Supply Chain Analysis_HP DeskJet Case_Rohini Ramabhadrran_05-Feb-2020 (2).pptx

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Hewlett-Packard Company DeskJet Printer Supply Chain Case AnalysisPRESENTED BY : BRENT CARTIER
Key IssuesWeak Demand Forecasting systemCustomer Order Cycle TimeFill RateInventory turnoverInventory Carrying CostAnnual Sale Turnover and Gross Contribution MarginHigher Lead TimeTransportation Lead timeFreight Cost Per UnitSupply Chain Cycle TimeCash to Cash CycleHigher Holding Cost and Service LevelFill RateCash to Cash CycleInventory Holding Cost
AlternativesAir FreightChange in Forecasting SystemLocalize the printer in EuropeDo Nothing
Analysis of Alternatives
Alternatives #1 AnalysisAir FreightPros:Reduce the transportation lead timeSufficient product availability and customer satisfactionImprovement in net income by $35,086,534.64 as well as annual income.Out-of-stock risks are lowFaster reaction time to fluctuating and uncertain demandSCOR parameters are fulfilled in terms Reliability , Responsiveness ,Agility and CostCons:High implementation costChange management required Set-up cost required

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