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Identify strategies for managing associated risk.
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Brief :You are a recently appointed Supply Chain Manager at a global consumer electronics company, Green Buz, which is known for its excellent quality and sustainability commitment. The company is developing a strategy to move distribution channels to serve the growing eCommerce market. Traditionally, Green Buz has sold to large distributors and has used a combination of customer collection and delivery to a large customer warehouse. Currently, Green Buz has one rigid body truck with outsourced maintenance and 1 driver, and a stores person who acts as a relief driver. Green Buz feel that it is time to offer direct shipping to customers in the UK and EU. The Marketing department has been working hard and is ready to launch a campaign. They are keen to get sales and distribution figures weekly. Marketing has designed packaging in conjunction with the supply chain department, supply chain and operations are working on stocks to be ready for the promotions. Finance has approved a budget and wants monthly updates on operations. Management would like to begin offering this service in 2 months’ time. As part of this strategy, you have been asked to look into a strategic Third-Party Logistics (3PL) partner. Your brief is to write a report to the board advising them on the following aspects. You and your SCM team must work together to cover all aspects of this new venture and then consider the elements as a whole SCM strategy.
Write about the Risk element: Outline a Supply Chain Risk assessment for this project. Identify strategies for managing associated risk. Recommend elements of Control Tower that could be useful.