Luận văn thạc sĩ về cải thiện hiệu suất giao hàng trễ tại công ty Rochdale Spears Ltd - Phạm Thị ...

Cải thiện hiệu suất giao hàng trễ tại Rochdale Spears Ltd giúp nâng cao chất lượng dịch vụ và tăng sự hài lòng của khách hàng hiệu quả.

Người đăng

Ẩn danh

Thể loại

thesis

2018

55
1
0

Phí lưu trữ

30 Point

Mục lục chi tiết

Executive summary

1. Central problems validations

2. Potential cause of problem and the justification

2.1. Lack of cross-functional knowledge

2.2. Company’s service innovation strategy

3. ALTERNATIVE SOLUTIONS AND ACTION PLANS

3.1. Estimate an accurate and unified delivery date using a systematic procedure

3.2. Facilitate communication as the primary condition

3.3. Focus on processes rather than on functional units

3.4. Closer coordination with suppliers

4. Implementation of the proposed improvement solutions

5. Results of implementation of the above solutions

Appendix A: In depth interview information

Trích đoạn nội dung tài liệu

UNIVERSITY OF ECONOMICS HO CHI MINH CITY International School of Business ---------------------------- PHAM THI AI VAN IMPROVING LATE DELIVERY PERFORMANCE: A STUDY OF ROCHDALE SPEARS LTD, COMPANY MASTER OF BUSINESS ADMINISTRATION Ho Chi Minh City – 2018 1 TIEU LUAN MOI download : skknchat@gmail.com UNIVERSITY OF ECONOMICS HO CHI MINH CITY International School of Business ---------------------------- PHAM THI AI VAN IMPROVING LATE DELIVERY PERFORMANCE: A STUDY OF ROCHDALE SPEARS LTD, COMPANY MASTER OF BUSINESS ADMINISTRATION SUPERVISOR: TRAN HA MINH QUAN Ho Chi Minh City - 2018 2 TIEU LUAN MOI download : skknchat@gmail.com Executive summary In today‘s scenario, delivering product to the customers at the shortest possible time is a challenge for all the manufacturing industries. In typical manufacturing organizations, functional units have their own goals. As there is no single functional unit responsible for on-time delivery, in traditional organizations on-time delivery has received minimal attention. An important feature of the conventional wisdom of make to order (MTO) manufacturing has been that if a plant‘s management wishes to achieve good delivery performance they need to quote a long lead time. The long lead times give them the ability to plan production effectively and achieve high levels of delivery performance. However, it has been reported that the reverse situation occurs, namely manufacturing plants quoting short customer lead times were, in fact, achieving much better delivery performance than those plants that quoted long lead times (Szwejczewski et al. Although this topic has received considerable attention in the literature, most of the articles are restricted by their limited approach concerned primarily with the effect of various delivery date assignment methods. Manufacturing is an integrated system covering everything from order receipt through to the product shipment (Hitomi 1991). It covers a wide range of activities in many functional areas including planning and design, purchasing, production, inventory, distribution, marketing and sales. On- time delivery or lead time cannot be dealt with in isolation. In order to make any realistic and sustained improvement in (on time delivery) OTD performance, the whole manufacturing planning, control and execution cycle and associated systems have to be taken into consideration. Realising the importance of such an approach, this study proposes a model to improve on-time delivery performance through business process model integrating two common processes involved in manufacturing planning, control and execution cycle for MTO situations and a database for supporting various functional applications through basic and transaction data. The proposed model was implemented through Rochdale Spears Ltd, company. 3 TIEU LUAN MOI download : skknchat@gmail.com The rest of the paper is organised as follows. First, a review of the company background as well as current problems that company is facing. Next, the proposed improvement solutions are presented, followed by a section on a systematic investigation of the on time delivery problems and implementation of the solutions to overcome the problems in Rochdale Spears company. Finally, research findings and conclusions are drawn. 4 TIEU LUAN MOI download : skknchat@gmail.com Acknowledgements I would especially like to show my gratefulness and special thanks to my supervisor – Dr. Tran Ha Minh Quan for all his continuous supports, advices and instructions through the process of researching and writing this thesis. Without his enthusiastic help, this thesis could not have been accomplished. I also would like to show my gratitude to ISB lecturers, my colleagues at work, my classmates at ISB for their valuable knowledge and continuous support. I also send my sincere thankfulness to my family for their support and encouragement throughout my years of study. 5 TIEU LUAN MOI download : skknchat@gmail.com TABLE OF CONTENTS Executive summary . 11 Central problems validations .4 Potential cause of problem and the justification .1 Lack of cross-functional knowledge . Company’s service innovation strategy . ALTERNERTIVE SOLUTIONS AND ACTION PLANS .1 Estimate an accurate and unified delivery date using a systematic procedure .2 Facilitate communication as the primary condition .3 Focus on processes rather than on functional units .4 Closer coordination with suppliers .3 Implementation of the proposed improvement solutions .5 Results of implementation of the above solutions . 35 Appendix A: In depth interview information . 53 6 TIEU LUAN MOI download : skknchat@gmail.com LIST OF TABLE Table 1. Company sale report 2016-2018 ……………………………………….08 Table 2: Shipping performance 2017………………………………………….09 Table 3: RH team lead time report ……………………………………………….10 Table 4: Key accounts team lead time report……………………………………10 Table 5: Key accounts - sale report………………………………………………11 Table 6: Weekly performance report -2018………………………………….33 Table 7: Weekly average lead time report 2018 …………………………….34 LIST OF TABLE Figure 1: Process of an order --------------------------------------------------------16 Figure 2: Problem validation --------------------------------------------------------21 Figure 3: Initial cause effect map ---------------------------------------------------23 Figure 4: Final cause and effect map -----------------------------------------------27 7 TIEU LUAN MOI download : skknchat@gmail.1 Company background Was founded in 2003 by entrepreneur Geoff Hawkes, Rochdale Spears is a very successful group of companies which design, manufacture, and distribute designer home furnishings and decorative accessories through high-end distributors and retailers in USA and our new internet platform for international distribution, Resource Decor. The Group continues to grow rapidly with almost 4,000 employees in Vietnam across 5 manufacturing plants, headquarters in Hong Kong and offices in the US. The success of the business has led to established, long-term relationships with Century Furniture, Lillian August, and Restoration Hardware, Morden History, Anthropology, and others customer which brings a huge of orders for the company. With a reputation for exceptional quality and exquisite craftsmanship, Rochdale Spears Company has become a proud leader in exceptional design, innovative product development and world-class manufacturing in the luxury furniture market. Company sale report 2016-2018 Total value/account/year 2018 Account/year 2016 2017 (forecast) RH $ 56,849,682 $ 67,336,479 $ 78,609,705 Major accounts $ 4,629,986 $ 11,213,378 $ 19,216,946 Key accounts $ 21,368,477 $ 17,487,474 $ 16,413,191 Total $ 82,848,144 $ 96,037,330 $ 114,239,842 (Source:RSC) Company mission Rochdale Spears Company is an internationally focused, business-to-business enterprise, serving some of the biggest names in the luxury furniture market. The company is proud leader in exceptional design, innovative product development and world-class manufacturing. 8 TIEU LUAN MOI download : skknchat@gmail.com RSC is proud to uphold a positive culture and safe working environment for our team, allowing them to perform at their highest ability, and provide outstanding service to our customers. As custodians of the planet, the company remain committed to reducing our impact on the environment, supporting local communities, sourcing the highest quality natural materials and adopting sustainable principles where possible.2 Problem symptoms To find out what are the current problems that our company is facing, the writer had carried out in-depth interview with some of managers as well as staffs in the company. Most of people realized that although the business of the company is increased in total amount as we are widening the new factory at the other Plan, however, we have lost much of orders from some of initial important customers due to our service was not really good, especially that the shipping performance showing high rate of late shipment while the percentage for on-time shipment is occupied a small number, it‘s a poor performance. Table 2: Shipping performance 2017 Shipping performance (2017) 45.0% Resto Major Accounts Key accounts Late 45.0% Late Ontime Early (Source: sale team-RSC) According to the Shipping performance report from Sale department in 2017, generally, it is showing clearly that the company have a poor delivery performance. Major account occupied the highest rate of late shipment with approximately 51%, following is RH with around 46% and the last one is Key accounts with 42%. However, Key account had the lowest rate of shipment shipped on-time with only 16% for the on-time POs and 42% was for the early shipment. Major accounts and RH 9 TIEU LUAN MOI download : skknchat@gmail.com were following with 16.6% of on-time shipment, 32.7% of early shipment respectively. This result significantly impacted to the company performance to customers as well as causing a huge of increasing cost for the company. RH, the biggest customer of the company has intended to move their business to the other factory as our performance is going down recently. Most of the shipments are not met what customer requested as well as what we confirmed. Production lead time is 118 days in average for mass production while our committed lead time is 90 days for the repeated orders and 120 days for the newness ones. The below table is taken from our weekly report by RH sale team: Table 3: RH team lead time report Lead time Days Running average 118 Average 12 weeks 116 Average 4 weeks 114 (Source:RSC) In the same situation with RH, LA, MH which are our key accounts but their orders are falling down recently as we did not serve they well, general production lead time is more than 120 days, it is much more than our committed lead time. The customer is not willing to wait for nearly a haft of year (147 days) for a product. Table 4: Key accounts team lead time report Lead time Days Running average 147 Average 12 weeks 145 Average 4 weeks 143 (Source:RSC) 10 TIEU LUAN MOI download : skknchat@gmail.com Table 5: Key accounts - sale report LA, MH sale report 2018 $1,000,997 $279,031 2017 $1,209,527 $404,237 2016 $1,750,588 $1,336,742 2016 2017 2018 Modern History $1,750,588 $1,209,527 $1,000,997 Lillian August $1,336,742 $404,237 $279,031 (Source:RSC) 1.3 Problem identification It is important to figure out the reasons for high rate of late shipment at Rochdale Spears and its consequences. After examining many relevant literatures on shipping late in manufacturing the potential antecedents that are believed to provide the most understanding are: production capacity, production control, productivity, procurement, process robustness, product delivery responsibilities, material inventory, sub- contracting job, accident happens, sourcing of raw material, inferior quality in sourced goods, product development and sampling… In addition, the in-depth interview sessions are conducted from 3 main groups: sale team, production team and purchasing team who are working and involving directly to the production process. From each department we will find out the main reasons causing for this delaying. At the beginning we can easily seeing the 3 main outstanding reasons causing for late of delivery on the company are: Lately delivery of material, delay from subcontractors and production controlling. Those are the reason that we initially getting from the interviewing, most of people realized that the company having high proportion of late delivery, and the outstanding reasons that everyone can see that are: Lately delivery of material, delay from subcontractors and production controlling. Delay delivery of raw material from suppliers 11 TIEU LUAN MOI download : skknchat@gmail.com Normally, material controller will discuss directly with suppliers after receiving new sale orders from sale team then informing lead time for factory planner. After that, production lead time will be added with material lead time to have the confirmed ship date, that is what sale team will base on to confirm with client and setting up the agreed ship date. Suppliers sometimes fail to send material on time due to many uncertainties. In that case, shipping schedule cannot be kept as original confirmation. ―ABC manufacturing, one of our suppliers, delivered late, and that‘s why our products is shipping late‖ The problem with the scenario outlined above is that if the order is shipping late that most of the manufactures respond to their customers. Rochdale Spears also got that case and we have to do so like the others have been doing. Chau – Finishing manager in Rochdale Spears stated that: Material is what affected to our production planning mostly, as finishing is the last step before packing, without hardware such as shelf pins, levellers, handles…we cannot complete the product and pack it. When any PO being stuck due to material, we have to pull up the other ones to keep production continuing. Material is what out of our control, that why there are the earlier shipments and late shipments. According to the report from sale team, number of orders shipped late due to material is occupied 31%, while the number for delayed orders from subcontractors is 19.

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