Question Details

(Solved) Supply Chain Global Sourcing problem need help with. Require


Supply Chain Global Sourcing problem need help with.  Require knowledge and use of Simflex software.  Any help will be greatly appreciated.


Global Sourcing ?Supply Chain Management

 

This problem needs to use the following software to solve

 

URL:

 


 

www.simflexgroup.com

 


 

Username:

 


 

EXTOM54024

 


 

Password:

 


 

dilet50

 


 

Please go to the site and create the model using the software.

 


 

Background

 

Customer ABC is evaluating various supply chain strategies for their next generation server product for

 

the US Market. Their current manufacturing location is based in Columbus, Ohio. The Columbus facility

 

makes all the components and final configuration/assembly of the server. The end customer points are

 

the top 4 locations (states) in the US by Population. The annual volume of demand for this server

 

product in the US is estimated to be 50K units. The product flows directly from Columbus to the end

 

customer locations. The mode of transport in general is FTL with 5% of the product shipments expedited

 

via Air.

 

BOM Structure

 

The BOM of the server product is composed of the following components:

 

2 PCBA's

 

Power Supply Unit

 

Chassis

 

Backplane

 

Fan Tray

 


 

Alternative Scenarios

 

The customer has expressed interest in setting up an alternative manufacturing facility either in

 

Guadalajara, Mexico or Zhuhai China. With the proposed Guadalajara solution, the split in

 

regular/expedited shipments will be the same as in the case of shipments from the Columbus facility to

 

US customers. With the proposed Zhuhai solution, there is to be a DC located in Fontana, California

 

where product is warehoused before being shipped to final end customer locations. The amount of

 

inventory held in the Fontana DC facility is 21 DOI to cover for transit time of shipments from China. It is

 


 

estimated that 10% of shipments from China will need to be expedited and 10% of shipments out of the

 

Fontana DC are expedited as well. All manufacturing facilities are to hold 2 weeks? worth of components

 

in inventory. No FG inventory is held in any of the locations apart from the DC in Fontana.

 


 

Input Data

 

Product Properties

 

Product

 


 

Inventory Value (USD)

 


 

Weight (lbs)

 


 

Items Per Pallet

 


 

Server

 


 

12,000

 


 

153

 


 

4

 


 

Chassis

 


 

750

 


 

100

 


 

8

 


 

PCBA

 


 

4,000

 


 

5

 


 

120

 


 

Backplane

 


 

800

 


 

25

 


 

20

 


 

PSU

 


 

200

 


 

8

 


 

80

 


 

Fan Tray

 


 

250

 


 

10

 


 

48

 


 

Material & Value Added Costs

 

Facility

 


 

Product

 


 

Columbus

 


 

Server

 


 

Zhuhai

 


 

Material Costs (USD)

 


 

Value Added Costs (USD)

 

325.00

 


 

Chassis

 


 

575.00

 


 

150.00

 


 

PCBA

 


 

3,600.00

 


 

1,100.00

 


 

Backplane

 


 

648.00

 


 

152.00

 


 

PSU

 


 

164.00

 


 

36.00

 


 

Fan Tray

 


 

200.00

 


 

50.00

 


 

Server

 


 

225.00

 


 

Chassis

 


 

575.00

 


 

110.00

 


 

PCBA

 


 

3,500.00

 


 

850.00

 


 

Backplane

 


 

600.00

 


 

100.00

 


 

Guadalajara

 


 

PSU

 


 

160.00

 


 

25.00

 


 

Fan Tray

 


 

200.00

 


 

40.00

 


 

Server

 


 

250.00

 


 

Chassis

 


 

560.00

 


 

120.00

 


 

PCBA

 


 

3,600.00

 


 

900.00

 


 

Backplane

 


 

650.00

 


 

120.00

 


 

PSU

 


 

160.00

 


 

30.00

 


 

Fan Tray

 


 

200.00

 


 

45.00

 


 

Columbus

 


 

Zhuhai

 


 

Guadalajara

 


 

Fontana DC

 


 

1,200,000

 


 

1,080,000

 


 

1,134,000

 


 

200,000

 


 

Fixed Costs of Sites

 


 

Fixed Costs (USD)

 


 

Warehousing Costs

 

Fontana DC

 


 

Warehousing costs (USD)

 


 

Dispatching Storage Unit

 


 

2.00

 


 

Monthly Cost per Storage Unit

 


 

2.00

 


 

Reception of Storage Unit

 


 

1.50

 


 

Important: Please Use the SimFlex Lite tool to evaluate the trade-offs among the proposed supply

 

chains. Where would you locate the manufacturing facility?Columbus, Guadalajara, or Zhuhai?

 

Provide a brief report with supporting tables to justify your choice.

 


 

 


Solution details:

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DATE ANSWERED

Oct 15, 2019

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