Video Case – Supply Chain Management at Regal Marine
VIDEO CASE: SUPPLY-CHAIN MANAGEMENT AT REGAL MARINE 1.What other techniques might Regal Marine use to improve supply chain management? Answer: The other techniques might Regal Marine uses to improve supply change management are as follows: * Allowing the supplier to become part of the company coalition.Specialization – utilizing the efficiency and knowledge of persons specializing in supply chain management * Virtual company – relying on a variety of supplier relationships to ensure the product is produced on time and within the demands of the customers * Using the latest computer and transmission technologies to schedule and manage the shipment of parts in and finished products out, would help to increase the efficiency of the company.
2. What kind of response might members of the supply chain expect from Regal Marine in response to their “partnering” in the supply chain?
Answer: Regal Marine expects continuous innovation and high quality performance to ensure that the final goods and services reach customer satisfaction. The members of the supply chain expect that the expectations of Regal Marine transfer into a chain of suppliers that focuses on maximizing value and quality. They can expect loyalty from Regal, and the suppliers can gain prestige by representing the high-quality products which Regal Marine produces, which can result in profit margins.
Suppliers can also largely benefit from economies of scale and learning curves, reducing the production cost. 3. Why is supply chain management important to Regal Marine? Answer: Supply chain management is about integration of activities that procure materials and services and transform them into the final product of the company. Supply-chain management enables Regal Marine to compete in a multibillion-dollar industry, and helps it to differentiate its products from competitors (e. g. rocure materials and services, transforming them into intermediate goods and final products, and delivering the final products through a distribution system). As Regal Marine spends a large portion of its revenue on purchases, supply-chain management provides the company with the opportunity to work on closer long-term strategic relationship with key suppliers. Supply-chain management allows Regal Marine to increase its competitiveness via product customization, high quality, cost reduction and speed to market.
Therefore, as a result, Regal Marine has been able to reduce costs while improving quality, responsiveness and innovation. Thus, its effective and efficient supply-chain management enables Regal Marine to differentiate its products through quality, innovation, unique features, up-to-date technology and responsiveness. Regal Marine’s innovative approach to supply-chain management not only benefits the company but the end user as well.