Deliverable 1 Needs Analysis

Deliverable 1- Needs Analysis Summary
Angela Eberle
Rasmussen University
GEB6860 MBA Capstone
Professor Bentham
January 6th, 2022
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Introduce Porter’s Value Chain and Five Forces Model
The multiple delays in shipping orders due to distribution errors and natural disasters, causing
consumer order delays, have shifted company reviews and ratings due to customers taking to
social media to provide negative feedback and reviews of JHS products and services. To help
understand JSH’s capabilities and the needs of the consumers, the use of the Porters Value chain
is crucial for a competitive strategy to be successful within the company. The use of Porter’s
allows us to recognize the most valuable activities within the company and areas of improvement
needed. The value chain focuses on the infrastructure, human resources, procurement, and
technology broken down into the inbound and outbound logistics, operations, marketing, service,
and profit. The value created and captured combined with the cost of creating value will show
the JHS’s profit margin using Porter’s chain system. The analysis breaks down the key activities
in the framework. They are assessing the potential to add value through cost advantage or
differentiation. JHS, primary operations within the inbound and outbound logistics, have
identified an area of improvement needed. The five forces model analysis shows that strategies
have been determined on the specified location within the shipping department that will help JHS
attain a sustainable competitive advantage.
Assess JSH’s value chain performance
JSH is one of the largest food distribution companies globally. Primary activities identified
within JSH that help assess the companies value chain performance include; the inbound
logistics which allocate the sourcing activities to procure and standardize materials, fresh
produce, and ingredients to maximize product consistency. The use of massive global purchase
orders to source the best prices and products for distribution. Operations, target high-volume
cities with chain restaurants, grocery stores, and global franchise stores. The outbound logistics-
value-based products in high demand and expedited delivery service. JSH marketing and sales
have sizeable financial investment in marketing to drive sales and compete with local
competitors while services offer value-based products at affordable cost.
The secondary activities assessed of JSH’s value chain performance are the company’s
infrastructure which has a well-developed finance division, established legal team and organized
operations. Human Resources has a strong internship program which affords to onboard and
train more employees with little to no cost and eventually offer full-time positions once the
internships are over. Reducing training costs and higher-paying wages which is a cost saving
advantage. Technology development is updated to state of the line shipping and receiving
software allowing advanced orders to be processed and shipped within the same day.
Procurement is the last secondary activity assed which warehouse and distribution space is
leased internationally, while JSH owns all domestic sites. For over two decades, all material and
equipment needed for service and delivery have been hired through contract vendors. Contract
with UPS for shipping strategically aligns with JSH delivery expectations.
Based on the primary and secondary activities, JSH is leading the market in food distribution in
the most affordable way. The convenience of expedited shipping, quality, affordable products,
and service contract agreements with vendors such as UPS for shipping and Universities globally
for the internship program indicates the strength and mecca behind JSH value chain
performance. The action areas identified has been within the shipping department. More
contracts with partnering agencies such as FedEx and DHL are needed to meet the needs of
delivery services.
Assess how the global and business environment have influenced JSH’s value chain
Performance
Environmental, social and political changes are in a constant state of evolution. Change is
constant and influences the value chain performance. Rapid technology advancing at lightning
speed has changed how communication, ordering, and inventory are done. The advancements
have led to an integrated warehouse management system that has improved management and
operations by tracking inventory, setting reorder points, and understanding inbound and
outbound logistics tasks at a glance. Ordering high-demand products abroad have never been
more accessible with technology. The most considerable shift affecting JSH performance has
undoubtedly been the recent Pandemic. COVID has shifted the global and business environment
dramatically. The new way of ordering and shopping has been moved essentially remote, done
virtually, which has been impactful for sales but hindering delivery. The shortage of staff, raw
materials, and supplies, along with astronomical transportation, gas, and oil prices, have
influenced everyday operations. As governmental guidance shifts, shipping protocols change,
delays occur, which cause rippling effects. JSH has adapted to these barriers by implementing
sustainable delivery methods in highly populated global and domestic areas served where
deliveries can be done by bike or an alternate mode of transportation to meet consumer demands
while offering a more sustainable solution that is environmentally friendly. Outsourcing curriers
in high-demand areas have alleviated the delivery delay. JSH forecasts the trends from the recent
Pandemic and is currently looking into options such as drone deliveries as an investment in the
future.
Recommend the optimal strategies to maximize JSH’s value chain performance
The first recommendation is that JSH evaluate all contractual suppliers. Capturing data on how
quickly the suppliers are completing orders. Reordering goods to avoid stock-out items brings
potential risk to the actual consumer demands. Suppliers cause delayed shipping on down.
Identifying suppliers who cannot complete orders and ship within an allocated timeframe alters
JSH consumer orders and shipment, creating more delays.
The second recommendation would be to scale down at the international levels where needed.
JSH's Warehouses in India and China produce a more lean supply chain where the order
quantities are smaller, and the supplier is halfway across the globe. Contracting vendors in these
two locations will offset the long wait times on backorders and reduce delayed shipping. This
will be more cost-efficient and dependable, aligning with JSH's mission and core values.
Maximize social media and technology to gain the full advantage of marketing, communication,
and company awareness. Use social media to respond to consumer complaints, concerns by
creating a platform that reaches the JSH consumer base globally. Marketing should be shifted to
website development, and social media platforms should be revamped with JSH logo, mission
statement, service areas, and easy access contact points.
References
Kumar, D & Rajeev P.V. (2004). Value Chain: A conceptual Framework. International Journal of
Engineering and Management Sciences. https://value-chain_1564001043.pdf accioneduca.org
The Five Competitive Forces that Shape Strategy. (2008). Harvard Business Review.
The Five Competitive Forces That Shape Strategy (hbr.org)
Anonymous. The Five Forces. Harvard Business School. The Five Forces - Institute For Strategy And
Competitiveness - Harvard Business School (hbs.edu)
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Deliverable 1- Needs Analysis Summary

attain a sustainable competitive advantage.

Assess JSH’s value chain performance

competitors while services offer value-based products at affordable cost.

influenced everyday operations. As governmental guidance shifts, shipping protocols change,

Recommend the optimal strategies to maximize JSH’s value chain performance

JSH consumer orders and shipment, creating more delays.

statement, service areas, and easy access contact points.

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