UNIVERSIDAD TECNOLÓGICA DE DURANGO

INTERNATIONAL LOGISTICS

PROCESS ADMINISTRATION

“FINAL PROJECT”

TEACHER’S NAME:

IEE. JUAN FRANCISCO MORALES MORALES

STUDENT’S NAME:

BARRAZA VALDEZ CESAR ARATH 3128170076

GOMEZ GUTIERREZ JUAN ANTONIO 3128170087
GONZALEZ GARCIA JOSE AARON 3128170252
MATURINO MORENO ABIGAIL 3128170013
NAVA VALDÉZ NATHALIA VANESSA 10160606
PONCE CASTILLO DULCE MARSEYA 31715164
ROJAS CIGARROA LETICIA BELEN 3128170040

GROUP: 7° B

VICTORIA DE DURANGO, DGO APRIL 24th, 2020

 INDEX

INDEX 2

INTRODUCTION 3

DESCRIPTION OF THE COMPANY 4

1.1 CP International 4
1.2 History 4

1.3 Professional ethics 5

1.4 Values 5
1.5 Mission 6
1.6 Vision 6
1.7 Decalogue of corporate social responsibility 6
1.8 Corporate social responsibility 7
1.9 Business ethics 7

PRODUCTION MANAGEMENT 9

2.1 Description 9
2.2 How is the company applying it? 9

JUST IN TIME 12

3.1 Description 12

3.2 Methodology 12
3.3 How is the company applying it? 12

POKA YOKE 14
4.1 Description 14
4.2 How is the company applying it? 15

CONCLUSION 17
 INTRODUCTION

In this project, a company dedicated to the distribution of technological parts

will be analyzed. The way in which the company applies the production management
method in its processes will be analyzed. It will be explained in detail in which part of
the whole process applied by the company production management is used, in this
part it is about managing the resources with which the company operates, the way it
is planned, organized, controlled and how you can improve the systems or processes
that produce the goods or services that the company offers.

The objective is to have knowledge if the company correctly applies production

management and to know if it is working at optimal production levels, that is, it does
not produce too much or too little, the company produces what is necessary, avoiding
expenses in storage, material cousin etc.

The application of actions such as the Just in time methodology will also be
analyzed, see the way in which the company delivers the products so that the
customer receives them on time and in the quantities that the customer has delivered
order to the company. Also knowing the expenses that the company avoids when
applying this method.

In the same way, and finally, the application of the Poka-Yoke method in the
company will be analyzed. It refers to the way in which the company manages the
safety of used machinery, of course, if this is the case, and verifies the quality
processes of the final product. In this way, the costs that the company saves by
applying the Poka-Yoke method by avoiding accidents of any kind will be analyzed.
 DESCRIPTION OF THE COMPANY

1.1 CP International

CT Internacional is a 100% Mexican company and the leading distributor of

Information Technology (IT) solutions. It is also the preferred company to do business
for technology distributors and integrators.
It has a presence in all the states of the country with 52 branches and has a
distribution channel made up of more than 31 thousand clients, business allies, to
whom it provides an extensive catalog of products and services for more than 202
brands grouped into 12 units of deal. CT employs more than 1,000 employees.
The company has branches throughout Mexico. In Durango there is one, in the
address: Calle Nazas 709, Valle del Guadiana, 34166 Durango, Dgo. (618 825 4100)

1.2 History

Saúl Rojo founded CT Computadoras y Tecnología in Hermosillo, Sonora, on

September 4, 1992 together with a team of 6 people.

1994.- The expansion process begins with its first branch in Ciudad Obregón.
1999.- The opening of the branch in Los Mochis marks the beginning of its first
expansion beyond the State of Sonora.
2002.- By opening the Chihuahua branch, they consolidated their presence throughout
the northwestern part of the country.
They also celebrated their 10th anniversary with a commitment to continue to drive the
growth of the IT industry's distribution channel.
2004.- The “Ruta CT Capacita” begins, its successful and avant-garde training
program, which runs throughout the country bringing valuable knowledge and
information to its distributors.
2006.- Their strategy and effort are beginning to be noticed, for the first time they were
recognized as one of the leading companies in the survey “Los preferidos”" of the
Infochannel.
2007.- They are consolidated in the distribution channel preference with 10,000 active
clients.
2008.- They modernize their image to reflect their spirit of perpetual movement and
constant memory.
2010.- Receiving their first award as one of the best Mexican companies, they entered
the digital world with the launch of their CT Online eCommerce website.
They held their first CT convention for their business partners in Puerto Vallarta,
Jalisco.
2012.- They are recognized as a socially responsible company for the first year.
They opened their first branch in the metropolitan area of the Valle de México.
They exceeded their goal of 20,000 active clients.
2013.- They added more than 160 brands (leaders in each segment of the IT industry),
their catalog is reaffirmed as the most complete portfolio of the national brand.
2015.- They consolidated their geographical coverage in the country with a presence
in all the States of Mexico.
SELECT recognizes them as the wholesaler with the highest growth rate.
2017.- They are recognized as the preferred wholesaler of the Mexican distribution
channel by the channel's "Loo preferidos" account.
They proudly celebrated their first 25 years, committed to continuing to drive the
growth of their business partners, always offering the most complete portfolio of
products and services that guarantee growth and restorability.

1.3 Professional ethics

At CT Computadoras y Tecnologia we share a commitment to developing the

business with the highest level of integrity and ethics.

Our priority is to maintain the trust and credibility of our suppliers, distributors,
collaborators, authorities and other related parties and to preserve, maintain and
improve our environment with absolute respect for the environment.

In a very general way, our guiding principles are synthesized in our values,
mission and mission.
1.4 Values

a. Passion. We like our job, we do it with enthusiasm and commitment to achieve

the loyalty of our business partners.
b. Teamwork. We add our strengths to achieve the same goal and obtain
extraordinary results.
c. Honesty. We act with honesty and integrity, living the ideals of CT.
d. Innovation. We are creative and constantly reinventing ourselves to offer more
value.
e. Customer Service. The customer comes first, we work every day to exceed their
expectations.
f. Responsibility. We are committed to generating sustainable development for
our society.
g. Quality. We do things right the first time to achieve results that set us apart.

1.5 Mission

To raise the competitiveness and productivity of people and organizations to

reach their maximum potential through the use of technology.

1.6 Vision

To be the leading company that provides comprehensive technology solutions

to all people and organizations in Mexico.

1.7 Decalogue of corporate social responsibility

As a socially responsible company, CT International:

1. Promote and promote a culture of responsible competitiveness that seeks the
goals and success of the business, while contributing to the well-being of
society.
2. It makes its values public, internally and externally combats corruption practices
and performs based on a code of ethics and conduct.
 3. Live participatory leadership, solidarity, service and respect for human rights
and human dignity schemes.
4. It promotes favorable working conditions for the quality of life, human and
professional development of its entire community (employees, family members,
shareholders and suppliers).
5. It respects the ecological environment of each and every one of the processes
of operation and commercialization, in addition to contributing to the
preservation of the environment.
6. It identifies the social needs of the environment in which it operates and
collaborates in its solution, promoting the development and improvement of the
quality of life.
7. Identifies and supports social causes as part of its business action strategy.
8. Invest time, talent and resources in the development of the community in which
they operate.

1.8 Corporate social responsibility

At CT International, corporate responsibility is defined as the set of actions

aimed at achieving a sustainable business in the economic, social and environmental
spheres that benefits our stakeholders: Employees, customers, suppliers and the
community.
Although CT has carried out corporate social responsibility actions since the
creation of CT International in 1992, from 2016 they formally created the Social
Responsibility Committee with the aim of determining the best actions to direct efforts
to our interest interest.
The Corporate Social Responsibility Committee is chaired by its deputy director
general and made up of collaborators at all levels.

1.9 Business ethics

CT is responsible for their decisions and actions, based on their growth within
the framework of a Code of Ethics and Conduct, through which they recognize the
commitment to growth and stability over time with their stakeholders. The following
describes the lines of this area and how they focus on meeting the requirements of
their stakeholders:

1. Collaborators. Their collaborators know that they are part of their company with
ethical principles, social inclusion and commitment to the conservation of the
environment.
2. Clients and manufacturers. Certainty of doing business with a company of solid
ethical principles and honesty, which provides certainty in the business in the
long term.
3. Society. Being part of a social fabric in which there are entrepreneurs and
companies of exemplary reputation.
4. Government. Company that meets its obligations, according to the applicable
regulatory framework.
 PRODUCTION MANAGEMENT

2.1 Description

It refers to the application of management principles to the production function

in a factory, that involves applications of planning, organizing, directing and controlling
the production process. In any manufacturing system, the job of a production manager
is to manage the process of converting inputs into the desired outputs.

This topic has the next concept: “It is concerned with the production of goods
and services and involves the responsibility of ensuring that business operations are
efficient and effective. It is also the management of resources, the distribution of goods
and services to customers.”

The application of management to the field of production has been the result of
at least three developments:
1. First is the development of factory system of production. Until the emergence
of the concept of manufacturing, there was no such thing as management as
we know it. It is true that people operated business of one type or another, but
for the most part, these people were owners of business and did not regard
themselves as managers as well.
2. Essentially stems from the first, namely, the development of the large
corporation with many owners and the necessity to hire people to operate the
business.
3. Stems from the work of many of the pioneers of scientific management who
were able to demonstrate the value, from a performance and profit point of view,
of some of the techniques they were developing.

2.2 How is the company applying it?

That it is true that the company CP Internacional is not a technology producing

company, but is a company dedicated to the sale of this. But if you look at the topic
description, "The job of a production manager is to manage the process of converting
inputs into the desired outputs." Which is one of the points by which it is related to the
company, they must review which with the inputs and outputs that have their products;
also they have a warehouse to keep the merchandise.

Production management is the process of effective planning and regulation of

operations that CP International follows. And that it is responsible for the actual
transformation of materials into finished products, in this case from components,
cables, computers, accessories, etc. The company deals with decision-making related
to the production process. So that the resulting hardware and software are produced
according to the quantitative specifications and the demand schedule with a minimum
cost.

CP International uses a set of general principles for economies of production,

software and hardware design, job design, schedule design, quality control, inventory
control, job study, and cost and budget control. This explains the main areas of the
company where the principles of production management can be applied.

One of the important point on the subject of production management, and this
applies to any company, is the increase in effectiveness. There is talk of effectiveness
in all aspects, like creating new products with old products, using old parts for a new
computer. The company CT Internacional is dedicated to increasing the effectiveness
of processes, has always looked for ways to do things in a good way and save
resources.

The topic in general has a lot of information for a company, in addition to having
its scope. One of them is to take into account all the ideas that can be applied to the
company and its processes; Another is to find a way or method of doing things, the
company always looks for ways to avoid losses or that the product is not damaged,
etc; and the correct place, refers to placing the merchandise in a place where it can
be sold, in this case it is in the city of Durango, which is a great place for the sale of
technology equipment

Production management’s responsibilities are summarized by the “Five M’S”:

Men, machines, methods, materials, and money. Paying some attention some of the
M's apply in the same way. The first is Men, at CT International many people work in
different areas or departments, reception, shopping, storing, distribution, etc. The
second is methods, which, as already mentioned, seek to have the best ones to make
the job easier. Money, this is important when making equipment purchase transactions
and also that the company is always looking for profits. Machines and materials are
more focused on production companies, but they can certainly help any company,
whether it be a machine for storage or material for the repair of any product.

The supply chain is a topic related to production management and each

company has its own supply chain. It is a very important role, the fact of having to
order the purchase of the merchandise, its arrival, its payment, its storage, the sale
and its distribution. The main company of CT Internacional is located in Hermosillo,
Sonora, they send merchandise to the branch in Durango. So, that is their supply
chain, the merchandise arrives from Hermosillo, Sonora, payment is scheduled, they
are stored and put on sale. In addition, the company has two ways to delivery products.
One of them is home delivery, they take the merchandise and the other is that you
make the purchase online and pass the product to the company.
 JUST IN TIME
3.1 Description

The Just in Time (JIT) also known as just-in-time production or the Toyota
Production System (TPS), is a management strategy that aligns raw-material orders
from suppliers directly with production schedules. Companies employ this inventory
strategy to increase efficiency and decrease waste by receiving goods only as they
need them for the production process, which reduces inventory costs. This method
requires producers to forecast demand accurately.

The Just in Time methodology is an industrial philosophy that can be summed

up in manufacturing the strictly necessary products, at the right time and in the right
amounts, it means: we have to buy or produce only what is needed and when it is
needed.

3.2 Methodology

Just in Time was originally formed in Japan as a response to the country’s limited
natural resources, leaving little room for wastage. Today, Just in Time systems are
used by many businesses, and it has influenced related lean inventory management
techniques like IBM’s Continuous Flow Manufacturing (CFM). The rise of dropshipping
has made Just in Time inventory management more appealing for retailers, as it allows
them to sell a product before buying it, then purchase the item from a third party and
have it shipped directly to the customer.

3.3 How is the company applying it?

When CP International examined its operations around Mexico, it found areas

for improvement. It had some disconnected production facilities, which operated
independently in production and procedures. To streamline operations and reduce
costs, the company embarked on a massive global centralization project to integrate
its enterprise resource planning, supply chain, and software that was designed in
2010. The goal was to apply lean inventory and production techniques Just in Time.
The company's approach has had impressive results, which are reflected in 2015 as
CP was recognized as the wholesaler with the highest growth rate.

CP International uses a carefully controlled and integrated process to deliver

the hardware required by the branches, in the shortest possible time. They utilize
vertical integrations in their supply chain, keep production and sales geographically
close, and implement strict lean inventory practices that ensure each store receives
only the stock they need. The company concentrates on small batches of safety stock
to avoid dead material and not create shortages. Its system is highly efficient and uses
centralized logistics to coordinate its rapid supply chain.

Having strong supplier relationships is essential when using a Just in Time

system. The premise of a Just in Time inventory system is its ability to place a last
minute inventory order and trust that products arrive on time. To do that, CP
International needs suppliers that it can count on to deliver as needed. When they
place an order, your supplier must have the ability to quickly process and ship the
order to meet the company needs.
 POKA YOKE

4.1 Description

The poka yoke systems, as a whole, are part of a very valuable tool that helps
organizations, from the beginning of any process, to greatly reduce the causality of
error or / or failure omission since its start-up and that this has a detrimental impact on
the end customer.

There are three rules that should never be forgotten when applying the Poka-
Yoke methodology:
● 1st rule: Do not accept a defect (applied to raw materials, components received
by suppliers or from another internal customer of the organization (operation,
process, or phase prior to ours).
● 2nd rule: Do not make a defect (applied to ourselves, our organization or the
operations or processes where we intervene).
● 3rd rule: Do not pass a defect (applied to our customers).

Some of the advantages of the Poka Yoke method, are the next one:
● Eliminates or reduces the possibility of making mistakes (applies to operators
or users).
● When mistakes are avoided, waste is reduced and the process runs
continuously.
● Strengthens operational or sequential procedures.
● Eliminate decisions that lead to wrong actions.
● It contributes to improving the quality in each operation of the process.
● Provides feedback on process errors.
● Avoid accidents caused by human failure.
● Avoid critical actions or measures depending on the criteria or memory of
people.
4.2 How is the company applying it?

The company CT Internacional is a responsible company dedicated to the

search to improve its processes and not have errors. The employees of the company
are trained people who know about sellers, software, accessories, technology in
general, to provide a better service and have as few failures as possible. In case of
making a mistake the company always looks for the solution to the problem, they know
that providing the best service and giving quality products is very important.

In addition, CT International receives and sells only the best products with the
best quality for all audiences. So when you receive the merchandise, it has to be
carefully checked in case of any defect, since you will not sell products with defects to
the public, only products in good condition. It is possible that the product has some
defect, we are not perfect, we are only human, so it is important to say when there is
one. The steps are very important for this method, because you must not accept a
defect, you must not make a defect and you must not pass a defect. This should not
be a string, the error or defect should be detected as soon as possible.

There are many mistakes that can be made in any company. Like forgetting
something, some distraction, lack of understanding or experience, voluntary or
intentional mistakes. But for this this system has been created to avoid having any
problem in the future.

In case the customer suffers any inconvenience with the equipment purchased,
the company is responsible for solving the problem, since it is very important for them
to develop an efficient service in all aspects. On the other hand, the company makes
changes or adaptations based on the culture of the place in which it is positioned,
since the clients must be treated depending on the region.

There are several types of this method, but without a doubt the "Step-motion or
performance sequence method" is very good for the company. It is a method in which
each of the steps must be executed in a specific order and where abnormalities are
detected, it will be inspected to give a solution. In addition, to check if the steps were
done in the expected time and in the specified sequence or order.
 When errors are found, a solution must be found. There are ways in which this
method can be implemented, from using colored bands in specific places to avoid
pressing something by mistake, using lines on the floor to know the process, using
posters explaining the process, trainings, reviews, etc. In addition, having many
advantages when using it, such as reducing the percentage of errors in the process,
avoiding errors and accidents, saving money because there will be no losses, among
others.
 CONCLUSION

Production management deals with converting raw materials into finished

goods or products. It brings together the 5M's men, money, machines, materials, and
methods to satisfy the wants of the people. Production management also deals with
decision-making regarding the quality, quantity, cost, etc., of production. It applies
management principles to production.

The main objective of production management in CP International is to produce

goods and services of the right quality, right quantity, at the right time and at minimum
cost. It also tries to improve the efficiency. An efficient organisation can face
competition effectively. Production management ensures full or optimum utilisation of
available production capacity.

Just in time is a management strategy that aligns raw material orders from
suppliers directly with production schedules. Actually CT International is implementing
a strict lean inventory practices it system is highly efficient and uses centralized
logistics to coordinate its rapid supply chain besides reducing costs.

When CT International apply this with the objective and the strategy of
maintaining the optimum inventory level in which raw materials and components are
received by manufacturer just before they are actually required. CT works on pull
management system and in this strategy, on demand material has to be delivered to
manufacturer just when needed, neither sooner nor later.

Poka yoke technique was created to avoid errors and defects almost obtaining
a perfect result, it could be concluding in: “Is better to do the right thing for the first
time.” The application of this tool in the company CT International is to have quality
products and to provide the best service, checking all arrived products and selling only
the best products.