EXEL PLC

EXEL PLC SUPPLY CHAIN MANAGEMENT

AT HAUS MART

BEST PRACTICES •

Co-ordination of entire network,

-- Exel was able to decrease regional transportation cost by 30% -- Also able to reduced lead time and finished goods inventory by 16%. •

Development of “exel’s four team approach,

-- Exel developed very effective process for business development , solution design , operations, implementations. •

Implementation of exel operating management and methodology {EOMM},

-- It helped associates and their supervisors carry out their task efficiently -- Also enabled the company to developed operational metrics and operating performance in detail.

measures

Cont.. •

Implementation of a well- defined and proven management program, -- It created clear roles and responsibilities for each employees -- At each DC, exel posted a skill matrix chart, which listed all function performed in the DC

PROBLEMS •

Haus mart strategy , -- that are associated with matching of supply with demand .

•

Haus mart unable to understand supply chain and resorted to inefficient “just

in case” behavior

-- Such as ordering extra inventory or asking to shipped the product week before •

Haus mart failed to take advantages of certain efficiencies, because lack of incomplete knowledge of their supply chain.

SOLUTION •

Exel and Haus mart should form a joint- venture because “combining planning with

execution has incredible potential”. •

Haus mart should source expertise from exel, as exel has much deeper experience of the supply chain and can save a lot of money by shipping the product a day earlier rather than asking to shipped the product week before.

•

To shipped a product from the use consolidated truck, as to achieved economies of

scale in transportation or exel should inject their expertise into the Haus mart planning stage