Firm Profile

Being introduced in the market coming from 1958 in Hanoi, the item Trang Ton ice cream, owned by Trang Tien Ice Cream Joint Stock Company, offers earned a hefty reputation and be a well-known merchandise in the confectionery industry through the entire country. Trang Tien Goodies JSC (Trang Tien, intended for short) has brought the Vietnamese Products Loved by Consumers honor in 2011 (ongmienui. com and. d. ) and Thang Long Fantastic Brand prize (kemtrangtien35. com n. g. ), inturn to their over-fifty-year determined effort to get the best quality products to buyers. Behind its success, how does Trang Tien make value due to its products through logistics actions in to get business working? In giving an answer to to this query, three cases are selected and will be examined clearly beneath.

* Merging manufacturing and distributing crops

By having very own stores in Hanoi where ice cream can be manufactured and sold directly to end consumers, Trang Ton is able to reduce warehousing cost as well as vehicles cost, two relatively high costs in logistics (Adapted coming from: Council of Supply Cycle Management Pros 2007). Trang Tien may literally replace their stock anytime without lead-time or perhaps order location, which added greatly to maximized decrease of stock-out cost.

2. Packaging Design and style

Purchasing and instant consuming is the classic way of Trang Tien's customer care. However , knowing the need of takeaway purchase from buyers, Trang Tien introduced manufactured ice cream in 2008 (kemtrangtien35. com n. d. ) and opened up various small retailers in Hanoi to get larger division. This practice helps put more value to products with regards to design, maintenance and controlling process and creating new level of product differentiation (Coyle et 's 2009).

5. Cooperating with third party strategies company

In 2009, with enormous success in Hanoi, Trang Tien chose to reach for consumers in The southern area of Vietnam together with the packaged ice cream products. The company established romance with VNT Co., Limited to distribute its goods through VNT's distribution system in Ho Chi Minh City (Vinacorp 2009).

Concerns and Approaches

As a business running, logistics problems are absolutely inevitable. These kinds of problems pretty much do affect the logistics and supply chain approach to the company; some of the problems will be discussed with this report along with likely solutions in eliminating them.

1 . Product Seasonality

It is obvious that ice cream can be strictly a seasonal merchandise for its preferred temperature the moment consuming (Harrison 1998); consequently , Trang Tien's sales earnings varies in several time periods during a 12 months. This positions a challenge to get the company to estimate the best amount of inputs and outputs for every season to prevent both stock out and over stock. In looking at this, the company must look into applying a logistics approach specialized in require management. In cases like this, I would suggest CPFR (Collaborative Planning, Forecasting and Replenishment) to be examined and set into actions. CPFR is actually about the collaboration among partners in a supply cycle jointly organizing business activities and forecasts for synchronized operation (Larsen et approach 2003, s. 532). By simply two-way information sharing among partners, CPFR can help handle demand and order forecasts and better them to the most. Tradeoffs in implementing CPFR are because follow: Advantages| Disadvantages

* Boost business relationship (1): to assist upcoming business ideas between users * Increase customer service (2). | 5. Trust-based romance (3): difficulty in finding trustworthy partner to share sensitive information. * Investment requirement (4). | 1 ) Boone & Ganeshan 2002

2 . JD. Edwards and Company 2003

3. Fliedner 2003

4. Småros & Främling 2001

In respect to Blanchard 2007, Unilever was one of the initial companies to use CPFR; as a result, the company attained various accomplishments...


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