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Six Sigma Case Study

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  • March 2013
  • 583 Words
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Chapter 1:

1. Changed the European logistics structure from a local viewpoint to a greater overall European level. To improve the company’s logistics, they began structuring for a centralized European planning function. With the new function, the process would begin by obtaining sales forecasts from each local market, monitor finished goods stock levels at each DC and develop production plans and stock movement schedules to drive the flow of finished goods to DCs to ensure a higher service level. The ERP and web-based systems needed to have a common system throughout the entire distribution function.

2. Cons of a centralized system is the willingness of the local customers and distribution aspects are not too favorable about the switch and contracting to third parties for tasks like cross-docking do not always have Shavers best interests at heart. Pros are being able to forecast production levels more accurately, decrease overhead by eliminating unnecessary DCs, and an overall reduction in purchasing prices.

3. With the centralization of the logistics structure information was shared more easily with a common system that made the access similar from one facility to another within the system. The ability of forecasting improved with an increase in products, and no change for inventory levels. The organization of the data and information needed to be developed to accommodate the European structure and business “attitude”, which cost a great deal of money for Shavers and took longer than wanted to have it established and implemented. The biggest change and drawback from the system centralization was the people within the organization. The local management felt as though they had less say and diminished power in what happened at their level and with the common language of the company being English, this has caused issues for the company.

Chapter 2:

1. Bradley has seven links in the supply chain, beginning with the piggery and ending with...