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Strategic Supply Chain and Logistics Management for Landmark Group Dubai

   

Added on  2023-05-30

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Running Head: Management 0
Strategic Supply Chain and Logistics Management
11/27/2018
Strategic Supply Chain and Logistics Management for Landmark Group Dubai_1

Management 1
Assignment Task 1:
A) Landmark Group Dubai
Landmark Group is a multinational company based in Dubai, UAE directed by Micky
Jagtiani, who is the chairperson and founder of the organization. The group is involved in the
retailing of footwear, cosmetics, apparel, consumer electronics, baby products, home
improvement, and beauty products. The organization also has interests in healthcare, mall
management and, various in-house brands and operates with other brands, acting as a retailer.
It mainly concentrates on the MENA region, which has a large presence in India and other
countries involving Pakistan, Turkey, Tanzania, Kenya, Sri Lanka, India, Kuwait, Oman,
Egypt, Lebanon, Libya, Yemen, Nigeria, Zambia, Malaysia, and Thailand. It is established in
1973 with a single store in Bahrain, has productively grown into one of the biggest and
leading hospitality and retail corporations in Middle East, Africa, and the Indian
subcontinent, with a substantial global footprint. It constantly strives to offer excellent value,
which has over 55,000 employees, currently operates over 2300 outlets with 57 brands and
retail presence of over 30 million sq. ft. across 22 countries (Deepa and Chitramani, 2013)
The role of the supply chain function is that the quantity intake plan is balanced to meet
business constraints at a nominal level and safeguards that it can maintain a good intake
balance, which can be executed as per the overall merchandise lifecycle strategy and plan. It
will create an intake plan at a nominal level and work backward from in-store launch date to
the vendor manufacturing date and issue key milestones dates for every possible option. They
will provide significant information in the operation planning to meet the expectation of the
consumer. It provides a good understanding and knowledge of vendor production facilities,
able to deliver as per time and plan ((Zamberi Ahmad and Ahmad, 2016).
b) Determine a 10-point plan, which will make sure that supply chain function remains
significant to the organization objectives.
Ans. 10-point plan
Background-The organization has also diversified its business operations into
wellness, leisure, hotels segment with Landmark leisure i.e. chain of confectionary
stores for teens and children, and indoor entertainment centers working with
Candelite, Fun City, Fun Works, and Fun Ville. It also operates Foodmark, which
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Management 2
involves franchise & home-grown brand such as Zafran, and joint venture brands
such as Max Burgers, Bazerkhan, Ushna, Carluccio’s, Max’s, The Meat
Company, La Gaufrette, Tribes, and Nando’s. They also operate with Fitness and
wellness centers, Balance Salon and Spa, comfortable budget hotels, relaxation,
and grooming centers (Singh, 2011).
Opportunity-Their main opportunity is to enhance their success, which lies in
efficient operations, efficient business strategy, talented people, and concentrate
on logistics and operation management. They always seek to pursue new talent to
encourage our team and seek professionals who are excited to do their life best
work.
Objectives- Their main objective is continuing to deliver exceptional value,
constant innovation, and outstanding customer experience. Their stores boast an
impressive and expressive range of home center, fashion, baby care products with
leading international brands. They provide an innovative, friendly, fun, fast-paced,
and inspiring environment to nurture the talent and continuously refining skillsets
and strategies (Chowhan, 2013).
Targets-Landmark Group is close to hitting the targets its $1 million revenue
target, where it operates Lifestyle brands, Max Fashions, Home Centre, and other
brands to a maximum extent. They target 30 to 35 percent growth after
collaboration with French supermarket operator and earned $600 million in India
(Dani, 2014).
Message- Their main vision is to maintain a sense of leadership by dynamic,
visionary, and hands-on leadership guides in every step on the way. They have
communicated the message of always look ahead and develop today to achieve
tomorrow (Baskaran, 2012).
Strategy-It is believed that they can strategies themselves in moving more and
more towards fulfilling their lifestyle needs and becoming health-conscious
products, which are beneficial to the customers. They have set an example of the
yesterday acquisition, which is an aggressive growth strategy. They are planning a
$150 million expansion across the region starting with 150 new stores this year
(Trebbin, 2014).
Channels- They have cones up with an online marketplace, which aims to promote
its channel strategy in the country wherein a customer can shop online from
offline stores. They have currently launched its E-Commerce website i.e.
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Management 3
LandmarkShops.in to make available to the customer. It is stated that recently the
organization has retail chains involving Max Retail and Lifestyle in the country
(Lee and Jain, 2009).
Timetable-They should maintain an exceptional value to the customers, which is
the cornerstone of the company values. They should first generate effort steer
towards continued delivery of the promise to our customers through our products
and exceptional service. Then they become capable, diligent, and active in
managing the leadership team to understand its role in executing severe risk
metrics, financial discipline, and corporate governance (Mitra and Thorpe, 2011).
Budget-It is stated that by allocating budget in a sufficient manner to plans to
launch new hotel brands and more mid-market hotels in the near future. The
budgets which are planned to result in cost reduction (Notteboom and Rodrigue,
2012)
Evaluation- Now, these strategies are evaluated to make a lead towards
international expansion and growth in the hospitality sector. It simply generates a
brand that caters to the market (Thorpe and Mitra, 2012).
c) Discuss 3 supply chain management strategies that assist in attaining its goals.
Ans. Supply chain management strategies that help the management in attaining its goals
are-
Strategic Sourcing- It helps the management to define the way data and
information are collected and utilized so that an organization can influence its
purchasing power to find the potential values in the marketplace. It cannot
maintain the importance of operating in a cooperative manner. Their main concept
is to develop and maintain channels of supply at the best lowest total cost,
including the lowest purchase price. It focuses upon traditional purchasing
activities to include all the doings within the procurement cycle, from the
requirement to receipt and payment of goods and services. However, the strategic
sourcing primarily concentrates on decreasing costs, with maintaining a long-term
relationship with key suppliers to attain a competitive advantage. It is significant
that both supplier and buyer collaborate and share data and information to
recognize opportunities that will progressively enhance savings indefinitely. Its
overall objective is to support the ultimate goal of attaining and sustaining an
organization’s competitive advantage and bring success. The key concern of
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Management 4
executives is to manage the cost of purchased goods and services (Wang et al.,
2016).
Lean Manufacturing-Lean supply chain management is not for those organizations
who manufacture goods but by companies who streamline their products and
methods to eliminate waste and hazardous activities. The companies have a
number of areas in their supply chain activities where waste can be recognized as
costs, time, and inventory. They are looking to prospect better technologies to
help them in improving procurement processes and business operations. This
strategy gained popularity in the manufacturing part where there is a possibility of
significant improvement, which reduces waste and maximum resources to
maintain operational performance. Having zero defects in the manufacturing
process, increase efficiency and reduce waste in the businesses as a whole.
Landmark Group Dubai should adopt lean supply strategies to examine bill of
materials, equipment, and routings to recognize where improvements can be
attained. It also businesses to evaluate every method and process in their supply
chain activities and recognize areas that are utilized excessive resources and
information, which can be measured in dollars. It will enhance the company’s
overall profitability and competitiveness (Martínez-Jurado and Moyano-Fuentes,
2014).
Inventory Management-It is important to maintain a relationship with supplier and
customer to develop a good understanding and integrate inventory system. It is an
important aspect of efficiently maintaining supply chains. In many cases, this
cooperative relationship management has been considered as the principle of
supply chain management. It is the most difficult and important role, which plays
in the supply chain to maintain the balance of demand and supply. It is to be
efficiently managing the flow in the supply chain, as a company has to deal with
upstream supplier exchanges and downstream customer demands. Inventory
management strategy is very important to balance the equilibrium of achieving the
demands of the customers, as it is often very hard to predict accuracy, precision,
and maintain the sufficient supply of goods and materials. It can be attained using
strategic information sharing for better inventory management. They used point-
of-sale data in the retail industry for inventory management and business
operations. This help inventories decisions to be used effectively and efficiently
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Management 5
when supply inflows are required to handle demand outflows (Brandenburg et al.,
2014).
Assignment Task-2
a) Evaluate the efficiency of strategies used by the organization to develop a relationship
with suppliers.
Ans. It is believed by the majority of an organization that their real assets are surrounded
in the relationship quality shared between the company and their stakeholders such as
employees, suppliers, customers, and clients. Managing and developing a relationship
with suppliers is the most important criteria to bring success and growth in the
organization.
Strategic Sourcing-It is the ongoing method of finding the best suppliers and
utilizes the relationship of suppliers to maximize the objective of an organization.
It satisfies the needs of the business from markets via the planned and proactive
analysis of supply markets and the identification of suppliers with the objective of
offering solutions to meet agreed and pre-determined needs. It helps us to reduce
the total and marginal costs of acquisition while developing service and quality. It
helps in maintaining procurement costs through efficient delivering and
maintenance of demonstration in various corporations. It is seen that if these
strategies are aligned specifically then success and growth can be achieved. It
broadens the list of participating vendors and improves return on investment to
maintain a stable and productive relationship (Brunswicker and Vanhaverbeke,
2015).
Lean Manufacturing-It has believed that lean manufacturing is the most effective
strategy used by the organization, which speeds up the production and distribution
by the removal of waste and harmful toxics from the operations and simplify the
methods. They use “Just in Time” as a next method to eliminate the waste from
the system. It leads the path towards to make the things in small quantities i.e.
large inventories, high capital, high-speed machinery, huge setup expenses, high
lead times and defects costs. It also encouraged cooperating as a team and
handling many specialized tasks. They provide training of handling such minor
equipment repairs and housekeeping to understand the functioning. This strategy
is very helpful in the quality of work accomplished at each stage to coordinate
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