Contract design and management are critical for Fast-Moving Consumer Goods (FMCG) companies. Well-designed contracts promote a value-driven relationship between the buyer and the supplier. Under the governance of such contracts, the service provider will proactively lead continuous improvement efforts in the direction that best aligns with the goals of the...
Market Share in the pharmaceutical industry has been dominated by manufacturers that develop the most effective Go-To-Market Strategy. New promises in Cell & Gene Therapy and Personalized Healthcare Products open a wealth of opportunities for new market share in the Asian Pacific region, if manufacturers that can position their supply...
With the rise of online retailers, people are buying products online more than ever. This has intensified the competition in the e-commerce market. Online retailers are focussing on improved efficiencies in the way they deliver the products with exceptional customer service. Over the past decade, the online retailing industry has...
With the rapid growth of the e-commerce and the increasing awareness of environmental protection, retailers are facing new challenges to make product delivery fast and green while maintaining their profit margin. A balance between service level and cost to serve is required on both strategic and operational level. Transactional transportation...
DDMRP, a supply chain methodology introduced in 2011, aligns planning activities around incoming demand signals without the use of forecasts to predict future demand. The Demand Driven Institute (DDI) claims that DDMRP can reduce median inventory le vels by 31%, improve median service levels by 13%, and reduce the order...
With demand outpacing production capacity, increased variability in supply lead times and customers' conflicting requests to escalate orders, there is a demand prioritization debacle. This Water Technology Company is faced with inefficiently and manually prioritizing individual orders. To ensure the appropriate demand is fulfilled first, the Water Technology Company is...
There has been a significant increase of interest in supply chain resiliency since the onset of COVID-19 as multiple supply chain disruptions have affected companies across the globe. By increasing resiliency, companies aim to increase their ability to adapt to changes occurring throughout their supply chain network. The 3PL company...
Order fill rate is a critical performance metric in retail supply chain operations. Retailers use it to ensure deliveries received from their suppliers are in full quantities as per order. The retailers levy fines on suppliers that fail to comply with the metric. C.H. Robinson has a division that provides...
The tender acceptance rate significantly decreased between 2019 and 2021 for our capstone sponsor, Aqua Deal, a bottled beverage manufacturer. This poor primary carrier performance led to increased use of the spot market, higher transportation costs, and lower carrier service levels for Aqua Deal. In addition, during the COVID-19 pandemic...
As the fuel economy of vehicles increases, both costs and carbon emissions can be reduced. However, understanding what drives the fuel economy of semi-trucks is a challenging feat due to the number of variables involved. This capstone analyzed 21 variables related to the efficiency of semi-trucks to determine how they...
Large Food and Beverage retail chains often manage diverse sets of products and markets, where one- size-fits-all supply chain operating models are insufficient to meet their distinct requirements. In collaboration with a global retailer, the main objective of this study is to identify distinguishable supply chain segments based on product...
Avetta, a supply chain risk management & compliance firm, is introducing a new ESG (Environmental, Social, & Governance) offering to better support clients on their sustainability journeys, as they look to increase transparency and ensure compliance across the supply chain. In support of this new program, Avetta requires an understanding...
Plastic waste has been a growing source of environmental concern, and the CPG industry is the largest consumer of plastic while also having the highest plastic consumption to waste ratio. Consequently, under greater levels of public scrutiny, many CPG firms have publicly committed to source fractions of their plastic consumption...
Maintaining high on-time delivery performance is critical for third-party logistics providers. Not only does reliable on-time delivery function as a competitive edge and allow logistics providers to serve their customers more effectively, but it can also improve operational efficiency for the provider itself. Our sponsor company is a third-party logistics...
In every company, determining an optimal inventory level balances the desired service level with the costs of holding too much inventory. For the medical device industry, the stakes are high as risks in the supply chain of devices used by hospitals and operating rooms can have a devastating impact. In...
Globalization, demand uncertainty, and shorter life cycles have increased the risks in pharmaceutical supply chains. To mitigate these risks, firms can carry safety stock. Classic theory on stochastic safety stock strategies assume that demand forecast errors are normally distributed with no bias or, in other words, have an expected value...
Today, small retailers in Latin America account for 70% of the market share. Convenience stores play a crucial role, as people look for more convenience with modern lifestyles. Most of these stores are managed by people without experience or formal education in business management. A challenging problem for small retailers...
Millions of small and medium-sized enterprises (SMEs) fail every year in the United States, and in many instances the root cause of failure is more often due to operational inefficiencies than external factors. One way SMEs can overcome operational inefficiencies is by implementing inventory management strategies, such as modularization and...
Shippers utilize routing guides to tender shipments to carriers at contracted rates. They also tender loads on the spot market, where they compete with other shippers for carrier capacity and market pricing. Although previous studies have looked at routing guides and shipper procurement practices, none have explored the resiliency of...
The automotive industry is an exemplary leader in the use of returnable cases for the transportation of inbound freight. Their use reduces the need of expensive and expendable packing and contributes to lower greenhouse gas emissions. However, the utilization of returnable cases is hindered when there is high variability in...
In the United States, long-haul trucking is the main mode of transportation of goods. The trucking industry has been facing a shortage of drivers in the past few years and it is only increasing every year. Previous studies have found that multiple reasons are contributing to the driver shortage. These...
The pharmaceutical industry relies on cold chain supply infrastructure to preserve the integrity of temperature-sensitive products. Specifically, passive controlled temperature solutions present an increased challenge as the inherent uncertainty of ambient temperatures and process lead time variations in the delivery dramatically increase the risk of inactivating the product. Despite the...
Ocean freight represents more than 70% of the global trade by volume. Given the price increases in transportation rates, companies are more interested in driving efficiencies and cost optimizations through supply chain synchronization. In this document, synchronization refers to the optimal coordination of transportation costs, inventory, and service level, while...
According to an OECD report, micro and small enterprises (MSEs) constitute 99.5% of all firms in Latin America and employ approximately 60% of the LATAM population. However, despite their economic and social importance, MSEs are subject to high failure rates, primarily stemming from low productivity, lack of managerial skills and...
As more and more multinational companies are exploring low-cost countries to purchase commodities from, it has become critical for companies to calculate the total landed cost before making a purchasing decision. This capstone project establishes a model for the sourcing team of GE Gas Power to capture costs such as...
