Zhou Bicycle Company location ... free essay sample

Zhou Bicycle Company location is in the state Seattle Washington in which it was founded in the year 1981 by a professor named Yong-Pin Zhou from the University of Washington. The main origin for its revenue for the company comes from Airwing. The Zhou Bicycle Company has retail outlets stores which are about 400 miles in distance from the distribution center. The retail outlets collect orders from ZBC in which the lead time is 2 days. Then they check to see if the distribution center supply has the merchandise available. ZBC does not do any backorders because they end up losing the value of the business. They offer an extensive number of bicycles in which the most favored model is the Airwing that brings in the most profit for the company. The ZBC company deals out a wide selection of bicycles in which a number of models comes from supplier in China. This usually takes up to 4 weeks after the bicycle has been ordered. We will write a custom essay sample on Zhou Bicycle Company location or any similar topic specifically for you Do Not WasteYour Time HIRE WRITER Only 13.90 / page With the required payments in the transmissions of written documents. They need to have a customs clearance to comprise with the ZBC approximates every time an order is fulfilled of 65.00. ZBC pays for the purchase of the bicycle which is abruptly 60% of the manufactured retail price on all models that are obtainable in the inventory cost of 1% a month or 12% every year from the purchase price paid by ZBC. I would propose that the future plans for ZBC is to develop an inventory plan for 2016. ZBC needs to continue to have a 95% customer service level to reduce the chances of any losses and to minimize the misplaced orders. It would benefit ZBC to Collect the statistics from past periods because this will help in forecasting the Airwing prototype for the sales of 2016 in which it be used with the future inventory planning of ZBC. Develop an inventory plan to help ZBC. What I would recommend ZBC to do is maintain higher level of inventory on hand then it already has. To justify ZBC needs no to ensure that the inventory is on a month to month basis. They should direct their attention to the projected sales for the entire year and continue a 10% inventory counting to project the annual sales. The reason for this is based on the reality of the bikes being transported from China which takes time and costs ZBC from receiving the bicycles being brought into Washington State. Then ZBC should continue to buy additional bikes to for its monthly purchases from China in which the inventory is selling. Discuss ROPs and total costs. The first costs would be to generate an inventory that would go sufficiently with their first view. Still, in time with the loss of sales from other suppliers in the cutbacks with costs of bringing bicycles into the United States. In the long run the entire costs will lessen and then the growth of profits will be successful. The main opinions are to combine the procedures with the new bicycles that are brought into the country which will warrant ZBC to center on the main part of the business to satisfy their customers. How can you address demand that is not at a level of the planning horizon? When it comes to the planning horizon they should take the into account the projected sales. They should not use month to month foundations but, instead they should take a whole year outlook. From a long-term standpoint they will need to make certain the bicycles are available for customers so they will not go to other retailers to capitalize on expanding its sales and to lessen costs related t o bring bicycles into the country. Parker Hi-Fi Systems location is in Wellesley, Massachusetts which is part or the Boston suburb in which they sell high quality products such as home entertainment systems. When they assemble their components, they use producers from all of over the world. In spite of the fact to their greatest extent Parker Hi-Fi Systems obtains components from companies that sell in large quantities from the East Coast. Some of their adverse items are LCD screens, which comes straight from their distribution center. An example, is the LCD screens are transported from Foxy, LTD which is located in Taiwan, and Boston International airport in which high quality speakers are acquired from famous manufactures such as Boss. Parker Hi-Fi Systems uses suppliers such as Raktim Pal, which accepts the order and then sets free the LCD screens one time only each month. Parker Hi-Fi Systems yearly needs are to have 500 units which are 2 each working periods and the company component price is 1,500. Parker has a relation to being small in capacity in which their quality focal point is preferably less volume and focused on the companys suppliers. The company is not often able to acquire the amounts of discounts. The company Foxy assures the delivery inside of one week preceding the receipt of the order being processed. When Parker Hi-Fi Systems receives their orders from their manufacture they have never been shorted on the LCDs. The initial time and date is one to five days. The company activity uses a percentage system that causes the preceding inventory belonging to the same costs. There obtain costs are 500 for every order which comprises the existing costs of labor that comes with every order that goes through customs and pickups at the airport. Then they have deliveries to the company in which they maintain the documentation and then they arrange to have a check issued. The importance is that the efficiencies from the supply chain. Parker CEO has told Raktim to consider come with an idea to buy the LCDs. The initial zone is closely and thoroughly checked for viable savings in inventory.