SlideShare a Scribd company logo
1 of 28
Download to read offline
Assignment Cover Sheet
Course/Unit Information
Course Postgraduate Diploma in Supply Chain Management and
Logistics.
Unit No. 102
Unit code PGDSCML/102
Instructor Information
Name
Phone
Email
Assignment Information
Full/ Part Assignment Full Assignment
Date Assignment Issued
Date Assignment Due
Student Information
(To be filled by the student prior submitting the assignment)
Name
Email
Date of Submission
Student Declaration
I,(Name) Hereby confirm that this assignment is my own work and not copied or plagiarized. It
has not previously been submitted as part of any assessment for this qualification. All the sources,
from which information has been obtained for this assignment, have been referenced as per
Harvard Referencing format. I further confirm that I have read and understood the Westford School
of Management rules and regulations about plagiarism and copying and agree to be bound by them.
Students Signature :
Student Name :
Date :
Learning Outcomes and Assessment Feedback
Module
Code & Title PGD-SCML PG Diploma in Supply Chain and Logistics Management
Module Learning Outcomes
LO1 Understand the relationship between supply chain management and organizational
business objectives
LO2 Be able to use information technology to optimize supplier relationships in an
organization
LO3 Understand the role of logistics and procurement in supply chain management
LO4 Be able to plan a strategy to improve an organization’s supply chain
LO5 Understanding the Role of Inventory Management and the use of the its various Strategies
and Techniques
LO6 Physical Distribution and its Contribution to Supply Chain Strategies
Assessment types Marks Marks Achieved
Task 1: Case specific 30
Task 2: Case specific 25
Task 3: Presentation 20
Task 4: Case specific 25
Overall Marks (%) 100
Overall Grade awarded
Date
Summative Feedback:
Overall Feedback on
current work with
emphasis on how the
student can further
improve in future.
The following grading criteria will be applicable for the course, Executive Diploma in
International Business Management:
Marks Grade
70 to 100 A – Distinction
60 to 69 B – Merit
50 to 59 Pass
40 to 49 Fail with Resit
0 to 39 Fail with Retake
General Guidelines
(Please read the instructions carefully)
1. Complete the title page with all necessary student details and ensure that the signature of the
student is marked in the declaration form.
2. All assignments must be submitted as an electronic document in MS Word to the LMS (Use
12 Times New Roman script).
3. Assignment that is not submitted to the LMS by the prescribed deadline will be accepted
ONLY under the REDO and RESIT submission policy of Westford.
4. The results are declared only if the student has met the mandatory attendance requirement of
75% and/or a minimum of 50% under extenuating circumstances approved and ratified by the
Academic Director.
5. The assignment should not contain any contents including references cited from websites
like www.ukessays.com, www.studymode.com, www.slideshare.net , www.scribd.com.
6. No Wikipedia referencing will be allowed
7. Word count is 6000 words
8. Bibliography must be shown below. Marks will be deducted if left out
9. Submit the assignment in a MS Word document with the file name being:
First Name Last Name_ abbreviation of the subject.
Example: John Smith_SSCLM
Quick Reference Checklist for the Students:
1. Adherence to the deadline of submission date.
2. Original cover sheet and format retained.
3. Student information and signature intact.
4. Font style and size used as instructed.
5. Harvard Referencing System and Citations are strictly followed.
The Case
Introduction
You have recently been assigned the position of Vice President of procurement of a reputable
Middle Eastern airline called Flysafe based in Dubai, The organisation was established in 1973
where it operated only 5 aircrafts and two routes within the region. In those days, competition was
limited and so, they were able to make significant profits despite some operational challenges.
Looking forty plus years ahead, the organisation has grown significantly with over 2000
employees and an aircraft fleet size of 300 state of the art aircrafts. The market has now changed
with several non-middle eastern airlines running the route with low budget airfare options.
Consumers are choosy and have targeted low cost type / now frills airline carriers. The reporting
and data transfer lines are not linked between flying hours of rotating spares, supplier schedules
and the shipment of spare parts for the operations. The organisation has also lost favor with many
of their strategic suppliers, Super Turbines and North Star Aircraft limited, mainly for engine
repairs and technical support, landing gear spares and other power plant supplies. Many of the
orders are rushed and shipped via airfreight to accommodate AOG (Aircraft on Ground) status and
even for routine requests. No manager has ever weighed in on the freight cost vs ocean and in
every occasion, FCA incoterms are used with a local based freight forwarder. Recently, North
Star has complained that these arrangements cannot continue, claiming that shipping of parts out
of their warehouse is not their expertise and neither is it their core business. This has led to delays
in major overhauls, coupled with limited supplier concessions by both vendors.
Flysafe has also recently diversified their business model, converting two of their older 777
aircrafts into freighters to support their Flysafe Global Caterers subsidiary. The subsidiary is
actually run by a third party provider. Just two years running, their Oman, and Saudi based airline
customers have complained that their Dubai location does not allow for the fastest delivery,
although the board of FGC thinks otherwise. There were also documented cases of poor food
quality and delays in getting the food to the aircrafts on time. This has amounted to over 200,000
USD in penalty charges by airlines since FGC’s inception. Management is now thinking of
dissolving this new arrangement and cancelling the contract with Food for the Skies, the named
third party operator. But some board members remain optimistic and now thinks that the new
Procurement VP can devise a distribution plan to save the subsidiary and also revamp the current
outsourcing contract.
The current IT platform no longer meet the needs of the operations as it was initially setup to have
each department module function independently. This has affected the supply chain’s performance
since they had recommended that a new system be purchased to allow for a more integrated chain
of activities and that the suppliers be integrated into the network as well. These realities,
unfortunately, have been compounded by some major procurement related shortcomings that has
weakened the entire company, seemingly, now very close to the point of closure.
Procurement turnaround
You have been given a three month mandate to turn around the organisation, reversing much of its
losses, often caused by poor sourcing decisions and a lack of understanding of the way
procurement and supply chain works in the airline industry. The board now require you to address
several challenges.
A report done by an external auditing body, hired by the board, concluded, that there were several
weaknesses which contributed to significant operational & financial losses every year and if not
addressed quickly, is likely to lead to a collapse of the operations and an insolvent situation, just
as the board forecasted. The board requires, that any further and future recommendations
presented, shall be supported by some secondary research, which would eventually justify all
reconditions to be discussed here. You are also encouraged to use examples of the successes and
challenges of other firms as you proceed to address the issues at hand. A summary of some key
procurement issues are as follows. Some may not have been mentioned above:
a. Outsourced catering contracts that have contributed to operational delays and poor
quality.
b. Slow turnaround of rotating spares.
c. Poor supplier relationships
d. Operational challenges associated with defective OEM spares with a global
sourcing partner.
e. Uneconomic sea freighted transshipment routes from Europe to Middle East for
bulk category C OEMS.
f. IT system, not supporting supplier performance and supplier relationships.
g. lack of vendor cooperation and support
Addressing the financial impact.
As the new VP you have been briefed about several financial and cost related issues that have
plagued the enterprise. The Director - Finance, Annie Windsor presented some financial data (See
figure 1.1 below), arguing that this supplier, which happens to be the third party provider Food for
the Skies, should not have been selected in the past based on the results shown. This was based on
an internal audit conducted by her department .The Internal audit has revealed several inventory
management challenges for the new VP of procurement as well.
AC O-rings and other category C stock types are either out of stock or spares being discarded due
to expiration reasons. This was common with o -rings and all rubber related C type spares. As for
high value of stock (A category) such as engines and rotor spares, thee were found to be too high,
with engines sitting on the hangar floor with reportedly slow turnaround times. These were seen
as unnecessary capital being tied up in stock and a serious threat towards the firm’s already
stressed liquidity.
Assignment Tasks:
Assignment Task: Read the following Scenario, and prepare a Report with the
guidelines provided.
Report – 100 Marks [8000 -10,000 Words]
Assignment Task 1: Case Study [30 Marks]
a) Briefly, as VP of Procurement, you are asked to demonstrate an awareness of the current issues
facing global supply chains, with relevance to the airline and aviation sector. This must also
involve some assessment of the market environment and how the macro factors are currently
impacting the industry. You must present reputable and industry related data to the board of
directors, needed for procurement and corporate decision making later on. Remember that the
board must remain convinced that you are the right person for the job.
b) Firstly, the current outsourcing strategy must not be ignored. You must assess the complex issue
of outsourcing strategies in supply chains within the market sector and develop original and
creative responses to the issues surrounding outsourcing at FlySafe. A revamping plan of the
strategy must be recommended, exploring contract management methods to address the problems.
Any strategies recommended must be workable and tested within the industry at least. The student
can also explore other strategies to replace a third party arrangement that might also reap benefits
for FlySafe. (LO4 )
Assignment Task 2: Case study [ 25 Marks]
Looking ahead of the strategic plan and market review, experience reminds you that
vendor management must be integrated into any proposals prior to implementation. It
is also encouraged, that supplier relationship management be supported by the requisite
IT platform. Your years of experience has taught that if suppliers are not part and parcel
of your plans then it’s useless without them taking center stage. An extensive review of
supplier relationship management now form part of the equation of not only addressing
the lapsed relationship above, but to also take on a holistic approach in being part of the
correction.
Supplier relationship management must be done rationally and not a case of building
strategic ties with all suppliers. The Kraljic Matrix should be applied to help organize
the relationship distribution for FlySafe. The supplier's’ perspective on the reasons why
the collaboration has collapsed must also be reviewed where you will apply the
Supplier Preferencing model to determine other operational and strategic reasons for
the failure. A suitable SRM software must also be recommended, while you outline the
importance of IT in fostering better ties between FlySafe and the vendors mentioned
earlier. (LO2 and LO1)
Assignment Task 3: Case study and Student Presentation [ 20 Marks]
You are required to plan and present a logistics report to the board by answering several
of the questions they have posed below. Your proposal might consider a range of route
options and strategies for faster delivery and reverse logistics efforts, considering that
most import and export shipments for rotating spares shipment are done out of North
America and Europe. This happens to be where the strategic vendors, Super Turbines
and North Star Aircraft limited operates so a well thought out plan must be presented.
Incoterms and transport modes would also be assessed. The issue of Flysafe Global
Caterers has become a logistics and distribution bugbear for the board so they are
looking forward to workable solutions. The following must be addressed in a live
PowerPoint ONLY presentation. Note the higher marks will be awarded for content
where students are able to draw from real life examples :
• Why is reverse logistics an important supply chain function to the airline industry?
• Provide examples where this function is applied within the sector or other sectors,
highlighting the successes and challenges faced.
• How would you improve reverse logistics at FlySafe
• Present in summary form, workable solutions to address delays that might be
linked to the location of the key suppliers mentioned above?
• How would you go about addressing the current incoterm issue? Please justify
your solution / s to the board? Would you consider another term and if so why?
• With the Catering subsidiary being accused of having an unsuitable location hub,
do you think such a reason is justified? Give reasons for answer given.
• If you were to relocate existing Dubai hub as your first solution in addressing the
delays to customers where would you locate it too and why?
• What factors might you consider before you plan your relocation?
PRESENTATION GUIDELINES AND TIPS:
• First slide can briefly speak about the firm and airline industry
• A good idea might be to highlight the ops strategy of the firm first before you
make mention of the challenges
• Feel free to include short videos. For e.g. example 1 to 2 minutes long.
• Try to use bullet points and keep it short.
• Photos can also be used to tell a story or help explain a point.
• At least 10 slides must be presented
GRADING AND RULES :
10 minutes to present.
5 minutes for a Q and A session
You will be scored out of 20 with the marks distributed as follows :
No. Name PPT
(Quality of
design, layout,
images, overall
appeal)
5 Marks
Content
5
Marks
Presentation Skills
(Confidence,
communication Skills,
Posture, Voice Modulation)
5 Marks
Interaction/Q&A
5 Marks
Total
20
Marks
An important Caveat: If your slides includes extensive content then you are likely to go over your
time. It is recommended to stay with bullet points and give an overview of them. Sometimes it might
not be required to detail everything line by line, but to give an overview and speak around the data.
This requires practice but the approach will help you in delivering future presentations.
(LO6 and LO3)
Assignment Task 4: Case study [ 25 Marks]
a) In assessing the ratio table below, you must now determine realistic assumptions on the
possible causes of the results, propose solutions to address them and the impact it may have
on supplier relationships later on or even currently. The VP must also make recommendations
to avoid such from occurring based on the finance director’s findings. Student will refer to
the financial appraisal results in figure 1.1 below. (LO5)
Figure 1.1 Financial results of Food for The Skies
Ratios 2015 2016 2017
profit margin 9.12 8.63 9.22
profitability 13.12 11.23 9.25
Return on Assets 23.15 16 14.23
Current ratio 1.62 1.45 1.21
Acid or Quick
Ratio
0.98 0.82 0.55
Stock turnover 5.1 6.12 4.25
Gearing Ratio 13.15 15.15 21.25
b) The inventory management shortcomings the organisation now faces should be tackled
with a detailed plan to correct inventory levels. The student must also distinguish between
dependent and independent demand while discussing what other ordering techniques
might be fitting for the airline industry. These arguments must be well justified. For
example, EOQ ordering concepts and periodic review replenishment systems could be
reviewed. Some other warehousing and inventory management solutions should be
explored such as VMI and Demand Pull strategies for rotating spare parts. For the
moment, your assumption is that the airline has not accurately matched supply with
demand conditions and have therefore linked this issue with working capital management,
cost planning, capital expenditure investment allocation issues and current cash flow
constraints. You must now develop very clear solutions based on the inventory challenges
highlighted above. (LO5)
NB – The names and data are all fictional. If anyone finds the same similar to their enterprise,
then this will be coincidental.
FLYSAFE
Introduction
FlySafe began on a positive note in terms of performance, profit and reputation, and this was due
to the economy boom, lack of competition, low fuel prices, low insurance prices, and other
factors that contributed to the high margin profit in a short period of time. However, the industry
has changed and FlySafe is not doing as well as it once was. After assessing the situation, one of
the main reasons was the poor performance of the supply chain management department.
Moreover, we are in the midst of a fundamental revolution in the nature of airline business. If
any company wants to thrive in these new conditions, it has to understand how supply chain
networks work.
Supply Chain Management
Supply chain management is the wide scope of exercises required to plan, control and execute
product's flow, from procuring raw materials and generation through to the last client, in the
most streamlined and cost-effective way possible. Supply chain management is critical in light of
the fact that it builds intensity and consumer loyalty. Supply chain management is vital for a
company’s prosperity as it enable firms to rapidly convey items to the end-client with minimal
effort. An inventory network is an arrangement of associations, individuals, exercises, data, and
assets engaged with moving an item or administration from provider to client. (Christopher &
Towill, 2001). At the point that an organization has a successful inventory network the
executives set up, the company will benefit from the execution of a proper inventory network as
waste and loss will be diminished. Therefore, it is critical to focus on the performance of the
supply chain or network in which the company is a partner.
Supply chains comprise all activities associated with the flow and transformation of goods from
the raw material stage through to the end user (Nicholas, 1999). It is a vital business function and
the process includes sourcing raw materials and parts, manufacturing and assembling products,
storage, order entry and tracking, distribution through the various channels and finally delivery
to the customer. It also consists of several members who are positioned upstream or downstream.
However, the view of the supply chain has changed over time from an internal to a more external
focus i.e. from an internal supply chain to an integrated synchronized supply chain. (Landry,
2000).
The origins and evolution of the supply chain is composed of four phases. The first phase starts
with the integration of the steps within the internal supply chain. The second phase emphasizes
the horizontal nature of the process inherent in the basic task of procurement through to the
manufacture of finished goods and cooperation between the steps in order to create an integrated
whole and the opportunity to reduce costs and delays as well as increase customer
responsiveness. The third phase concerns coordinating activities between businesses, for
example tier 1 and tier 2 suppliers, and stages in the distribution channel. The final phase
involves synchronizing the planning and execution of activities across the supply chain. The
concept of supply chain management originated in the manufacturing industries during the early
1980’s, and it was developed from innovations such as Just in Time and Total Quality
Management. Supply chain management can be seen as an example of evolutionary and
cumulative innovation, which is often described as emanating from internal programs aimed at
improving overall effectiveness (Al., 2006). The focus is not only limited to increasing the
internal efficiency of organizations, but also has now been broadened to include methods of
reducing waste and adding value across the entire supply chain (Christopher, 1998).
The driving forces of supply chain management stem from two sources, which are external
pressures and potential benefits from strategic supply chain alignment. External pressures
include factors like advances in technology and increased customer demand across national
borders (Basu, 2001), maintaining lower costs while meeting these diverse needs, intensified
competition utilizing relationships among vertically aligned firms (Beamon, 1999). Others
include greater competitive intensity, tighter alliance relationships, continued merger activity,
and need for better information. These pressures have begun shifting the focus of individual
firms vying for market presence and power to supply chains competing against supply chains.
The second main driving force entails the potential benefits from successful supply chain
collaboration. That includes unique products and services, faster research and development
cycles, superior product quality, and cost competitiveness.
Importance of Supply Chain Management for FlySafe
When analyzing the issues that FlySafe are going through, a lot of it has to do with supply chain
management. In addition to that, restricting and fixing the supply chain management can solve
these issues. For example, the reporting and data lines are not linked between flying hours of
rotating spares, supplier schedules, and shipment of spare parts. Also, the company has issues
with two of its suppliers that repair mechanical parts of the airplanes. FlySafe not only has
problems with suppliers for aircraft maintenance, but also with the catering that is outsourced
and currently run by a third party. These issues are severely impacting the company, and will
most likely lead to the company shutting down if not addressed properly. If we are able to
restructure our supply chain, we can save the company. Firstly, costs will decrease because we
have already increased costs due to avoidable issues such as paying penalties and paying more
for airfreight due to late orders. Secondly, the image of FlySafe will improve both in the eyes of
the consumers and suppliers. There are already complaints from both parties as consumers
complain about the quality of the catering. Suppliers on the other hand are also complaining
about the way they have to rush to deliver parts.
Issues Facing Supply Chain in the Aviation Sector (MRO)
One of the identified problems at FlySafe is the procuring of spare parts. This will lead us to
study in depth the MRO to insure that aircraft are maintained in excellent conditions to safely
transport passengers. The first aspect to be discussed is inventory management. (Grokhovskaya,
2018) It is difficult to ensure the right balance of inventory as too much will lead to increased
maintenance costs as well as paying for storage space, while too little can cause delays and that
will also increase costs. (Grokhovskaya, 2018) One way to tackle this issue is to analyze big data
and predict when inventory is needed and order accordingly. (Grokhovskaya, 2018) This is a
solution that FlySafe should look at when it comes to its own inventory management and
especially for the catering.
The second aspect is moving parts when expanding into different markets. (Grokhovskaya, 2018)
What this means is that companies have to be more agile in their supply chain management
delivering the correct parts at the correct time. (Grokhovskaya, 2018) This is more towards a just
in time production but due to the nature of the industry, that could be difficult to maintain
because some parts take quite a significant time to be ready so being agile is difficult. The third
aspect comes from emerging markets, and what they do has an impact on the global supply chain
management of the industry. (Grokhovskaya, 2018) There seems to be an issue with the rapid
fleet growth from emerging markets like Asia/Pacific and the Middle East as the aftermarket
tends to be uncoordinated and fragmented. (Grokhovskaya, 2018) The reason that the market is
growing in these areas is due to the low labor costs, and FlySafe could take advantage of that. If
FlySafe can take advantage of the low labor costs, that would be beneficial. The issue is that
there are a lot of inexperienced workforces. (Grokhovskaya, 2018) Therefore, the company
would have to implement a quality check from the suppliers if we do enter those markets.
However, it may be a smarter choice to go with quality over cost saving when it comes down to
it.
The world we live in today is fast paced and travel has become widely available, and that means
that there is a large customer base. Moreover, consumers are demanding more as there are a lot
of competitors. Consumers expect minimal flight delays, and their needs seem to shift pretty
rapidly. (Grokhovskaya, 2018) As a result, organizations should listen to what the customers
want and act accordingly. However, that is easier said than done. Sometimes what the customers
want may require a significant change in how the organization works.
Another challenge when it comes to MRO’s is with strategic global partnerships, or building
long time global partnerships with suppliers that are capable of delivering the quality required to
meet the organizational needs. (Grokhovskaya, 2018) This is another area that FlySafe can
improve on, as the current relationship with suppliers needs to be improved urgently. Overall, the
industry is continuously growing especially with the growth of e-commerce and low fuel prices.
(Nuijten, 2018) Technology is one factor that is crucial to the industry and rapidly changes how
the industry works for example, communication. Worldwide communication has never been
easier due to the current technology available, but keeping up with the technological changes and
updating may be difficult and costly for some companies. Again, that touches upon the IT
problem that FlySafe faces.
PESTEL Analysis
Political
In order to further understand the factors that affect the aviation industry and how these factors
influence FlySafe’s supply chain management decisions, a PESTEL analysis will be conducted.
Beginning with the political factors, a pivotal factor is war. War is a major factor because airlines
have to change their flying routes if areas that are affected by the war become no fly zones. As a
result, aircrafts will most likely have to fly for a longer time. That means that more fuel will be
consumed as well as the aircrafts will require more maintenance. Therefore, the supply chain for
fuel and maintenance will have to change. Another political factor is the fact that the industry is
highly regulated and passengers are preferred over airlines. (Pestleanalysis, 2014) That affects
FlySafe because there are already complaints from passengers regarding the quality of the
catering that is provided, and that could lead to large problems. In addition to that, keeping up
with the ever-changing regulations is costly.
Economic
The first major factor affecting the aviation industry is oil prices, and in 2018 oil prices
fluctuated throughout the year, as there was a 24.84% change. (Macrotrends, 2019) This not only
affects fuel prices but also the economy as whole. Economic conditions affect passengers in the
sense that demand for travel increases, but people’s budgets decrease. As a result, there will be a
higher demand for budget airlines. This is positive for FlySafe because it is a budget airline, but
the downside is the amount of competition showing up on the market. Due to the higher demand
of no frills airlines and the amount of new budget airlines opening, FlySafe has to distinguish
itself from the rest. (Boyd, 2018) Even though it is a budget airline, quality is still extremely
important and is a major factor to consider when implementing the new supply chain
management plan.
Social
The current younger generation of people has a desire to explore and see as much as the world as
they can. (Pestleanalysis, 2014) A lot of these people are not interested in all the new luxuries
that are available on airplanes and only care about reaching their destination for as cheap as they
can. As a result, this is one of the factors that caused the increase in demand for budget airlines.
On the other end of the spectrum, there are also people that crave the utmost luxury and services
when traveling. These people would most likely not use FlySafe. When looking into the supply
chain management for FlySafe, it would be beneficial to look into entering further countries that
are seeing tourism booms.
Technological
As mentioned above, communication has never been better, thanks to the current technology.
This facilitates the supplier-customer relationship, as there are systems that can be put in place to
forecast the needs of the company. This is crucial to FlySafe, as it will help with the issues of the
delayed orders. One pressure on the industry that comes from technology is keeping up with all
the new technological advancements, which seem to be coming at a faster rate than ever.
Environment
There has been more emphasis on waste management in recent years, and that is a positive
aspect for the environment but could be difficult for companies. (World Energy Summit , 2018)
The materials that have to be used could be more costly, and even getting rid of the materials can
also be costly. What some suppliers do is that they require companies to send back used
materials at a cost. A tie into technology would be the fuel emission requirements as new
technology is coming out in order to reduce fuel consumption, and that is beneficial to the
environment as well as for the company overall. FlySafe should look into this, as a one-time cost
for implementing that technology will help keep overall costs down on the long run.
Legal
Regarding aviation laws, they are tailored in a way that has the safety of passengers at the utmost
importance. The downside for airlines is how expensive it is to keep up with these regulations,
especially when passenger safety is involved. Therefore, FlySafe cannot take any shortcuts with
aircraft maintenance and repairs.
Outsourcing and its Pros and Cons
According to The Chartered Institute of Purchasing and Supply, outsourcing is “ the process of
identifying the most suitable expert third party service provider to undertake the management,
administration, and provision of the service in question.” (CIPS) This is a crucial aspect in
supply chain management as choosing the right organization to handle parts of the business can
be beneficial as it should be the specialty of the organization. In other words, the first benefit of
outsourcing is taking advantage of specialized organizations to handle certain functions. That
could lead to lower costs because of the efficiency of the organization that is handling the
service. Other benefits are improved resources, higher quality of service, and meeting customer
demands. (CIPS)
Outsourcing does have its negatives as well, as the designated third party may not care about the
organization and may not perform the task as well as they should. Also, control and overseeing
operations can be difficult. Moreover, misunderstandings do happen because there is a chance
that the third party does not quite understand what is required. As a whole, outsourcing should be
beneficial and definitely used in FlySafe.
Analysis and Plan
When looking at the current issues that FlySafe is having, it is clear that the management of
contract is what is causing a lot of the problems. Contract management is the “procurement
process that ensure suppliers adhere to their agreed contractual obligations”. (CIPS) We can see
that especially with the supplier North Star as they are getting frustrated when they have to ship
supplies out of their warehouse because they say it is not their specialty. This is the key to this
problem that led to delays in major overhauls. The specifics of how supplies are moved should
be mentioned in the contract and followed by both parties.
How should FlySafe address its outsourcing issues? Outsourcing in the aviation industry has
become key as companies try to keep costs down low. Warwick Brady, Chief Operating Officer
of EasyJet, says “we outsource everything we can outsource”. (Wild, 2014) Looking at some
examples of how airlines outsource, Lufthansa outsourced its maintenance and support for
ticketing through a cost cutting scheme, Delta Airlines re-signed in 2014 their catering providers,
and British airways outsourced its security to the company G4S. (Wild, 2014) All these are
examples of successful outsourcing arrangement, but there is a downside. When Lufthansa
outsourced their ticketing, they cut out 3500 jobs. (Wild, 2014) Although beneficial to the
company, 3500 people had to lose their jobs for this to happen and might have affected the moral
of the rest of the employees at Lufthansa.
Looking at the feedback from some of the stakeholders beginning with the issue with Northstar,
Northstar should be kept as the reason of their delays is mainly due to FlySafe placing late orders
and having Northstar struggle with delivering on time. The solution there would be to write up a
new contract that clearly states all the details of moving supplies as well as FlySafe stepping up
by introducing predictive software that could place orders and solve the problem with Northstar.
Also, this would save costs, as late orders no longer have to be rushed through airfreight that is
more expensive than sea-freight. This ties into the next problem, which is the IT. The current
software is outdated as each department module functions individually. FlySafe should consider
outsourcing the IT that would link all the functions as well as the predictive software for ordering
supplies, but the problem there is that the IT company would have a lot of important data from
FlySafe.
Regarding the catering contract with FGC, the third party currently running the program should
be changed and a new system put into place. The reason for that is there are complaints about the
whole service, which is getting the food on time and the quality of the food itself. The most
important aspect of the whole revamped plan is the IT because that will be the link between all
the departments. Moreover, the new software would help rebuild the relationship with Northstar
and also help with the performance indicators of each department. This will help the board to
really see what is happening and take the appropriate decisions. As a recap, the new plan would
be based around a new IT software that will repair relationships with aircraft maintenance
suppliers, link all departments, and completely change the third party that is running the catering
division.
Supplier Relationship Management
Now that the plan is set, an important part would be the supplier relationship management. The
Chartered Institute of Purchasing and Supply defines supplier relationship management as “the
process for managing the interaction between two entities”. (CIPS ) Supplier relationship
management is meant to benefit both parties, and it is exactly what FlySafe needs in order to
mend its relationship with the current suppliers. Moreover, it will help in the overall efficiency of
running the organization. A managed relationship is one where both entities know how the other
is going to react while fulfilling the required tasks from each. (CIPS ) In other words, it becomes
smooth sailing between the two and everybody benefits. It is important to know what both
parties are able to deliver before writing up the contract in order to avoid problems similar to
what FlySafe was happening.
Also it is important to understand that there are different levels of relationships with suppliers,
which will be looked at in depth using the Krajlic Model. In the pre contract phase, the supplier
must be evaluated and chosen. (CIPS ) This will be important when it comes to the catering,
since we are completely changing the third party that is currently managing it. For the aircraft
maintenance, we need to rewrite the contract and clearly define the expectations of each party.
The Chartered Institute of Purchasing and Supply recommends that there should be an exit plan
in the contract if the relationship does not go as planned. (CIPS ) In addition to that, CIPS
mentions the skills that are acquired in order to have a successful relationship. They talk about
interpersonal skills, listening skills, persuasion skills, diplomacy skills, arbitration skills, project
management skills, and performance measurement skills. (CIPS ) Based on the information
given, we can deduce that maintaining a relationship with the supplier goes beyond simply
delivering the required goods, and this is an area that FlySafe needs to improve on with the
suppliers. This is key with the aircraft maintenance suppliers because FlySafe already has to put
out a positive image and mend its relationship with them, and FlySafe has to go beyond just
mending the relationship and reach a point where both parties are benefiting.
There are two types of approaches to supplier relationship management, strategic and reactive.
(Michael, 2018) Reactive is managing the relationship when a negative situation happens, and
that’s what FlySafe has been doing previously. (Michael, 2018) What should happen is that
FlySafe should use the strategic approach, which is the relationship should be planned and
worked on before the contract is even signed. (Michael, 2018)
Examples and Benefits of Supplier Relationship Management in the Industry
It is clear that a successful relationship with the suppliers is beneficial to both parties as access to
key resources can be gained. (Metsanen, 2017) For example, lower costs to both parties. EasyJet
has Menzies do most of the ground handling such as working on check in desks, departure gates,
and directing passengers to aircraft. (Wild, 2014) The benefits for EasyJet would be that they
have a firm that specializes in taking care of the work on the ground for a potential lower cost
than if EasyJet did it itself. For Menzies, they would be working with an airline such as EasyJet
and can benefit from the experience. That way, they can use what they learned from EasyJet with
another airline if Menzies works with another airline. Also if the relationship is approached in a
strategic way, the supplier could take more work from the same airline. This is shown in the case
with Delta Airlines and its catering provider Gate Gourmet. (Wild, 2014) Delta Airlines added
three more airports that Gate Gourmet would provide its services. (Wild, 2014) As a result, Delta
Airlines has three more airports where they really know the quality of service they are receiving
and Gate Gourmet has expanded its services. Moreover, Gate Gourmet can work with other
airlines in the new locations.
It is important to note that if the relationship between two parties is going well for them, that
doesn’t necessarily mean that the relationship between FlySafe and that supplier will go just as
well. There are many factors that go into this, as FlySafe might not work well with the way the
supplier works. However, the outtake from the example is that there are long-term benefits to
both parties if the relationship is approached strategically.
Benefits of IT Platform to SRM
Since FlySafe’s revamped strategy is based around a new IT system, it is critical to analyze how
important that IT system will be when it comes to supplier relationship management. The best
way to show the importance of the IT system is through a live example with Etihad. In 2015,
Etihad Airway’s procurement and supply management department integrated SAP’s Ariba
solutions cloud based software. (Jacotine, 2015) The point of the software is to streamline
Etihad’s source-to-contract processes, and to integrate new suppliers. (Jacotine, 2015) This is
supposed to clearly show Etihad’s contracts and spend, and give information regarding all
supplier activity. (Jacotine, 2015) These are already two key areas that FlySafe struggled with
and need to improve on, and this shows even more how crucial the IT software is to FlySafe’s
new plan. SAP’s Ariba would solve the problem of departments that are unlinked as well as
having a clear idea for the managers to see what is going on with the supplier activity.
Another feature of the software is a virtual tender board as well as contract approval procedures
that are meant to speed up the entire process. (Jacotine, 2015) In addition to that, there will be an
automated purchase order system that will increase efficiency. (Jacotine, 2015) This is exactly
what FlySafe needs because it will solve the problem of placing late orders with suppliers, and
that will benefit both the supplier and FlySafe. The board can benefit from the software as well
because they can monitor progress on the new plan as well as have a clearer view as to what is
going on with all the suppliers.
From the suppliers’ point of view, they should also benefit from the software in the sense that
their job becomes easier and requirements are clearer. If suppliers know how much stock is
constantly being ordered, they have an idea of what is going on and can prepare accordingly.
Also, there will be digital written records of all activities, and that would help with performance
management. It is important to note that SAP’s Ariba fits very well with FlySafe’s requirements,
and it is being used by another United Arab Emirates airline on top of that. That means that the
software is easy to get, and it helps that SAP have offices in the United Arab Emirates in case
any technical support is needed.
Kraljic Matrix
Now that the IT software that will help with supplier relationship management is recommended,
it is important to segment the suppliers. For segmenting the suppliers, the Kraljic Matrix will be
used. Peter Kraljic created the Kraljic Matrix in 1983, and risk and profitability are the two key
dimensions he uses to segment the suppliers. (Webb, 2017) Risk is about how likely an
unforeseen event in the supply chain will disrupt operations in important parts, and profitability
is the “impact of a supply item upon the bottom line.” (Webb, 2017) Putting those two factors
yields the Kraljic Matrix as shown below.
Source: Peter Kraljic, HBR
Leverage Items
Leverage items are critical because they have a high profit impact, but these are supplies that can
easily be substituted and power is with the buyer here. For FlySafe some of these items would be
fuel and oil for the aircraft. Although they are crucial for FlySafe, there are many suppliers of
fuel. With these suppliers, we can bargain with them and try to benefit as much as possible
because there is an abundant supply of companies that can provide fuel. This doesn’t mean that
the relationship should be neglected though, as issues with these types of suppliers would cause
major issues. As a result it would be beneficial to find suppliers that we can rely on and at the
same time get a decent price for fuel and oil.
Non-Critical Items
Similar to leverage items, there are a large number of suppliers. However, the difference is that
non-critical items do not have a significant impact on profit. Non-critical items are everything
from napkins used in the catering service to office stationary. These items are required in order
to complete the daily tasks, but there absence will not cause a major delay in operations. It would
be better to have an automated system that will purchase these supplies, and negotiations
regarding pricing should take place in this case. Moreover, there should be some level of product
standardization. Relationships with these suppliers might not require the same effort as leverage
items, but it would still be beneficial to have a positive image with them.
Bottleneck Items
Bottleneck Items are not easy to deal with because here the suppliers have power, and the impact
on profit is not that significant. Research showed that these suppliers take more time than any
other type, and this is important to know so that the right effort is put into these suppliers.
(Webb, 2017) This is the case with the catering. Although the profit is not the most significant
for FlySafe, there are not many suppliers that can provide what is required. In addition to that,
FlySafe has already paid the price for a failing relationship with a bottleneck item supplier, so
this relationship would be crucial for the company in order to save itself from even more
problems.
Strategic Items
Strategic Items are the most crucial for FlySafe because their impact on profit is significant, and
there is a scarcity of suppliers. The relationship with these suppliers should be long time, and
there should also be collaboration and innovation between the parties. These are the suppliers
that provide the MRO for FlySafe as well as the aircrafts and other key resources. The bulk of
the operation depends on these suppliers, and the suppliers have the bargaining power. Northstar
can be considered as a strategic item supplier, and their issue is addressed in the revamped plan.
Supplier relationship management would be used mostly with these suppliers, and both parties
should benefit from this.
Supplier Preference Model
Just as FlySafe segments its suppliers, the suppliers themselves will also have preference for
clients. A supplier preference model will be used in order to analyze the situation from the
suppliers’ side. The matrix will look at the attractiveness of the client versus the value of the
customer. (PMMS Consulting ) Some of the factors considered would be prompt payment,
association of a high customer name, life expectancy, trust, and simple and straightforward
systems. (PMMS Consulting ) Before the revamped plan, FlySafe was not standing at a very
favorable position with suppliers. FlySafe was beginning to develop a reputation for poor quality
when it came to catering. These factors would mean that FlySafe was not seen as an attractive
client nor was the value of FlySafe of major significance. However, the new plan will change the
view of suppliers on FlySafe which categorized them as nuisance. The IT software will help with
the attractiveness of FlySafe as there will be a high potential for the company that suppliers
would view as an opportunity to capitalize on. The change in the third party handling the
catering will also provide an opportunity for suppliers to take an advantage and benefit. It is clear
that the IT software will solve most of the issues seen by suppliers and will change their view
towards FlySafe to development and eventually reach to core value, so again it is the most
crucial aspect of the plan.
Supplier Relationship Management Summary
To summarize, supplier relationship management is crucial to FlySafe, as it will help mend and
maintain the relationship with the different suppliers. The Kraljic Matrix was used in order to
segment the suppliers and we decided that suppliers for strategic items will be the most crucial
for the success of FlySafe, while suppliers for bottleneck items will probably be the most
difficult to deal with. SAP’s Ariba software was recommended as the software to go for because
it would streamline operations easily integrating new suppliers, Etihad Airways has been using,
and SAP has offices in the UAE for continuous technical support. Moreover, a supplier
preference model was used to analyze the situation from the suppliers’ point of view. We found
that FlySafe was not in a favorable position, but the new revamped supplier strategy should
change that view to a more favorable position.
Financial Ratios
We have been given the financial ratios for Food For The Skies from 2015 until 2017, and we
will be analyzing these results and using that as a performance metric for the organization.
Following the analysis, recommendations will be given based on the results.
Profit Margin
The profit margin is used to gauge the profitability of an activity, or “how much percentage of
sales has turned into profits”. (Chen, 2018) Profit margin is calculated by dividing the net
income by revenue. (Chen, 2018) Figures show that the profit margin from 2015 until 2017 was
9.12, 8.63, and 9.22 respectively, and these numbers are not very positive because there was a
drop in the profit margin between 2015 and 2016. Even if in 2017 the profit margin picked up
again, the increase was not significant. A possible reason for the drop in profit margin is
increased costs that may have come from late shipments or wrong orders.
Profitability
Profitability is similar to the profit margin in the sense that is measures the profitability of an
activity as the name suggests. The issue here is that profitability of Food For The Sky has
decreased from 13.12 in 2015 to 9.25 in 2017, and the reasons for the decreasing profitability
may be the same as the profit margin in the sense increased costs and lower revenue due to
declining quality and late shipments.
Return on Assets
According to Investopedia, return on assets indicates how effectively assets are being used to
bring in revenue. (Kenton, Return on Total Assets – ROTA Definition, 2019) Moreover, return
on assets is calculated by dividing the earnings before interest and taxes by the average total
assets. Based on the results, the numbers are alarming. The return on Assets has been decreasing
since 2015, as it was 23.15 in 2015, 16 in 2016, and 14.23 in 2017. The takeaway here is that
assets are being used inefficiently and are costing the company, and there could be several
reasons that lead to a low return on assets. The inefficacy of the assets may have resulted from
poor management and will lead to long term negative effects.
Current Ratio
The current ratio is a liquidity ratio, and it is mainly used to show the firm’s ability to pay short-
term debts. (PEAVLER, 2018) If the value of the current ratio is less than one, then the firm
would have trouble to cover its short-term debts. (PEAVLER, 2018) For Food for The Skies, the
value has dropped from 1.62 to 1.21. If this trend continues, the firm will have issues to cover the
monthly payments. A reason that the current ratio is dropping could be too many accounts
payable and liquidity issues in general. This pattern is indicative of the negative performance of
Food for The Skies.
Acid Ratio
The acid ratio or the quick ratio as it is also known is another liquidity ratio that measures the
ability of a company to use its cash to close out its current liabilities. This means that the acid
ratio should be high to indicate good performance, but the trend shows otherwise. There has been
a significant drop from 0.98 in 2015, to 0.82 in 2016, and 0.55 in 2017. These numbers back up
the fact that Food for The Skies is experiencing liquidity complications. The reason behind the
current ratio numbers and the acid ratio numbers all goes back the inefficiency of how assets are
being used.
Stock Turnover
Stock turnover looks at the ability of the firm to sell and replace its inventory within a certain
period. If the stock turnover is low, that means that the company is not selling fast enough, or it
may be overstocking. Again, the numbers from Food for The Skies do not look good. Although
there was an increase in stock turnover in 2016, the number dropped in 2017 to lower than what
it was in 2015. The more probable reason for the stock turnover value is that the firm is not
selling enough, and that could be caused by poor quality.
Gearing Ratio
The gearing ratio compares the companies borrowed funds to its equity, and it also shows the
financial risk the firm is in. (Accounting Tools, 2017) A high gearing leverage means that the
company is using borrowed money in order to run its operations, and Food for The Skies has
gearing ratios that keep increasing. (Accounting Tools, 2017) This shows that the interest rate
from the debt may be too high.
Implications and Recommendations
Based on the financial results shown above, we can clearly see that there are many
problems that may lead to the closure of the firm. For example, the liquidity ratios show the
inability of the firm to deal with short-term debts. Moreover, the gearing ratio shows that
the firm has increasing debts that need to be covered. A crisis may be averted in the short
term, but it cannot hold on for much longer. In addition to that, the results from the
profitability ratios show that the firm is becoming less and less profitable with time. In
order to avert a major crisis, firms should be aware of the amount of debt that is being used
in order to run its business operations. Getting the right amount of stock is critical, as too
much stock can lead to low turnover and too little stock can also reduce revenue. This is
where the revamped plan should make the difference with the IT software coming into play
and enhancing operations.
These problems may have been avoided had the right vendor been chosen in the first place,
or actions should have been taken at an earlier stage. All the ratios are connected in the
sense that they are all performance metrics for how the firm is doing, and managers should
have realized a problem as soon as there was a negative trend. For example, when the
current ratio began to drop they should’ve cut down on their debts. Moreover, the
profitability of the firm was dropping. All these factors go hand in hand with the results
that were shown from the ratios. For example, a low stock turnover is related to
profitability in terms of revenue. Since the stock was not being sold and replaced, obviously
revenue would go down and so would profitability as well.
Inventory Management and Importance
Inventory management refers to the “process of ordering, storing, and using a company’s
inventory”. (Hayes, 2019) It is crucial to any organization, and poor inventory management can
lead to major problems for the company if it is not managed properly. For example, poor
inventory management can lead to increased costs. This happened with FlySafe. Due to the fact
that the inventory was mismanaged, the company had to order stock last minute by airfreight that
turned out that costs were significantly increased.
Dependent vs. Independent Demand, Ordering Techniques
Simply put, independent demand is when there is demand for a finished product, while
dependent demand is when there is demand for the parts that go into that finished product.
(CSMP & Sanders, 2014) For example, independent demand would be a ready to fly airplane.
On the other hand, the dependent demand would be all the parts that go into the airplane. It is
important for an airline to know how much dependent demand there is, and this is where
ordering techniques come into play. The organization has clearly been struggling with inventory
management, and needs to find a solution.
The first concept to be looked at is EOQ, and EOQ is the Economic Order Quantity. The EOQ is
used to identify the ideal number of units to order while keeping costs to a minimum. (Kenton,
Economic Order Quantity , 2019) Achieving the EOQ is critical for the organization so that it
does not fall into problems like overstocking or not having enough stock to meet demand. There
are different methods of managing inventory levels, and one method would be review systems.
There are two types of review systems, continuous and periodic. (Sherman, 2019) Continuous
review systems are when inventory levels are checked on a daily basis, while periodic systems
are checked at fixed time periods. (Sherman, 2019) A continuous review system would definitely
be more accurate, but more costly than the periodic system.
(Sherman, 2019) Another solution to be considered would be Vendor-Managed Inventory, and
that is when the buyer gives information to the vendor and the vendor has full responsibility for
maintaining inventory levels. (Murray, 2018) Some of the benefits include lower inventory levels
and the removal of safety stock. Moving on from vendor-managed inventory, yet another option
would be adopting a demand-pull strategy. Demand-pull is all about minimizing stock and
having a just in time delivery, and that avoids cost of having the inventory. (Seidel, 2019)
Recommendations
All these solutions are viable options for FlySafe, but some would make more sense and generate
better results. Due to the nature of the industry, it would be difficult for FlySafe to adopt a zero
inventory. There should be some sort of backup inventory available at all times. The EOQ
formula can be used but the issue with the EOQ is that it is best used when demand, ordering,
and holding costs are relatively constant. (Kenton, Economic Order Quantity , 2019) In FlySafe’s
case, the demand and ordering may vary somewhat.
Bibliography
Accounting Tools. (2017, December 25). Gearing Ratio. Retrieved April 11, 2019, from
www.accountingtools.com:
https://www.accountingtools.com/articles/2017/5/5/gearing-ratio
Al., S. e. (2006). pdfs.semanticscholar.org. Retrieved from
https://pdfs.semanticscholar.org/fd9d/3dd491d99bf2231ef33313f8a939aa12ca71
.pdf.
Basu. (2001). shodhsangam.rkdf.ac.in. Retrieved from
http://www.shodhsangam.rkdf.ac.in/papers/suvenir/138-143-Ranjit-Nikose.pdf.
Beamon. (1999). researchgate.net/publication. Retrieved from
https://www.researchgate.net/publication/254629083_The_impact_of_buyer-
supplier_relationship_and_purchasing_process_on_the_supply_chain_performance_a
_conceptual_framework.
Boyd, M. (2018, August 1). Ultra-Low Cost Carriers Are The New Wildcatter Airlines.
Retrieved March 23, 2019, from www.forbes.com:
https://www.forbes.com/sites/mikeboyd/2018/08/01/ultra-low-cost-carriers-
are-the-new-wildcatter-airlines/#dc0f27563401
Chen, J. (2018, December 18). Profit Margin. Retrieved April 8, 2019, from
www.investopedia.com: https://www.investopedia.com/terms/p/profitmargin.asp
Christopher. (1998). emeraldinsight.com. Retrieved from
https://www.emeraldinsight.com/doi/abs/10.1108/14635770610644565?mobile
Ui=0&journalCode=bij.
Christopher, M., & Towill, D. (2001). An Integrated Model for the Design of Agile Supply
Chains. Retrieved from dspace.lib.cranfield.ac.uk:
https://dspace.lib.cranfield.ac.uk/handle/1826/2670
CIPS . (n.d.). Supplier Relationship Management . Retrieved march 28, 2019, from
www.cips.org: https://www.cips.org/en-ME/knowledge/procurement-topics-and-
skills/srm-and-sc-management/supplier-relationship-management-srm/
CIPS. (n.d.). Outsourcing . Retrieved March 24, 2019, from www.cips.org:
https://www.cips.org/en-ME/knowledge/procurement-topics-and-
skills/understand-need---market-and-options-assessment/outsourcing--offshoring-
and-insourcing/outsourcing-in-procurement-and-supply-chain/
CSMP, & Sanders, N. (2014, January 23). independent versus dependent demand . Retrieved
April 13, 2019, from www.informit.com:
http://www.informit.com/articles/article.aspx?p=2167438&seqNum=9
Grokhovskaya, V. (2018, February 23). 5 MRO SUPPLY CHAIN CHALLENGES AVIATION
COMPANIES NEED TO PREPARE FOR. Retrieved March 20, 2019, from
supplychainbeyond.com: https://supplychainbeyond.com/5-mro-supply-chain-
challenges-in-aviation/
Hayes, A. (2019, March 20). Inventory management . Retrieved April 14, 2019, from
www.investopedia.com: https://www.investopedia.com/terms/i/inventory-
management.asp
Jacotine, S. (2015, September 7). Etihad Airways implements new SAP procurement solution.
Retrieved April 1, 2019, from www.logisticsmiddleeast.com:
https://www.logisticsmiddleeast.com/article-11826-etihad-airways-implements-
new-sap-procurement-solution
Kenton, W. (2019, April 9). Economic Order Quantity . Retrieved April 14, 2019, from
www.investopedia.com:
https://www.investopedia.com/terms/e/economicorderquantity.asp
Kenton, W. (2019, April 7). Return on Total Assets – ROTA Definition. Retrieved April 11,
2019, from www.investopedia.com:
https://www.investopedia.com/terms/r/return_on_total_assets.asp
Landry, T. D. (2000). Supply Chain Process Integration: A Theoretical Framework. Retrieved
from
https://www.researchgate.net/publication/227687270_Supply_Chain_Process_Inte
gration_A_Theoretical_Framework.
Macrotrends. (2019, March 21). WTI Crude Oil Prices - 10 Year Daily Chart. Retrieved March
23, 2019, from www.macrotrends.net: https://www.macrotrends.net/2516/wti-
crude-oil-prices-10-year-daily-chart
Metsanen, B. (2017, April 20). Supplier Relationship Management in the Aviation Industry of
Finland. Retrieved March 28, 2019, from www.theseus.fi:
https://www.theseus.fi/bitstream/handle/10024/128632/FINAL%20EDIT.pdf;jse
ssionid=45DE920F1D3996462D07EF296F1787B3?sequence=1
Michael. (2018, March 30). 10 Strategies for Improving Supplier Relationship Management
(SRM). Retrieved March 28, 2019, from www.purchasecontrol.com:
https://www.purchasecontrol.com/blog/improve-supplier-relationship-
management/
Murray, M. (2018, December 5). VMI. Retrieved April 14, 2019, from
www.thebalancesmb.com: https://www.thebalancesmb.com/vendor-managed-
inventory-vmi-2221270
Nicholas, H. a. (1999). shodhganga.inflibnet.ac.in/bitstream. Retrieved from
http://shodhganga.inflibnet.ac.in/bitstream/10603/130656/9/09_chapter2.pdf.
Nuijten, J. (2018, December 28). Air cargo faces these four logistics challenges in 2019.
Retrieved March 22, 2019, from www.aircargonews.net:
https://www.aircargonews.net/airlines/air-cargo-faces-these-four-logistics-
challenges-in-2019/
PEAVLER, R. (2018, September 10). What is the Current Ratio and How Do You Measure It?
Retrieved April 11, 2019, from www.thebalancesmb.com:
https://www.thebalancesmb.com/what-is-the-current-ratio-and-how-do-you-
measure-it-393218
Pestleanalysis. (2014, December 2). A Concise PEST Analysis for Airline Industry. Retrieved
March 24, 2019, from pestleanalysis.com: https://pestleanalysis.com/pest-analysis-
for-airline-industry/
PMMS Consulting . (n.d.). Supplier Preference Model . Retrieved April 2, 2019, from
prp.gov.wales:
prp.gov.wales/docs/prp/food/130611supplierpreferencingfrombw.doc
Seidel, M. (2019, March 5). Push vs. Pull Supply Chain Strategy. Retrieved April 14, 2019,
from https://smallbusiness.chron.com/push-vs-pull-supply-chain-strategy-
77452.html
Sherman, F. (2019, Janary 31). What Is the Difference Between a Periodic and Continuous
Inventory Review Policy? Retrieved April 14, 2019, from smallbusiness.chron.com:
https://smallbusiness.chron.com/difference-between-periodic-continuous-
inventory-review-policy-30967.html
Webb, J. (2017, February 28). What Is The Kraljic Matrix? Retrieved April 1, 2019, from
https://www.forbes.com/sites/jwebb/2017/02/28/what-is-the-kraljic-
matrix/#48c1c96d675f: /www.forbes.com
Wild, J. (2014, April 21). Airlines turn to outsourcing to keep lid on costs. Retrieved March
26, 2019, from www.ft.com: https://www.ft.com/content/4a6ead0e-c54f-11e3-
89a9-00144feabdc0
World Energy Summit . (2018, August 26). Tackling waste through technology: global
advances in implementing smarter waste management . Retrieved Marcg 24, 2019,
from www.worldfutureenergysummit.com:
https://www.worldfutureenergysummit.com/wfes-insights/tackling-waste-
through-technology-global-advances-in-implementing-smarter-waste-
management#/

More Related Content

Similar to Assignment Cover Sheet Course Unit Information Course Postgraduate Diploma In Supply Chain Management And Logistics

Global Implications for Business Process and EA
Global Implications for Business Process and EAGlobal Implications for Business Process and EA
Global Implications for Business Process and EAThe Open Group SA
 
Business plan presentation
Business plan presentationBusiness plan presentation
Business plan presentationHamed Jabbari
 
UT Dallas CFA IRC Report - 2016 LUV
UT Dallas CFA IRC Report - 2016 LUVUT Dallas CFA IRC Report - 2016 LUV
UT Dallas CFA IRC Report - 2016 LUVTyler Fishbeck
 
UT Dallas CFA IRC Report - 2016 LUV
UT Dallas CFA IRC Report - 2016 LUVUT Dallas CFA IRC Report - 2016 LUV
UT Dallas CFA IRC Report - 2016 LUVJames Nguyen
 
UT Dallas CFA IRC Report - 2016 LUV [104644]
UT Dallas CFA IRC Report - 2016 LUV [104644]UT Dallas CFA IRC Report - 2016 LUV [104644]
UT Dallas CFA IRC Report - 2016 LUV [104644]Trevor Deupree
 
Astonish Expediting managed by professionals
Astonish Expediting managed by professionalsAstonish Expediting managed by professionals
Astonish Expediting managed by professionalsNitin Thakurta
 
9707 s14 ms_33
9707 s14 ms_339707 s14 ms_33
9707 s14 ms_33Saadia Riaz
 
Annual Report Project  .docx
Annual Report Project  .docxAnnual Report Project  .docx
Annual Report Project  .docxrossskuddershamus
 
Bm045 3-3-smgt tp021569 3rd question
Bm045 3-3-smgt tp021569 3rd questionBm045 3-3-smgt tp021569 3rd question
Bm045 3-3-smgt tp021569 3rd questionJessica Allison
 
STRATEGIC FAILURES-kingfisher airlines
STRATEGIC FAILURES-kingfisher airlinesSTRATEGIC FAILURES-kingfisher airlines
STRATEGIC FAILURES-kingfisher airlinesSudharshanE1
 
Sheet1Silver Fiddle Company Risk MatrixRisk DescriptionProbability.docx
Sheet1Silver Fiddle Company Risk MatrixRisk DescriptionProbability.docxSheet1Silver Fiddle Company Risk MatrixRisk DescriptionProbability.docx
Sheet1Silver Fiddle Company Risk MatrixRisk DescriptionProbability.docxlesleyryder69361
 
Developing Contracts V2, March 2015 Š CIPS 2014, Page 1 of 2.docx
Developing Contracts V2, March 2015 Š CIPS 2014, Page 1 of 2.docxDeveloping Contracts V2, March 2015 Š CIPS 2014, Page 1 of 2.docx
Developing Contracts V2, March 2015 Š CIPS 2014, Page 1 of 2.docxjakeomoore75037
 
Developing Contracts V2, March 2015 Š CIPS 2014, Page 1 of 2.docx
Developing Contracts V2, March 2015 Š CIPS 2014, Page 1 of 2.docxDeveloping Contracts V2, March 2015 Š CIPS 2014, Page 1 of 2.docx
Developing Contracts V2, March 2015 Š CIPS 2014, Page 1 of 2.docxcuddietheresa
 
Nylex rfi international freight nylex
Nylex rfi international freight nylexNylex rfi international freight nylex
Nylex rfi international freight nylexTom Evans
 
Boeing-3.pptx
Boeing-3.pptxBoeing-3.pptx
Boeing-3.pptxMarkusS14
 
1 HI5017 Managerial Accounting Trimester 1 2018 .docx
1  HI5017 Managerial Accounting    Trimester 1 2018 .docx1  HI5017 Managerial Accounting    Trimester 1 2018 .docx
1 HI5017 Managerial Accounting Trimester 1 2018 .docxhoney725342
 
Nylex rfi international freight draft
Nylex rfi international freight draftNylex rfi international freight draft
Nylex rfi international freight draftTom Evans
 

Similar to Assignment Cover Sheet Course Unit Information Course Postgraduate Diploma In Supply Chain Management And Logistics (19)

Global Implications for Business Process and EA
Global Implications for Business Process and EAGlobal Implications for Business Process and EA
Global Implications for Business Process and EA
 
Business plan presentation
Business plan presentationBusiness plan presentation
Business plan presentation
 
UT Dallas CFA IRC Report - 2016 LUV
UT Dallas CFA IRC Report - 2016 LUVUT Dallas CFA IRC Report - 2016 LUV
UT Dallas CFA IRC Report - 2016 LUV
 
UT Dallas CFA IRC Report - 2016 LUV
UT Dallas CFA IRC Report - 2016 LUVUT Dallas CFA IRC Report - 2016 LUV
UT Dallas CFA IRC Report - 2016 LUV
 
UT Dallas CFA IRC Report - 2016 LUV [104644]
UT Dallas CFA IRC Report - 2016 LUV [104644]UT Dallas CFA IRC Report - 2016 LUV [104644]
UT Dallas CFA IRC Report - 2016 LUV [104644]
 
Astonish Expediting managed by professionals
Astonish Expediting managed by professionalsAstonish Expediting managed by professionals
Astonish Expediting managed by professionals
 
9707 s14 ms_33
9707 s14 ms_339707 s14 ms_33
9707 s14 ms_33
 
Annual Report Project  .docx
Annual Report Project  .docxAnnual Report Project  .docx
Annual Report Project  .docx
 
Bm045 3-3-smgt tp021569 3rd question
Bm045 3-3-smgt tp021569 3rd questionBm045 3-3-smgt tp021569 3rd question
Bm045 3-3-smgt tp021569 3rd question
 
STRATEGIC FAILURES-kingfisher airlines
STRATEGIC FAILURES-kingfisher airlinesSTRATEGIC FAILURES-kingfisher airlines
STRATEGIC FAILURES-kingfisher airlines
 
Continental last
Continental lastContinental last
Continental last
 
Sheet1Silver Fiddle Company Risk MatrixRisk DescriptionProbability.docx
Sheet1Silver Fiddle Company Risk MatrixRisk DescriptionProbability.docxSheet1Silver Fiddle Company Risk MatrixRisk DescriptionProbability.docx
Sheet1Silver Fiddle Company Risk MatrixRisk DescriptionProbability.docx
 
Syllabus & study guide for DipIFRS 2012
Syllabus & study guide for DipIFRS 2012Syllabus & study guide for DipIFRS 2012
Syllabus & study guide for DipIFRS 2012
 
Developing Contracts V2, March 2015 Š CIPS 2014, Page 1 of 2.docx
Developing Contracts V2, March 2015 Š CIPS 2014, Page 1 of 2.docxDeveloping Contracts V2, March 2015 Š CIPS 2014, Page 1 of 2.docx
Developing Contracts V2, March 2015 Š CIPS 2014, Page 1 of 2.docx
 
Developing Contracts V2, March 2015 Š CIPS 2014, Page 1 of 2.docx
Developing Contracts V2, March 2015 Š CIPS 2014, Page 1 of 2.docxDeveloping Contracts V2, March 2015 Š CIPS 2014, Page 1 of 2.docx
Developing Contracts V2, March 2015 Š CIPS 2014, Page 1 of 2.docx
 
Nylex rfi international freight nylex
Nylex rfi international freight nylexNylex rfi international freight nylex
Nylex rfi international freight nylex
 
Boeing-3.pptx
Boeing-3.pptxBoeing-3.pptx
Boeing-3.pptx
 
1 HI5017 Managerial Accounting Trimester 1 2018 .docx
1  HI5017 Managerial Accounting    Trimester 1 2018 .docx1  HI5017 Managerial Accounting    Trimester 1 2018 .docx
1 HI5017 Managerial Accounting Trimester 1 2018 .docx
 
Nylex rfi international freight draft
Nylex rfi international freight draftNylex rfi international freight draft
Nylex rfi international freight draft
 

More from Fiona Phillips

Remarkable Sample College Application Essays Thats
Remarkable Sample College Application Essays ThatsRemarkable Sample College Application Essays Thats
Remarkable Sample College Application Essays ThatsFiona Phillips
 
What Is The Purpose Of A Literary Analysi
What Is The Purpose Of A Literary AnalysiWhat Is The Purpose Of A Literary Analysi
What Is The Purpose Of A Literary AnalysiFiona Phillips
 
Fine Beautiful How To Write Project Proposal Report N
Fine Beautiful How To Write Project Proposal Report NFine Beautiful How To Write Project Proposal Report N
Fine Beautiful How To Write Project Proposal Report NFiona Phillips
 
How To Write A Literature Review - . Online assignment writing service.
How To Write A Literature Review - . Online assignment writing service.How To Write A Literature Review - . Online assignment writing service.
How To Write A Literature Review - . Online assignment writing service.Fiona Phillips
 
Analysis Essay Writing Logan Square Auditorium
Analysis Essay Writing Logan Square AuditoriumAnalysis Essay Writing Logan Square Auditorium
Analysis Essay Writing Logan Square AuditoriumFiona Phillips
 
Complete Analytical Ess. Online assignment writing service.
Complete Analytical Ess. Online assignment writing service.Complete Analytical Ess. Online assignment writing service.
Complete Analytical Ess. Online assignment writing service.Fiona Phillips
 
Kanji Practice Paper Kanji Paper Has Columns Of Squa
Kanji Practice Paper Kanji Paper Has Columns Of SquaKanji Practice Paper Kanji Paper Has Columns Of Squa
Kanji Practice Paper Kanji Paper Has Columns Of SquaFiona Phillips
 
Urgent Essay Writing Service. Urgent Ess
Urgent Essay Writing Service. Urgent EssUrgent Essay Writing Service. Urgent Ess
Urgent Essay Writing Service. Urgent EssFiona Phillips
 
Scholarships Without Essay. Online assignment writing service.
Scholarships Without Essay. Online assignment writing service.Scholarships Without Essay. Online assignment writing service.
Scholarships Without Essay. Online assignment writing service.Fiona Phillips
 
How To Write And Revise An Argument Essay - Virtual Writing Tutor Blog
How To Write And Revise An Argument Essay - Virtual Writing Tutor BlogHow To Write And Revise An Argument Essay - Virtual Writing Tutor Blog
How To Write And Revise An Argument Essay - Virtual Writing Tutor BlogFiona Phillips
 
006 Report Essay Ielts Sample Thatsnotus
006 Report Essay Ielts Sample Thatsnotus006 Report Essay Ielts Sample Thatsnotus
006 Report Essay Ielts Sample ThatsnotusFiona Phillips
 
Professional Research Paper Writers Online Research Paper Writing
Professional Research Paper Writers Online Research Paper WritingProfessional Research Paper Writers Online Research Paper Writing
Professional Research Paper Writers Online Research Paper WritingFiona Phillips
 
Step In Writing A Research Paper. 8. Online assignment writing service.
Step In Writing A Research Paper. 8. Online assignment writing service.Step In Writing A Research Paper. 8. Online assignment writing service.
Step In Writing A Research Paper. 8. Online assignment writing service.Fiona Phillips
 
Oxford Test Of English El Examen Oficial De Oxford U
Oxford Test Of English El Examen Oficial De Oxford UOxford Test Of English El Examen Oficial De Oxford U
Oxford Test Of English El Examen Oficial De Oxford UFiona Phillips
 
Linking Words Contrast Archives - English Study Here
Linking Words Contrast Archives - English Study HereLinking Words Contrast Archives - English Study Here
Linking Words Contrast Archives - English Study HereFiona Phillips
 
Ways To Write The Date - Pgbari.X.Fc2.Com
Ways To Write The Date - Pgbari.X.Fc2.ComWays To Write The Date - Pgbari.X.Fc2.Com
Ways To Write The Date - Pgbari.X.Fc2.ComFiona Phillips
 
Mba Essay Writing Services - TakeoffsuperstoreS Diary
Mba Essay Writing Services - TakeoffsuperstoreS DiaryMba Essay Writing Services - TakeoffsuperstoreS Diary
Mba Essay Writing Services - TakeoffsuperstoreS DiaryFiona Phillips
 
Essay Writing Prompts Glossary Of Grammatical A
Essay Writing Prompts  Glossary Of Grammatical AEssay Writing Prompts  Glossary Of Grammatical A
Essay Writing Prompts Glossary Of Grammatical AFiona Phillips
 
When I Look Back To My First Experienc. Online assignment writing service.
When I Look Back To My First Experienc. Online assignment writing service.When I Look Back To My First Experienc. Online assignment writing service.
When I Look Back To My First Experienc. Online assignment writing service.Fiona Phillips
 
How To Write College Essays For Scholarships
How To Write College Essays For ScholarshipsHow To Write College Essays For Scholarships
How To Write College Essays For ScholarshipsFiona Phillips
 

More from Fiona Phillips (20)

Remarkable Sample College Application Essays Thats
Remarkable Sample College Application Essays ThatsRemarkable Sample College Application Essays Thats
Remarkable Sample College Application Essays Thats
 
What Is The Purpose Of A Literary Analysi
What Is The Purpose Of A Literary AnalysiWhat Is The Purpose Of A Literary Analysi
What Is The Purpose Of A Literary Analysi
 
Fine Beautiful How To Write Project Proposal Report N
Fine Beautiful How To Write Project Proposal Report NFine Beautiful How To Write Project Proposal Report N
Fine Beautiful How To Write Project Proposal Report N
 
How To Write A Literature Review - . Online assignment writing service.
How To Write A Literature Review - . Online assignment writing service.How To Write A Literature Review - . Online assignment writing service.
How To Write A Literature Review - . Online assignment writing service.
 
Analysis Essay Writing Logan Square Auditorium
Analysis Essay Writing Logan Square AuditoriumAnalysis Essay Writing Logan Square Auditorium
Analysis Essay Writing Logan Square Auditorium
 
Complete Analytical Ess. Online assignment writing service.
Complete Analytical Ess. Online assignment writing service.Complete Analytical Ess. Online assignment writing service.
Complete Analytical Ess. Online assignment writing service.
 
Kanji Practice Paper Kanji Paper Has Columns Of Squa
Kanji Practice Paper Kanji Paper Has Columns Of SquaKanji Practice Paper Kanji Paper Has Columns Of Squa
Kanji Practice Paper Kanji Paper Has Columns Of Squa
 
Urgent Essay Writing Service. Urgent Ess
Urgent Essay Writing Service. Urgent EssUrgent Essay Writing Service. Urgent Ess
Urgent Essay Writing Service. Urgent Ess
 
Scholarships Without Essay. Online assignment writing service.
Scholarships Without Essay. Online assignment writing service.Scholarships Without Essay. Online assignment writing service.
Scholarships Without Essay. Online assignment writing service.
 
How To Write And Revise An Argument Essay - Virtual Writing Tutor Blog
How To Write And Revise An Argument Essay - Virtual Writing Tutor BlogHow To Write And Revise An Argument Essay - Virtual Writing Tutor Blog
How To Write And Revise An Argument Essay - Virtual Writing Tutor Blog
 
006 Report Essay Ielts Sample Thatsnotus
006 Report Essay Ielts Sample Thatsnotus006 Report Essay Ielts Sample Thatsnotus
006 Report Essay Ielts Sample Thatsnotus
 
Professional Research Paper Writers Online Research Paper Writing
Professional Research Paper Writers Online Research Paper WritingProfessional Research Paper Writers Online Research Paper Writing
Professional Research Paper Writers Online Research Paper Writing
 
Step In Writing A Research Paper. 8. Online assignment writing service.
Step In Writing A Research Paper. 8. Online assignment writing service.Step In Writing A Research Paper. 8. Online assignment writing service.
Step In Writing A Research Paper. 8. Online assignment writing service.
 
Oxford Test Of English El Examen Oficial De Oxford U
Oxford Test Of English El Examen Oficial De Oxford UOxford Test Of English El Examen Oficial De Oxford U
Oxford Test Of English El Examen Oficial De Oxford U
 
Linking Words Contrast Archives - English Study Here
Linking Words Contrast Archives - English Study HereLinking Words Contrast Archives - English Study Here
Linking Words Contrast Archives - English Study Here
 
Ways To Write The Date - Pgbari.X.Fc2.Com
Ways To Write The Date - Pgbari.X.Fc2.ComWays To Write The Date - Pgbari.X.Fc2.Com
Ways To Write The Date - Pgbari.X.Fc2.Com
 
Mba Essay Writing Services - TakeoffsuperstoreS Diary
Mba Essay Writing Services - TakeoffsuperstoreS DiaryMba Essay Writing Services - TakeoffsuperstoreS Diary
Mba Essay Writing Services - TakeoffsuperstoreS Diary
 
Essay Writing Prompts Glossary Of Grammatical A
Essay Writing Prompts  Glossary Of Grammatical AEssay Writing Prompts  Glossary Of Grammatical A
Essay Writing Prompts Glossary Of Grammatical A
 
When I Look Back To My First Experienc. Online assignment writing service.
When I Look Back To My First Experienc. Online assignment writing service.When I Look Back To My First Experienc. Online assignment writing service.
When I Look Back To My First Experienc. Online assignment writing service.
 
How To Write College Essays For Scholarships
How To Write College Essays For ScholarshipsHow To Write College Essays For Scholarships
How To Write College Essays For Scholarships
 

Recently uploaded

Roles & Responsibilities in Pharmacovigilance
Roles & Responsibilities in PharmacovigilanceRoles & Responsibilities in Pharmacovigilance
Roles & Responsibilities in PharmacovigilanceSamikshaHamane
 
“Oh GOSH! Reflecting on Hackteria's Collaborative Practices in a Global Do-It...
“Oh GOSH! Reflecting on Hackteria's Collaborative Practices in a Global Do-It...“Oh GOSH! Reflecting on Hackteria's Collaborative Practices in a Global Do-It...
“Oh GOSH! Reflecting on Hackteria's Collaborative Practices in a Global Do-It...Marc Dusseiller Dusjagr
 
What is Model Inheritance in Odoo 17 ERP
What is Model Inheritance in Odoo 17 ERPWhat is Model Inheritance in Odoo 17 ERP
What is Model Inheritance in Odoo 17 ERPCeline George
 
Meghan Sutherland In Media Res Media Component
Meghan Sutherland In Media Res Media ComponentMeghan Sutherland In Media Res Media Component
Meghan Sutherland In Media Res Media ComponentInMediaRes1
 
Types of Journalistic Writing Grade 8.pptx
Types of Journalistic Writing Grade 8.pptxTypes of Journalistic Writing Grade 8.pptx
Types of Journalistic Writing Grade 8.pptxEyham Joco
 
Organic Name Reactions for the students and aspirants of Chemistry12th.pptx
Organic Name Reactions  for the students and aspirants of Chemistry12th.pptxOrganic Name Reactions  for the students and aspirants of Chemistry12th.pptx
Organic Name Reactions for the students and aspirants of Chemistry12th.pptxVS Mahajan Coaching Centre
 
Pharmacognosy Flower 3. Compositae 2023.pdf
Pharmacognosy Flower 3. Compositae 2023.pdfPharmacognosy Flower 3. Compositae 2023.pdf
Pharmacognosy Flower 3. Compositae 2023.pdfMahmoud M. Sallam
 
How to Configure Email Server in Odoo 17
How to Configure Email Server in Odoo 17How to Configure Email Server in Odoo 17
How to Configure Email Server in Odoo 17Celine George
 
Like-prefer-love -hate+verb+ing & silent letters & citizenship text.pdf
Like-prefer-love -hate+verb+ing & silent letters & citizenship text.pdfLike-prefer-love -hate+verb+ing & silent letters & citizenship text.pdf
Like-prefer-love -hate+verb+ing & silent letters & citizenship text.pdfMr Bounab Samir
 
CELL CYCLE Division Science 8 quarter IV.pptx
CELL CYCLE Division Science 8 quarter IV.pptxCELL CYCLE Division Science 8 quarter IV.pptx
CELL CYCLE Division Science 8 quarter IV.pptxJiesonDelaCerna
 
MARGINALIZATION (Different learners in Marginalized Group
MARGINALIZATION (Different learners in Marginalized GroupMARGINALIZATION (Different learners in Marginalized Group
MARGINALIZATION (Different learners in Marginalized GroupJonathanParaisoCruz
 
Alper Gobel In Media Res Media Component
Alper Gobel In Media Res Media ComponentAlper Gobel In Media Res Media Component
Alper Gobel In Media Res Media ComponentInMediaRes1
 
DATA STRUCTURE AND ALGORITHM for beginners
DATA STRUCTURE AND ALGORITHM for beginnersDATA STRUCTURE AND ALGORITHM for beginners
DATA STRUCTURE AND ALGORITHM for beginnersSabitha Banu
 
Crayon Activity Handout For the Crayon A
Crayon Activity Handout For the Crayon ACrayon Activity Handout For the Crayon A
Crayon Activity Handout For the Crayon AUnboundStockton
 
ECONOMIC CONTEXT - PAPER 1 Q3: NEWSPAPERS.pptx
ECONOMIC CONTEXT - PAPER 1 Q3: NEWSPAPERS.pptxECONOMIC CONTEXT - PAPER 1 Q3: NEWSPAPERS.pptx
ECONOMIC CONTEXT - PAPER 1 Q3: NEWSPAPERS.pptxiammrhaywood
 
Computed Fields and api Depends in the Odoo 17
Computed Fields and api Depends in the Odoo 17Computed Fields and api Depends in the Odoo 17
Computed Fields and api Depends in the Odoo 17Celine George
 
MICROBIOLOGY biochemical test detailed.pptx
MICROBIOLOGY biochemical test detailed.pptxMICROBIOLOGY biochemical test detailed.pptx
MICROBIOLOGY biochemical test detailed.pptxabhijeetpadhi001
 
Procuring digital preservation CAN be quick and painless with our new dynamic...
Procuring digital preservation CAN be quick and painless with our new dynamic...Procuring digital preservation CAN be quick and painless with our new dynamic...
Procuring digital preservation CAN be quick and painless with our new dynamic...Jisc
 

Recently uploaded (20)

Roles & Responsibilities in Pharmacovigilance
Roles & Responsibilities in PharmacovigilanceRoles & Responsibilities in Pharmacovigilance
Roles & Responsibilities in Pharmacovigilance
 
“Oh GOSH! Reflecting on Hackteria's Collaborative Practices in a Global Do-It...
“Oh GOSH! Reflecting on Hackteria's Collaborative Practices in a Global Do-It...“Oh GOSH! Reflecting on Hackteria's Collaborative Practices in a Global Do-It...
“Oh GOSH! Reflecting on Hackteria's Collaborative Practices in a Global Do-It...
 
What is Model Inheritance in Odoo 17 ERP
What is Model Inheritance in Odoo 17 ERPWhat is Model Inheritance in Odoo 17 ERP
What is Model Inheritance in Odoo 17 ERP
 
Meghan Sutherland In Media Res Media Component
Meghan Sutherland In Media Res Media ComponentMeghan Sutherland In Media Res Media Component
Meghan Sutherland In Media Res Media Component
 
Types of Journalistic Writing Grade 8.pptx
Types of Journalistic Writing Grade 8.pptxTypes of Journalistic Writing Grade 8.pptx
Types of Journalistic Writing Grade 8.pptx
 
Organic Name Reactions for the students and aspirants of Chemistry12th.pptx
Organic Name Reactions  for the students and aspirants of Chemistry12th.pptxOrganic Name Reactions  for the students and aspirants of Chemistry12th.pptx
Organic Name Reactions for the students and aspirants of Chemistry12th.pptx
 
Pharmacognosy Flower 3. Compositae 2023.pdf
Pharmacognosy Flower 3. Compositae 2023.pdfPharmacognosy Flower 3. Compositae 2023.pdf
Pharmacognosy Flower 3. Compositae 2023.pdf
 
How to Configure Email Server in Odoo 17
How to Configure Email Server in Odoo 17How to Configure Email Server in Odoo 17
How to Configure Email Server in Odoo 17
 
TataKelola dan KamSiber Kecerdasan Buatan v022.pdf
TataKelola dan KamSiber Kecerdasan Buatan v022.pdfTataKelola dan KamSiber Kecerdasan Buatan v022.pdf
TataKelola dan KamSiber Kecerdasan Buatan v022.pdf
 
Like-prefer-love -hate+verb+ing & silent letters & citizenship text.pdf
Like-prefer-love -hate+verb+ing & silent letters & citizenship text.pdfLike-prefer-love -hate+verb+ing & silent letters & citizenship text.pdf
Like-prefer-love -hate+verb+ing & silent letters & citizenship text.pdf
 
9953330565 Low Rate Call Girls In Rohini Delhi NCR
9953330565 Low Rate Call Girls In Rohini  Delhi NCR9953330565 Low Rate Call Girls In Rohini  Delhi NCR
9953330565 Low Rate Call Girls In Rohini Delhi NCR
 
CELL CYCLE Division Science 8 quarter IV.pptx
CELL CYCLE Division Science 8 quarter IV.pptxCELL CYCLE Division Science 8 quarter IV.pptx
CELL CYCLE Division Science 8 quarter IV.pptx
 
MARGINALIZATION (Different learners in Marginalized Group
MARGINALIZATION (Different learners in Marginalized GroupMARGINALIZATION (Different learners in Marginalized Group
MARGINALIZATION (Different learners in Marginalized Group
 
Alper Gobel In Media Res Media Component
Alper Gobel In Media Res Media ComponentAlper Gobel In Media Res Media Component
Alper Gobel In Media Res Media Component
 
DATA STRUCTURE AND ALGORITHM for beginners
DATA STRUCTURE AND ALGORITHM for beginnersDATA STRUCTURE AND ALGORITHM for beginners
DATA STRUCTURE AND ALGORITHM for beginners
 
Crayon Activity Handout For the Crayon A
Crayon Activity Handout For the Crayon ACrayon Activity Handout For the Crayon A
Crayon Activity Handout For the Crayon A
 
ECONOMIC CONTEXT - PAPER 1 Q3: NEWSPAPERS.pptx
ECONOMIC CONTEXT - PAPER 1 Q3: NEWSPAPERS.pptxECONOMIC CONTEXT - PAPER 1 Q3: NEWSPAPERS.pptx
ECONOMIC CONTEXT - PAPER 1 Q3: NEWSPAPERS.pptx
 
Computed Fields and api Depends in the Odoo 17
Computed Fields and api Depends in the Odoo 17Computed Fields and api Depends in the Odoo 17
Computed Fields and api Depends in the Odoo 17
 
MICROBIOLOGY biochemical test detailed.pptx
MICROBIOLOGY biochemical test detailed.pptxMICROBIOLOGY biochemical test detailed.pptx
MICROBIOLOGY biochemical test detailed.pptx
 
Procuring digital preservation CAN be quick and painless with our new dynamic...
Procuring digital preservation CAN be quick and painless with our new dynamic...Procuring digital preservation CAN be quick and painless with our new dynamic...
Procuring digital preservation CAN be quick and painless with our new dynamic...
 

Assignment Cover Sheet Course Unit Information Course Postgraduate Diploma In Supply Chain Management And Logistics

  • 1. Assignment Cover Sheet Course/Unit Information Course Postgraduate Diploma in Supply Chain Management and Logistics. Unit No. 102 Unit code PGDSCML/102 Instructor Information Name Phone Email Assignment Information Full/ Part Assignment Full Assignment Date Assignment Issued Date Assignment Due Student Information (To be filled by the student prior submitting the assignment) Name Email Date of Submission
  • 2. Student Declaration I,(Name) Hereby confirm that this assignment is my own work and not copied or plagiarized. It has not previously been submitted as part of any assessment for this qualification. All the sources, from which information has been obtained for this assignment, have been referenced as per Harvard Referencing format. I further confirm that I have read and understood the Westford School of Management rules and regulations about plagiarism and copying and agree to be bound by them. Students Signature : Student Name : Date :
  • 3. Learning Outcomes and Assessment Feedback Module Code & Title PGD-SCML PG Diploma in Supply Chain and Logistics Management Module Learning Outcomes LO1 Understand the relationship between supply chain management and organizational business objectives LO2 Be able to use information technology to optimize supplier relationships in an organization LO3 Understand the role of logistics and procurement in supply chain management LO4 Be able to plan a strategy to improve an organization’s supply chain LO5 Understanding the Role of Inventory Management and the use of the its various Strategies and Techniques LO6 Physical Distribution and its Contribution to Supply Chain Strategies Assessment types Marks Marks Achieved Task 1: Case specific 30 Task 2: Case specific 25 Task 3: Presentation 20 Task 4: Case specific 25 Overall Marks (%) 100 Overall Grade awarded Date Summative Feedback: Overall Feedback on current work with emphasis on how the student can further improve in future.
  • 4. The following grading criteria will be applicable for the course, Executive Diploma in International Business Management: Marks Grade 70 to 100 A – Distinction 60 to 69 B – Merit 50 to 59 Pass 40 to 49 Fail with Resit 0 to 39 Fail with Retake General Guidelines (Please read the instructions carefully) 1. Complete the title page with all necessary student details and ensure that the signature of the student is marked in the declaration form. 2. All assignments must be submitted as an electronic document in MS Word to the LMS (Use 12 Times New Roman script). 3. Assignment that is not submitted to the LMS by the prescribed deadline will be accepted ONLY under the REDO and RESIT submission policy of Westford. 4. The results are declared only if the student has met the mandatory attendance requirement of 75% and/or a minimum of 50% under extenuating circumstances approved and ratified by the Academic Director. 5. The assignment should not contain any contents including references cited from websites like www.ukessays.com, www.studymode.com, www.slideshare.net , www.scribd.com. 6. No Wikipedia referencing will be allowed 7. Word count is 6000 words 8. Bibliography must be shown below. Marks will be deducted if left out 9. Submit the assignment in a MS Word document with the file name being: First Name Last Name_ abbreviation of the subject. Example: John Smith_SSCLM Quick Reference Checklist for the Students: 1. Adherence to the deadline of submission date. 2. Original cover sheet and format retained. 3. Student information and signature intact. 4. Font style and size used as instructed. 5. Harvard Referencing System and Citations are strictly followed.
  • 5. The Case Introduction You have recently been assigned the position of Vice President of procurement of a reputable Middle Eastern airline called Flysafe based in Dubai, The organisation was established in 1973 where it operated only 5 aircrafts and two routes within the region. In those days, competition was limited and so, they were able to make significant profits despite some operational challenges. Looking forty plus years ahead, the organisation has grown significantly with over 2000 employees and an aircraft fleet size of 300 state of the art aircrafts. The market has now changed with several non-middle eastern airlines running the route with low budget airfare options. Consumers are choosy and have targeted low cost type / now frills airline carriers. The reporting and data transfer lines are not linked between flying hours of rotating spares, supplier schedules and the shipment of spare parts for the operations. The organisation has also lost favor with many of their strategic suppliers, Super Turbines and North Star Aircraft limited, mainly for engine repairs and technical support, landing gear spares and other power plant supplies. Many of the orders are rushed and shipped via airfreight to accommodate AOG (Aircraft on Ground) status and even for routine requests. No manager has ever weighed in on the freight cost vs ocean and in every occasion, FCA incoterms are used with a local based freight forwarder. Recently, North Star has complained that these arrangements cannot continue, claiming that shipping of parts out of their warehouse is not their expertise and neither is it their core business. This has led to delays in major overhauls, coupled with limited supplier concessions by both vendors. Flysafe has also recently diversified their business model, converting two of their older 777 aircrafts into freighters to support their Flysafe Global Caterers subsidiary. The subsidiary is actually run by a third party provider. Just two years running, their Oman, and Saudi based airline customers have complained that their Dubai location does not allow for the fastest delivery, although the board of FGC thinks otherwise. There were also documented cases of poor food quality and delays in getting the food to the aircrafts on time. This has amounted to over 200,000 USD in penalty charges by airlines since FGC’s inception. Management is now thinking of dissolving this new arrangement and cancelling the contract with Food for the Skies, the named third party operator. But some board members remain optimistic and now thinks that the new Procurement VP can devise a distribution plan to save the subsidiary and also revamp the current outsourcing contract. The current IT platform no longer meet the needs of the operations as it was initially setup to have each department module function independently. This has affected the supply chain’s performance since they had recommended that a new system be purchased to allow for a more integrated chain of activities and that the suppliers be integrated into the network as well. These realities, unfortunately, have been compounded by some major procurement related shortcomings that has weakened the entire company, seemingly, now very close to the point of closure.
  • 6. Procurement turnaround You have been given a three month mandate to turn around the organisation, reversing much of its losses, often caused by poor sourcing decisions and a lack of understanding of the way procurement and supply chain works in the airline industry. The board now require you to address several challenges. A report done by an external auditing body, hired by the board, concluded, that there were several weaknesses which contributed to significant operational & financial losses every year and if not addressed quickly, is likely to lead to a collapse of the operations and an insolvent situation, just as the board forecasted. The board requires, that any further and future recommendations presented, shall be supported by some secondary research, which would eventually justify all reconditions to be discussed here. You are also encouraged to use examples of the successes and challenges of other firms as you proceed to address the issues at hand. A summary of some key procurement issues are as follows. Some may not have been mentioned above: a. Outsourced catering contracts that have contributed to operational delays and poor quality. b. Slow turnaround of rotating spares. c. Poor supplier relationships d. Operational challenges associated with defective OEM spares with a global sourcing partner. e. Uneconomic sea freighted transshipment routes from Europe to Middle East for bulk category C OEMS. f. IT system, not supporting supplier performance and supplier relationships. g. lack of vendor cooperation and support Addressing the financial impact. As the new VP you have been briefed about several financial and cost related issues that have plagued the enterprise. The Director - Finance, Annie Windsor presented some financial data (See figure 1.1 below), arguing that this supplier, which happens to be the third party provider Food for the Skies, should not have been selected in the past based on the results shown. This was based on an internal audit conducted by her department .The Internal audit has revealed several inventory management challenges for the new VP of procurement as well. AC O-rings and other category C stock types are either out of stock or spares being discarded due to expiration reasons. This was common with o -rings and all rubber related C type spares. As for high value of stock (A category) such as engines and rotor spares, thee were found to be too high, with engines sitting on the hangar floor with reportedly slow turnaround times. These were seen as unnecessary capital being tied up in stock and a serious threat towards the firm’s already stressed liquidity.
  • 7. Assignment Tasks: Assignment Task: Read the following Scenario, and prepare a Report with the guidelines provided. Report – 100 Marks [8000 -10,000 Words] Assignment Task 1: Case Study [30 Marks] a) Briefly, as VP of Procurement, you are asked to demonstrate an awareness of the current issues facing global supply chains, with relevance to the airline and aviation sector. This must also involve some assessment of the market environment and how the macro factors are currently impacting the industry. You must present reputable and industry related data to the board of directors, needed for procurement and corporate decision making later on. Remember that the board must remain convinced that you are the right person for the job. b) Firstly, the current outsourcing strategy must not be ignored. You must assess the complex issue of outsourcing strategies in supply chains within the market sector and develop original and creative responses to the issues surrounding outsourcing at FlySafe. A revamping plan of the strategy must be recommended, exploring contract management methods to address the problems. Any strategies recommended must be workable and tested within the industry at least. The student can also explore other strategies to replace a third party arrangement that might also reap benefits for FlySafe. (LO4 )
  • 8. Assignment Task 2: Case study [ 25 Marks] Looking ahead of the strategic plan and market review, experience reminds you that vendor management must be integrated into any proposals prior to implementation. It is also encouraged, that supplier relationship management be supported by the requisite IT platform. Your years of experience has taught that if suppliers are not part and parcel of your plans then it’s useless without them taking center stage. An extensive review of supplier relationship management now form part of the equation of not only addressing the lapsed relationship above, but to also take on a holistic approach in being part of the correction. Supplier relationship management must be done rationally and not a case of building strategic ties with all suppliers. The Kraljic Matrix should be applied to help organize the relationship distribution for FlySafe. The supplier's’ perspective on the reasons why the collaboration has collapsed must also be reviewed where you will apply the Supplier Preferencing model to determine other operational and strategic reasons for the failure. A suitable SRM software must also be recommended, while you outline the importance of IT in fostering better ties between FlySafe and the vendors mentioned earlier. (LO2 and LO1) Assignment Task 3: Case study and Student Presentation [ 20 Marks] You are required to plan and present a logistics report to the board by answering several of the questions they have posed below. Your proposal might consider a range of route options and strategies for faster delivery and reverse logistics efforts, considering that most import and export shipments for rotating spares shipment are done out of North America and Europe. This happens to be where the strategic vendors, Super Turbines and North Star Aircraft limited operates so a well thought out plan must be presented. Incoterms and transport modes would also be assessed. The issue of Flysafe Global Caterers has become a logistics and distribution bugbear for the board so they are looking forward to workable solutions. The following must be addressed in a live PowerPoint ONLY presentation. Note the higher marks will be awarded for content where students are able to draw from real life examples :
  • 9. • Why is reverse logistics an important supply chain function to the airline industry? • Provide examples where this function is applied within the sector or other sectors, highlighting the successes and challenges faced. • How would you improve reverse logistics at FlySafe • Present in summary form, workable solutions to address delays that might be linked to the location of the key suppliers mentioned above? • How would you go about addressing the current incoterm issue? Please justify your solution / s to the board? Would you consider another term and if so why? • With the Catering subsidiary being accused of having an unsuitable location hub, do you think such a reason is justified? Give reasons for answer given. • If you were to relocate existing Dubai hub as your first solution in addressing the delays to customers where would you locate it too and why? • What factors might you consider before you plan your relocation? PRESENTATION GUIDELINES AND TIPS: • First slide can briefly speak about the firm and airline industry • A good idea might be to highlight the ops strategy of the firm first before you make mention of the challenges • Feel free to include short videos. For e.g. example 1 to 2 minutes long. • Try to use bullet points and keep it short. • Photos can also be used to tell a story or help explain a point. • At least 10 slides must be presented GRADING AND RULES : 10 minutes to present. 5 minutes for a Q and A session You will be scored out of 20 with the marks distributed as follows :
  • 10. No. Name PPT (Quality of design, layout, images, overall appeal) 5 Marks Content 5 Marks Presentation Skills (Confidence, communication Skills, Posture, Voice Modulation) 5 Marks Interaction/Q&A 5 Marks Total 20 Marks An important Caveat: If your slides includes extensive content then you are likely to go over your time. It is recommended to stay with bullet points and give an overview of them. Sometimes it might not be required to detail everything line by line, but to give an overview and speak around the data. This requires practice but the approach will help you in delivering future presentations. (LO6 and LO3)
  • 11. Assignment Task 4: Case study [ 25 Marks] a) In assessing the ratio table below, you must now determine realistic assumptions on the possible causes of the results, propose solutions to address them and the impact it may have on supplier relationships later on or even currently. The VP must also make recommendations to avoid such from occurring based on the finance director’s findings. Student will refer to the financial appraisal results in figure 1.1 below. (LO5) Figure 1.1 Financial results of Food for The Skies Ratios 2015 2016 2017 profit margin 9.12 8.63 9.22 profitability 13.12 11.23 9.25 Return on Assets 23.15 16 14.23 Current ratio 1.62 1.45 1.21 Acid or Quick Ratio 0.98 0.82 0.55 Stock turnover 5.1 6.12 4.25 Gearing Ratio 13.15 15.15 21.25 b) The inventory management shortcomings the organisation now faces should be tackled with a detailed plan to correct inventory levels. The student must also distinguish between dependent and independent demand while discussing what other ordering techniques might be fitting for the airline industry. These arguments must be well justified. For example, EOQ ordering concepts and periodic review replenishment systems could be reviewed. Some other warehousing and inventory management solutions should be explored such as VMI and Demand Pull strategies for rotating spare parts. For the moment, your assumption is that the airline has not accurately matched supply with demand conditions and have therefore linked this issue with working capital management, cost planning, capital expenditure investment allocation issues and current cash flow constraints. You must now develop very clear solutions based on the inventory challenges highlighted above. (LO5) NB – The names and data are all fictional. If anyone finds the same similar to their enterprise, then this will be coincidental.
  • 12. FLYSAFE Introduction FlySafe began on a positive note in terms of performance, profit and reputation, and this was due to the economy boom, lack of competition, low fuel prices, low insurance prices, and other factors that contributed to the high margin profit in a short period of time. However, the industry has changed and FlySafe is not doing as well as it once was. After assessing the situation, one of the main reasons was the poor performance of the supply chain management department. Moreover, we are in the midst of a fundamental revolution in the nature of airline business. If any company wants to thrive in these new conditions, it has to understand how supply chain networks work. Supply Chain Management Supply chain management is the wide scope of exercises required to plan, control and execute product's flow, from procuring raw materials and generation through to the last client, in the most streamlined and cost-effective way possible. Supply chain management is critical in light of the fact that it builds intensity and consumer loyalty. Supply chain management is vital for a company’s prosperity as it enable firms to rapidly convey items to the end-client with minimal effort. An inventory network is an arrangement of associations, individuals, exercises, data, and assets engaged with moving an item or administration from provider to client. (Christopher & Towill, 2001). At the point that an organization has a successful inventory network the executives set up, the company will benefit from the execution of a proper inventory network as waste and loss will be diminished. Therefore, it is critical to focus on the performance of the supply chain or network in which the company is a partner. Supply chains comprise all activities associated with the flow and transformation of goods from the raw material stage through to the end user (Nicholas, 1999). It is a vital business function and the process includes sourcing raw materials and parts, manufacturing and assembling products, storage, order entry and tracking, distribution through the various channels and finally delivery to the customer. It also consists of several members who are positioned upstream or downstream. However, the view of the supply chain has changed over time from an internal to a more external focus i.e. from an internal supply chain to an integrated synchronized supply chain. (Landry, 2000). The origins and evolution of the supply chain is composed of four phases. The first phase starts with the integration of the steps within the internal supply chain. The second phase emphasizes the horizontal nature of the process inherent in the basic task of procurement through to the manufacture of finished goods and cooperation between the steps in order to create an integrated
  • 13. whole and the opportunity to reduce costs and delays as well as increase customer responsiveness. The third phase concerns coordinating activities between businesses, for example tier 1 and tier 2 suppliers, and stages in the distribution channel. The final phase involves synchronizing the planning and execution of activities across the supply chain. The concept of supply chain management originated in the manufacturing industries during the early 1980’s, and it was developed from innovations such as Just in Time and Total Quality Management. Supply chain management can be seen as an example of evolutionary and cumulative innovation, which is often described as emanating from internal programs aimed at improving overall effectiveness (Al., 2006). The focus is not only limited to increasing the internal efficiency of organizations, but also has now been broadened to include methods of reducing waste and adding value across the entire supply chain (Christopher, 1998). The driving forces of supply chain management stem from two sources, which are external pressures and potential benefits from strategic supply chain alignment. External pressures include factors like advances in technology and increased customer demand across national borders (Basu, 2001), maintaining lower costs while meeting these diverse needs, intensified competition utilizing relationships among vertically aligned firms (Beamon, 1999). Others include greater competitive intensity, tighter alliance relationships, continued merger activity, and need for better information. These pressures have begun shifting the focus of individual firms vying for market presence and power to supply chains competing against supply chains. The second main driving force entails the potential benefits from successful supply chain collaboration. That includes unique products and services, faster research and development cycles, superior product quality, and cost competitiveness. Importance of Supply Chain Management for FlySafe When analyzing the issues that FlySafe are going through, a lot of it has to do with supply chain management. In addition to that, restricting and fixing the supply chain management can solve these issues. For example, the reporting and data lines are not linked between flying hours of rotating spares, supplier schedules, and shipment of spare parts. Also, the company has issues with two of its suppliers that repair mechanical parts of the airplanes. FlySafe not only has problems with suppliers for aircraft maintenance, but also with the catering that is outsourced and currently run by a third party. These issues are severely impacting the company, and will most likely lead to the company shutting down if not addressed properly. If we are able to restructure our supply chain, we can save the company. Firstly, costs will decrease because we have already increased costs due to avoidable issues such as paying penalties and paying more for airfreight due to late orders. Secondly, the image of FlySafe will improve both in the eyes of the consumers and suppliers. There are already complaints from both parties as consumers complain about the quality of the catering. Suppliers on the other hand are also complaining about the way they have to rush to deliver parts.
  • 14. Issues Facing Supply Chain in the Aviation Sector (MRO) One of the identified problems at FlySafe is the procuring of spare parts. This will lead us to study in depth the MRO to insure that aircraft are maintained in excellent conditions to safely transport passengers. The first aspect to be discussed is inventory management. (Grokhovskaya, 2018) It is difficult to ensure the right balance of inventory as too much will lead to increased maintenance costs as well as paying for storage space, while too little can cause delays and that will also increase costs. (Grokhovskaya, 2018) One way to tackle this issue is to analyze big data and predict when inventory is needed and order accordingly. (Grokhovskaya, 2018) This is a solution that FlySafe should look at when it comes to its own inventory management and especially for the catering. The second aspect is moving parts when expanding into different markets. (Grokhovskaya, 2018) What this means is that companies have to be more agile in their supply chain management delivering the correct parts at the correct time. (Grokhovskaya, 2018) This is more towards a just in time production but due to the nature of the industry, that could be difficult to maintain because some parts take quite a significant time to be ready so being agile is difficult. The third aspect comes from emerging markets, and what they do has an impact on the global supply chain management of the industry. (Grokhovskaya, 2018) There seems to be an issue with the rapid fleet growth from emerging markets like Asia/Pacific and the Middle East as the aftermarket tends to be uncoordinated and fragmented. (Grokhovskaya, 2018) The reason that the market is growing in these areas is due to the low labor costs, and FlySafe could take advantage of that. If FlySafe can take advantage of the low labor costs, that would be beneficial. The issue is that there are a lot of inexperienced workforces. (Grokhovskaya, 2018) Therefore, the company would have to implement a quality check from the suppliers if we do enter those markets. However, it may be a smarter choice to go with quality over cost saving when it comes down to it. The world we live in today is fast paced and travel has become widely available, and that means that there is a large customer base. Moreover, consumers are demanding more as there are a lot of competitors. Consumers expect minimal flight delays, and their needs seem to shift pretty rapidly. (Grokhovskaya, 2018) As a result, organizations should listen to what the customers want and act accordingly. However, that is easier said than done. Sometimes what the customers want may require a significant change in how the organization works. Another challenge when it comes to MRO’s is with strategic global partnerships, or building long time global partnerships with suppliers that are capable of delivering the quality required to meet the organizational needs. (Grokhovskaya, 2018) This is another area that FlySafe can improve on, as the current relationship with suppliers needs to be improved urgently. Overall, the industry is continuously growing especially with the growth of e-commerce and low fuel prices. (Nuijten, 2018) Technology is one factor that is crucial to the industry and rapidly changes how the industry works for example, communication. Worldwide communication has never been easier due to the current technology available, but keeping up with the technological changes and updating may be difficult and costly for some companies. Again, that touches upon the IT problem that FlySafe faces.
  • 15. PESTEL Analysis Political In order to further understand the factors that affect the aviation industry and how these factors influence FlySafe’s supply chain management decisions, a PESTEL analysis will be conducted. Beginning with the political factors, a pivotal factor is war. War is a major factor because airlines have to change their flying routes if areas that are affected by the war become no fly zones. As a result, aircrafts will most likely have to fly for a longer time. That means that more fuel will be consumed as well as the aircrafts will require more maintenance. Therefore, the supply chain for fuel and maintenance will have to change. Another political factor is the fact that the industry is highly regulated and passengers are preferred over airlines. (Pestleanalysis, 2014) That affects FlySafe because there are already complaints from passengers regarding the quality of the catering that is provided, and that could lead to large problems. In addition to that, keeping up with the ever-changing regulations is costly. Economic The first major factor affecting the aviation industry is oil prices, and in 2018 oil prices fluctuated throughout the year, as there was a 24.84% change. (Macrotrends, 2019) This not only affects fuel prices but also the economy as whole. Economic conditions affect passengers in the sense that demand for travel increases, but people’s budgets decrease. As a result, there will be a higher demand for budget airlines. This is positive for FlySafe because it is a budget airline, but the downside is the amount of competition showing up on the market. Due to the higher demand of no frills airlines and the amount of new budget airlines opening, FlySafe has to distinguish itself from the rest. (Boyd, 2018) Even though it is a budget airline, quality is still extremely important and is a major factor to consider when implementing the new supply chain management plan. Social The current younger generation of people has a desire to explore and see as much as the world as they can. (Pestleanalysis, 2014) A lot of these people are not interested in all the new luxuries that are available on airplanes and only care about reaching their destination for as cheap as they can. As a result, this is one of the factors that caused the increase in demand for budget airlines. On the other end of the spectrum, there are also people that crave the utmost luxury and services when traveling. These people would most likely not use FlySafe. When looking into the supply chain management for FlySafe, it would be beneficial to look into entering further countries that are seeing tourism booms. Technological As mentioned above, communication has never been better, thanks to the current technology. This facilitates the supplier-customer relationship, as there are systems that can be put in place to forecast the needs of the company. This is crucial to FlySafe, as it will help with the issues of the delayed orders. One pressure on the industry that comes from technology is keeping up with all the new technological advancements, which seem to be coming at a faster rate than ever.
  • 16. Environment There has been more emphasis on waste management in recent years, and that is a positive aspect for the environment but could be difficult for companies. (World Energy Summit , 2018) The materials that have to be used could be more costly, and even getting rid of the materials can also be costly. What some suppliers do is that they require companies to send back used materials at a cost. A tie into technology would be the fuel emission requirements as new technology is coming out in order to reduce fuel consumption, and that is beneficial to the environment as well as for the company overall. FlySafe should look into this, as a one-time cost for implementing that technology will help keep overall costs down on the long run. Legal Regarding aviation laws, they are tailored in a way that has the safety of passengers at the utmost importance. The downside for airlines is how expensive it is to keep up with these regulations, especially when passenger safety is involved. Therefore, FlySafe cannot take any shortcuts with aircraft maintenance and repairs. Outsourcing and its Pros and Cons According to The Chartered Institute of Purchasing and Supply, outsourcing is “ the process of identifying the most suitable expert third party service provider to undertake the management, administration, and provision of the service in question.” (CIPS) This is a crucial aspect in supply chain management as choosing the right organization to handle parts of the business can be beneficial as it should be the specialty of the organization. In other words, the first benefit of outsourcing is taking advantage of specialized organizations to handle certain functions. That could lead to lower costs because of the efficiency of the organization that is handling the service. Other benefits are improved resources, higher quality of service, and meeting customer demands. (CIPS) Outsourcing does have its negatives as well, as the designated third party may not care about the organization and may not perform the task as well as they should. Also, control and overseeing operations can be difficult. Moreover, misunderstandings do happen because there is a chance that the third party does not quite understand what is required. As a whole, outsourcing should be beneficial and definitely used in FlySafe. Analysis and Plan When looking at the current issues that FlySafe is having, it is clear that the management of contract is what is causing a lot of the problems. Contract management is the “procurement process that ensure suppliers adhere to their agreed contractual obligations”. (CIPS) We can see that especially with the supplier North Star as they are getting frustrated when they have to ship supplies out of their warehouse because they say it is not their specialty. This is the key to this problem that led to delays in major overhauls. The specifics of how supplies are moved should be mentioned in the contract and followed by both parties.
  • 17. How should FlySafe address its outsourcing issues? Outsourcing in the aviation industry has become key as companies try to keep costs down low. Warwick Brady, Chief Operating Officer of EasyJet, says “we outsource everything we can outsource”. (Wild, 2014) Looking at some examples of how airlines outsource, Lufthansa outsourced its maintenance and support for ticketing through a cost cutting scheme, Delta Airlines re-signed in 2014 their catering providers, and British airways outsourced its security to the company G4S. (Wild, 2014) All these are examples of successful outsourcing arrangement, but there is a downside. When Lufthansa outsourced their ticketing, they cut out 3500 jobs. (Wild, 2014) Although beneficial to the company, 3500 people had to lose their jobs for this to happen and might have affected the moral of the rest of the employees at Lufthansa. Looking at the feedback from some of the stakeholders beginning with the issue with Northstar, Northstar should be kept as the reason of their delays is mainly due to FlySafe placing late orders and having Northstar struggle with delivering on time. The solution there would be to write up a new contract that clearly states all the details of moving supplies as well as FlySafe stepping up by introducing predictive software that could place orders and solve the problem with Northstar. Also, this would save costs, as late orders no longer have to be rushed through airfreight that is more expensive than sea-freight. This ties into the next problem, which is the IT. The current software is outdated as each department module functions individually. FlySafe should consider outsourcing the IT that would link all the functions as well as the predictive software for ordering supplies, but the problem there is that the IT company would have a lot of important data from FlySafe. Regarding the catering contract with FGC, the third party currently running the program should be changed and a new system put into place. The reason for that is there are complaints about the whole service, which is getting the food on time and the quality of the food itself. The most important aspect of the whole revamped plan is the IT because that will be the link between all the departments. Moreover, the new software would help rebuild the relationship with Northstar and also help with the performance indicators of each department. This will help the board to really see what is happening and take the appropriate decisions. As a recap, the new plan would be based around a new IT software that will repair relationships with aircraft maintenance suppliers, link all departments, and completely change the third party that is running the catering division. Supplier Relationship Management Now that the plan is set, an important part would be the supplier relationship management. The Chartered Institute of Purchasing and Supply defines supplier relationship management as “the process for managing the interaction between two entities”. (CIPS ) Supplier relationship management is meant to benefit both parties, and it is exactly what FlySafe needs in order to mend its relationship with the current suppliers. Moreover, it will help in the overall efficiency of running the organization. A managed relationship is one where both entities know how the other is going to react while fulfilling the required tasks from each. (CIPS ) In other words, it becomes smooth sailing between the two and everybody benefits. It is important to know what both
  • 18. parties are able to deliver before writing up the contract in order to avoid problems similar to what FlySafe was happening. Also it is important to understand that there are different levels of relationships with suppliers, which will be looked at in depth using the Krajlic Model. In the pre contract phase, the supplier must be evaluated and chosen. (CIPS ) This will be important when it comes to the catering, since we are completely changing the third party that is currently managing it. For the aircraft maintenance, we need to rewrite the contract and clearly define the expectations of each party. The Chartered Institute of Purchasing and Supply recommends that there should be an exit plan in the contract if the relationship does not go as planned. (CIPS ) In addition to that, CIPS mentions the skills that are acquired in order to have a successful relationship. They talk about interpersonal skills, listening skills, persuasion skills, diplomacy skills, arbitration skills, project management skills, and performance measurement skills. (CIPS ) Based on the information given, we can deduce that maintaining a relationship with the supplier goes beyond simply delivering the required goods, and this is an area that FlySafe needs to improve on with the suppliers. This is key with the aircraft maintenance suppliers because FlySafe already has to put out a positive image and mend its relationship with them, and FlySafe has to go beyond just mending the relationship and reach a point where both parties are benefiting. There are two types of approaches to supplier relationship management, strategic and reactive. (Michael, 2018) Reactive is managing the relationship when a negative situation happens, and that’s what FlySafe has been doing previously. (Michael, 2018) What should happen is that FlySafe should use the strategic approach, which is the relationship should be planned and worked on before the contract is even signed. (Michael, 2018) Examples and Benefits of Supplier Relationship Management in the Industry It is clear that a successful relationship with the suppliers is beneficial to both parties as access to key resources can be gained. (Metsanen, 2017) For example, lower costs to both parties. EasyJet has Menzies do most of the ground handling such as working on check in desks, departure gates, and directing passengers to aircraft. (Wild, 2014) The benefits for EasyJet would be that they have a firm that specializes in taking care of the work on the ground for a potential lower cost than if EasyJet did it itself. For Menzies, they would be working with an airline such as EasyJet and can benefit from the experience. That way, they can use what they learned from EasyJet with another airline if Menzies works with another airline. Also if the relationship is approached in a strategic way, the supplier could take more work from the same airline. This is shown in the case with Delta Airlines and its catering provider Gate Gourmet. (Wild, 2014) Delta Airlines added three more airports that Gate Gourmet would provide its services. (Wild, 2014) As a result, Delta Airlines has three more airports where they really know the quality of service they are receiving and Gate Gourmet has expanded its services. Moreover, Gate Gourmet can work with other airlines in the new locations. It is important to note that if the relationship between two parties is going well for them, that doesn’t necessarily mean that the relationship between FlySafe and that supplier will go just as well. There are many factors that go into this, as FlySafe might not work well with the way the
  • 19. supplier works. However, the outtake from the example is that there are long-term benefits to both parties if the relationship is approached strategically. Benefits of IT Platform to SRM Since FlySafe’s revamped strategy is based around a new IT system, it is critical to analyze how important that IT system will be when it comes to supplier relationship management. The best way to show the importance of the IT system is through a live example with Etihad. In 2015, Etihad Airway’s procurement and supply management department integrated SAP’s Ariba solutions cloud based software. (Jacotine, 2015) The point of the software is to streamline Etihad’s source-to-contract processes, and to integrate new suppliers. (Jacotine, 2015) This is supposed to clearly show Etihad’s contracts and spend, and give information regarding all supplier activity. (Jacotine, 2015) These are already two key areas that FlySafe struggled with and need to improve on, and this shows even more how crucial the IT software is to FlySafe’s new plan. SAP’s Ariba would solve the problem of departments that are unlinked as well as having a clear idea for the managers to see what is going on with the supplier activity. Another feature of the software is a virtual tender board as well as contract approval procedures that are meant to speed up the entire process. (Jacotine, 2015) In addition to that, there will be an automated purchase order system that will increase efficiency. (Jacotine, 2015) This is exactly what FlySafe needs because it will solve the problem of placing late orders with suppliers, and that will benefit both the supplier and FlySafe. The board can benefit from the software as well because they can monitor progress on the new plan as well as have a clearer view as to what is going on with all the suppliers. From the suppliers’ point of view, they should also benefit from the software in the sense that their job becomes easier and requirements are clearer. If suppliers know how much stock is constantly being ordered, they have an idea of what is going on and can prepare accordingly. Also, there will be digital written records of all activities, and that would help with performance management. It is important to note that SAP’s Ariba fits very well with FlySafe’s requirements, and it is being used by another United Arab Emirates airline on top of that. That means that the software is easy to get, and it helps that SAP have offices in the United Arab Emirates in case any technical support is needed. Kraljic Matrix Now that the IT software that will help with supplier relationship management is recommended, it is important to segment the suppliers. For segmenting the suppliers, the Kraljic Matrix will be used. Peter Kraljic created the Kraljic Matrix in 1983, and risk and profitability are the two key dimensions he uses to segment the suppliers. (Webb, 2017) Risk is about how likely an unforeseen event in the supply chain will disrupt operations in important parts, and profitability is the “impact of a supply item upon the bottom line.” (Webb, 2017) Putting those two factors yields the Kraljic Matrix as shown below.
  • 20. Source: Peter Kraljic, HBR Leverage Items Leverage items are critical because they have a high profit impact, but these are supplies that can easily be substituted and power is with the buyer here. For FlySafe some of these items would be fuel and oil for the aircraft. Although they are crucial for FlySafe, there are many suppliers of fuel. With these suppliers, we can bargain with them and try to benefit as much as possible because there is an abundant supply of companies that can provide fuel. This doesn’t mean that the relationship should be neglected though, as issues with these types of suppliers would cause major issues. As a result it would be beneficial to find suppliers that we can rely on and at the same time get a decent price for fuel and oil. Non-Critical Items Similar to leverage items, there are a large number of suppliers. However, the difference is that non-critical items do not have a significant impact on profit. Non-critical items are everything from napkins used in the catering service to office stationary. These items are required in order to complete the daily tasks, but there absence will not cause a major delay in operations. It would be better to have an automated system that will purchase these supplies, and negotiations regarding pricing should take place in this case. Moreover, there should be some level of product standardization. Relationships with these suppliers might not require the same effort as leverage items, but it would still be beneficial to have a positive image with them. Bottleneck Items Bottleneck Items are not easy to deal with because here the suppliers have power, and the impact on profit is not that significant. Research showed that these suppliers take more time than any other type, and this is important to know so that the right effort is put into these suppliers. (Webb, 2017) This is the case with the catering. Although the profit is not the most significant
  • 21. for FlySafe, there are not many suppliers that can provide what is required. In addition to that, FlySafe has already paid the price for a failing relationship with a bottleneck item supplier, so this relationship would be crucial for the company in order to save itself from even more problems. Strategic Items Strategic Items are the most crucial for FlySafe because their impact on profit is significant, and there is a scarcity of suppliers. The relationship with these suppliers should be long time, and there should also be collaboration and innovation between the parties. These are the suppliers that provide the MRO for FlySafe as well as the aircrafts and other key resources. The bulk of the operation depends on these suppliers, and the suppliers have the bargaining power. Northstar can be considered as a strategic item supplier, and their issue is addressed in the revamped plan. Supplier relationship management would be used mostly with these suppliers, and both parties should benefit from this. Supplier Preference Model Just as FlySafe segments its suppliers, the suppliers themselves will also have preference for clients. A supplier preference model will be used in order to analyze the situation from the suppliers’ side. The matrix will look at the attractiveness of the client versus the value of the customer. (PMMS Consulting ) Some of the factors considered would be prompt payment, association of a high customer name, life expectancy, trust, and simple and straightforward systems. (PMMS Consulting ) Before the revamped plan, FlySafe was not standing at a very favorable position with suppliers. FlySafe was beginning to develop a reputation for poor quality when it came to catering. These factors would mean that FlySafe was not seen as an attractive client nor was the value of FlySafe of major significance. However, the new plan will change the view of suppliers on FlySafe which categorized them as nuisance. The IT software will help with the attractiveness of FlySafe as there will be a high potential for the company that suppliers would view as an opportunity to capitalize on. The change in the third party handling the catering will also provide an opportunity for suppliers to take an advantage and benefit. It is clear that the IT software will solve most of the issues seen by suppliers and will change their view towards FlySafe to development and eventually reach to core value, so again it is the most crucial aspect of the plan.
  • 22. Supplier Relationship Management Summary To summarize, supplier relationship management is crucial to FlySafe, as it will help mend and maintain the relationship with the different suppliers. The Kraljic Matrix was used in order to segment the suppliers and we decided that suppliers for strategic items will be the most crucial for the success of FlySafe, while suppliers for bottleneck items will probably be the most difficult to deal with. SAP’s Ariba software was recommended as the software to go for because it would streamline operations easily integrating new suppliers, Etihad Airways has been using, and SAP has offices in the UAE for continuous technical support. Moreover, a supplier preference model was used to analyze the situation from the suppliers’ point of view. We found that FlySafe was not in a favorable position, but the new revamped supplier strategy should change that view to a more favorable position. Financial Ratios We have been given the financial ratios for Food For The Skies from 2015 until 2017, and we will be analyzing these results and using that as a performance metric for the organization. Following the analysis, recommendations will be given based on the results. Profit Margin The profit margin is used to gauge the profitability of an activity, or “how much percentage of sales has turned into profits”. (Chen, 2018) Profit margin is calculated by dividing the net income by revenue. (Chen, 2018) Figures show that the profit margin from 2015 until 2017 was 9.12, 8.63, and 9.22 respectively, and these numbers are not very positive because there was a drop in the profit margin between 2015 and 2016. Even if in 2017 the profit margin picked up again, the increase was not significant. A possible reason for the drop in profit margin is increased costs that may have come from late shipments or wrong orders.
  • 23. Profitability Profitability is similar to the profit margin in the sense that is measures the profitability of an activity as the name suggests. The issue here is that profitability of Food For The Sky has decreased from 13.12 in 2015 to 9.25 in 2017, and the reasons for the decreasing profitability may be the same as the profit margin in the sense increased costs and lower revenue due to declining quality and late shipments. Return on Assets According to Investopedia, return on assets indicates how effectively assets are being used to bring in revenue. (Kenton, Return on Total Assets – ROTA Definition, 2019) Moreover, return on assets is calculated by dividing the earnings before interest and taxes by the average total assets. Based on the results, the numbers are alarming. The return on Assets has been decreasing since 2015, as it was 23.15 in 2015, 16 in 2016, and 14.23 in 2017. The takeaway here is that assets are being used inefficiently and are costing the company, and there could be several reasons that lead to a low return on assets. The inefficacy of the assets may have resulted from poor management and will lead to long term negative effects. Current Ratio The current ratio is a liquidity ratio, and it is mainly used to show the firm’s ability to pay short- term debts. (PEAVLER, 2018) If the value of the current ratio is less than one, then the firm would have trouble to cover its short-term debts. (PEAVLER, 2018) For Food for The Skies, the value has dropped from 1.62 to 1.21. If this trend continues, the firm will have issues to cover the monthly payments. A reason that the current ratio is dropping could be too many accounts payable and liquidity issues in general. This pattern is indicative of the negative performance of Food for The Skies. Acid Ratio The acid ratio or the quick ratio as it is also known is another liquidity ratio that measures the ability of a company to use its cash to close out its current liabilities. This means that the acid ratio should be high to indicate good performance, but the trend shows otherwise. There has been a significant drop from 0.98 in 2015, to 0.82 in 2016, and 0.55 in 2017. These numbers back up the fact that Food for The Skies is experiencing liquidity complications. The reason behind the current ratio numbers and the acid ratio numbers all goes back the inefficiency of how assets are being used. Stock Turnover Stock turnover looks at the ability of the firm to sell and replace its inventory within a certain period. If the stock turnover is low, that means that the company is not selling fast enough, or it may be overstocking. Again, the numbers from Food for The Skies do not look good. Although there was an increase in stock turnover in 2016, the number dropped in 2017 to lower than what it was in 2015. The more probable reason for the stock turnover value is that the firm is not selling enough, and that could be caused by poor quality.
  • 24. Gearing Ratio The gearing ratio compares the companies borrowed funds to its equity, and it also shows the financial risk the firm is in. (Accounting Tools, 2017) A high gearing leverage means that the company is using borrowed money in order to run its operations, and Food for The Skies has gearing ratios that keep increasing. (Accounting Tools, 2017) This shows that the interest rate from the debt may be too high. Implications and Recommendations Based on the financial results shown above, we can clearly see that there are many problems that may lead to the closure of the firm. For example, the liquidity ratios show the inability of the firm to deal with short-term debts. Moreover, the gearing ratio shows that the firm has increasing debts that need to be covered. A crisis may be averted in the short term, but it cannot hold on for much longer. In addition to that, the results from the profitability ratios show that the firm is becoming less and less profitable with time. In order to avert a major crisis, firms should be aware of the amount of debt that is being used in order to run its business operations. Getting the right amount of stock is critical, as too much stock can lead to low turnover and too little stock can also reduce revenue. This is where the revamped plan should make the difference with the IT software coming into play and enhancing operations. These problems may have been avoided had the right vendor been chosen in the first place, or actions should have been taken at an earlier stage. All the ratios are connected in the sense that they are all performance metrics for how the firm is doing, and managers should have realized a problem as soon as there was a negative trend. For example, when the current ratio began to drop they should’ve cut down on their debts. Moreover, the profitability of the firm was dropping. All these factors go hand in hand with the results that were shown from the ratios. For example, a low stock turnover is related to profitability in terms of revenue. Since the stock was not being sold and replaced, obviously revenue would go down and so would profitability as well. Inventory Management and Importance Inventory management refers to the “process of ordering, storing, and using a company’s inventory”. (Hayes, 2019) It is crucial to any organization, and poor inventory management can lead to major problems for the company if it is not managed properly. For example, poor inventory management can lead to increased costs. This happened with FlySafe. Due to the fact that the inventory was mismanaged, the company had to order stock last minute by airfreight that turned out that costs were significantly increased.
  • 25. Dependent vs. Independent Demand, Ordering Techniques Simply put, independent demand is when there is demand for a finished product, while dependent demand is when there is demand for the parts that go into that finished product. (CSMP & Sanders, 2014) For example, independent demand would be a ready to fly airplane. On the other hand, the dependent demand would be all the parts that go into the airplane. It is important for an airline to know how much dependent demand there is, and this is where ordering techniques come into play. The organization has clearly been struggling with inventory management, and needs to find a solution. The first concept to be looked at is EOQ, and EOQ is the Economic Order Quantity. The EOQ is used to identify the ideal number of units to order while keeping costs to a minimum. (Kenton, Economic Order Quantity , 2019) Achieving the EOQ is critical for the organization so that it does not fall into problems like overstocking or not having enough stock to meet demand. There are different methods of managing inventory levels, and one method would be review systems. There are two types of review systems, continuous and periodic. (Sherman, 2019) Continuous review systems are when inventory levels are checked on a daily basis, while periodic systems are checked at fixed time periods. (Sherman, 2019) A continuous review system would definitely be more accurate, but more costly than the periodic system. (Sherman, 2019) Another solution to be considered would be Vendor-Managed Inventory, and that is when the buyer gives information to the vendor and the vendor has full responsibility for maintaining inventory levels. (Murray, 2018) Some of the benefits include lower inventory levels and the removal of safety stock. Moving on from vendor-managed inventory, yet another option would be adopting a demand-pull strategy. Demand-pull is all about minimizing stock and having a just in time delivery, and that avoids cost of having the inventory. (Seidel, 2019) Recommendations All these solutions are viable options for FlySafe, but some would make more sense and generate better results. Due to the nature of the industry, it would be difficult for FlySafe to adopt a zero inventory. There should be some sort of backup inventory available at all times. The EOQ formula can be used but the issue with the EOQ is that it is best used when demand, ordering, and holding costs are relatively constant. (Kenton, Economic Order Quantity , 2019) In FlySafe’s case, the demand and ordering may vary somewhat.
  • 26. Bibliography Accounting Tools. (2017, December 25). Gearing Ratio. Retrieved April 11, 2019, from www.accountingtools.com: https://www.accountingtools.com/articles/2017/5/5/gearing-ratio Al., S. e. (2006). pdfs.semanticscholar.org. Retrieved from https://pdfs.semanticscholar.org/fd9d/3dd491d99bf2231ef33313f8a939aa12ca71 .pdf. Basu. (2001). shodhsangam.rkdf.ac.in. Retrieved from http://www.shodhsangam.rkdf.ac.in/papers/suvenir/138-143-Ranjit-Nikose.pdf. Beamon. (1999). researchgate.net/publication. Retrieved from https://www.researchgate.net/publication/254629083_The_impact_of_buyer- supplier_relationship_and_purchasing_process_on_the_supply_chain_performance_a _conceptual_framework. Boyd, M. (2018, August 1). Ultra-Low Cost Carriers Are The New Wildcatter Airlines. Retrieved March 23, 2019, from www.forbes.com: https://www.forbes.com/sites/mikeboyd/2018/08/01/ultra-low-cost-carriers- are-the-new-wildcatter-airlines/#dc0f27563401 Chen, J. (2018, December 18). Profit Margin. Retrieved April 8, 2019, from www.investopedia.com: https://www.investopedia.com/terms/p/profitmargin.asp Christopher. (1998). emeraldinsight.com. Retrieved from https://www.emeraldinsight.com/doi/abs/10.1108/14635770610644565?mobile Ui=0&journalCode=bij. Christopher, M., & Towill, D. (2001). An Integrated Model for the Design of Agile Supply Chains. Retrieved from dspace.lib.cranfield.ac.uk: https://dspace.lib.cranfield.ac.uk/handle/1826/2670 CIPS . (n.d.). Supplier Relationship Management . Retrieved march 28, 2019, from www.cips.org: https://www.cips.org/en-ME/knowledge/procurement-topics-and- skills/srm-and-sc-management/supplier-relationship-management-srm/ CIPS. (n.d.). Outsourcing . Retrieved March 24, 2019, from www.cips.org: https://www.cips.org/en-ME/knowledge/procurement-topics-and- skills/understand-need---market-and-options-assessment/outsourcing--offshoring- and-insourcing/outsourcing-in-procurement-and-supply-chain/ CSMP, & Sanders, N. (2014, January 23). independent versus dependent demand . Retrieved April 13, 2019, from www.informit.com: http://www.informit.com/articles/article.aspx?p=2167438&seqNum=9 Grokhovskaya, V. (2018, February 23). 5 MRO SUPPLY CHAIN CHALLENGES AVIATION COMPANIES NEED TO PREPARE FOR. Retrieved March 20, 2019, from supplychainbeyond.com: https://supplychainbeyond.com/5-mro-supply-chain- challenges-in-aviation/ Hayes, A. (2019, March 20). Inventory management . Retrieved April 14, 2019, from www.investopedia.com: https://www.investopedia.com/terms/i/inventory- management.asp
  • 27. Jacotine, S. (2015, September 7). Etihad Airways implements new SAP procurement solution. Retrieved April 1, 2019, from www.logisticsmiddleeast.com: https://www.logisticsmiddleeast.com/article-11826-etihad-airways-implements- new-sap-procurement-solution Kenton, W. (2019, April 9). Economic Order Quantity . Retrieved April 14, 2019, from www.investopedia.com: https://www.investopedia.com/terms/e/economicorderquantity.asp Kenton, W. (2019, April 7). Return on Total Assets – ROTA Definition. Retrieved April 11, 2019, from www.investopedia.com: https://www.investopedia.com/terms/r/return_on_total_assets.asp Landry, T. D. (2000). Supply Chain Process Integration: A Theoretical Framework. Retrieved from https://www.researchgate.net/publication/227687270_Supply_Chain_Process_Inte gration_A_Theoretical_Framework. Macrotrends. (2019, March 21). WTI Crude Oil Prices - 10 Year Daily Chart. Retrieved March 23, 2019, from www.macrotrends.net: https://www.macrotrends.net/2516/wti- crude-oil-prices-10-year-daily-chart Metsanen, B. (2017, April 20). Supplier Relationship Management in the Aviation Industry of Finland. Retrieved March 28, 2019, from www.theseus.fi: https://www.theseus.fi/bitstream/handle/10024/128632/FINAL%20EDIT.pdf;jse ssionid=45DE920F1D3996462D07EF296F1787B3?sequence=1 Michael. (2018, March 30). 10 Strategies for Improving Supplier Relationship Management (SRM). Retrieved March 28, 2019, from www.purchasecontrol.com: https://www.purchasecontrol.com/blog/improve-supplier-relationship- management/ Murray, M. (2018, December 5). VMI. Retrieved April 14, 2019, from www.thebalancesmb.com: https://www.thebalancesmb.com/vendor-managed- inventory-vmi-2221270 Nicholas, H. a. (1999). shodhganga.inflibnet.ac.in/bitstream. Retrieved from http://shodhganga.inflibnet.ac.in/bitstream/10603/130656/9/09_chapter2.pdf. Nuijten, J. (2018, December 28). Air cargo faces these four logistics challenges in 2019. Retrieved March 22, 2019, from www.aircargonews.net: https://www.aircargonews.net/airlines/air-cargo-faces-these-four-logistics- challenges-in-2019/ PEAVLER, R. (2018, September 10). What is the Current Ratio and How Do You Measure It? Retrieved April 11, 2019, from www.thebalancesmb.com: https://www.thebalancesmb.com/what-is-the-current-ratio-and-how-do-you- measure-it-393218 Pestleanalysis. (2014, December 2). A Concise PEST Analysis for Airline Industry. Retrieved March 24, 2019, from pestleanalysis.com: https://pestleanalysis.com/pest-analysis- for-airline-industry/ PMMS Consulting . (n.d.). Supplier Preference Model . Retrieved April 2, 2019, from prp.gov.wales: prp.gov.wales/docs/prp/food/130611supplierpreferencingfrombw.doc
  • 28. Seidel, M. (2019, March 5). Push vs. Pull Supply Chain Strategy. Retrieved April 14, 2019, from https://smallbusiness.chron.com/push-vs-pull-supply-chain-strategy- 77452.html Sherman, F. (2019, Janary 31). What Is the Difference Between a Periodic and Continuous Inventory Review Policy? Retrieved April 14, 2019, from smallbusiness.chron.com: https://smallbusiness.chron.com/difference-between-periodic-continuous- inventory-review-policy-30967.html Webb, J. (2017, February 28). What Is The Kraljic Matrix? Retrieved April 1, 2019, from https://www.forbes.com/sites/jwebb/2017/02/28/what-is-the-kraljic- matrix/#48c1c96d675f: /www.forbes.com Wild, J. (2014, April 21). Airlines turn to outsourcing to keep lid on costs. Retrieved March 26, 2019, from www.ft.com: https://www.ft.com/content/4a6ead0e-c54f-11e3- 89a9-00144feabdc0 World Energy Summit . (2018, August 26). Tackling waste through technology: global advances in implementing smarter waste management . Retrieved Marcg 24, 2019, from www.worldfutureenergysummit.com: https://www.worldfutureenergysummit.com/wfes-insights/tackling-waste- through-technology-global-advances-in-implementing-smarter-waste- management#/