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In the agrochemical industry, balancing supply with extremely seasonal demand has been a struggle for most companies due to their capacity constraints. Stocking enough inventory ahead of the peak seasons and increasing the production capacity are two ways of resolving the issue. Our research examines an approach to achieve the...
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For fresh produce, product freshness is very critical in satisfying customers and reducing obsolescent cost. While network nodes in a supply chain add more “touch” of inventories, they also reduce safety stock through a risk pooling effect. Our project studied relevant factors and created a predictive model to quantify the...
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Outbound transportation collaboration is the act of cross-company consolidation of shipments originated from and destined to a common area. It can reduce transportation cost depending on the level of synergies that exist between companies’ supply chains. For companies who are interested in tackling collaboration on their own (DIY), this research...
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This project determines appropriate inventory modeling approaches for externally sourced medical products. The authors identify the key drivers of inventory, highlight gaps in the current inventory modeling approach, and recommend inventory targets through the use of simulation or an appropriate safety stock formula. Authors: Nichole L. Hillstrom and Renato A....
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This research project studies the global supply chain network flow of a low volume low margin industrial chemical product. It presents a network optimization model to minimize the total cost-to-serve (C2S). It also includes three scenarios to compare C2S when supply capacity shifts. Authors: Fred Dacha and Li Jin Advisor:...
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This project explores whether the readily available data in agriculture, published by various sources such as USDA, universities and weather stations, can be used in conjunction with the manufacturer’s private data to better forecast the demand of agricultural products (chemicals). We analyzed certain variables such as corn price, acres harvested...
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Most companies aim for perfect on-time delivery from suppliers, since late deliveries cause supply disruptions. But some companies incur direct costs in maintaining supplier delivery performance. Our empirical research looked at a company that invests in suppliers to help them achieve a desired performance level. We developed a framework that...
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Analysis of e-luxury from a systems-thinking perspective can give companies valuable insights into how to organize their supply chain and align their operations to capture demand. In the South Korean market, the luxury retailer that can simultaneously elevate its brand, segment its products and services, and unify the online and...
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In this research, we investigate how carrier assignment methods impact available capacity and pricing. In the lane robustness study we examine how shipment volumes on specific lanes affect price escalation. We also study the role of brokers and asset based carriers in capacity creation process. In addition, we examine lane...
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This research aims to improve the accuracy of individual freight train run time predictions. A regression model is proposed utilizing a broad selection of explanatory variables. The performance of the proposed regression model is compared against a baseline simple historical averaging technique. The proposed regression model offers substantial improvements in...
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Analysis of inventory stock levels, supplier contracts, and supplier manufacturing capacity can provide insight to humanitarian organizations on their capacity and ability to respond to disastrous events. To organizations this information can aid in determining adequate inventory levels and negotiation of supplier contracted transportation times in order to maximize response...
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This project explores how a shipper’s fuel surcharge (FSC) program affects its per-load transportation cost in the United States truckload (TL) transportation industry. We built a cost model using ordinary least squares (OLS) regression analysis to quantify the effect of an FSC program on transportation cost. We controlled for well...
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This project explores the financial impact of insourcing logistics for a major oilfield services company. Insourcing the transportation of their products to offshore oil rigs at sea – a function currently provided by their customers – will increase asset velocity of their most important tools, and allow them to service...
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This project examines the current supply chain for a family of emergency surgical kits and uses mathematical models and sensitivity analysis to derive the best strategy to reduce the inventory level and the operating cost. Using a Strategic Inventory Placement method, we derive a complementary strategy to further enhance the...
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A common inventory segmentation strategy for consumable service parts used in heavy industry was compared to a more sophisticated strategy by evaluating performance using a discrete-event simulation of warehouse operations and a companion Monte Carlo simulation of supply chain metrics. Unlike the simple strategy, the sophisticated strategy achieved performance goals,...
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This project assesses the inventory strategies for patented and off-patent products in a pharmaceutical supply chain with a focus on service level, forecast accuracy, lead times and supply reliability. The safety stock equation used in the current distribution model is examined and a revised model with a new safety stock...
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This project evaluates the potential of using macroeconomic indicators to forecast consumer packaged goods demand for three emerging markets in Asia. Twenty-seven models were constructed using stepwise multiple linear regression analysis for the three countries and their product segments. Based on our findings, we determined which combination of macroeconomic indicators...
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In this research, we examined the behavior of transportation costs during supply chain complexity events, in particular, new product launches in the distribution network of an FMCG manufacturer. We analyzed the cost-to-serve a customer in the network, recommended a method for picking the lowest transport cost factory and analyzed how...
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FoodCo’s Small Format Stores (SFS) has a complex distribution network characterized by geographically dispersed stores, low sales velocity, a strong bullwhip effect and distributor premiums not proportionate to the costs. To address the problems in small format distribution, we recommend collaboration & information sharing across the supply chain, and consolidation...
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This paper is a normative work aimed at identifying locations in Russia with high, medium and unclear potential for logistics cluster development. As a framework, this work uses four different models of logistics clusters: Major Seaport, Auxiliary Seaport, Major Inland and Auxiliary Inland logistics clusters. Conclusions are based on analysis...
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Environmental sustainability has witnessed a remarkable growth in popularity over the past decades. Companies are investing significant amounts of money into green initiatives to reduce their environmental impact. This project identifies sustainability priorities of customers within the business-to-business (B2B) segment of RetailCo, a popular consumer packaged goods (CPG) company. By...
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The supply chain for oilseeds is permeated with uncertainty. This work is based on a company that is expanding its business into Mato Grosso, a region where on top of all regular uncertainties, rapid growth and a number of developments may alter the landscape for business significantly. The company is...
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This research explores supply chain network considerations for the e-commerce business of Ralph Lauren in Canada. The company’s strategic objective of elevating the brand is at the core of our research while recommending possible supply chain network considerations. This leads to recommendations on how to build a successful website for...
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This project explores the benefits of retail data sharing in a high-velocity fresh produce supply chain. Produce shrinkage due to spoilage is a major source of waste in the fresh produce retail industry. Our primary objective was to identify the impact data sharing could have on the issue. We found...
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Using the case of recycling in Bandung, Indonesia, this research aims to identify effective ways to use public policy to evaluate and enhance informal supply chains. I examine the current dynamics of the recycling middlemen industry and propose a framework for evaluating informal supply chains from a public policy perspective....