Managing International Logistics

----Eastman Kodak Singapore

Limin Ha, Tingting Li, Xiaoqing Shi,

Hongqing Wang, Liping Zhao

26 April 2005
 Agenda

1 Current Situation

2 Main Issues and Problems

3 Recommendations

ASCLM
 Current Situation
Customers Regional Distributor Suppliers

Kodak Marketing
Company:
Australia, Korea,
Taiwan, Thailand, Kodak Manufacturing
Hong Kong, Singa- Plants:
pore, Malaysia, Phili- USA (Rochester& Windsor)
CDC Asia 40%
ppines. (Singapore) Australia (Coburg) 25%
Brazil 25%
Kodak Mexico, Germany, France,
Distributors: UK 10%
India, Sri Lanka, Other CDC
Nepal, Indio-China,
Myanmar, Maldives
Products Flow
Information Flow

ASCLM
 Main Issues and Problems
The Role of CDC-Asia Challenge of Global Logistics

CDC
Performance Criteria Centralized Distribution System

ASCLM
 The Role of CDC-Asia

 CDC-Asia centralizes diverse products, which

are able to control it easily
 Consumers be capable of order variety and
shipment from only one place
 CDC-Asia is crucial parts in the entire supply
chain of Eastman Kodak

ASCLM
 Challenge of Global Logistics

 Long Lead Time

 Uncertainty in International Marketing
 Regional Differences

ASCLM
 Centralized Distribution System

 Advantages
– Fewer Warehouses and Reduce Total Inventory
– Risk Pooling
– High Service Level
 Disadvantages
– Integrated Information System
– High Transport Costs and Long Lead Time

ASCLM
 Performance Criteria

 Measuring customer value is at the

heart of company goals and objectives
 Order fill rate
 On time delivery
 Error order fulfillment

ASCLM
 Recommendation and
Implementation
 Relationship between CDC-Asia and Australian
market
 The Possibility of Supplying Australia Direct from USA
 The Assumption of Moving CDC-Asia to Australia

 New Distribution Strategy

 Cross Docking
 The Transformation of the Process and Layout to CDC

ASCLM
 The Possibility of Supplying Australia Direct
from USA
 Pros
 Lead-time for non-stock products: higher order fulfilment
performance
 Expense on transportation in the route: shorter distance and
lower freight rates
 Cons
 Upgrading the facility: increase operation costs
of the supply network

ASCLM
 The Assumption of Moving CDC-Asia to
Australia
 Move CDC-Asia to Australia
 Establish a new CDC in Australia
 Pros
 Supply chain of the company as a whole will be more agile to satisfy
customer needs
 Remove the duplication of transports occurred when
the Australian suppliers ship to CDC-Asia and
CDC-Asia ships back to Australia to serve
Australian customers

ASCLM
 Cross Docking
 Definition
– Cross docking is a warehousing strategy that involves
movement of material directly from the receiving dock to the
shipping dock with a minimum dwell time in between.
 Implementation
– Effective handling of physical flow of goods
– Effective deployment of advanced information technology to
manage the flow of information
– Effective use of proper planning and management tools
(……….)

ASCLM
The Transformation of the Process and
Layout to CDC

 CDC Distribution Mode

 Improved Facility in CDC
 FIFO Plan process

ASCLM
 CDC Distribution Mode
Supplier PORT

1.Stock parts
distribution Unbox and
repack storage
Ocean
Union
Freight
(MILKRUN)

3 kind of
distribute mode
3.Emergent
CDC parts

pulling
MILKRUN
DD/JIT
storage
2.Non-stock
parts
local distribution
MILKRUN
ASCLM Customer or
RDC
 Improved Facility in CDC
Delivery process

Cartons storage
rack
Repacking process

Rubbish
bin

Open wooden cases

Repacking Assembly
line
Some model case
ASCLM
 FIFO Plan process
Open cases
schedule staff
Arrangement ： Port
1. Priority to opening wooden cases 集卡
shipped by air
Shipping union
2. Opening wooden cases shipped Milkrun transport the
by ship according to the sequence container form the
of Ship date port

Open cases CDC

according to open-
cases schedule According to level of inventory,
send the demand of container to
supplier
CDC Pull
Deliver the parts by planner
FIFO (Milkrun) Direct
delivery

Shipping by air
Customer or RDC Truck
Air port

ASCLM
Thank You!

26 April 2005

ASCLM