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OPRE6366 Exam2(last test)? -Identify 4 of 6 design options for a distribution networkManufacturer storage with direct shipping (drop shipping).Manufacturer storage with direct shipping and in-transit merge.Distributor storage with carrier delivery.Distributor storage with last-mile delivery.Manufacturer/Distributor storage with customer pick-up.Retail storage with customer pick-up.(5)Network Design in the SC-Positive externalitiesThe collocation of firms benefits allLeads to competitors locatingclose to each otherLocating to split the market(Hoteling decision model)If no positive externalities exist,firms locate to capture largest market shareFramework for Network Design DecisionsPhase I:-Define a Supply Chain Strategy/Design-Clearly defined competitive strategy-Forecast likely evolution of global competition-Identify constraints-Determine growth strategyPhase II:-Define the Regional Facility Configuration-Forecast demand by country or region; Economies of scale or scope-Identify demand risk, exchange-rate risk, political risk, tariffs, etc. -Identify competitorsPhase III:-Select a Set of-Desirable Potential Sites-Hard and soft infrastructure requirementsPhase IV:-Location Choices
(6)Designing Global SC Networks-Impact of Globalization on SC Networks