Plan of Action - Project EU Distribution DONE

Table of contents31. Content of the project

31.1. Background of the project and client

31.3. Problem description

41.4. Research question

41.5. Sub questions

51.6. Objective

51.7. Products

61.8. Project boundaries and precenditions

72. Project activity and planning

72.1. Project Activity

92.2. Project Planning

103. Load balancing

103.1. Cast

103.2. Projectmembers

114. Projectorganisation and risks

114.1. Risks

114.2. Time collaboration

12Appendix

1. Content of the projectThis chapter describes the contents of the project will be displayed.

1.1. Background of the project and clientSveiby AB is a manufacturer of wood furniture. The company has started producing simple furniture such as chairs and tables. Later it began to specialize in the production of furniture for shipping. The company is based in Frila (this is located about 350 kilometers north of Stockholm).Over the years, the range of Sveiby AB expanded to four different types of furniture. These are especially suitable for installation vessels. The products are sold throughout Europe. Sveiby AB representative of their products in several European countries: Jansen BV (The Netherlands); Stobart Ltd. (Great Britain); Richter Gmbh (Germany); F.C. BM (France).

As employees of Rotterdam University Consultancy (HRC) we specialize in researching the logistics chain. The staff of the Hogeschool Rotterdam Consultancy has been asked to investigate the long lead times and high transport costs and to report an opinion.

1.2. Project AssignmentAs employees of Rotterdam University Consultancy is asked to investigate the long lead times and high transport costs. It should be investigated whether there is no other way so that end users in 90% of orders within 72 hours of their products in house.Alternative solutions will be given on:- Service Levels;- Shipping Cost;- Inventory costs;- Handling costs;- Storage costs.These are elaborated in a spreadsheet. Eventually, all possible solutions are included in a final report including the costs and benefits of each alternative.1.3. Problem descriptionThe delivery times to the end users and representatives are much too long. The end users are quite dissatisfied about this. The reason for these long delivery times is based on the low stocks that are maintained, or indeed items not being in stock at all. Large stocks are not maintained for representatives; the financial situation does not allow this. Representatives can only place an order with Sveiby AB once a customer order is received. This way of ordering significantly extends the delivery time to customers. In addition, transport time is also an uncertain factor. In winter, particularly, delivery times can therefore be as long as 14 days.

Transport costs are very high. There are two reasons for this. First, transport costs are very high because the various representatives are only supplied 1 to 2 loading meters (LM) at a time. A loading meter is one meter of the loading length of the truck, with a maximum height of 2.60m (internal height of a truck). Freight is paid based on loading meters. This means that there can be two europallets in one loading meter, 5 europallets in two loading meters and 7 europallets in three loading meters. If 2.1 pallets in volume are delivered, this is transported on 3 pallets, with payment being made for two loading meters. Below is a table with the price per loading meter (LM).

A second reason for the high cost of transport is that Sveiby AB, in Frila, is located about 350 kilometres north of Stockholm. This means that Frila is a location from which it is difficult to organise transport. So forwarders must detour many kilometres in order to take on freight. Whenever a truck passes the factory, the driver stops to ask if there are any goods that he should take on. Although this does allow a higher load factor for the forwarder, the load per shipment of Sveiby AB is very small, that is to say 1 to 2 loading meters.

This prompted Sveiby AB to have a team of logistics advisers (the project group) investigate to determine whether there may be an optional method, so that the end users of 90% of the orders would receive their deliveries within 72 hours. Of course earlier delivery is also possible.1.4. Research questionWith what advice, that can be realized within 8 weeks, Can Sveiby AB its logistics processes, improvements in the distribution process and shorten delivery times optimize so that 90% of orders within 72 hours will be delivered to the end user, taking into account handling, transportation and inventory costs?

1.5. Sub questionsCurrent situation:Warehouse1. Which factors play a role in the current delivery times?2. What is the current service level?3. What can be said about the sustainability?4. What are the current storage and handling costs?

Stock1. What are the current inventory costs?2. Is there A, B and C product? If so, what products / items are fast runners and what are the slow runners in the range of Sveiby AB?3. What are the product characteristics?4. What are the current input costs per representative?5. What is the products characteristic based on packing density and density value?

6. Which factor has the biggest effect in the optimization of inventory cost

Transport1. How is the current distribution network in the current situation?2. What is the current distribution look like?3. Is there a European distribution in the current situation? If so, what kind of European distribution is involved here?4. What methods are used and what are the current costs of transporting Sveiby AB to representatives?

New situation:Warehouse1. What requirements are there to be drawn to the new warehouse?2. How do the new requirements with respect to the delivery time?3. What requirements must meet the activities within the warehouse to minimize the delivery time?4. What is the ideal location for a DC in Europe?5. What is the optimal balance between inventory costs, warehousing costs and transportation costs?

Stock1. What requirements must meet the stock to minimize inventory, storage and handling costs?2. What is the ideal inventory model?3. What is the growth in sales and marketing?

Transport1. What requirements must meet the new distribution structure?2. What are the potential distribution structures?3. Which distribution alternatives are offered in the new situation?4. What are the costs and benefits for each distribution alternative?5. What is EDL?6. What does the shift from EDL do in the new situation?7. What possibilities does the European distribution?8. How does the role of automation in the new situation?1.6. ObjectiveSveiby AB wants customers to be more satisfied with the goods and services of the company. They want the end users at 90% of orders within 72 hours of their products in house.Sveiby for AB this is the reason to Rotterdam University Consultancy (HRC) in rent and to investigate whether it is feasible.

1.7. ProductsFor this project, the following must be submitted;

Plan of actionThis plan is clearly indicated what is the reason for the research, the problem, the objectives and what steps are being taken to achieve the objectives. In addition, there is described when these steps are taken and which products must be delivered.

EDL LiteratureThe purpose of this literature review is to gain more knowledge about European Distribution so that it can be described in the report. The report should indicate what the shift ELC menas and also explain what platform logistics means and the role of automation and telematics. This literature review is included as an appendix in the interim report.

German LetterThrough German letter, information is sought from the German wholesale. Which asks why Sveiby AB holds little stock and the level of service is therefore quite low.Between ReportIn this interim report indicates what is the progress. The current situation is calculated in Excel and is underpinned identifies three distribution alternatives will be developed further. They are supported by the literature on EDL

Final Report and Working ModelThis report covers the results of the study for the management of Sveiby AB. The report should be brief and be businesslike and should cover the whole project. The working model is handed on @ tschool and put in a CD with the final report.

Individual DefenseThese individual oral defense will take place in week 8. There will be understanding questions related to the report and the Excel model.

EvaluationThis project will conclude with a process report. This report will be evaluated during the last meeting in week 10. In the process of report items are discussed, such as: the work, cooperation, guidance and their own actions and those of other project members.Below is a list of the products to be delivered on the following dates and at the designated teacher.

1.7.1. Submission datesSee the table below for dates of handing in assignments. The deadline for handing in assignments is considered to be Friday by 23:59 at the latest. All products to be handed in must be handed in via N@tschool. A separate work room at N@tschool will be created for each group.Hand in onProductBack on

Thursday week 2Action planWednesday week 3

Thursday week 2Send German letter to Mr R. HoldermansWednesday week 3

Thursday week 4Interim report including Excel modelWednesday week 5

Week 6

Week 7

Thursday week 8 Final report including Excel modelWednesday week 9

Wednesday week 9Oral defenceWednesday week 9

Week 10RepairWeek 10

1.8. Project boundaries and precenditions1.8.1. Project boundariesThe project group will focus on the drafting of the report and Excel model for Sveiby AB. In this report will be looked at the physical distribution process in the Netherlands, Germany, France and Great Britian. The process is of the finished product to the end user.

1.8.2. PreconditionsThe end result must establish the criteria of school and client. Also, we will be look strictly to the grammar of the report, this have to be in the right condition.There should be enough computers available with internet function to search for needed information.We will keep us all the rules, needs, requirements and standards established by our employer. We treat others as you would want to be treated yourself. Respect for norms and values is key.

During this project we will use external sources, such as: Internet, articles and books. These will be detailed with reference to the APA rulesWhen a project member cant do his work for a bad reason, this should not affect the work that will be delivered. The work will be divided over the other members.

2. Project activity and planning2.1. Project ActivityAction Plan

SubjectPerson in ChargeStart DateDeadlineEnd Date

1. ContentDanny Kortland11-Feb-1519-Feb-1520-Feb-15

1.1. Project BackgroundDanny Kortland11-Feb-1519-Feb-1520-Feb-15

1.2. ClientDanny Kortland11-Feb-1519-Feb-1520-Feb-15

1.3. Project AssigmentVincent van den Berghe11-Feb-1519-Feb-1520-Feb-15

1.4. Problem DescriptionVincent van den Berghe11-Feb-1519-Feb-1520-Feb-15

1.5. Research QuestionRadinal Wibisono11-Feb-1519-Feb-1520-Feb-15

1.5.1. SubquestionSutrilastyo11-Feb-1519-Feb-1520-Feb-15

1.6. ObjectivesDanny Kortland11-Feb-1519-Feb-1520-Feb-15

1.7. ProductOktay Ozer11-Feb-1519-Feb-1520-Feb-15

1.8. Project Boundaries and PreconditionOktay Ozer11-Feb-1519-Feb-1520-Feb-15

2. Project Activity and PlanningRadinal Wibisono11-Feb-1519-Feb-1520-Feb-15

3. Load BalancingDanny Kortland11-Feb-1519-Feb-1520-Feb-15

4. Project and RiskRoy van de ven11-Feb-1519-Feb-1520-Feb-15

German Letter


LetterVincent van den Berghe11-Feb-1519-Feb-1520-Feb-15

EDL Literature Study


Reference SearchEveryone11-Feb-1519-Feb-1520-Feb-15

EDL DefinitionEveryone20-Feb-155-Mar-1506-Mar-15

Change from EDL to ELCEveryone20-Feb-155-Mar-1506-Mar-15

Logistics Platform DefinitionEveryone20-Feb-155-Mar-1506-Mar-15

Role of Automation and TelematicsEveryone20-Feb-155-Mar-1506-Mar-15

Cross Chain Control System Case StudyEveryone20-Feb-155-Mar-1506-Mar-15

Interim Report


Current SituationSutrilastyo04-Mar-1512-Mar-1513-Mar-15

SuggestionDanny Kortland04-Mar-1512-Mar-1513-Mar-15

Suggestion 1Vincent van den Berghe04-Mar-1512-Mar-1513-Mar-15

Suggestion 2Roy van de ven04-Mar-1512-Mar-1513-Mar-15

Suggestion 3Oktay Ozer04-Mar-1512-Mar-1513-Mar-15

End Report


Executive SummaryOktay Ozer04-Mar-1502-Apr-1503-Apr-15

ForewordDanny Kortland04-Mar-1502-Apr-1503-Apr-15

IntroductionSutrilastyo04-Mar-1502-Apr-1503-Apr-15

Current SituationRadinal Wibisono04-Mar-1502-Apr-1503-Apr-15

New SituationVincent van den Berghe04-Mar-1502-Apr-1503-Apr-15

Conclusion and RecomendationRoy van de ven04-Mar-1502-Apr-1503-Apr-15

AcknowledgementsRadinal Wibisono04-Mar-1502-Apr-1503-Apr-15

AppendixRoy van de ven04-Mar-1502-Apr-1503-Apr-15

Excel Model


Current SituationEveryone04-Mar-1512-Mar-1513-Mar-15

New SituationEveryone04-Mar-1502-Apr-153-apr-15

Defence and Evaluation


Individual Defence PreparationEveryone04-Mar-1502-Apr-1503-Apr-15

EvaluationEveryone15-Apr-1523-Apr-1524-Apr-15

2.2. Project Planning

Week1234567891011

1Action Plan

2German Letter

3Interim Report and Excel Model

4End Report and Excel Model

5Defend

6Evaluation

3. Load balancing3.1. CastProject leader: Danny Kortland

Archivist:Oktay OzerRoles of chairman and secretary vary by week. The next table will show who is the chairman or secretary in which week.WeekChairmanSecretary

1Steendam-

2Vincent v/d BergheOktay Ozer

3Oktay OzerDanny Kortland

4Danny KortlandRoy v/d Ven

5Roy v/d VenSutrilastyo

6Sutrilastyo

Radinal Wibisono

7Radinal WibisonoVincent v/d Berghe

8Vincent v/d BergheOktay Ozer

3.2. ProjectmembersNaamStudentnummerTelefoonnummerFunctieE-mailadres

Vincent van den Berghe0851896

0614207449Project [email protected]

Oktay Ozer

08670910648146116Project [email protected]

Sutrilastyo09052180685015229Project [email protected]

Danny [email protected]

Radinal Wibisono09052170639370068Project [email protected]

Roy van de Ven08633160621273790Project [email protected]

4. Project organization and risks4.1. RisksThe project is linked to a number of risks, the most common risks are described below with the result.

A project member stops training.Result: The tasks are divided among the other project members.

A project member is sick.Consequence: the unfinished work is overtaken by the person, prolonged illness the work is taken over by the other project members.

Absence of a project member.Result: work is overtaken by the person.

Problems with making certain project assignments.Consequence: help ask questions about the project members or advice during a meeting.

Discussion on distribution over who should make.Consequence: consultation with all project members about why the person does not agree with it, this happens in the group discussion or during the group meeting with the teacher.

Discussion on substantive issues within the project.Consequence: consultation between all project members about the problem during the group discussion or during the group meeting.

A project member has too many tasks undertaken.Result: another team member helps if possible one that has too many tasks, so the job is coming on time.4.2. Time collaborationEvery Wednesday is being done at school in the project of 11:20 to 13:30 and 14:00 to 16:00.When working on the project are first searched computers to perform the work. Every Wednesday at 13:30 to 14:00 there is a meeting scheduled with Mr. Steendam, so any questions and / or issues can be solved.

The minutes of the meeting must be put within 24 hours after the meeting on N@tschool, and the agenda must be posted at least 24 hours before the meeting at N@tschool. Everyone within the project must bring the agenda for the meeting. If there is still work to be done, that were planned within a given week, you have to work for this after school to complete the work or it can be completed at home.

Each participant of the project is responsible for the end result and should show maximum effort during the work occasions. Anyone have input into the decisions that are taken, the project manager is the one who takes the final decision when no decision can be taken. The project manager ensures that there is a good communication between the group.AppendixCooperation contract

Members: Oktay Ozer

Vincent van den Berghe0867091

[email protected] Kortland

Roy van de Ven0860234

0863316

[email protected]

[email protected]

Sutrilastyo

Radinal Wibisono

0905218

0905217

[email protected]

[email protected]

By signing this contract we declare: 1. Planning

1.1 Each member must be on time at scheduled meetings.1.2 In case of illness or incapacity timely reporting to the project manager. 2 hours before the agreed time.1.3 All the work should be handed before the deadline (the deadline is a week in advance and mailed to the project group)1.4 Each Member in a timely manner should report this to the project leader.

1.5 The plan must be clear and honest are divided.

3. Quality

3.1 All appointments and activities should be typed. 3.2 The work must be looked clearly and well-structured to see.

4. Information

4.1 All information is posted on dropbox, which is available for the project members.

4.2 Altering the schedule is everyone temporarily informed by the project .During self- planned meetings and formal meetings keeps the secretary that changes every week all information in the minutes5. Organisation

5.1 Self Scheduled meetings take place on weekdays , depending on workload . During meeting evaluated is made work. Formal meetings are held on Tuesdays.5.2 All tasks are divided in groups.5.3 All decisions are made in groups.

5.4 Each member serves to substantiate the criticism with clear arguments. 5.5 With little or no commitment of members, the client will be notified.

6. Communication

6.1 The Project members check their e-mail several times a day6.2 The project members always give each other feedback in digital form

6.3 Project members are willing to schedule their day to focus on the project when it is needed.7. Penalties

At non-compliance with the above arrangements can be applied the following penalites there by the other group members:

Yellow card. Failure to comply with the agreements without good reason. Two yellow cards is a red card. Red card means removing from the project group. Yellow cars can be shelved by extra work to do for the project group.

Rotterdam, 19 February 2015

Oktay Ozer

Vincent van den Berghe

Danny Kortland

Roy van der Ven

Sutrilastyo

Radinal Wibisono

Plan of action Sveiby AB

Document: Plan of actionNamen: Danny Kortland0860234 Roy v/d Ven0863316 Vincent v/d Berghe0851896 Oktay Ozer0867091 Sutrilastyo0905218

Radinal Wibisono 0905217

Group: 10Company name: Sveiby ABProjectcode: ILEPJT31Project supervisor: Mr. SteendamVersion: 2.0Date: March 12thPlace: Academieplein, Rotterdam

Plan of Action - Project EU Distribution DONE

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