Eaton – Power Management KR Consulting Jay Petrie John Riddell Riley Owens Christine Rasquinha.
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Transcript of Eaton – Power Management KR Consulting Jay Petrie John Riddell Riley Owens Christine Rasquinha.
![Page 1: Eaton – Power Management KR Consulting Jay Petrie John Riddell Riley Owens Christine Rasquinha.](https://reader035.fdocuments.in/reader035/viewer/2022062516/56649e375503460f94b279d6/html5/thumbnails/1.jpg)
Eaton – Power Management
KR ConsultingJay Petrie
John RiddellRiley Owens
Christine Rasquinha
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Problem Statement
AnalysisReccom. Problem Statement
Company Overview Strategy Alternatives Future Plan
How should Eaton reevaluate its supply chain to reduce
transportation costs and inventory levels while maintaining sustainable
growth?
Christine
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Company Overview
Energy Efficient- Sustainability
Efficiency, reliability, and safety
Customer Oriented
AnalysisReccom. Problem Statement
Company Overview Strategy Alternatives Future Plan
Christine
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Recommendation
AnalysisReccom. Problem Statement
Company Overview Strategy Alternatives Future Plan
Strategic: Cut down on premium orders
Operations: Decrease the number of priority
air shipping
Strategic: Look into developing SAT and SVCs around West
Coast Further Operations: Provide
knowledge of increasing processing
days
Short Term Long Term
Time Period: 12 months
John
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S.W.O.T Analysis
STRENGTHS:
• National Sales force• High Demand
Product• Customer loyalty
WEAKNESSES:
• Distribution problems• High shipping costs• Prominent Overstock
and shortage amounts
AnalysisReccom. Problem Statement
Company Overview Strategy Alternatives Future Plan
John
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S.W.O.T Analysis
OPPORTUNITIES:
• Growing demand for products
• Increase of prominence in West Coast Sales
THREATS:
• Rival Companies also show growth
• Rising costs for transportation and manufacturing
AnalysisReccom. Problem Statement
Company Overview Strategy Alternatives Future Plan
John
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PESTEL
SWOT AnalysisReccom. Problem
StatementCompany Overview Strategy Alternatives Future Plan
Political
• Relations with cities to open new plant
Economical
• W87 stock outs lead to long shipments• Rapid increase in high-tech customersSociocultural
• Sales team at each site to interact with customers
• Decide where product will be produced
Technological
• Reliable Products & Expansion of product line
Environmental
• High fuel use with planes and trucks• Inefficient shippingLegal
• Contracts for new plant buildings• Plant permits
Jay
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Financial Analysis
SWOT AnalysisReccom. Problem
StatementCompany Overview Strategy Alternatives Future Plan
Atlanta-
SAT
Atlanta-
SVC
Baltimore-
SAT
Chicago
-SAT
Chicago
-SVC
Clevela
nd-SAT
Hartford
-SAT
Hartford
-SVC
New Je
rsey-S
AT
Orlando-SA
T
Raleigh
-SAT
-
1,000,000
2,000,000
3,000,000
4,000,000
5,000,000
6,000,000
7,000,000
8,000,000
9,000,000
10,000,000
Eastern Purchase Order Totals
Average Purchase Order Amount: 5.8 million
Jay
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Financial Analysis
SWOT AnalysisReccom. Problem
StatementCompany Overview Strategy Alternatives Future Plan
Los Angeles-SAT Los Angeles-SVC Phoenix-SAT Portland-SVC San francisco-SAT Seattle-SAT -
1,000,000
2,000,000
3,000,000
4,000,000
5,000,000
6,000,000
7,000,000
8,000,000
9,000,000
10,000,000
Western Purchase Order Totals
Average Purchase Order Amount: 6.0 million
Jay
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Financial Analysis
SWOT AnalysisReccom. Problem
StatementCompany Overview Strategy Alternatives Future Plan
Dallas-SAT Dallas-SVC Denver-SAT Denver-SVC Houston-SAT Houston-SVC St Louis-SAT -
1,000,000
2,000,000
3,000,000
4,000,000
5,000,000
6,000,000
7,000,000
8,000,000
9,000,000
10,000,000
Midwest Purchase Order Totals
Average Purchase Order Amount: 6.6 million
Jay
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Financial Analysis
SWOT AnalysisReccom. Problem
StatementCompany Overview Strategy Alternatives Future Plan
Los A
ngeles
-SAT
Los A
ngeles
-SVC
Phoenix-
SAT
Portlan
d-SVC
San fr
ancis
co-SA
T
Seatt
le-SA
T -
2,000,000
4,000,000
6,000,000
8,000,000
10,000,000
Western Purchase Order Totals
Dallas-
SAT
Dallas-
SVC
Denve
r-SAT
Denve
r-SVC
Houston-SA
T
Houston-SV
C
St Lo
uis-SA
T -
2,000,000
4,000,000
6,000,000
8,000,000
10,000,000
Midwest Purchase Order Totals
Atlanta-
SAT
Atlanta-
SVC
Baltimore-
SAT
Chicago
-SAT
Chicago
-SVC
Clevela
nd-SAT
Hartford
-SAT
Hartford
-SVC
New Je
rsey-S
AT
Orlando-SA
T
Raleigh
-SAT
-
2,000,000
4,000,000
6,000,000
8,000,000
10,000,000
Eastern Purchase Order Totals
A significant amount of purchase orders come from Texas and the West Coast which currently does not have a
large plant to service them.
Average Purchase Order Amount: 6.0 million
Average Purchase Order Amount: 5.8 million
Average Purchase Order Amount: 6.6 million
Jay
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Atlanta-
SAT
Atlanta-
SVC
Baltimore-
SAT
Chicago
-SAT
Chicago
-SVC
Clevela
nd-SAT
Hartford
-SAT
Hartford
-SVC
New Je
rsey-S
AT
Orlando-SA
T
Raleigh
-SAT
St Lo
uis-SA
T
Phoenix-
SAT
Portlan
d-SVC
Los A
ngeles
-SAT
Los A
ngeles
-SVC
Dallas-
SAT
Dallas-
SVC
Denve
r-SAT
Houston-SA
T
Houston-SV
C
Denve
r-SVC
San fr
ancis
co-SA
T
Seatt
le-SA
T -
1,000,000
2,000,000
3,000,000
4,000,000
5,000,000
6,000,000
7,000,000
8,000,000
9,000,000
10,000,000
Company Purchase Orders Total
Total
Distribution Analysis
SWOT AnalysisReccom. Problem
StatementCompany Overview Strategy Alternatives Future Plan
Average Purchase Order Amount: 5.7 million
Average Purchase Order Amount: 6.4 million
Riley
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Distribution Analysis
SWOT AnalysisReccom. Problem
StatementCompany Overview Strategy Alternatives Future Plan
Region A Western Region B
Eastern
Riley
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Distribution Analysis
SWOT AnalysisReccom. Problem
StatementCompany Overview Strategy Alternatives Future Plan
38%
62%
Sales at W34
Region A-Western
Region B-Eastern
96%
4%
Sales at W87
Region A-WesternRegion B- Eastern
Western regional sales makes up almost 40% of
purchase orders from W34
Western regional sales makes up the majority of purchase orders at W87
Riley
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Distribution Analysis
SWOT AnalysisReccom. Problem
StatementCompany Overview Strategy Alternatives Future Plan
Faye
tteville, N
C
Sumter, S
CW
34W
87
CDC & DBN
Arden, N
C
Beaver, P
A
El Paso
, TX
Raleigh
, NC
Puerto Rico NC
0%10%20%30%40%50%60%70%80%90%
100%
Locations vs. Facilities
EasternWestern
Riley
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Evaluation of the Alternative
SWOT AnalysisReccom. Problem
StatementCompany Overview Strategy Alternatives Future Plan
Create New CMSC sites
Able to adapt quickly to regional needs
Need sites that fit criteria
John
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Implementation
0 months6
months12
months
Completion of Plan B
Plan A:Production Facility Development• Location: Sacramento, California• Human Resources: Bring jobs to the
community and decrease unemployment• Decrease transportation costs, reducing
freight costs
Plan B:Market New Plant• Hire local residents• Become a part of the
Sacramento community• Increase brand awareness• Provide timely service
Completion of Plan AFully operational plant at full capacity
and supply demand on west coast
Long Term Possibilities:• Adapt company policies to include bulk orders• Provide knowledge of increasing processing
days for large bulk orders in order to manage demand, cut down on inventory loss , and freight costs
SWOT AnalysisReccom. Problem
StatementCompany Overview Strategy Alternatives Future Plan
Christine
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Implementation
SWOT AnalysisReccom. Problem
StatementCompany Overview Strategy Alternatives Future Plan
Christine
Operation Cost
Plant Devel-opmentMarketing Expenses
Projected Cost of Plant
Development$1 billion
Marketing Expenses$10 million
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Questions?
SWOT AnalysisReccom. Problem
StatementCompany Overview Strategy Alternatives Future Plan