Question

In: Operations Management

Research and define appropriate frameworks with accompanying screening and evaluation criteria for selecting sourcing solutions, manufacturing locations, and 3PL providers.

Research and define appropriate frameworks with accompanying screening and evaluation criteria for selecting sourcing solutions, manufacturing locations, and 3PL providers. Each framework with accompanying evaluation criteria should be one to two pages in length and include cost, profitability, operational constraints, and other factors like political, economic, labor, environmental, and sustainability considerations. Any insight into this task would be great help.

Solutions

Expert Solution

first task involves screening and evaluation of those factors which promotes cost effective manufacturing.

  1. sourcing- sourcing is particularly buying a component of a product from an outside supplier, often from those who are located outside our country or abroad. for this we need to have quotations from different suppliers of the component . after evaluation we can take our decisions by considering the all factors which effects sourcing e.g cost involved like transportation, custom duties and other taxes. our decision also depends upon making a sustainable relationship with our sourcing partner for long term business benefits.
  2. manufacturing location- location of different products depends upon there qualities. which depends upon other factors also
  • .environment and ecological issues- some plants are strictly prohibited in some areas due to the toxic waste material or gases they release.
  • local laws and regulations- as some areas are having tax redemption for some businesses for some years.
  • trade related custom issues with manufacturing with some countries like NAFTA and TPP.
  • distance- for transporting material and finished goods
  • availability of skilled workforce
  • business cost- local transport cost, dealing with unions and organized workforce, outdoor parking, lighting, roadway access to employees andsuppliers.
  • potential for expansion for sustainable development of business
  • water intensive site required or water deficient can also works well to be decides according to location.

3. logistics- logistics means handling the detail of an operation means procurement, handling, planning , execution of goods. 3PL is the way we hire a different service providing company who handles our logistic activities which works on contractual basis or according to the agreement we signed with that particular company. for this we consider a company which provide efficient services in cost effective way.

these are some insights which we can explain according to the criteria given. we can explain them further as required.


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