Tuesday, May 7, 2019
Business logistics Essay Example | Topics and Well Written Essays - 2000 words
Business logistics - Essay ExampleZaras contribution to the European fashion market sales account for a staggering two-thirds of Inditex total 9002 one million million Euro, of which net profit was 1002 Million Euro. 1.1 THE EXISTING PROCESS AND LOGISTICS OF ZARA A team of designers in Zara is charged with the indebtedness of spotting emerging trends in response to consumer demands. Valuable feedback from consumers is received from Store Managers also. The information collected by them on design, outlook and demand is transmitted through a wireless network. These inputs are used by the design Management team to develop the latest products for Zara,(Sull, andTurconi, 2008). ... The whole process of design and cutting takes almost 10 days. After the prototypes are produced, they undergo a decision process wherein the management decides which of them will go into commercial production. This decision is made on the basis of a special algorithm and the conditions and demands in the mar ket. by and large only about 40% of the prototypes become commercial products for customers. They are then returned to the manufacturing centers to enter the production chain, canvas for quality control, and packaging,(Sullivan, 2005). The ready material is moved to the automated distribution centre inArteixo, which is the main diffusion Centre with no storage facility. Logistics models assist the management in assessing the number of batches that should be delivered to the stores twice a week through shipments, which makes sure that the stores are not overloaded and are delivered as per their demands. A pass of trucks reach out to places with overnight distances and chartered cargo flights are used for larger distances. The familiarity squeezed its ecstasy models and decided to go with air cargo, so that flights can organize outbound consignment of all company products with return journey loaded with raw materials and half-finished products, (Burt, Dawson, andLarke, 2003). Fi g1 Complete Operations chain of Zara Fashions Fig2 Outline of operations at Zara SECTION 2 This section presents theadvantages/disadvantages, SWOT, PEST analysis of Zara and evaluation of current operations and logistics at Zara. 2.1 strategical Advantages Being different from traditional retails, its does not outsources itsoperationsor products
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