Innovative Distribution - Team #7 Presentation.pptx -...

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Innovative Distribution Team 7 Emily Galvez Bao Hoang Mehak Sherwani Huy Tran
Agenda 1. Case Background 2. Supplier Profile 3. Cost Analysis 4. Risk Assessment 5. Recommendations 6. Questions
Case Background: Market Conditions IDC plans to introduce a new product: Schachtel Schmuggel Bannware Currently there are only 2 suppliers IDC can source from: CousinsAg - Wahoo, Nebraska Dong Hai Supply- Chengdu, China Maritime logistics challenges: Rising piracy incidents Insurance premiums increased tenfold in 2009
Supplier Profile: CousinsAg Domestic Supplier Location: Wahoo, Nebraska Average labor rate : $25.30/ hour Sales price : $85 / unit Processing time : 10 days Shipping terms : FOB Origin Prepaid, Rail Shipping time : 3.8 - 6 days Important details : CousinsAg has a union workforce.
Supplier Profile: Dong Hai Supply Location: Chengdu, Sichuan, China Average labor rate : $1.52 / hour or 10.36 ¥ Sales price : $80.11 / unit or 547 ¥ Processing time : 15 days Shipping terms : EXW Chengdu to Port Shanghai, Rail FCA Long Beach FOB Origin Prepaid, Rail to AFW Shipping time : 39 - 46 days International Supplier
Cost Analysis

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