Patterns of Human Behavior and 3PL
Unit 8 Assignment: Patterns of Human Behavior and 3PL
This assignment will assess your knowledge based on the following Outcomes:
MT433-4: Analyze the impact of distribution in supply chain effectiveness.
GEL-4.03: Understand patterns of human behavior based upon real world observation.
The culture element is a critical factor in the formation of a successful global logistics network. In this Assignment, you will research articles and analyze how patterns of human behavior can affect the global supply chain.
Instructions:
People from different countries display different patterns of human behavior. Recognizing and adapting to these patterns is key to establishing successful supply relationships. Research news articles and provide one example where unexpected patterns of behavior has created significant challenges for a global company, or for a company that is part of a global supply chain. Clearly state what the unexpected pattern of behavior was and then analyze how it impacted the operations of the company. What would your recommendation be for this company to best handle the consequences of the different patterns of behavior between the two companies? Support your theory and your recommendations by citing relevant references.
Describe how you would choose a 3PL company to handle your logistics management needs. Discuss three factors that you would use to evaluate potential partners.
Research a top 3PL company and list three key services that the company provides. Then, explain how each of these services can impact the effectiveness of a supply chain. Do they have any services for handling logistics to/from international destinations? Could a 3PL company be used to handle global supply chain issues such as the impact of cultural differences? Explain.
Respond using the critical elements below:
Compose your original response in Standard English, paying special attention to grammar, style, and mechanics.
Respond to the questions in a thorough manner, following the prescribed format and citing your sources using the current APA guidelines.
Ensure that your viewpoint and purpose are clearly stated.
Demonstrate logical and appropriate transitions from one idea to another.
Your paper should be highly organized, logical, and focused.
*Please note: Use Unit 8 Grading Rubric attached**
ANSWER
Cultural issues in Global Companies
Often, global companies meet unexpected challenges as they try to establish their roots in new countries. Those cultural issues tend to affect a company’s operations and can result in unwanted consequences for the company. One challenge that affects global supply chain logistics is overcoming the delays caused by one or more suppliers (Singh, Narain & Yadav, 2006). The supply chain involves manufacturers, warehouses, third-party testing facilities, store inventory, and transport companies. If one of the suppliers’ delays meeting their part in the supply chain, they will affect the others. For instance, if a manufacturer delay releasing their product, the buyer might incur higher costs in warehousing and transporting the product.
UPS is an example of a global supply chain logistic company that suffers from delays. While the company is committed to timely deliveries, it suffers from delays from time to time. When a delay occurs, the customer must pay more for warehousing and transportation. Some UPS customers were affected by the delays, and, in turn, they gave the company negative reviews, which tarnished the company’s reputation. In supply chain management, delays can be costly. They can cause disruptions, which may, in turn, slow down the entire supply chain management.
There are ways by which a supply chain company can deal with the consequences of delays. Creating a supply chain emergency plan is one method that can reduce the result of supply chain delays. It involves creating a tenable backup plan to ensure a company has various ways to work around the delay problems. A company can use to create a backup plan by setting aside a budget for delayed emergencies.
Choosing a 3PL company
Before settling on a specific 3PL company to handle its logistics needs, a company should consider many factors. Choosing the right 3PL company will determine the company’s performance. Hence, the company should conduct initial research before settling on a company. The selected company should have a proven record, adequate resources, and an updated system.
Also, a company should choose a logistics company based on its technological demands. Companies are shifting to digital systems. The supply chain companies are also moving to modern technologies and digitization. The shift makes it easy to identify, package, commission transport, and track products in transit. Hence, a company should choose a logistics company that meets the desired technological standards.
Similarly, a company should select a logistics company based on its scalability. A customer choosing a 3PL company should consider the company’s financial stability. It should be a company with sufficient systems, facilities, human resources, and equipment to support logistics solutions. The company should have a proven success record and should be able to handle the customer’s brand.
Evaluating potential partners in SCM
Secondary operations offered by a potential partner are a factor that can lead to identifying a good partner. Some partners may provide services that meet a customer’s need, while others may offer services that the customer does not require (Constatino et al., 2012). Therefore, the customer should identify a supplier whose secondary services will benefit them. Selecting the right partner should help the customer avoid incompatibility problems.
The capabilities of the potential partners should also guide a company’s choice in selecting the right partner. A potential partner should be capable of meeting the customer’s demand while limiting the risks that come with meeting those demands.
Also, a program’s quality should be a factor to consider when selecting a potential partner. The desired partner should provide the customer with the desired quality of products and services. These products and services should range from industry codes, regulations, and certifications.
Top 3PL company
UPS is a leading logistics company that offers solutions for transporting freight and packages. Also, they do deliveries to global customers, facilitate international trade, and deploy modern technology that efficiently manages businesses across the world. UPS operates mainly in the United States but has branches in other parts of the world, including the UK, China, Australia, and Germany. Its exemplary and outstanding services make it one of the world’s most coveted supply chain companies.
Transportation is a significant component of supply chain management. Transportation ensures the delivery of goods from one place to the next. Also, it provides the smooth flow of goods and services in and out of business. Transportation aids supply chain management by moving necessary materials from warehouses to the customer’s doorstep (Quesada, Gazo & Sanchez, 2012). The transportation of goods from warehouses to the customer’s residence is a factor that can contribute to lower operational costs. In some cases, transportation within a supply chain management can account for up to a 60% reduction in a company’s cost of operation. Therefore, the success of supply chain management relies heavily on transport.
Technology affects supply chain management by introducing new techniques through which a company can scan, sort, and monitor the movement of products. It is necessary because it leads to the organization of warehouses. Also, it makes tracking items easy during transportation.
Packaging involves wrapping products in specialized covers. The specialized covers protect the products from external damage. Also, the wraps contain information about the potential customer, making it easy to deliver products to the rightful owner.
Conclusion
The supply and logistics companies experience various challenges at the international level. While those cultural, social, political, or economic problems can negatively affect the supply chain, they have walkarounds. These walkarounds can make supply chain companies successful.
Reference
Costantino, N., Dotoli, M., Falagario, M., Fanti, M. P., & Mangini, A. M. (2012). A model for supply management of agile manufacturing supply chains. International Journal of Production Economics, 135(1), 451-457.
Quesada, H., Gazo, R., & Sanchez, S. (2012). Critical factors affecting supply chain management: A case study in the US pallet industry. Pathways to supply chain excellence, 33-56.
Singh, A., Narain, R., & Yadav, R. C. (2006). A survey on relationships and cultural issues in supply chain management practices in Indian organisations. International Journal of Services and Operations Management, 2(3), 256-278.
