Supply Chain Integration

Topics: Supply chain management, Calculating demand forecast accuracy, Fruit Pages: 7 (2197 words) Published: June 23, 2013
QUAH EE YEN CEB 110063
Faculty of business and Accountancy | university of malaya
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Delicious Fruity Company
Supply Chain Intergration CBEB 3417 Supply chain management QUAH EE YEN CEB 110063
Faculty of business and Accountancy | university of malaya
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Delicious Fruity Company
Supply Chain Intergration CBEB 3417 Supply chain management

Table of Contents
Introduction2
Description of Company2
Description of Product2
Problem Statement3
Proposal of Solution4
Cross Docking4
Joint Product Development5
Collaborative, Planning, Forecasting, Replenishment (CPFR)5 Challenges of Implementing Supply Chain Integration7
Conclusion8
References9

Introduction

Description of Company

As a market leader in the fruit drinks industry, Delicious Fruity Company (DFC) offers fresh juice, long life fruit juice and juice concentrates to the consumer market. It has been establish in year 2001 located at Butterworth, Penang and with 12 years of experience, Delicious Fruity Company serve their consumers with the highest honour by practise continuous improvement and innovation in the fruit production process. The vision of Delicious Fruity Company is ‘To become one of the leading company in fruit beverage manufacturers and develop healthy and high quality products to serve our customers.’ There is a wide distribution of network that enable customers to purchase fruit juice and juice concentrates of Delicious Fruity Company as the company situated their products in the most biggest supermarket in Malaysia which they are Tesco, Giant, Carrefour, Sunshine , Aeon, Jusco , Pacific and Econsave. The main consumer market that is target by Delicious Fruity Company is consumers in Malaysia which Delicious Fruity Company concentrate on local distribution channel. Description of Product

According to The Times of India, benefits of drinking fruit juice such as oranges will keep your skin glow and keep you away from cold. Besides that, fruits juice contains essential nutrients that is much higher than a meal normally consumed by an individual. Delicious Fruity Company formulates fruits juices, long life fruit juice and juice concentrates that is high in nutrients and also quality as a promise to their customer where they think of quality, they will think of Delicious Fruity Company. They use fresh oranges, apples, lemons and etc. to extract the natural flavour of the fruit which there is no artificial flavouring used in the process of formulating the fruit juice and juice concentrates. This would reflect the safety of ingredient used by Delicious Fruity Company as it is insured from excessive use of chemical in their products.

Problem Statement

As mention before, Delicious Fruity Company use the extraction of fruits to transform the unprocessed fruit juice to become long life fruit juice. The main raw material that is largely used by Delicious Fruity would be fresh fruits like oranges, apples, lemons, grapes and etc. Repeated ordering from local growers below a significant time would likely to raise the cost of ordering, shipping and holding of fresh fruits and also the availability of materials which is always a major issue for Delicious Fruits Company. However, in the last two years, General Manager of Delicious Fruity Company, Ms Serena had come out with a plan which raw material would be order in bulk, which this idea would effectively help to brings down the figure of cost of ordering and shipping, ensure the availability of raw material but it would cause an increase in holding cost as those raw materials were about to keep under Delicious Fruity Company’s warehouse and facilities like huge refrigerator would have to be ready for the arrival of...

References: Cross Dock. Services we offer—Cross docking. Retrieved from: http://www.crossdock.mb.ca/
Denso. About us. Retrieved from: http://www.denso.com.my/content/index.html
Green Hill Fruit. About us. Retrieved from: http://greenhillfruit.com/index.php?id=2
The Times of India. Benefits of drinking fruit juice (2013). Retrieved from: http://articles.timesofindia.indiatimes.com/2013-05-05/diet/29784407_1_juice-health-benefits-sugar
Wisner, J.D., Tan,K.C., Leong, G.K. 2008. Principles of Supply Chain Management, 2nd Ed. South Western Cengage Learning: United States
Wikipedia. The list of supermarket in Malaysia. Retrieved from: http://en.wikipedia.org/wiki/List_of_supermarket_chains_in_Malaysia
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