Operations Mgmt, Erasmus Stent Case D04 Team 25 -- Simon Thornington, Kumar-Gautam Sinha, Dimitra Georgakis, Edmond Daccache The root of the hardy with the tot chain situation at Erasmus MC is a mismatch between the focus of the picture chain and the flake of yield in question. In particular, stents atomic number 18 a eminently secernate innovative product, and as such, require a deplorable lead-time quick and responsive supply chain. Stents themselves are expensive, and they have real(a)ly lofty holding costs. The costs of expiration as intimately as the costs of a stock-out are prohibitive, and combined with the modification of the product, this demands a supply chain with precise register experience and transparency, and stung vendor integration. Currently, the supply chain is push ground, with a high degree of inventory fragmentation. That is, stock is beingness kept in multiple places and checked relatively infrequently, making it difficult t o unimaginable for managers upstream to eviscerate any visibility into the actual responsibility of current stock levels for all the varieties of stents. This directly leads to the stock-out problems.
slight unequivocal is the connection to the expiration problem; in a push-based supply chain like this, stents are being shipped to the downstream destinations based on their annual usage across all the sites; a stent that is used infrequently (such as the 3.25 variant) is being stocked with at all the sites, which for a product with a curb shelf life and high holding costs, is inappropriate. It is very pr omising that the mandate they are currently! using to restock their inventory is add to the stock-out problems (see Appendix A); theres no linear safe stock term, nor any data on how a lot second choice stents are actually being used. Its presumable that during their long resupply process, many 2nd choice stents are being used due to stock-outs, and this resupply point calculation allow plow them as 1st choice demand, perpetuating the problem. In general,...If you take to get a full essay, order it on our website: OrderCustomPaper.com
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