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  • Q1: The procurement process at JLSB is divided into two areas, which are supported by different system and application as follow I. The direct material purchase is using a customized manufacturing system to manage the purchase of raw materials and parts. II. The indirect material purchase is using a manual system to manage the buying of office supplies, equipment, and other materials that support the company's internal operations.In managing the increase in operation cost, JLSB has decided to consolidate the procurement system and application under ONE (1) comprehensive ERP system. The information of the cost between the existing system and the consolidated system is attached as follows Based on figure 1 and figure 2, i) measure the saving of the consolidation in thepurchasing system, ii) Using stack column chart as a reference, explain thedifference in cost before and after the implementation of the system consolidation. Discuss FIVE (5) main success factors of cost reduction in implementation ofsystem consolidation in JLSB. See Answer
  • Q2: During a recent negotiation meeting, the supplier has offered a price and payment terms that are on offer 'today only' and JLSB can take or leave this deal. The JLSB procurement team has explained to the supplier that more discussion is required because the offered price is above the company's budget and the payment terms are shorter than the JLSB's standard terms. The supplier listens selectively and then repeats his ultimatum. JLSB procurement team was under pressure on the situation to report the negotiation result to the management. (a)Using the scenario outlined above determine THREE (3) different types of questions that the JLSB procurement team can use to convince the supplier to continue the discussion. (b)Discuss TWO (2) ways the JLSB procurement team can use to answer to management in case that the supplier is still insisting not to review the offer.See Answer
  • Q3: Question 3JLSB is currently serves three key accounts customers around Johor, and maintains consignment inventory (owned by JLSB) at each location. Currently, JLSB uses Truck Load(TL) transportation to deliver separately to each customer. Each truck costs $800 plus $250 per stop. Thus, delivering to each customer separately costs $1,050 per truck. JLSB is considering aggregating deliveries to customer in Johor on a single truck. Demand at th earge customer is 600 tons a year, demand at the medium customer is 240 tons per year,and demand at the small customer is 80 tons per year. Product cost for JLSB is $10,000 person, and it uses a holding cost of 25 percent. Truck capacity is 40 tons. Based on the information given, determine the following (a)The annual transportation and holding cost if JLSB ships a full truckload each time a customer is running out of stock and days of inventory agreed for each customer under this policy. (b)The optimal annual transportation and holding cost if JLSB ships separately to each of them and days of inventory agreed for each customer under this policy. (c)The optimal annual transportation and holding cost if JLSB aggregates shipmentsto each of the three customers on every truck that goes for delivery, and days ofinventory agreed for each customer under this policy. (d)The tailored aggregation that offering lower costs and inventories than the policies in (b) or (c).See Answer
  • Q4: Ms. Izyan Afrina is the managing director of Johor Logistics Sdn Bhd (JLSB), a third-party logistics provider that provides logistics service that includes transportation, warehousing, shipping brokerage, and logistics solution within the southern region of peninsular Malaysia. The company was founded almost 20 years ago by Ms. Izyan's father. Ms.Izya's brother, Mr. Ilman also join her as an HR director to lead the people management & Team culture (PMTC) unit. The huge JLSB warehouse is based at Pasir Gudang still uses a stock management system based largely on manual processes. Component stock levels are managed based on a simple reorder level for each category, monitored by regular inspections in the warehouse. When a stock fall below the reorders level, it will trigger a purchase process. The following actions are then carried out by a JLSB procurement team: Often this process can take a week or longer if the order is placed with a single supplier. As a result of the long lead times from trigger to delivery, the stock levels have to be correspondingly large to compensate. However, this is not regarded as a significant problem. Components are mainly sourced from a small number of suppliers with which JLSB has been doing business for many years. The usual procurement policy is to buy in bulk to secure maximum discounts, even though some items are only used small quantities. The suppliers prefer to deal with large orders as the transportation methods are simplified and less expensive. A team of nine procurement staff performs the standard accounting tasks of matching GRNS (Goods Received Notes)with POS (Purchase Orders) and then with supplier invoices. About 80% of their time is spent trying to find out why 20% of the set of three documents do not match. Relations between JLSB and its suppliers were generally cordial,even though invoice payments were often made much later than the commercial terms set out in the contract. As result, many suppliers are not motivated to prioritize the JLSB orders, and deliveries were more often late than on time.Any complaints from JLSB purchasing staff were rebuffed by suppliers accustomed to late payments. a)Based on the case study, determine the roles and responsibilities of the functions involved in the JLSBprocurement process. (b)Discuss TWO (2) implications of role and responsibilities in answer (a) to the procurement function at JLSB.See Answer
  • Q5:Ch.71 Question related to application of terms/concepts: What are the limitations and assumptions of queuing theory formulas and what managers control and can change/influence related to waiting lines and wait times.See Answer
  • Q6:Ch. 8 1 question related to terms/concepts: MPS vs. MRP goals and objectives and why MRP is important to service firms and why MPS (labor scheduling in a service setting) is important to service firms.See Answer
  • Q7:Ch. 9 1 question related to terms/concepts: Inventory Costs types and components in each type of inventory cost type: Q System vs. P System appearance in a graph, benefits/limitations. If I give you an example of a particular item in inventory in a warehouse, know how to estimate its costs (like example in classroom lecture) and whether to use a Q or P system for it.See Answer

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