POLO RALPH LAUREN AND LUEN THAI:
USING COLLABORATIVE SUPPLY CHAIN INTEGRATION IN THE APPAREL VALUE CHAIN
1. Develop a framework to understand the collaborative supply chain issues between the three partners. (Create a flow chart to illustrate and facilitate the understanding the issues between the 3 partners). Under the Direct to Store model, Polo would outsource the key areas in design development and logistics to Luen Thai. This will involve closed partnerships and horizontal integration among the three partner firms The three partners have to agree upon the 3 most important aspects for the collaborative supply chain to operate successfully: Strategic: Companies will have to align their strategic philosophies in order to align with the partner companies. Such a collaboration will build a solid platform for them in a market such as apparel which is in constant fluctuation. The collaboration will help them take advantage of future market opportunities by reduced significant costs through implementation of the collaborative supply chain strategy Internal Processes: The individual partners have to look into their individual businesses to tap the processes that can be have an integrated mechanism. This would involve understanding of the core process, finding similarities and creating new models that can be easily deciphered and understood by all partners. Organizational restructuring: The three partners have to come to a consensus on the infrastructural changes that will have to be incorporated upon implementation of the collaborative supply chain. This would involve a serious resource and financial commitment, since the supply chain is design for mass manufacturing. The partners will have to derive inspiration from successful collaborations like Howick and Oshkosh or the Windchill Project Link developed by PTC or the VF Brands.
2. Highlight supply chain conceptual underpinnings and differentiate between traditional supply chain management and supply...
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