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Delivering
the Goods:
How to Fix
the Broken
Delivery
System for
Vival Aller
Randal Wulkan
St. Petersburg College
Overview:
• Introduction
• Why the Delivery System Must be Fixed
 Reasons for the Current Failure
 Using Infrastructure to your Advantage
 Avoiding and Managing Strikes
 Partition and Assignment to Map the Local Area
• Benefits and Risks of Making Changes
 The Benefits of Making Changes
 The Risks of Making Changes
• Recommendation: Vival Aller Should Make the Changes
• References
• Slideshare.net Link
Introduction
• Vival Aller: 2 year old delivery service for Vival franchise
• Inspired by poor performance by other delivery companies
• Now has problems with late deliveries; only arrives on time for 50%
(C. Laurent, personal communication, April 13th, 2015)
• Must keep the service active for personal discounts
• Changes suggested: industry techniques & analysis
Why the Delivery System Must Be Fixed
• Opportunity to expand into other fields
• Investments have already been made
• Flurry of unsatisfied customers have arisen
• Damaging an already established reputation
• Incredible financial potential
Reasons for the Current Failure
 Decrepit Infrastructure
• City founded in 1487
• Traffic increasing at 4% rate per year (Withers, 2002)
• 74% of named avenues are one-way streets (Moon, 2004)
 Weather is extremely volatile (Saaroni, 2010)
 Frequent demonstrations and strikes congest city further
 Current routing methods being employed are overly simplistic
Using Infrastructure to your Advantage
 Vival Aller should replace the current fleet of vans with scooters
• Inspired by La Poste
• Scooters are cheaper, 3:1 ratio (G. Daniels, personal
communication, April 19th, 2015)
• Can access all roads and weave through traffic.
• Capacity isn’t an issue with trailer attachments and increased
workforce
Avoiding and Managing Strikes
0
1
2
3
4
5
6
7
Spring 2014 Summer 2014 Fall 2014 Winter 2014
Rotonde
Gambetta
Parc Rene
Figure 1: Number of Strikes in Aix-en-Provence Based
on Seasons and Popular Locations in 2014. Data
Source: F. Pierre-Richard, personal communication,
April 20th, 2015.
P&A to Map the Local Area
Method established by Pohang Steel (Lieberman, 2008)
Sections an area based on a series of criteria
Used to identify places of trouble
Can be applied to:
• Weather patterns
• Strike frequency
• Difficult terrain
• Construction
Benefits and Risks of Making Changes
The Benefits:
The Risks of Making Changes
Recommendation:
Vival Aller Should Make the Changes
There is simply too much to gain to stop the project. The
following are recommended steps to fight the risks of change:
• Make customers away of the changes (Before & After)
• Don’t let sunk costs impede further investment
• Be open to expansion
• Offer solutions to customers who can’t profit from the
changes
• Create a customer satisfaction survey
References
Lieberman, M. B., & Kang, J. (2008). How to measure company productivity using value-added: A
focus on Pohang Steel (POSCO). Asia Pacific Journal Of Management, 25(2), 209-224.
doi:10.1007/s10490-007-9081-0
Moon, H., Hollenbeck, J. R., Humphrey, S. E., Ilgen, D. R., West, B., Ellis, A. J., & Porter, C. H.
(2004). ASYMMETRIC ADAPTABILITY: EUROPEAN INFRASTRUCTURES BASIS FOR ONE-
WAY STREETS. Academy Of Management Journal, 47(5), 681-695.
Saaroni, H., Sigal, A., Lejbkowicz, I., & Miller, A. (2010). Mediterranean weather conditions and
exacerbations of transportation. Neuroepidemiology, 35(2), 142-151.
Withers, T. (2002, May 20). It's a first-class gridlock, but no easier to unlock. New York Times, p.
A4.

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Final business presentation randal wulkan

  • 1. Delivering the Goods: How to Fix the Broken Delivery System for Vival Aller Randal Wulkan St. Petersburg College
  • 2. Overview: • Introduction • Why the Delivery System Must be Fixed  Reasons for the Current Failure  Using Infrastructure to your Advantage  Avoiding and Managing Strikes  Partition and Assignment to Map the Local Area • Benefits and Risks of Making Changes  The Benefits of Making Changes  The Risks of Making Changes • Recommendation: Vival Aller Should Make the Changes • References • Slideshare.net Link
  • 3. Introduction • Vival Aller: 2 year old delivery service for Vival franchise • Inspired by poor performance by other delivery companies • Now has problems with late deliveries; only arrives on time for 50% (C. Laurent, personal communication, April 13th, 2015) • Must keep the service active for personal discounts • Changes suggested: industry techniques & analysis
  • 4. Why the Delivery System Must Be Fixed • Opportunity to expand into other fields • Investments have already been made • Flurry of unsatisfied customers have arisen • Damaging an already established reputation • Incredible financial potential
  • 5. Reasons for the Current Failure  Decrepit Infrastructure • City founded in 1487 • Traffic increasing at 4% rate per year (Withers, 2002) • 74% of named avenues are one-way streets (Moon, 2004)  Weather is extremely volatile (Saaroni, 2010)  Frequent demonstrations and strikes congest city further  Current routing methods being employed are overly simplistic
  • 6. Using Infrastructure to your Advantage  Vival Aller should replace the current fleet of vans with scooters • Inspired by La Poste • Scooters are cheaper, 3:1 ratio (G. Daniels, personal communication, April 19th, 2015) • Can access all roads and weave through traffic. • Capacity isn’t an issue with trailer attachments and increased workforce
  • 7. Avoiding and Managing Strikes 0 1 2 3 4 5 6 7 Spring 2014 Summer 2014 Fall 2014 Winter 2014 Rotonde Gambetta Parc Rene Figure 1: Number of Strikes in Aix-en-Provence Based on Seasons and Popular Locations in 2014. Data Source: F. Pierre-Richard, personal communication, April 20th, 2015.
  • 8. P&A to Map the Local Area Method established by Pohang Steel (Lieberman, 2008) Sections an area based on a series of criteria Used to identify places of trouble Can be applied to: • Weather patterns • Strike frequency • Difficult terrain • Construction
  • 9. Benefits and Risks of Making Changes The Benefits:
  • 10. The Risks of Making Changes
  • 11. Recommendation: Vival Aller Should Make the Changes There is simply too much to gain to stop the project. The following are recommended steps to fight the risks of change: • Make customers away of the changes (Before & After) • Don’t let sunk costs impede further investment • Be open to expansion • Offer solutions to customers who can’t profit from the changes • Create a customer satisfaction survey
  • 12. References Lieberman, M. B., & Kang, J. (2008). How to measure company productivity using value-added: A focus on Pohang Steel (POSCO). Asia Pacific Journal Of Management, 25(2), 209-224. doi:10.1007/s10490-007-9081-0 Moon, H., Hollenbeck, J. R., Humphrey, S. E., Ilgen, D. R., West, B., Ellis, A. J., & Porter, C. H. (2004). ASYMMETRIC ADAPTABILITY: EUROPEAN INFRASTRUCTURES BASIS FOR ONE- WAY STREETS. Academy Of Management Journal, 47(5), 681-695. Saaroni, H., Sigal, A., Lejbkowicz, I., & Miller, A. (2010). Mediterranean weather conditions and exacerbations of transportation. Neuroepidemiology, 35(2), 142-151. Withers, T. (2002, May 20). It's a first-class gridlock, but no easier to unlock. New York Times, p. A4.