EXEL PLC

SUPPLY CHAIN MANAGEMENT

AT HAUS MART

BEST PRACTICES

Co-ordination of entire network,

-- Exel was able to decrease regional transportation cost by 30%

-- Also able to reduced lead time and finished goods inventory by 16%.

Development of exels four team approach,

-- Exel developed very effective process for business development , solution design , operations, implementations.

Implementation of exel operating management and methodology {EOMM},

-- It helped associates and their supervisors carry out their task efficiently
-- Also enabled the company to developed operational metrics and operating performance in detail. measures

Cont..

Implementation of a well- defined and proven management program, -- It created clear roles and responsibilities for each employees -- At each DC, exel posted a skill matrix chart, which listed all function performed in the DC

PROBLEMS

Haus mart strategy ,

-- that are associated with matching of supply with demand . Haus mart unable to understand supply chain and resorted to inefficient just

in case behavior

-- Such as ordering extra inventory or asking to shipped the product week before

Haus mart failed to take advantages of certain efficiencies, because lack of incomplete knowledge of their supply chain.

SOLUTION

Exel and Haus mart should form a joint- venture because combining planning with

execution has incredible potential.

Haus mart should source expertise from exel, as exel has much deeper experience of the supply chain and can save a lot of money by shipping the product a day earlier rather than asking to shipped the product week before.

To shipped a product from the use consolidated truck, as to achieved economies of

scale in transportation or exel should inject their expertise into the Haus mart
planning stage