Somerset Furniture Company
ISCOM/305 – System Operations Management
Andrew Weisel Somerset Furniture Company
Like most companies trying to gain a competitive advantage is not an easy venture and while one solution will work for a time it is not something that the company should follow forever. Nothing is or should be set in stone for a corporation since everything around it changes. Economy changes, technology advances, and new techniques come into play a business should also be change and adapt. The writer will discuss the current supply chain of Somerset Furniture Company, strategic and tactical changes, and the elements of project management to help implement those changes.
In the beginning, Somerset Furniture Company was the best in producing ornate wood furniture. The company incorporated a sound marketing strategy to create new lines of furniture every few years. Changed happened, and competitors increased, and Somerset had to adapt to outsourcing in the year 2000. Currently, this strategic plan is not working for Somerset Furniture Company, and it is causing a bullwhip effect in their current supply chain. The company’s supply chain is currently at a max of over six to eight months to get from the ordering stage to the customer. The company must analyze why and examine solutions on how to fix theses current issues by coming up with a new strategic and tactical plan.
Strategic and Tactical Changes
The past problems of the increased foreign competition, the rise of high labor in the United States, and the company’s diminishing profits are still a concern here. However, the issues with the outsourcing are that this increases shipment delays by 40%, as well; the quality of the furniture has fallen due to climate differences and delays with the customers orders. This decreases the customer overall experience and satisfaction and the profits for the company….