the recommendations remain the backbone of the
report at hand.
Recommendation 1
The need to realize improved efficiency and optimization in the company’s distribution
centers towards reaching the customers in cost-effective strategies remains paramount. Logistics
studies further emphasize the centrality of efficiency in physical distribution as well as resources
management in improving profitability (Yadavalli and Balcou 2017). By focusing on the links
occurring between the company and its distribution centers, questions that require attention look
into the allocation of company products and their specific sizes to distribution centers (Tocquer
2017). With a well calculated production and distribution system, the product delivery
throughout the company network will increase profitability. In this case, two aspects of

RECOMMENDATIONS REPORT 3
optimizing the productivity of the distribution centers include resource management and physical
distribution.
Figure 1.0
Resource management mainly concerns the flow of products from the company and takes
account of matters such as transportation and control of inventory. On the other hand, physical
distribution concerns the conveyance of the company’s finished goods from the distribution
centers to the consumers. It considers concerns such as shipping, product handling, and
warehousing. Accordingly, the two aspects need integration into the company’s distribution
control with an emphasis on in-house integration of the overall product flow within the
distribution centers (Yadavalli and Balcou 2017). Integration becomes possible through efficient
distribution management. This process will be made possible by maximizing the distribution
centers and setting up new ones to cover targeted locations.
Distribution management gives emphasis to an improved focus on the consumer and
apart from the typical roles of resources management and physical distribution, it calls for
customer service, forecasting, and order dispensation. Having a robust distribution approach
remains vital to an operative framework for inventory management and success in the market. It