supply chain gang
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Supply Chain Gang. Rob Buchanan Greg Johnson Matt Tinius. Problem. Past Thought : To optimize the transportation of freight in manageable containers. To cube out product so that every inch of capacity was filled. Shifting Views: Concern has moved to truck operators - PowerPoint PPT PresentationTRANSCRIPT
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Supply Chain Gang
Rob BuchananGreg Johnson
Matt Tinius
Problem Past Thought :
To optimize the transportation of freight in manageable containers.
To cube out product so that every inch of capacity was filled.
Shifting Views: Concern has moved to truck operators
Driver hours of service have been shortened and probably will continue on the same path.
Issues Addressed
How do we help the driver? Help him/her to be more productive By reengineering equipment By regional rerouting
Reengineering EquipmentPhase 1 Part 1: Trailer Floor
2 trailer-length sets of rollers spanning a foot wide positioned 2 feet from either side of the trailer
Rollers should be able to be lowered just under the height of the trailer bed to prevent rolling of product
Sample truck bed shown below
53’
8.5’ Ball-bearing Rollers
Reengineering Equipment (2)Phase 1, Part 2: Box Bottoms
To aid in box sliding and manageable units Thin metal plates squared to support a 4-box bottom
Box1 KD2 KD1
KD3 KD4
Phase 1, Part 3: Shrink-wrapped Cubes KDs should be shrink-wrapped in manageable cubes (or
rectangular prisms) with a 4-box bottom so that there are 2 or 3 cubes for the height of the truck
This will prevent slippage during loading and unloading Cubes would be store or region-specific
Reengineering Equipment (3)Advantages
Significant reduction in time spent loading/unloading Less manual energy used by the driverLabor costs lessened
Disadvantages Considerable upfront capital costs Training at factory and driver levels Some bins may not allow width of shrink-wrapped cubes
Regional Rerouting
Regional ReroutingWest of the 95th meridian, eliminate bins within a feasible distance of each other.
In higher concentrated areas, eliminate bins within feasible
mile radius of DC.
Have regional managers first audit their areas to expel unnecessary bins, then set in place new criteria.
Decreasing Bins
• Eliminate surplus of bins
• Trade in some trucks for smaller, fuel-efficient trucks to deliver in closer proximity using a ray sweep approach
Regional Rerouting (2)
Eastern Region High density of bin locations, manufacturing facilities, and DCs
Western Region Low density of bin locations, manufacturing facilities, and DCs
Proposition: Tractor-trailers move product in low density regions from DC to direct
saleSmaller delivery trucks move product in higher density regions while
larger trailers deliver to further destinations, foregoing the need for bins in close proximity to the DCs
Eliminate bins within close proximity of DC
RecommendationFirst have regional managers audit the necessity of their bin locations and
concentration
Find most cost-effective outside company to reengineer the trailer floors
Begin implementing equipment reengineering and standardized bin spacing (both in the Western region due to its lower density) to work through any initial issues in a more controllable environment
Move East as process allows
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