MOD007698 Supply chain Management Sample
Scenario Analysis
Introduction
AbTech is a young corporation with its headquarters in the city of Boston in the United States. By reusing and recycling discarded electrical components, they were able to create a new generation of LCD touch screen glass that is far more thin than its predecessors. Jonathan Furness, the founder of AbTech and the current CEO of the firm, is a graduate of the Massachusetts Institute of Technology (MIT) and has won a number of accolades and honours for the pioneering research he has conducted.
Current situation
Jonathan has spent the last five years putting together a group of engineers, scientists, and researchers in preparation for his plan to scale up the manufacturing of the idea. This plan is to be implemented in the following year. During the calendar year 2018, Jonathan was successful in acquiring a $3 million investment from a US bank in exchange for a 25% ownership part in the company. Jonathan received this investment in exchange for a 25% ownership portion in the company.
Current capabilities within supply chain management
There is a potential that AbTech may grow into Mexico and Europe, two locations in which there are presently agreements with various eWaste firms located in the United States. Both of these regions are in the Western Hemisphere. Jonathan is concerned that the business may suffer if it tried rapid expansion without first developing a competent supply chain strategy and plan. This is because there is now no such thing in place. Many of the world’s largest original equipment manufacturers are starting to take note of the potential benefits that may result from recycling electronic trash into a product that can actually be used. These potential benefits include reducing environmental impact and creating new products that can be put to good use.
Opportunities with future growth of the company
The present strategy calls for the use of plastic containers to make it simple for delivery trucks to pull up, park, and unload their shipments of goods. The location of the building is favourable for the truck stop, which provides services to the whole of the industrial park. Due to the unpredictable nature of the occurrence and the vendors’ desire to lower their total cost of doing business, electronic garbage is often thrown off in the same industrial park as the vendors’ other deliveries and pickups. This is done in order to save the vendors money. It may be frustrating for truck drivers who are on a strict delivery schedule to be required to wait in a line of automobiles before they can transport eWate to their clients because of the sporadic manner with which it is delivered. According to what Jonathan has been informed, truck drivers are showing an increased reluctance to deliver e-waste to AbTech, and suppliers are requesting that AdTech deploy its own cars to collect the junk from a variety of locations situated inside the Boston area. Concerns of this kind are not unjustified since the business recently inked a deal with a firm based in the United States that would be responsible for transporting considerable quantities of electronic garbage.
Supply chain strategies
How the case study could establish a global supply chain
Due to the fact that the touch screen facility is located right across from the warehouse, access to one of the loading docks has been restricted. After ensuring that everything is operating well, AdTech will purchase the manufacturing assembly line, and after that, the touch screens will be sent to the end providers. On the other hand, it is not uncommon for there to be a lack of shipping and packing containers, which results in the screens being kept in storage where they gather dust.
The firm is regularly receiving new orders for the touch screens, which leads to a steady flow of new financial revenue for the business.
Even though AbTech also has an online shop, the vast majority of its customers are brick-and-mortar businesses that focus on the maintenance and repair of mobile devices such as smartphones and tablets. On Fridays, everyone is put to work, and there is often a frenetic dash to get everything ready for the delivery truck to arrive at 1700. It is 1700 when the truck comes. It is quite uncommon for orders to be unable to be fulfilled due to a scarcity of available displays; nevertheless, in the event that this does occur, a second pickup will be scheduled for the week following the first one.
The fundamental stock control that was generated by one of the employees quickly becomes out of date as a result of the fact that no one is monitoring the orders and potential demand from the incoming eWaste side. In addition, the need to acquire shipping packaging, sand, and water for manufacture is also not being monitored.
Because we do not recycle our technological waste in the appropriate way, these valuable metals are wasted and eventually turn into a form that is detrimental to the environment. To put this another way, we need to consider the toxicological and public health risks associated with electronic waste from the perspective of a cycle, rather than just thinking about them in the context of the difficulties involved with production. This is because the cycle is the most comprehensive way to examine these risks.
Porter Five Forces Model
Not only are these materials required for the usage of electronic gadgets in our day-to-day lives, but they are also required in every other industry, from solar panels to apparatus that is used in labs. This is because these materials have a wide range of applications. Mining causes harm to natural areas and depletes valuable resources, both of which exacerbate the issue of climate change. Because of this, the climate crisis has become even more severe.
| Porter Five Forces | Justification | Impact |
| company’s competitive rivals | In addition to contributing to the “chaos in supply networks,” the ever-increasing quantity of demand is also a contributing factor..
|
High |
| potential new market entrants | The price of lithium surged by almost 500% between 2021 and 2022, far outpacing even the growth in the price of precious metals over this time period. | Low |
| Suppliers | The mining of discarded electronic equipment has been proposed as a potential substitute for the extraction of finite natural resources | Average |
| Customers | If there is the option of harvesting and remarketing the product’s components, it is in the financial interest of a corporation to determine whether or not this is possible, in addition to completing any legal duties that may be applicable | High |
| substitute products that influence a company’s profitability | Manufacturing facilities in today’s world need to exercise stringent control over their inventories and keep their profit margins as slim as possible in order to stay successful. Realizing margin gains may be possible via the use of reverse logistics, which enables the remarketing of components once they have been evaluated for quality and judged to be suitable for the current market. | High |
This provides for the possibility of realising margin benefits. Reselling of components is made possible thanks to the logistics of this sort. It is possible to completely recondition some electronic equipment, making it viable for them to be sold again after being taken off the market. Devices such as televisions, computer consoles, personal computers, and mobile phones are all examples of this. Sometimes it is feasible to salvage non-refurbishable electronic equipment, have it appraised, and then resale it as refurbished utilising the item’s hard drive, central processor unit, or display as part of the package. This procedure is called “salvaging.” Unusable components and equipment may have all of their data removed, be shredded, and then be disposed of in an ecologically acceptable way; in certain instances, it may even be feasible to do this without the use of a landfill at all.
In today’s society, recycling, reusing, and giving items that have been used in the past a second chance at life are all practises that are becoming increasingly commonplace. Many companies have upped the environmental sustainability targets that they have set for themselves as a response to either internal evaluations or external regulations. If AbTech want to be successful in the business world as well as the environmental world, AbTech need to have a strategy ready to put into action that will ensure their continuing existence over the course of a lengthy period of time. A positive return on investment may be generated as a consequence of enhanced brand recognition as well as reverse logistics management that is carried out in an efficient manner.
SCOR Model
| Plan | Keeping up a supply chain that is sustainable is about much more than simply making sound financial decisions; it has repercussions for everyone. |
| Source | When there is a greater emphasis placed on the responsibility of corporations, there will be a reduction in the damage that is caused to people as well as the natural world by activities such as the recycling of household items and the disposal of technological waste in landfills |
| Make | These activities include things like computer monitors, cell phones, and other electronic devices. |
| Deliver | It will no longer be required for some businesses to mine in the natural environment because these companies will be able to mine using machinery that is currently on the market and already has the necessary components and materials |
| Return | Even while the concept of reverse logistics has been known for some time, only very lately have its possible advantages begun to become more clear |
| Enable | This is due to the fact that the practise of reverse logistics has only lately become more commonplace in the realm of commercial trade |
The benefits not only make our supply chain more efficient, but they also make it possible for us to be better stewards of the environment.
Impact on the company structure
Electronics require a specialised skill set that includes in-depth market and product experience, authorised, high-tech laboratories, and a secure reverse supply chain in order for their value to be properly evaluated, handled, refurbished, and remarketed. This can only be accomplished with the help of trained professionals who have this experience. Additionally, these laboratories and supply networks need to be risk-free. It is necessary to have an understanding of the values of the market at certain times in order to match the appropriate part, testing, and certification criteria with the components and the correct market prospects in order to ensure quality, security, traceability, and the most cost-effective pricing. Having an awareness of the values of the market helps to achieve this. In order for a product to be resold as refurbished via channels that can be trusted upon, it is of the highest essential that the partner in the reverse supply chain have the requisite expertise to guarantee that all of the appropriate certification standards and sourcing criteria are fulfilled. Providers of reverse logistics services are noticing an increase in the number of requests for programmes that can assist organisations in achieving their goals while simultaneously lightening the financial load those organisations are under as a result of individual divisions and companies honing in on what they do best. Despite the fact that organisations usually find it difficult to create a balance between goals that are in direct rivalry with one another, this continues to be the case. AbTech should have conversations with folks in the supply chain who have the sort of specialised, certified, and agile talents that are essential in a reverse process if AbTech want to get the largest possible return on your investment. These individuals can help AbTech reach this goal. It is recommended that AbTech get in touch with these specific people (ROI).
Advantages and disadvantages to supply chain outsourcing
The optimization of the budget for better waste collection facilities in various public locations to increase public desire to collect e-waste under diverse demographic conditions (WT1); the enhancement of the quality and quantifiability of e-waste data through EPR; and the increasing of cooperation with e-waste processing companies that can provide economic value under certain conditions and companies that accept the existing physical conditions in their operations (SO3).
As a direct result of this, it is reasonable to deduce that the production and distribution of EEE, which includes ICT-related devices such as computers, printers, mobile phones, fixed phones, and tablets, is increasing in a number of countries across the globe. This can be broken down further into two categories: first, the production of EEE; and second, the distribution of EEE. Computers, printers, mobile phones, landline phones, and tablet computers are all examples of these types of devices. A rise in the demand for electrical and electronic equipment, which is a substantial contributor to pollution due to its widespread use, has been brought about as a consequence of a combination of factors, including rapid technological advancement and declining prices (e-waste).
Risk management
Outdated electronic equipment, which is also referred to as “e-waste” in certain circles, is now in the driver’s seat when it comes to the production of rubbish at this point in time. We gathered around 50 million tonnes equivalent of garbage from electronic gadgets in 2018, but only about 20% of that material was treated in a manner that was environmentally acceptable. The improper disposal of electronic waste poses a significant risk not only to the health of persons but also to the health of ecosystems. This risk is significant for both types of health. Both parties may suffer adverse effects as a result of this danger.
Competitors analysis
This question seeks to find a solution to the problem of electronic waste by determining what environmental standards should be applied to various forms of digital technology, such as the Internet of Things (IoT), end-user equipment, and information and communication technology (ICT) infrastructures. Specifically, this question seeks to find a solution to the problem of electronic waste by determining what environmental standards should be applied to various forms of digital technology. This question specifically tries to find a solution to the issue of electronic waste by identifying what environmental criteria should be applied to different types of digital technology. In other words, the question is an attempt to discover a solution to the problem of electronic waste. The principles of a circular economy will be put into practise, and the effort will have a particular emphasis on developing more effective strategies for supply chain management.
impact of future technologies in sharing information
As a direct result of the widespread implementation of the circular economy, firms are now in a position to generate and grasp opportunities for new value. Furthermore, supply networks now have access to dimensions that were not accessible in the past.
The practise of supply chain management, which includes the management of the entire lifecycle process of the goods or services being provided, is a significant contributor to the improvement of the ecological performance of digital technologies such as ICTs. This is because supply chain management manages the entire lifecycle process of the goods or services being provided. This is because the management of the supply chain encompasses the whole of the process, beginning with the selection of the raw materials and ending with the product itself. This is the reason for the aforementioned result.
The mining and recycling of rich minerals in urban areas that are conducted in an ecologically friendly manner not only contribute to the development of a more circular economy but also offer new opportunities for the creation of social companies. This is because urban mining and recycling are conducted in an environmentally friendly manner.
It is a commonly held notion that one of the most pressing problems facing the world today is the widespread distribution of counterfeit information and communication technology (ICT) products and tools. The repercussions of this new breakthrough will have an impact on each and every participant in the information and communications technology business (vendors, governments, operators and consumers).
Potential markets and manufacturing locations
These copycat devices stifle innovation, which in turn has a detrimental impact not only on the growth of the economy but also on the protection of intellectual property rights. In addition to the obvious dangers to one’s health and safety that are associated with the use of counterfeit electronic products, the accumulation of hazardous e-waste is another issue that is made worse by the sale of these products. This problem is made worse by the fact that counterfeit electronic products are being sold. The market for counterfeit electrical items makes an already serious issue even more difficult to manage. As a consequence of the eco-rating algorithms that may be constructed with the assistance of the answers to this question, customers will have access to extra data that will enable them to make informed purchasing choices and will thus be able to save the environment. Because of this, opportunities for enterprises to engage together on the creation of a master plan to improve the environmental performance of their goods, networks, and services will become available. This viewpoint is consistent with both the concept of conscious growth and the knowledge that users have access to. Both are compatible with one another.
Recommendations
When taking into account the quantities and circulations of e-waste all over the world, it is of the utmost importance to design a recovery process that is suitable for the 21st century and of a high quality for the valuable elements that are contained in e-waste. This is because e-waste contains a lot of valuable elements that could be reused or recycled. This is a very time-sensitive issue. This presents a number of interesting opportunities in the field of urban mining, particularly when considering the expected global quantities of e-waste as well as the potential efforts that may be taken to build up proper infrastructures in order to minimise the toxicity of certain fractions of e-waste. Specifically, this presents a number of interesting opportunities in the field of urban mining. Mining in urban areas offers the potential to recover a wide range of valuable resources, including precious stones, precious metals, and rare earth elements.
Conclusion
It is possible that making use of the procedures described in this research may assist one in more precisely locating, evaluating, and eventually deciding on suitable alternatives. The findings of this research can be utilised by DLH Jakarta and other formal sector actors involved in the collection of e-waste in order to reformulate the vision and mission, identify opportunities and threats external to the organisation, discover internal strengths and weaknesses, set long-term goals, and generate alternative strategies in order to lay the groundwork for successful organisational structure and marketing, as well as budgeting, and the development and implementation of no-landfill policies. Alterations in the external circumstances as well as the internal conditions demand that formal sector stakeholders in the management of e-waste constantly examine the fundamental approach. Along with performance monitoring and the adoption of corrective actions, this review has to include a comprehensive study of the external and internal components that serve as the foundation for the present strategy.
References
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