Analyzing Unipart Logistics Supply Chain Management Report

This report provides a comprehensive analysis of supply chain management, focusing on the Unipart Logistics company. It begins with an introduction to supply chain management, defining its core principles and significance in optimizing value and gaining a competitive edge. The main body of the report delves into the key aspects of Unipart Logistics' supply chain, including relationships, information systems, procurement, outsourcing, and sustainability. It explores how these elements impact the company's operations and overall performance. The report also examines concepts and models related to supply chain relationships, risk mitigation, and cost reduction strategies. It discusses ways to improve supply chain relationships, mitigate risks, and reduce costs within the organization. Furthermore, the report addresses the company's efforts to enhance supply chain sustainability, considering environmental, economic, and social factors. The report concludes with a summary of the findings and recommendations for further improvement.

Supply Chain
Management

Contents
Introduction.................................................................................................................................................3
Main body...................................................................................................................................................3
Analyses of supply chain with following.................................................................................................3
Concepts and models...............................................................................................................................5
Conclusion...................................................................................................................................................9
References.................................................................................................................................................11

Introduction
The supply chain management defines to the managing flow of goods and services by
involving all the process that convert raw material into final product for the user. It helps in
maximize the client value and provides competitive advantage in marketplace to the
organization. It defines to cross-cultural approach by reducing the cost and delivering goods and
services to customer faster by controlling the production, shipment and distribution. The
manager of the company provides recommendations regarding the productivity, quality and
efficiency for improvement of the company. It is associated with network of individual,
resources, activities, organizations and technologies involving the manufacturing and sale of
product or service. The supply chain starts from supplier by deliver of raw material to producer
for manufacturing and ends with the final consumer by delivering of finished product for use.
The supply chain also requires the management for managing the people and supplies for
productive results (Angolia and et.al., 2018).
The study is based on the Unipart logistic company. The Unipart group is the private
multinational company established in 1974 by British Leyland operateing by John Neil and John
Egan in UK. Its headquarters is located in Cowley, oxford shire, England. It deals in logistics,
supply chain, manufacturing and consultancy. In the report the discussion is done on the
organization supply chain regarding the relationship, outsourcing and sustainability. The impact
and strategies of supply chain on organization.
Main body
Analyses of supply chain with following:
Supply chain analyses refers to the process of evaluation of every stage initial from the
purchase of raw material from to the supplier for delivery of final product to end consumers. The
analysis helps in increasing efficiency by creating new value added processes, cost reducing and
risk minimization. The analysis is done for the purpose of finding which supply chain need to be
improved or reduced the product delivery to customers quickly and proficiently.
 Relationships- The supply chain involves different relationship related with strategic,
tactical, internal and transactional relationship. The supply chain defines the relation between

supplier and customers where they are connected to each other for exchanging information,
demand data and visibility of status. It includes relationship among members of supply chain
community. It communicates the route of strategic plans and work jointly for cost reducing
and quality improvement by understanding capabilities and capacities of each other. It links
the information through the use of internet and information (Aydiner and et.al., 2019).
 Information system- In supply management information system has significant role for
obtaining the decisions regarding the flow of network for achieving the organization
competitiveness by improving high service level and reducing cost and risk of supply. The
organization is adopting changes in technology and IT applications for virtual supply chain
through electronic data exchange, radio frequency identification, decision Support system,
Enterprises Resource Planning (ERP) packages. The information system achieves integration
and effective information by sharing across the company which enhances the performance in
global competitive market. The Information technology comprises of tools which help in
providing information awareness, analyze of information and execution for the performance
improvement of the supply chain. Information is crucial for making better decisions of
supply chain.
 Procurement- It refers the task concerned with product obtaining from seller on favorable
terms whereas supply chain management involves the process of transformation goods into
product and making available to consumers through distribution. In the terms of supply chain
it is a process where company needs goods and services by acquiring raw materials and
ancillary supplies for fulfilling business model. It is necessary to ensure that goods are
available at reasonable price by analyzing the factors such as quality, quantity, time, and
location on a continue basis so that profit can be earned by the company. The responsibilities
involved in procurement process are Negotiating price, Inventory control, Buying goods,
Inventory management, Disposal of waste products etc. The supplier management strategy is
vital for ensuring reliable delivery from suppliers and risk mitigation (Bag and et.al., 2017).
 Outsourcing- It defines to a business practices in company of hiring outside party for
performing and creating services & goods that was previous done by the company own staffs
and employees. While managing with external organization it takes into consideration
integration issues. Outsourcing in supply chain helps in minimizing cost by focusing on core
competencies and meeting customer’s demands effectively having flexibility in maintenance

and operation of supply chain. It defines the strategic positioning in the corporation by
focusing on time, energy and resources for development of product and service for customer
base. The business value is increased as external supply chain brings capabilities and solution
by using expert knowledge for increasing efficiency and productivity. For cost-cutting this
measure is used by company (Ishida 2020).
 Sustainability- It defines to a business issue that has a affect on the company supply chain
and logistic network in respect to environment, risk and cost. A sustainable supply chain
provides competitive advantage in the organization by creating opportunities having
connection of business inputs with outputs. Eco-friendly product is a new measure for supply
chain sustainability. To make successful supply chains it needs the collaboration by sharing
distribution to reduce waste and Investing in different modes of transportation. The business
achieves different levels of sustainability called as three tiers of Sustainability. Tier 1-
Receiving basic right because of its base level stage in which organizations are in majority. It
involves the simple measures like switching lights and pc offs when idle, recycling of papers
in the aim of reducing carbon footprint. Tier 2- Learning and educating to think sustainability
is a second level realizing the need of sustainability in supply operations. It includes supplier
management, manufacturing rationalization, product design, and distribution optimization.
Tier 3- The science of sustainability requires auditing and benchmarks for providing
framework to sustainable supply chain operations for governing. It gives clarity to supply
chain for flexibility and cost in the supply chain network.
Concepts and models
In what ways supply chain relationships can be improved.
The supply chain is an significant part in inventory management and for business strategy
as it helps in providing competitive advantage. The effective supply chain helps in money saving
and increasing customer satisfaction by reducing wait times for products in demand. There are
many ways in which supply chain relationship can be improved (Kasemsap 2020).
 Evaluation of supplier- the supplier relationship is evaluated for improving supply chain
by having a good communication as good suppliers are responsive. It involves reliable
supplier as supply chain is negatively affected if the supplier is short on purchase orders
or ships order late. It is essential to cut ties with suppliers who prove themselves as

liability for improving supply chain. On the basis of speed supplier must be evaluated for
knowing how fast they complete order and ships their orders for increasing supply
efficiency
 Monitoring the system- The components of supply chain should be examined to identify
weak points. Inventory management is a good way for identifying problem area as
supplier and logistics management is involved which improves the supply chain
efficiency. By identifying problem a course of action can be chosen such as switching to
different vendor, trying new shipping services and implementation of training for
warehouse employees (Kaur and et.al., 2019).
 Use of technology- The investment in the supplier management software keeps the
supplier relationship simple which tracks the information at one place with the help of
technology. Purchase order management can be installed which can be used for tracking,
processing and creating purchase order with the suppliers.
 Analyzing supply chain strategy- The strategy and goals are revaluated for ensuring the
chain cost is low and reliable. As successful supply chain are lean, dependable and cost-
efficient. The organization uses the strategy of porters five force model for identifying the
competition and threat prevailing in the market. The supply chain also performs cluster
analysis for assessing the pattern of manufacturing.
 Solid agreement- The management defines proper terms and responsibilities before
agreeing into supplier-retailer partnership for improving supplier relationship that helps
in eliminating conflict (Kodzi 2019).
Mitigation of supply chain risk and reducing supply chain costs in organization.
Risk mitigation is the process of identifying, evaluating and prioritizing the risks that
comes from various sources involving uncertainty in international markets, threat of project
failure, legal liabilities, accidents, credit risk etc. The risk should be followed by coordinating
and using economic application of resource for controlling the impact. Risk mitigation is a
strategy involving the action for reducing an organization exposure to potential risk which causes
a serious loss or profit or even bankruptcy. Risk management of supply chain defines the process
where strategic steps are taken by the retailers for identifying, assessing and mitigating the risk

within their end to end supply chain. It involves the internal and external risk (Kumar and et.al.,
2019).
Internal supply chain risk refers to the factors of risk that can be control by the
company which can be identified and monitor by developing risk assessment software, robust
analytics program etc. the risk is related to manufacturing risk, business risk, planning and
control risk , mitigation and contingency risk (Muogboh and et.al., 2018).
External supply chain risk which arise from outside the organization and cannot be
controlled hard to predict and requires more resources to overcome. The risk involve demand
risk, supply risk, environmental risk etc.
By using various strategies risk can be mitigate.
 Managing environmental risk in supply chain- The supply chain software enables
proactive approach for providing great visibility in the supply chain structure by analyzing
the factors. The weak points are identified and data driven insight are received in the
supply chain with the help of software and helps in developing contingency plan such as
supply chain network, multi sourcing supply chain model.
 Implementation of logistic contingency plan- It is essential to create contingency plan by
considering some factors such as clear understanding of entities are most vulnerable to risk,
diversifying supplier network, developing communication channels, staying updated on
current events. Through contingency plan it helps in ensuring the business continuity yin
the occurrence of disruption in the supply chain. All these factors by considering help in
risk mitigation of supply chain (Nugroho and et.al., 2017).
 Controlling the PPRR risk management model- It is a global strategy of supply risk
management used by retailers. The PPRR defines prevention, preparedness, Response, and
recovery which were used by the Australian emergency management agencies for saving
time and money in case of disaster. It helps in anticipating the direct impact on the
business, suppliers and customers. The prevention defines the course of action taken,
preparedness is related to steps taken before incident for the recovery, response control the
impact of incident and recovery is defining to takes steps of disruption and recover times
for minimization.

Reducing supply chain cost
Supply chain cost defines to the cost that constitutes a considerable percentage to total sale
price of product or services. In supply chain management cost reduction strategies focus on
resulting of efficient an affordable ways for procuring and storing products, transporting them
from point A to point B which ensures customer satisfaction. It is necessary to reduce the cost of
supply chain for efficient production and growth.
The ways by which cost can be reduced are-
 Improving supply chain strategy- In cost reduction visibility is essential aspect. The
company should develop the strong forecasting software for knowing the inventory
availability at a given time, provides understanding of challenges such as seasonal peaks,
change in shipping demand and transportation issue. To have streamlined supply chain which
results in profit by reducing cost there must be an improvement in product line and inventory
management.
 Reduce product packaging- The packaging of the product shows the features and
specifications which protect the product by transiting in some container or wrapper. The
reduction in product packaging saves the money ob packing materials and printing cost. It is
a win-win situation in supply chain management which helps in reducing the cost.
 Technology- It requires huge investment for long run. Investment in automating warehouse
can reduce cost and improves efficiency, simplify process and labor cost is reduced. The term
technology refers to the skills, techniques, methods and process used in the industry for
production and involving scientific investigation. It is a branch of scientific knowledge deal
with engineering and applied science (Van Goor and et.al., 2019).
Improving supply chain sustainability of organization
The company shareholders are pressurized from investors, customers and non profit for
bringing sustainability in supply chain. If environmental, social and economic performance is
managed and improved in supply chains the company can conserve resources, optimize process,
adopt innovations, which helps in saving cost by increasing productivity and promoting
corporate values. The companies take various steps towards sustainability supply chain-

 Mapping supply chain – In the environment there are many companies which do not
possess the knowledge or understanding of sustainability which has a great impact on supply
chain. The mapping supply chain is related to be familiar with the challenges related to
environmental and social challenge by prioritizing efforts with suppliers. A sustainability
strategy of supply chain was established for evaluating and electing of products through
completing with procedures, communications, tools, training and metrics for reporting
implementation progress.
 Communicate expectations- The sustainability of the organization communicates the
corporate values and culture to supplier and customer. The company should establish the
supplier code of conduct and communicating the expectations in the efforts of sustainability.
Numerous resources and tools have been developed to provide assistance for development of
a supplier code of conduct in companies. A new tool introduced by the Global Environmental
Management Initiative (GEMI) which helps the companies in prioritizing organization's
value chain by giving opportunities to improve supply chain sustainability (Wong and et.al.,
2019).
 Collaboration- An individual effort cannot solve the complex problems; many competing
companies share a part if supply chain and collaborates on efforts for developing and
establishing sustainable practices. It offers the opportunity for positive public perception and
builds credibility with consumers and industries. The company collaborates with various
suppliers and department for achieving sustainability.
Recommendations- The Unipart logistics company can improve its supply chain management
by adopting Enterprise Resource Planning (ERP) software as it will helps in increasing profits
and efficiency by eliminating waste and cost. This system helps in automatic purchasing by
placing orders automatically with sellers at certain level. It helps in maintaining the inventory
level. The standardized ERP system upsurges efficiency by saving money and time. The system
fixes the problem of waste and fraud by reconciling the inventory. The ERP system delivers the
real time visibility of inventory level. ERP is a class of business management software used by
the organization for collecting, storing and managing the interrupted data of business operations.
It is maintained by database management system.

Conclusion
From the above study conclusion has been made that supply chain management is an
imperative aspect in the company which leads to growth and increase the profit. The customer
satisfaction is retained by providing fast delivering of the product or service. The company
improves its sustainability by knowing the consumer demands and preferences and providing the
product on time. The supply chain management establishes a better relationship with the
customer and supplier for obtaining the product at reasonable prices. The business activities are
integrated and combined in such a manner which provides the satisfaction to consumers and
helps in achieving the company goals. The supply chain involves the relationship between
outsourcing partners, suppliers, and customers for the conversion of goods into finished product.
The Future supply chains are forceful in nature, and comprise of mutual value networks where
output and effectiveness is maximized. The company uses various strategies for improving
supply chain management and establishes a better relationship with the customer and supplier for
obtaining the product at reasonable prices.

References
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