Egypt-Japan University of Science and Technology

Faculty of Engineering
Industrial and Manufacturing Engineering Department

IME 421: Supply Chain and Logistics Management

Sheet # 1: Understanding the supply chain
1. With the aid of neat sketches, show the following:
a. Cost-responsiveness curve
b. Supply chain decision-making framework.
c. Relationship between desired response time and number of facilities
d. Relationship between the number of facilities and inventory costs
e. Relationship between the number of facilities and transportation cost
f. Relationship between the number of facilities and facility costs
g. Variation in logistics cost and response time with the number of facilities
h. Manufacturer storage with direct Shipping supply chain network
i. In-Transit merge supply chain network
j. Distributor storage with carrier delivery supply chain network
k. Distributor storage with last-mile delivery
l. Manufacturer or distributor warehouse storage with consumer pick-up
m. Retail storage with customer pickup
2. P&G Egypt has currently outsourced its delivery services to a logistics provider (Speed Ahmed Hassan).
You have been asked to advise when the company should choose to operate its own account operation to
provide delivery services.
3. How could a grocery store use inventory to increase the responsiveness of the company’s supply chain?