Preview

Exel GroupC6

Satisfactory Essays
Open Document
Open Document
404 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Exel GroupC6
LOGISTICS AND SUPPLY CHAIN MANAGEMENT

ASSIGNMENT: EXEL CASE

SUBMITTED BY
NAME
PGID
Sahil Batta
61510128
Abhijit Bharatkumar
61510877
I Shekhar Chawla
61510441
Pranika Kapur
61510672
Jatin Mehra
61510478

INDIAN SCHOOL OF BUSINESS

Introduction to 3PLs and Exel - Companies often face high costs in freight management and contract logistics due to limited scale of activities. On the other hand, 3PLs (logistics & supply chain management and services companies) act as aggregators of industry demand. Hence, by design, such firms achieve economies of scale and lower costs. Exel is a 3PL firm with an extensive land transport network, and provides air freight and sea freight services.
Context of the Exel - Hauz Mart relationship - Hauz Mart currently manages its own planning, while Exel manages 5 of the 6 Hauz Mart DCs through a 5 year contract, in addition to transport logistics through disaggregated service contracts. Exel also manages the entire supply chain of Hauz Mart’s private label home textile division. While this operation accounts for 15% of Hauz Mart’s total SKUs, this operation can serve as the launching pad of the Lead Logistics Partner (LLP) program with Hauz Mart. However, key challenges for Exel include offsetting the “just in case” behaviours of Hauz Mart managers through trust building and incentive alignment.
The need for joint planning - The case states that Hauz Mart is unable take advantage of efficiencies due to their limited knowledge of transport economics. Also, transport or managing logistics shifts focus from a company’s core manufacturing business to an external function which the company has less knowledge of. At the same time, Exel has several disaggregated contracts with Hauz Mart that may hamper inefficiencies in service delivery. Hence, the potential to lower costs through integrated service delivery and collective optimization is immense.
Deployment of Exel LLP program at Hauz Mart - Risks associated with Exel taking over
Continue Reading
View Writing Issues

You May Also Find These Documents Helpful

  • Good Essays

    TLMT 313 Sylabus
    • 1749 Words
    • 10 Pages

    TLMT 313 Sylabus

    This course focuses on today’s global and increasingly competitive economy, companies (both large and small) who need to work smarter, harder, and more efficiently to remain viable and competitive. In the recent past, purchasing, logistics, finance, and shipping used to be considered separate and individual functions. This decentralized, semi integrated approach has recently been viewed as ineffective and inefficient. The current concept of Supply Chain Management involves the effective management and integration of these functions to produce and deliver a quality product to a customer at a competitive cost while realizing a good profit. Synchronizing organizational processes, functions and activities has enabled modern corporations – regardless of size – to reduce costs, increase efficiency, while at the same time maintaining the flexibility to be responsive to their client’s ever-changing needs and requirements. Purchased materials and services account for 50-75% of the cost operations in most organizations and, in some cases, 80-90% for both manufacturing and service industries. “Outsourcing” of entire functions such as logistics and procurement of raw materials, parts, sub assemblies, operating supplies, and capital equipment have increased as firms concentrate on core competencies. Therefore, “Materials and Services” provide an enormous potential area of cost savings along with increased quality of service. For example, a five percent (5%) reduction in materials cost can increase ROI by thirty percent (30%)!…

    • 1749 Words
    • 10 Pages
    Good Essays
    Read More
  • Satisfactory Essays

    Mr Cluesone
    • 363 Words
    • 3 Pages

    Mr Cluesone

    TLIP5011A, Develop and evaluate strategies for transport and logistics enterprises, 150. TLIP5035A, Manage budgets and financial plans, 80. TLIR5006A ...…

    • 363 Words
    • 3 Pages
    Satisfactory Essays
    Read More
  • Good Essays

    Exell Boy
    • 315 Words
    • 2 Pages

    Exell Boy

    I believe Exel's current situation with Haus-Mart is in the right track and Haus-Mart will be a good customer to initiate the planning and execution effort with. First they have to come to an understanding so neither party is jeopardizing their independency. Exel doesn’t want to be out of a job if all their techniques are shared and later their talents become no longer needed to…

    • 315 Words
    • 2 Pages
    Good Essays
    Read More
  • Good Essays

    Laura Ashley
    • 761 Words
    • 4 Pages

    Laura Ashley

    Laura Ashley(LA) a global clothing and furnishing retailer based in United Kingdom, and logistics leader Federal Express Business Logistics Service (BLS) announced a strategic alliance to work together to mutually utilize and excel with each other’s expertise. LA had inadequacies in their warehouse management, distribution, working capital, responses to demand,and warehousing operations thus couldn’t control stock outs, stock levels, margins , stock replenishment , condition of end product thus endangering the happiness of the end user also as the product didn’t reach them in time as desired even if the product was in abundant in the warehouse. LA faced with weakness like overdependence in-house manufacturing, currency exposure, working capital intensity, excessive short term debt and rapid cash outflow resulting in expensive hierarchy with an inappropriate structure needing IT support for the system. Third party product services without a proper logistics would just duplicate functions, complicating systems and increasing the problem and investment. All SBU’s being independently managed by local logistics transportation system lead to overall system disaster, as there was no global vision leading to increased transportation and distribution routes, and excess ,stagnant inventory throughout supply chain. This can lead to obsolete product and thus hamper the total business. Thus with the IT systems development with the help of FedEx the entire supply chain was made more efficiently connected, with shorter lead times. Managing Collection, storage, inventory control, customs/administration, customer service support, international forwarding and air freight, delivery end to end, recording , forecasting and integrating all functions properly and thus enabling global control. Transparency and product delivery made at right time resulting in customer satisfaction helping LA to concentrate on core business. FedEx also enabled them for global and efficient purchase…

    • 761 Words
    • 4 Pages
    Good Essays
    Read More
  • Satisfactory Essays

    WALmat

    • 427 Words
    • 2 Pages

    WALmat

    As one of the largest retailer in the world, Wal-Mart, focuses on EDLP and possesses a great deal of power to grip the throats of those suppliers, who depends merely on one’s perspective. The counterpart-Sarah Talley, representative of a small entity, found out an innovative tactic to achieve win-win situation.…

    • 427 Words
    • 2 Pages
    Satisfactory Essays
    Read More
  • Satisfactory Essays

    Haus Mart Case
    • 1179 Words
    • 4 Pages

    Haus Mart Case

    This report evaluates whether Exel should move into supply chain planning with Haus Mart at this time or pursue some other strategy for advancing Exel’s current role. Economic and strategic arguments will be provided to convince Exel leadership of the best course of action. The following bullet points will identify the key issues in the case followed by an analysis of those issues.…

    • 1179 Words
    • 4 Pages
    Satisfactory Essays
    Read More
  • Better Essays

    Ford Motor Company and Penske Logistics Case Study
    • 1272 Words
    • 6 Pages

    Ford Motor Company and Penske Logistics Case Study

    In this case study I would highlight the importance of Penske Logistics to Ford Motor Company, one of the world’s largest automotive manufacturers. Penske has a good reputation and are highly valuable in the logistics field. They are very famous in using a process that identifies and removes errors efficiently with a set of tools that increases productivity in the business called Six Sigma. Penske had many challenges to overcome like developing and implementing and operate a centralized logistics network, also streamline supplier and carrier operations to improve performance and accountability, and finally provide a real time supply chain and financial visibility. Some of the solutions for the decentralized network, was to established 10 distribution centers, 1,200 trailers ship to and from the distribution centers per day with most trucks operate at 95% capacity and reduce plant inventory by 15%. To improve performance Penske trained 1,500 suppliers on a set of procedures in the logistic aspect, also they came up with carrier requirements for performance. Penske established strict accountability procedures for real time visibility of delivery status and routing schedules for the supply chain procedures. For financial visibility, they created a new freight billing system to capture logistics costs. In addition to all of this problems and solutions, Penske wants to be the leader provider of logistics management to Ford Motor Company to be well known out there in the business and to create long lasting alliances for their future benefit.…

    • 1272 Words
    • 6 Pages
    Better Essays
    Read More
  • Good Essays

    Strategy of Procter and Gambler's Business Unit
    • 629 Words
    • 3 Pages

    Strategy of Procter and Gambler's Business Unit

    Links: between supply chain planning and supply chain execution processes are critical. In the transportation area, P&G expects a lot of change, including improved collaboration with logistics outsourcers and more use of techniques such as cross-docking. This system, under which inbound trucks are unloaded and the goods are sorted and loaded straight onto outbound vehicles, without ever being put into store, can be used to cut inventory and handling costs, as well as delivery times. Daily planning will give way to continuous plan make- ship processes, which will demand improved loading techniques to make efficient use of vehicles as lot sizes become smaller.…

    • 629 Words
    • 3 Pages
    Good Essays
    Read More
  • Powerful Essays

    Frito Lay
    • 1283 Words
    • 6 Pages

    Frito Lay

    References: Çetinkaya, S., Üster, H., Easwaran, G., & Keskin, B. (2009). An Integrated Outbound Logistics Model for Frito-Lay: Coordinating Aggregate-Level Production and Distribution Decisions. Interfaces, 39(5), 460-475.…

    • 1283 Words
    • 6 Pages
    Powerful Essays
    Read More
  • Satisfactory Essays

    3PL proposal
    • 304 Words
    • 1 Page

    3PL proposal

    With the globalization of businesses and integration of economies, there has been an increase in the aggregate demand of merchandise. Producers and distributors seek ways to increase sales and market shares. The sales increase can cause problems in production department and warehouse department, such as delays of deliveries. In order to solve this problem, the deliveries of products have to be quick and timely. Third-party logistics have a great advantage in this aspect. According to the Council of Supply Chain Management Professionals, 3PL is defined as “a firm that provides multiple logistics services for use by customers. Preferably, these services are integrated, or bundled together, by the provider. Among the services 3PLs provide are transportation, warehousing, cross-docking, inventory management, packaging, and freight forwarding.” Enterprises can benefit greatly from established relationships with third-party logistics. Using the “outsourced warehouse” can help companies save costs and reduce financial risks. Enterprises have invested in developing logistics management software. In this research paper, we would like to focus on 3PL Central’s Warehouse Manager, which is designed for third party logistics providers.…

    • 304 Words
    • 1 Page
    Satisfactory Essays
    Read More
  • Powerful Essays

    Compare and contrast the supply chain management approaches take by H&M, Benetton and Zara
    • 2712 Words
    • 9 Pages

    Compare and contrast the supply chain management approaches take by H&M, Benetton and Zara

    The purpose of this essay is to discuss different supply chain management approaches taken by H&M, Benetton and Zara. It is first necessary to explain what a supply chain management means. Supply chain management involves planning, design, maintenance and control of the flow of materials and information along the chain in order to efficiently satisfy customer's requirements (Schroeder, 2000). Such an approach, of looking at the entire supply network helps organisations identify their competitive advantages and parts of their processes that contribute the most to the performance objectives that are of the greatest importance to the customers (Slack et al., 2007). It also helps to develop long-term strategies for the company based on the identified advantages.…

    • 2712 Words
    • 9 Pages
    Powerful Essays
    Read More
  • Powerful Essays

    Embracing Sustainability Information Technology and the Strategic Leveraging of Operations in Third Party Logistics
    • 2053 Words
    • 9 Pages

    Embracing Sustainability Information Technology and the Strategic Leveraging of Operations in Third Party Logistics

    The paper takes a perspective from Third Party Logistics (3PL) as it is already a very consumer focused industry and strategic outsourcing is a result of increased use of IT systems. In this era 3PL offer clients with competitive advantage beyond the normal transportation and warehouse services to; freight forwarding, information-based (supply chain management) support such as network management and enterprise resource planning interface, and financial based services such as freight billing and auditing.…

    • 2053 Words
    • 9 Pages
    Powerful Essays
    Read More
  • Good Essays

    Ocean Spray Cranberries, Inc Case Study
    • 898 Words
    • 4 Pages

    Ocean Spray Cranberries, Inc Case Study

    During an investigation of Ocean Spray’s transportation capabilities, the director of logistics wanted to take a serious look at 3PL providers. The rationale for his idea to use 3PL is that 3PL can provide more depth and breadth of service offerings, allowing for less focus on transportation and warehousing and more on core competencies. It will allow Ocean Spray to centralize logistics, reduce variability in operations and expand its logistics network.…

    • 898 Words
    • 4 Pages
    Good Essays
    Read More
  • Satisfactory Essays

    Global 3PL Market
    • 363 Words
    • 3 Pages

    Global 3PL Market

    3PL is a business process through which companies outsource their logistics and distribution functions to a service provider that specializes in handling logistics functions such as transportation, warehousing, and freight and forwarding. A logistics service provider that provides these services is called a 3PL provider. Often, 3PL providers go beyond logistics and provide value-added services such as inventory management, cross-docking, door-to-door delivery, and packaging of products.…

    • 363 Words
    • 3 Pages
    Satisfactory Essays
    Read More
  • Powerful Essays

    Supply Chain of Big Bazaar
    • 1821 Words
    • 8 Pages

    Supply Chain of Big Bazaar

    The motive of the study is to understand the company’s supply chain management and store…

    • 1821 Words
    • 8 Pages
    Powerful Essays
    Read More

Related Topics