A few cement manufacturers are modifying their production structure in response to the non-availability of covered railway wagons. Cement has been sent to the distribution centers in the granulated forms so that the open wagons can be used. Fine grinding is being done prior to the secondary distribution. Packaging decisions to whether cement should be transported in bulk or in a jute bag or HDPE bags are also under consideration.
A two wheeler manufacturer is re-examining its distribution network design as well as its warehouse location to ensure better response to satisfy customer requirements and lower total product cost by cost by optimizing on cost relating to primary distribution, secondary distribution, warehouse operations and sales tax.
A manufacturer of sponge iron in western India is deciding on a movement plan for both its incoming raw materials and outgoing finished products. The significant issues are the transportation mode choice, shipment size and stocking levels especially since water, rail and road are possible alternatives. The issues are more complicated since the port serving the plant is minor one with limitations of vessel draft and movement being inhibited during the monsoon. Possibilities of cost saving by coordinating inbound and outbound movement add another dimension to the problems.
Certain pharmaceuticals and chemical industries could examine their production planning with respect to their production batch size by considering the profile of orders from the dealers, thereby optimizing on set up costs, work-in-process inventory cost and finished goods inventory cost. In such industries choices can also be made regarding transportation of some products in liquid, paste or powder form. There are implications on transportation costs, conversion energy costs and packing costs.
A few cement manufacturers are modifying their production structure in response to the non-availability of covered railway wagons. Cement has been sent to the distribution centers in the granulated forms so that the open wagons can be used. Fine grinding is being done prior to the secondary distribution. Packaging decisions to whether cement should be transported in bulk or in a jute bag or HDPE bags are also under consideration. A two wheeler manufacturer is re-examining its distribution network design as well as its warehouse location to ensure better response to satisfy customer requirements and lower total product cost by cost by optimizing on cost relating to primary distribution, secondary distribution, warehouse operations and sales tax. A manufacturer of sponge iron in western India is deciding on a movement plan for both its incoming raw materials and outgoing finished products. The significant issues are the transportation mode choice, shipment size and stocking levels especially since water, rail and road are possible alternatives. The issues are more complicated since the port serving the plant is minor one with limitations of vessel draft and movement being inhibited during the monsoon. Possibilities of cost saving by coordinating inbound and outbound movement add another dimension to the problems. Certain pharmaceuticals and chemical industries could examine their production planning with respect to their production batch size by considering the profile of orders from the dealers, thereby optimizing on set up costs, work-in-process inventory cost and finished goods inventory cost. In such industries choices can also be made regarding transportation of some products in liquid, paste or powder form. There are implications on transportation costs, conversion energy costs and packing costs.
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