Supply Chain Management: Challenges and Best Practices

This assignment delves into the critical aspects of supply chain management by examining real-world cases. Students will analyze problems faced by Ford in its supply chain, explore challenges in the automotive industry, and evaluate quantitative models for sustainable supply chain management. The goal is to understand best practices and develop strategies for effective management within this complex business environment.

UNDERSTANDING OPERATIONS, LOGISTICS
AND SUPPLY CHAIN MANAGEMENT

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
Issues in relation to operations....................................................................................................1
Recommendation-.......................................................................................................................2
Issues in relation to Logistic.......................................................................................................3
Recommendation-.......................................................................................................................4
CONCLUSION................................................................................................................................5
REFERENCES................................................................................................................................6

INTRODUCTION
The logistic, operation and supply chain management play a crucial role in gaining high
profitability and productivity. Without this, the firm cannot run its activities in the smooth
manner. Present report is covering the activities of Ford in Dagenham, London with the
following aspects like issues in relation to service, quality and location with managing people in
supply and operation activities (Hoskins and Ford, 2017). The chosen enterprise in this
assignment is Ford. Main motive of the organisation is to gain high profitability and productivity
by taking various improvements in these services.
Issues in relation to operations
New product and service- Ford is the largest auto-mobile industry. Thy focus more on
the wants and expectations of customers so that they can be able to satisfy them. In order to have
improvement in productivity, they need to focus on the operation management of firm. With the
help of this, all workers can perform their work in a better and effective manner. The operation is
most important activity in relation to get success in market. In market, it is essential to have
innovation process so that customers can get attracted towards the products and services of
business enterprise. With the help of innovative approach in market, firm can be able to earn
maximum competitive advantage and large amount of market share. In order to compete with
their rivalries, it is essential to fulfil the needs and wants of consumers.
Quality of the products- In this manner, the quality manager of Ford needs to focus on
health and safety of workers at the time of operational activities. The quality is term which can
be maintained with the help of planning, policies and strategies customer can be attracted in the
market and organisation can derive large amount of profitability (Aubert and et.al., 2013).
Operations committee should keep their eyes on the performance of employees and review safety
performance regularly so that business can survive in the market for longer period. Main motive
of the organisation is to earn high amount of profitability and productivity by taking various
improvements in these services. With help of this, they can able to satisfy customers in market.
This kind of things are essential to maintain the firm’s brand image in market. By managing
high quality of products, they can be able to have good rate of customer retention in the market.

In automotive industry like that of Ford, The manufacture need to maintain the quality of the
products so that they can focus on the safety of consumers in this manner the organisation can
able to derive high amount of profitability and productivity. Any small mistake in their
production can hampered the growth of organisation due to which there can be negative effect on
the brand image of enterprise.
Location and layout- The location is the key element in order to gain success in
business. It also helps to enhance the operational efficiency of business enterprise. This is helpful
in relation to maximise the opportunities and minimizing risk and cost. It is a kind of long term
investment for company which will be beneficial for all the time (Hoskins and Ford, 2017). With
the help of the best location, the firm will be able to scrutinize various business networks like
outlets, back offices and other functions to provide effective delivery services by serving
business strategy in the effective manner. The location plays important role in order to deliver
those goods which is helpful in manner to satisfy the customer. This kind of activities plays the
crucial role so that brand image of company can be satisfied.
Managing people of the organisation- In order to have smooth functioning of
operational services, it is essential to manage people of the organisation in a coordinated manner.
With the help of these kind of factors, they can perform in a better and effective manner. The
people should be treated as assets to organisation without their corporation business cannot
perform activities in well and effective manner. They need to coordinate with inventory
department so that required inventory can be dispatched and delivered on time. In this manner,
all production activities of the firm can be taken in good manner (Veteto and et.al., 2017).
Recommendation-
In order to manage the all function of the business enterprise it is essential to follow the
suggestion so that company can grow their activities. These are given in following manner are
as-
11 In order to manage the all the function it is essential to keep all the function of business in
smooth manner.

11 The quality of the product need to be considered in order to maintain the rate of customer
retention.11 The company need to develop and formulate those strategies which will be helpful to
keep the operational function in effective manner.11 The business enterprise need to take feedback from the customer so if they find any kind
of deviation they can make improvement in it.11 By providing high quality of products to the customers they can satisfy the need of the
consumers.11 The manager and people to the organisation should work effective and efficient manner.
They are the person who are responsible to maintain the coordination process in business
enterprise.
Issues in relation to Logistic
This is the important part of the supply chain management in order to cope up with all the
activities ii is essential to have all this kind of process such are as planning, implementing, and
controlling the forward and reverse flow of activities in effective and efficient manner. This all
process are essential in order to meet the requirement of customers. There are following
problems in relation to logistic which is need to be considered are as-
Product and services- In the economy the logistic is the most important consideration, it is very
helpful in order to safeguard the quality of the products in effective manner. With the help of this
the quantity, marking, packaging, warehousing and transportation activities can be secured
effectively (Veteto and et.al., 2017). It is very helpful function in relation to monitoring the
different activities so the complexity can be reduced. With the help of logistic the product of the
business can be protected.
The efficient result and maintain high standards are the success to the business enterprise. The
product can be easily movable at any place in safe manner. The expertise and logistic can
manage the transport need of the firm. This function is very essential to earn the high volume of
profitability and productivity by transferring good from one place to another.

Quality of products- the key focus to any organisation is the quality so that business can able to
maintain its brand image in the market. The satisfaction of the customer is the key focus which is
helpful in order to gain the competitive advantage by satisfying the need of the consumer. This
kind of function are essential in order to cope up with the need and demand of buyers. If they are
not providing good services in that manner their place can be taken by the another logistic whose
are providing better services to the customers. It is the rapidly growing sector in order to
maintain the high profit scale the firm need to take many effective steps so that they can easy
move the goods from one place to another with properly safe manner (Pell and et.al., 2000). The
organisation is need to consider the changes in demand, need of buyers, new product sourcing all
this function are required to managed properly so that business can run its activities in effective
and efficient manner. The raw material and all other things are required to arrive completely so
that brand image of the business enterprise can be maintained. The customer service is need to be
given so that they can able to attract the business.
Location and layout- The company location strategy is to be decided with the surrounding of
the place. It plays the role of key ingredient in relation to get the success of business ( Singh and
et.al., 2008). The operation of logistic is to be done at the place where they can easily handle the
operation of business. It is to be decide effective manner in order to have identification of the
company needs and its objectives. It can be considered with the help of following factors are as-
1. Facilities- it is inclusive of decision in relation to defined ho much space the company
need to have in order to full fill his short term and long term goals.
2. Feasibility- It means those other factor of the enterprise which is helpful to defined the
various cost factors such are as operating and others.
3. Labour- it is helpful in order to determine that what kind of location is helpful in order to
meet the firms labour needs with the short term and long term goals.
Managing people of the organisation- The people to the firm are the key ingredient in relation
to get the success of the business enterprise (Aubert and et.al., 2013). They need to maintain the
interaction with the customers so that they can able to do the business in effective and efficient
manner.

Recommendation-
It is given in the following manner are as-
 The timely services is need to be given.
 The location of the firm is to be chosen wisely so that operation of enterprise can run
smoothly.
 The quality standards need to be maintained so that firm can derive high amount of
profitability and productivity.
◦ Supply Chain Management In general, supply management is the flow of products and services. It manages
storage and movement of work-in process inventory, raw material and finished goods.
This manages movement from the point of origin to point of consumption. In brief terms,
supply chain management refers to planning, execution, controlling, designing and
monitoring activities of supply chain along with the objective of building a competitive
infrastructure, creating net value, synchronization of supply with demand, leveraging
worldwide logistics and measuring and improving the performance of organisation
internationally (Brandenburg, Govindan, Sarkis and Seuring, 2014). Supply chain in
automotive is complex as the industry has a lot of moving parts. Due to economic
fluctuations, supply chain in automobile industry is constantly moving. In context of
Ford, many issues are being faced by supply chain managers in day to day operational
activities. These issues require direct focus and immediate response. Supply chain
function in automotive industry is a core of business operations that may have a direct
and significant impact to the company in substantial ways (Wisner, Tan and Leong,
2014). Below are some of the issues that are faced by supply chain managers in Ford:
 New services and product: Automotive industry is one of those industries that is highly influenced by
innovation and technology (Christopher, 2016). As the technology grows, old products
and services get obsolete. Hence, the biggest issue that is faced by this industry is the
development of new products and services that would meet the requirement of the latest

technology and customer expectation. Under supply chain, management issue of new
products and services get impacted by the way of execution of technology in their
services and monitoring activities.
 Managing quality of products: In automotive industry like that of Ford, there is a lot of pressure on
manufacturers for production of high quality products along with focusing on safety of
consumers. Any small mistake in their production can even cause loss of life. Low
quality products can damage and negatively affect company's brand image and
reputation. Therefore, supply chain managers is Ford are required to look after the best
quality and safety measures of their products (Supply chain challenges in automotive
industry, 2017). Effect of globalisation is also a considering factor of managing the best
quality like the quality of products in other countries. Ford is a multinational company
that sells its products in different countries and hence, is required to maintain quality at
the same level in each country.
 Managing people:
As supply chain is connected with the movement of raw material, work in process and finished
goods from the development stage to the consumption stage, supply chain managers have to deal
with number of people from inventory department to the suppliers (Mangan and Lalwani, 2016).
They need to coordinate with inventory department so that required inventory can be dispatched
and delivered on time. Supply chain managers also have a direct connection with suppliers.
Therefore, supply chain managers of Ford are responsible for dealing with suppliers regarding
handling delays and orders received along with determining the actual need of number of
suppliers. They need to act as per the requirement of company. Managers in Ford are responsible
for identifying the best suppliers that provide reliable and consistent services at a reasonable
price which can be afforded and which will not hurt the bottom line of the company.
CONCLUSION
Hereby it has been concluded that The operation, logistic and supply chain management
system need to be in smooth and systematic manner. Without this, the firm cannot run its

activities in the efficiently manner. The main motive of the business enterprise is to gain high
profitability and productivity by taking various improvements in these services. The present
assignment is covered with the various issues in relation to product service, quality and people of
the firm to carry operation of business in smooth manner.
Location:
Due to the innovation, technology and customer demand, intensity of manufacturing is
increasing which has increased the expectations of manufacture to have local suppliers in all the
areas where they have manufacturing concern. Same as in Ford, with the expansion of market
there also arises need of accessing all the locations along with the local suppliers being available
in all jurisdictions (Stadtler, 2015). This arises issues concerning recruitment of the workforce,
legislation and regulation of new jurisdiction, financing, maintaining client and quality.
Therefore, Ford has to look after all these issues and is required to take favourable actions.
By analysing all above issues that are faced by supply chain managers of Ford, below are
some recommendations with the help of which, managers would be able to take corrective
actions issu11 In order to manage people, it is recommended that company should develop suppliers in
different geographical locations.11 Company needs to hold additional stock in the areas where weather pattern is predictable
such as monsoon season or Hurricane.11 Ford Co. by developing a supplier strategy can handle issues when main supplier is not
available (Problems faced by ford in its supply chain, 2016).
111 More allocation of resources to the research and development department is required so
that company would be able to meet requirement of the latest technology along with
managing the best quality products and services.
111 Company needs to take suggestions from its consumers for determining their actual needs
which will enable them in identifying the loopholes in their services and quality of
products for which management can take corrective actions.

111 Company can make contract with suppliers regarding duration of payment due to which
company would be able to handle delays and cash management (Schaltegger and Burritt,
2014).
111 By using high quality correct raw material along with deciding the right production
method, Ford will be able to produce the best quality products and
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