Supply Chain Design Case Study

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Should more companies work to make supply chain design a core competence? Supply chain to determine the capability contained therein enterprises in the market competition. How supply chain design will affect their competitiveness. A company is trying to market, lower cost if it decides who gets contained in the high cost of its supply chain service providers will be difficult to compete. In the terminal market, the competitive nature of one of the company must be in the design of the supply chain must be considered. Supply chain, which is not surprising, and often develop around their core competencies competitive advantage. Core competencies can be defined as those determined to do the best, most cost-effective activity, which is the central…show more content…
Strategic network design can have a profound impact on the establishment of a new production facility of practical examples to illustrate by taking. Various decisions must be made to effectively integrate the new facility into the existing supply chain and ensure the desired level of service. Supply base and production capacity generally by strategic considerations, and the flow at the tactical level their transport and supplies must be aligned. Business decisions are mainly linked to the local site of the process, for example on capital policy and transport…show more content…
In terms of geographical and functional scope, this "cradle to grave" approach can help companies achieve and maintain excellent performance in their supply chains, in the long run. Network design can help determine the optimal number and facilities (manufacturing plants, warehouses and distribution centers) position, ability and technical requirements, distribution facilities and distribution of products of plants, as well as the entire supply chain in the flow of goods. In addition, the network should be designed to determine whether the services and processes should be internally or externally. For example, network design projects can be used to determine whether a product should be made by contract manufacturers or within the company, taking into account all the effects of the supply chain. You should know the facts to reach the best decision; you usually need to balance different goals. For example, the trade-off between the cost impacts of conflicting objectives focused on the degree of optimization of a company's distribution network. The company goal is to determine the optimal number of distribution centers to ensure that all

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