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Question;SCM;301;INDIVIDUAL;ASSIGNMENT #3;TOTAL;LANDED COST;Please;answer the following questions including showing all of your work;1);How many pounds of mango concentrate are;required?;a.;(2 points). In a month?;b.;(2 points).;How many in a year?;2);(5 points).;In computing the Total Landed cost for mango concentrate, we are;interested in the incrementalcost per unit (cost per pound) added along;the supply chain, rather than the total cost added at each step along the chain;(for example, total cost of ocean shipping).;Why?;3);(10 points).;Using some variation of business process mapping, graph out the mango;concentrate supply chain focusing on when cost is added to the supply;chain. (i.e. Display/draw the process from Papa Growers to;Mom & Pop market, highlighting the points where cost is added to the;process).;(4;points). Why would tracking this cost be;important to International Fruit Distributors?;4);(45 points).;Identify the individual cost components and the total cost of delivering;the product from supplier to retailer. Identify;each cost in terms of the incremental addition to the product cost (Hint;Express your answers in terms of cost per pound?not total cost). Present your findings in the table below;using 4 significant digits. Yes, some of;these may be very small numbers --- but why might that be important?;(Hint: You should be able to identify 13 separate cost;categories in this supply chain. 3 have been identified for you).;Identified;Cost;Cost;per Pound;Calculation;1. Original;unit price;$0.3900;Given in the case.;2. Ocean;Freight charge;3.;4.;5.;6.;7.;8.;9.;10.;11.;12.;13. General and Administrative;fees;Total Landed;Cost (Sum of 1-13;above);5);(4 points).;What conclusion can you draw when comparing the total landed or delivered;cost to the original purchase cost?;(4;points). What does this suggest about;the importance of supply chain management?;6) Assume;that Joyce Johnson has asked you recommend ways to cut the total landed cost of;mango concentrate. Given your above;analysis, identify three costs you would recommend for further study to cut or;reduce. How might you accomplish that? Be specific and realistic in your;ideas and provide the first steps you would take to make that happen! (Hint: Starting a new mango grove in San Diego is;not a viable option. It would cost much;more than $0.39 per pound to produce the raw product there, plus loose the;unique flavor!).;a);(8 points);Recommendation #1;Strategy;b);(8 points);Recommendation #2;Strategy;c);(8 points);Recommendation #3;Strategy;Case modified from Monczka, Trent, and;Handfield, Purchasing and Supply Chain Management, 3rd;edition, South-Western Publishing, 2005.


Paper#52946 | Written in 18-Jul-2015

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