Preview

HP Deskjet Printer Supply

Good Essays
Open Document
Open Document
6438 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
HP Deskjet Printer Supply
ESSAI 1
Table of Contents Executive Summary Issue & Issue Analysis Alternative Recommendation & Implementation Monitor & Control Conclusion Appendix
Executive Summary
As Manager of Special Projects, Material Department at HP Vancouver division, it is my decision to move towards to postponement of Product Differentiation.
The decision regarding the postponement strategy is of very strategic importance to future growth of HP. I recommend full review of inventory management system for desk jet printers & design a strategy to implement processes leading to postponement of product differentiation, in order to reduce inventory imbalance & satisfy customer demands.
The short term strategy will include recalculation of safety stock, reorder points & reorder quantity, Identification of certain models that needs to discontinued and improvement in demand forecasting system.
New Key Performance indices (KPI’s) reflecting performance of entire supply chain will be developed.
We will have to design the product & realign the manufacturing & distribution activities so that customization step leading to product variation occur at most efficient point in the supply chain, giving lowest supply chain cost . In long term the design of printers & subsequently manufacturing process will be changed to enable installation of power supply unit at final DC levels. We would be moving towards Design for Localization.
Finally possibility of developing universal power supply will be explored.
A time line will be setup to implement postponement strategy & development of universal power supply.
This report will be used for further discussion with Operation Manager & Worldwide Distribution Manager
Issue & Issue Analysis
Inventory Imbalance & Customer Service Levels
The European Distribution center was overflowing with inventory of printers for which they had no customers, while inventory of in demand printers had reduced to

You May Also Find These Documents Helpful

  • Good Essays

    Super study guide2 MIS 373

    • 2143 Words
    • 11 Pages

    - Goal: To achieve a match between the long-term supply capabilities and the predicted level of long-term demand…

    • 2143 Words
    • 11 Pages
    Good Essays
  • Good Essays

    Capsim Strategy

    • 869 Words
    • 4 Pages

    In order for our strategy to be effective, our optimal timing for planned investments will be when demand is predicted to be high. Hence, we will increase our capacity levels where demand is forecasted to peak. According to the…

    • 869 Words
    • 4 Pages
    Good Essays
  • Satisfactory Essays

    Quiz Online Opman

    • 328 Words
    • 2 Pages

    An effective new product development process can generally optimize delivery time, manufacturing costs, and quality.…

    • 328 Words
    • 2 Pages
    Satisfactory Essays
  • Satisfactory Essays

    Comm 399

    • 436 Words
    • 2 Pages

    benefits from each. The best way to do that is to use the inventory models to calculate the total cost of inventory per unit (for all DeskJet models) under different options. • Use demand data from the exhibit 13.16. For your convenience, the monthly and weekly mean and standard deviation for six models as well as generic printers have been calculated in the spreadsheet Assignment3_HP.xls…

    • 436 Words
    • 2 Pages
    Satisfactory Essays
  • Better Essays

    Senior Project Manager

    • 1071 Words
    • 5 Pages

    There are changes that can impact a supply chain from many areas. The computer hardware and technology advances will impact the components and hardware configurations that Dell…

    • 1071 Words
    • 5 Pages
    Better Essays
  • Satisfactory Essays

    Logistics Case Study#2

    • 493 Words
    • 2 Pages

    uncertain , the company can buy that part in volume . This way , only that…

    • 493 Words
    • 2 Pages
    Satisfactory Essays
  • Powerful Essays

    Barilla Spa (a)

    • 1932 Words
    • 8 Pages

    The new system will include a forecasting and planning system based on information provided by the distributors on a day-to-day basis. The JITD will reduce inventory to acceptable levels and will reduce inventory carrying cots. It will also flatten demand resulting in cost savings at the manufacturing and shipping levels. It will also provide an opportunity for new sales promotion types and levels.…

    • 1932 Words
    • 8 Pages
    Powerful Essays
  • Powerful Essays

    Based on Service Request SR-rm-001, the processes of inventory management and control at Riordan Manufacturing were evaluated. Four aspects of Riordan Manufacturing’s inventory management and control require improvements. These aspects of business are improvements to automation, inventory control and error reduction in the inventory management, as well as an overall inventory storage cost reductions. Furthermore, each part of the inventory management and control process requires a single unifying method to deliver a solution using computer systems.…

    • 1945 Words
    • 8 Pages
    Powerful Essays
  • Satisfactory Essays

    Sap Lot Sizing

    • 318 Words
    • 2 Pages

    Optimizing method • A or B item • Demand-driven OR MTO • Consumption-based OR demand planning with forecast for BOM top-level and X,Y item • Inventory holding cost and order cost known • No planning in fixed order-/delivery-intervals OR this is not focus of the lot-size planning • If limited stockroom: no Y/L parts Else: Periodic method • Demand-driven OR MTO • Consumption-based or demand planning with forecast for BOM top-level and X, Y item • AND/OR A-item (including A/Z-items) • AND/OR: Planning in fixed order-/delivery-intervals (including Z-items) Else: Static method • 'Replenishment to maximum level' (high order costs, negligible holding cost, limited stockroom and/or technical requirement, e.g. silo, tank) • Remaining materials: 'EX'(exact lot size); in particular for B/Z and C/Z items, when consumption-based or BOM top-level and forecast is conducted…

    • 318 Words
    • 2 Pages
    Satisfactory Essays
  • Good Essays

    Case Jhundu

    • 590 Words
    • 3 Pages

    Spartan, who was a leading designer and manufacturer of specialized industrial heat transfer equipment earns sales revenues of $25M. The company has prided themselves on creating a Make-to-Order system that allows customers the option of customizing their orders to their needs. Customization is what gives Spartan the competitive edge over their competitors. Meanwhile, however, countries like Korea and Europe are currently changing industry standards. Korean firms have a low cost base and compete primarily on low cost. European firms have begun to focus on standardizing their product lines to a few high-volume products and compete on delivery lead times and price. Rick Coyne, Materials manager for Spartan, is faced with a proposal of “renewing” Spartans business strategy. Spartan would like to reduce customer lead times for finished products from 14 weeks to six weeks. Second, Spartan would like to move from an inventory turnover rate of 4/year to 20/year. Third, Spartan would like to include some form of standardization in hopes of lowering costs for purchased goods.…

    • 590 Words
    • 3 Pages
    Good Essays
  • Satisfactory Essays

    got potential for planning our materials right the way through the whole of the manufacturing…

    • 306 Words
    • 2 Pages
    Satisfactory Essays
  • Good Essays

    Threat of Entry

    • 343 Words
    • 2 Pages

    the price of laptops has come down in recent years and the prices of some printers are more expensive than others that are smaller! Part of the reason for this is that there is a different degree of technology involved in the production of some of these products and, in addition, it is not likely that they will be produced in the quantities that will allow the benefits of economies of scale to manifest themselves.…

    • 343 Words
    • 2 Pages
    Good Essays
  • Powerful Essays

    HP deskjet

    • 1193 Words
    • 5 Pages

    The DeskJet printer was introduced in 1988 and has become one of Hewlett-Packard's (HP's) most…

    • 1193 Words
    • 5 Pages
    Powerful Essays
  • Satisfactory Essays

    Before doing the task, they did rethink and integrate the designs of their products, the process used to make and deliver those products, and the configuration of the entire supply network. That is to say, the key point is to postpone the task of differentiating a product for a specific customer until the latest possible point in supply network. To be more specific,…

    • 416 Words
    • 2 Pages
    Satisfactory Essays
  • Powerful Essays

    Hp, Tal Reaction Paper.

    • 1644 Words
    • 7 Pages

    Hewlett-Packard is an established company manufacturing printers, especially DeskJet printers. HP has a plant in Vancouver which customizes DeskJet printers to be localized for the local market. After the manufacturing of DeskJet printers in Vancouver, it is being shipped to Europe for about four to five weeks. And when the products arrive in Europe, the European Distribution Centers found out imbalance in the inventory of the DeskJet. There are too many stocks customized for a particular market and very few for other markets. So in the 90’s, HP faced an Inventory Crisis. The uncertainty of demand made it hard for them to forecast which model to produce. And since they have variety of product because of localization, it is harder to manage inventory. A lead time of four to five weeks also made forecasting a difficult job and it also caused higher safety stocks. Another cause of the crisis is that the people in HP got their noses up. No one wants to talk to the other. There’s a poor communication inside the organization. If they don’t want to ride on a plane to go to Europe or vise versa, they can use Skype, or yahoo messenger or a simple phone call or even a conference using computers. There are so many ways to communicate with people. Another problem is that sometimes there are late shipments. In that late shipments there are also wrong parts it causes delay in the production.…

    • 1644 Words
    • 7 Pages
    Powerful Essays