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 Faculty of Business Studies Tutor Marked Assignment B222B: Managing Technology and Innovation for Competitive Advantage Second Semester 2014 – 2015 Wincanton: the nature of the business Introduction Wincanton's mission is 'delivering sup

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مُساهمةموضوع: Faculty of Business Studies Tutor Marked Assignment B222B: Managing Technology and Innovation for Competitive Advantage Second Semester 2014 – 2015 Wincanton: the nature of the business Introduction Wincanton's mission is 'delivering sup   الجمعة أبريل 10, 2015 3:43 am

Faculty of Business Studies

Tutor Marked Assignment

B222B: Managing Technology and Innovation for Competitive Advantage


Second Semester 2014 – 2015











Wincanton: the nature of the business



Introduction
Wincanton's mission is 'delivering supply chain solutions across Europe'. The company is customer focused: its aim is to help its customers become more efficient and more successful by enabling them to set up facilities and systems that guarantee them the supplies they require, when they need them.
Wincanton is one of the leading logistics firms in Europe and it is the UK's second largest logistics company with 13% of the overall market. It is the UK market leader in grocery distribution, automated warehousing and petrochemical distribution.
In 2004 Wincanton:
• had a £1.6bn turnover
• employed over 25,000 people
• operated over 100 major warehouses
• deployed 6,000 vehicles
• Operated in 15 European countries.
The company's activities include:
• moving bulk raw materials
• organizing the movement of supplies to companies
• managing the movement of finished goods to customers
• Managing warehouse facilities.
Wincanton ensures that products are delivered appropriately labeled and in a suitable condition. It can track and trace where these products are at any time. It can also integrate its warehousing systems with its customers' systems to improve the efficiency of stock ordering and delivery. It can help firms with package design and provides consultancy services in areas such as project management and warehouse development.
It can also help with record keeping and data management. Its business, therefore, is not simply moving products from one place to another. It involves fully understanding the client's operations. This ensures that the flow of goods to the client absolutely matches their needs and provides them with the reliability, flexibility and cost effectiveness they require.
Wincanton's Products and Services:
• transport and distribution e.g. delivery of goods using road, rail, and barges
• warehousing e.g. providing temperature controlled warehouses
• information technology e.g. modeling and simulation, enabling firms to track goods
• Management e.g. consultancy work linked to warehouse design and project management.

Many of Europe's best known businesses use Wincanton's services, including:
• Sainsbury's, Somerfield, Tesco, Waitrose, Co-op (Food Retail)
• Bosch, Kellogg's, Mattel, Nestle, Procter and Gamble, (FMCG)
• BMW Motorcycles, Honda, Renault, Volvo (Automotive)
To ensure it maintains its position as one of Europe's leading supply chain management and logistics companies, Wincanton makes full use of its business development team.
Once senior managers have accepted a project, it has to be 'made to happen'. The rest of this Case Study looks at what is involved in delivering one such project: a client's request for a new warehouse facility.

Operations

When planning a new warehouse, Wincanton must first clearly establish the client's requirements. The first major decision is where to locate the warehouse. The best location will depend on factors such as:
• ease of access to transport links such as motorways, rail networks, ports and airports
• costs e.g. land prices
• The availability of a suitable workforce.
When developing the warehouse, Wincanton has various options. It can:
• develop an existing facility
• build a new, specially designed facility
• Share facilities within an existing warehouse.
Wincanton will discuss with its client the costs and time required to deliver each of these options.
As part of its service to clients, Wincanton will:
Decide whether to buy the land and facilities or to lease them, Organize insurance for the warehouse and goods, Manage contractors during the building phase to ensure completion on time and within budget, Develop, introduce and manage a Health and Safety plan (including staff training), Handle the transfer of the client's existing operations to this new facility, test the system before "going live". This may involve running an old system and a new system in parallel until all risks associated with the switch-over are fully understood and completely under control.
It is clear from this that setting up a new warehouse facility is a complex project requiring specialist skills for its successful completion.
Project management tools, such as critical path (or network) analysis, help to organize activities in the right order. They also enable managers to focus on the key activities that must not be allowed to over-run. These critical activities have no float time - even the slightest delay with them would cause delay to the whole project.
Whilst developing a new warehousing facility Wincanton will also be working on the workforce plan. This sets out the firm's future human resource requirements and develops appropriate strategies for meeting those needs. Wincanton may have sole responsibility for this task or may develop it with the client.



Finance

Wincanton's financial team is responsible for negotiating the contract with the client. This involves agreeing the terms and conditions under which the facility will be developed.
It will include many aspects of financial planning such as:
• Estimates of the capital expenditure involved, such as the building costs
• The expected breakeven point
• The likely return on the investment.
The financial team will be dealing in large sums of money and significant levels of investment: a purpose-built automated warehouse is likely to cost between £20 million and £40 million. The customer usually finances this although, if required, Wincanton can help with finding sources of funding.
Wincanton's effective operations management team and good workforce planning usually mean that a project such as this can be completed within a few months.
Information Technology

The Information Technology (IT) team at Wincanton focuses on defining the system requirements and identifying the most suitable IT specifications for the warehouse facility. This involves working closely with the client to understand existing systems, ensuring the links between the two and also with the rest of Wincanton's systems work effectively. The team's work will include installing and testing the system as well as training employees.
The IT team will also be responsible for developing a Disaster Recovery Plan (DRP) as part of contingency planning. In its contracts with clients, Wincanton undertakes to provide them with a service 24 hours a day, 7 days a week, 365 days a year. The purpose of the DRP is to ensure that Wincanton is in a position to fulfill this promise, no matter what happens.

By using IT effectively throughout its operations Wincanton is able to improve its efficiency and the quality of the service it provides. The company also uses IT in many different aspects of the logistical process e.g. by using bar codes and voice identifying technology. This is now so highly developed that in an automated warehouse Wincanton's systems enable 24 pallets to be offloaded from a vehicle in less than 90 seconds.
Wincanton also uses IT to support the work of the other functions of the business, such as operations, finance and human resource management.



Conclusion


Most people seldom think about supply chains until something goes wrong and yet they make a huge contribution to our personal welfare. Wincanton is in the business of ensuring that 'things going wrong' remains a rarity.


By managing supply chains effectively, Wincanton enables other firms to improve their own efficiency. The company provides many different products and services related to the movement of goods around Europe. To do this well requires close co-operation with clients to understand their needs.
This Case Study highlights the way in which the company has tackled the challenge of operations management and has organized itself with a view to maximizing the quality of its service to its clients.
http://businesscasestudies.co.uk/wincanton/operations-management-the-wincanton-way/conclusion.html#axzz3RWtUBVQp

Question 1 (500 words, 40 marks)
Using E Library resources, discuss the role of information technology in organizations. Then describe how Wincanton uses IT to improve the quality of its service.

Question 2 (400 words, 30 marks)
The financial analysis is a critical part of the internal analysis of the firm. Discuss briefly the tools of financial analysis. And show in the case study the effects of the financial resources on the warehouse project

Question 3 (400 words, 30 marks)
Use E-library sources to find another company that used information technology in order to achieve better performance.


General instructions for students:
Plagiarism: plagiarized answers are according to AOU plagiarism policy.
Format: Answers are expected to be in the form of essays, with an introduction, body paragraph(s) and conclusion.
Word count: Answers are expected to be within the specified word count. A 10% deviation from word count limit is acceptable.
Referencing: Students are expected to use the Harvard referencing style to properly cite their references both in-text and at the end of the TMA.
E-library: Students are expected to use E-library sources to support their answers. A minimum of 3 sources is required.

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الإجــابة النمــوذجية
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[عزيزي الزائر يتوجب عليك التسجيل لمشاهدة الإجابة النموذجية ، للتسجيل اضغط هنا] || الكاتب: [عزيزي الزائر يتوجب عليك التسجيل لمشاهدة الإجابة النموذجية ، للتسجيل اضغط هنا] || المصدر: [عزيزي الزائر يتوجب عليك التسجيل لمشاهدة الإجابة النموذجية ، للتسجيل اضغط هنا]






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Faculty of Business Studies Tutor Marked Assignment B222B: Managing Technology and Innovation for Competitive Advantage Second Semester 2014 – 2015 Wincanton: the nature of the business Introduction Wincanton's mission is 'delivering sup
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