Logistics Management: Strategies for Nutrabolt and Challenges

This report analyzes the logistics management strategies implemented by Kane for Nutrabolt, focusing on enhancing distribution channels and inventory management. It details the successful implementation of multi-channel distribution, temperature-controlled warehousing, FIFO protocols, and the use of the Manhattan Scale for inventory management. The report also addresses potential challenges such as technology failures, employee conflicts, and the costs of implementation, along with strategies for retaining profits, including employee consensus, feedback, and continuous evaluation of the implemented technologies. The analysis provides a comprehensive overview of the strategies, challenges, and the importance of ongoing assessment in logistics management.

Running head: LOGISTICS MANAGEMENT
Logistics Management
Name of the Student
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Author note

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Answer to question 1:
Nutrabolt required faster methods of processing the orders faster and in a more
efficient method. In addition to that, the company also required to manage the volume swings
more economically. The entire situation demanded implementing strategies that help the
organization to enhance the distribution channels and the existing management as well. The
key success factors of the strategies that have been implemented by Kane in the sales and
distribution channels of Nutrabolt are:
 Kane has worked in an efficient way to manage the multi distribution channels.
Nutrabolt already had five war houses in its US distribution channels where two of the
war houses were in Salt Lake City and in Atlanta. Previously, Nutrabolt had used both
of these war houses for their distribution to the consumers, retail chains and the other
distributors. Kane has designed all these facilities in a way that all of the war houses
could utilize a single inventory pool for handling the case, pallet and each pick
requirements along with the replenishing products for all the distribution channels. In
this way, all the products of the company will be available for the ‘first come, first
serve’ basis for any distributor, rather than preserving the products for few individual
channels. Therefore, it would be easier for the distributors to access the products
according to their requirement. Furthermore, more products will reach the customers.
 Kane has also implemented that all the products of Nutrabolt will be kept in a place
within the temperature 58’F to 75’F and the entire inventory will be managed through
strict FIFO protocols with the capability of tracking the products with the lot numbers
and there will be expiring date tracking system as well. In this way the organization
will be able to track the products which are required to remove from the distribution
channel. Other than that, the organization will also be able to track if there is any
batch missing, therefore it will be easier to track if there is any unusual doings with

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the products. Therefore the organization could track its products more effectively. It
had also improved the level of accuracy in terms of the errors made in inventory.
 Kane also uses Manhattan Scale which is a leading management system, mostly used
by all the renowned companies for managing the inventory of Nutrabolt. In this way,
they make the retail supply chain of the organization more efficient and ensure that
the organization is in compliance with the routing guides of the retailers. Along with
that, utilizing the management system has reduced the cost of labor to a great extent.
Using these strategies, Kane has improved the sales and distribution channels and
reduced the costs in few usual sectors to a great extent.
Answer to question 2:
After the implementation of the strategies, there may still be few challenges for the
organization. Nutrabelt and Kane both the organization should be well aware of the possible
challenges that can come their way in the future. Those are:
Fail of Technology
Kane has implemented more advanced technologies in the logistics management
system of Nutrabolt. It has been done due to the reduction of the cost of the labor and making
the entire management stricter so that they can track each of the products and there is no
unusual act done with any of the products. However, they have to remind the technology can
fail at any time. Therefore, the company requires keeping a huge back up for the logistics
management system. It is very much significant to back up the data and have a plan for
recovering from any system failure.

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Conflict amongst the employees
Kane has merged the multi channeled distribution of the nutrition supplements and
started replenishing all the products in a same inventory pool. This is indeed a positive step
towards handling the facilities in a more efficient way; however, there can be a big challenge
of managing all the employees in a same place. There are supervisors from different
inventories who are going to work at the same place from now one, therefore they may face
trouble working with each other and there may be conflict of ego amongst them. Moreover
they may also have conflict of decisions regarding the distribution channels as well.
Therefore, the organization requires looking into this matter carefully.
Increased cost for implementing the technology
Kane has planned to implement strict technologies within the inventories and the
transportation system. Implementing such technologies may reduce the cost of labor and may
improve the accuracy of the system to a great extent, but the cost of technology may be
higher at the initial stage. Purchasing the operating system and implementing it successfully
may take a toll on the organization.
Training and development for the employees
Before the organization implements the technology in the inventories, it requires
training and developing its employees so that they can handle the management system in an
efficient way. Therefore, the organization also requires spending adequate money for the
professional development as well, so that the employees can address the potential challenges
after the implementation.
Scheduling success

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Allocating the technological resources is one of the biggest challenges that the
organization can face after the implementation. Initially the technological system may result
into success but it may not provide the desired success after a point of time. Therefore the
organization requires having a definite and distinct backup system.
Answer to question 3:
After the implementation of the technologies, the organization should also bring new
strategies for retaining profits from the implementation. The possible strategies that could be
implemented are:
Clarify the issues that the technology will help tackling the organization
The organization should get all its employees onboard after the implementation of
technology. The organization should conduct meetings and make sure that the employees are
capable enough to handle the technological innovations and they are agreeing to it. There
should be a thorough mapping of the existing procedure and where the risk lies. Before
implementation the organization should also inform how the technology can mitigate the
possible risks as well.
Building the consensus
The managerial, professional and administrative consensus should be built after the
implementation of the technology. This involves considering where should the changes can
be implemented and where exactly to focus. Several times, most of the companies, lack the
balance between the creation of the strategies and the implementation as they so not build the
consensus throughout the organization, rather they only consult the senior management. This
may cause a huge problem for the organization later. Therefore this necessary thing should be
done right after the implementation.

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Considering the opinions of the employees
The opinions of the employees are very much valuable in this situation because they
are the ones who are going to work with the technological system. Therefore the organization
should take regular feedback after certain point of time. Not only that, the senior management
should consider the opinions to find out if there is any such hassles that the employees are
facing with the technological implementation.
Evaluate the progress
The organization should always evaluate the progress after the implementation. Even
if the theoretical version of any technology seems to be perfect, in reality, there are times
when the implementation can fail immensely. Therefore there should be continuous process
of evaluation which will let the management know whether the implementation is mitigating
the risks or it is enhancing it.
Measure the implementation
There are times when the organization may not be able to measure the after effects,
however other than this process; the organization will not be able to continue with the
implementation.

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