Question

Execu Clean is a 3-month-old start-up enterprise newly established in your area. The company provides dry cleaning, laundry and garment alteration services, with a regular door to door pick-up and delivery service. The company has a production facility as well as qualified drivers and vans. For the time being the production facility is rented and cleaning equipment is leased.

Objectives:

In providing dry cleaning, laundry and garment alteration services the company aims to:

• Establish a sustainable business by the end of the first year of operation
• Have first-year total sales in excess of R 300 000
• Producing net profits

Mission and Vision:

Services are offered with free pick-up and delivery. High quality and convenience will save time and effort for the companies and working customers that we serve.

Keys to Success:

The business is in the first year of operation, therefore, a comprehensive marketing strategy will be the key to success of the business

It is important to remember that the customers want high-quality services, they will only use this service if they are entirely satisfied

Hours of operation must be convenient, and services must be provided timely.

Services:

Execu Clean provides services to both industrial and private customers. Customers can sign contracts with Execu Clean to get on-going and scheduled services. Orders are also taken over the phone and via e-mail. The production or operations facility is used for the installation of machines and equipment, washing and cleaning activities, storage of not yet cleaned and cleaned garments, as well as a workplace for garment alterations.

Personnel:

The owner is the director of the business and working part-time. You were employed as the general manager because of your extensive knowledge and experience in the field of business management. The company also has a laundry expert who is in charge of the operation and quality of garment cleaning and a logistics manager in charge of distribution. Two shop workers report to the laundry expert and two drivers report to the logistics manager. The laundry expert and logistics manager reports to you and you report to the owner of the business. A part-time laundry worker and driver are also employed to help out in busy seasons and in case one of the other workers get sick or have other matters to attend to.

Answer the following questions based on the case study:

To succeed in business, any organisation must have customers. Any organisation is, therefore, part of at least one supply chain. As the manager of Execu Clean, you are required to develop a possible supply chain for the business.

1. Discuss the most important elements to consider when developing a supply chain.

2. Give an in-depth discussion on how Execu Clean’s Inventory Management will affect their supply chain.

3. Give a detailed description of Execu Clean’s supply chain.

Answer 1

Supply chain management can be defined as management of the flow of services , goods,or information that could possibly come into and leave out of an organization com from the conception of goods and services through distribution to end users.

The four important Elements of supply chain can be as follows

1. Integration:

Intergration can be called as the most important element of the supply chain management as coordinating communications between the rest of the supply chain to produce effective and timely results is important . Instead of operating as individual functions it is vital for all functions of supply chain to be integrated as one.

2. Operations

Day to day monitoring of the process enables the better working of an organization. It helps the management ensure the smooth running of any process that is happening within the organization.

This element of the supply chain enables the management to look into the day to day process enabling the management to have an idea of the out put requirement and forecast the fuure needs.

3. Purchasing

Purchasing is ensuring the organization is well equipped with resources and raw materials required for the fulfilment of customer needs .

This elements ensures a better relationship between the organization and its suppliers.

4. Distribution

The final element of supply chain is distribution which involves the distribution of googds to the customers