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bines Simulation & Solver etc.
Discussion & Illustration
(1) The case mentions "EXPONENTIAL GROWTH": What do you understand by that? When

(2) To verify the plausibility of an exponential growth model for the KRM locality, select ce
Click Insert and among the Charts, select Line Chart and within it, the first graph.
Right Click the "line" within the graph and select "Add Trendline".
Is the "Exponential" model a good fit to the data? There could be better candidate models

(3) For the exponential growth model fitted in each of the 15 localities, individual r-square
If we instead look at total deliveries across Tier 1 / 2 / 3 (e.g. Tier 1 includes HSR, IND and
Financial projections requires forecast of deliveries across the 15 localities: Would you use
i.e. Which is preferable: Sum of individual locality forecasts (see F71-H122) or Fo

Week TotalTier1 TotalTier2 TotalTier3

1 16701 10249 6771
2 14432 10379 6432
3 16829 12171 6244
4 13871 13034 6556
5 15603 13035 6968
6 14737 11781 7142
7 19072 11326 7095
8 16627 13527 7502
9 16935 12776 8128
10 17393 12819 7672
11 18354 15103 7734
12 18887 13145 7487
13 18644 14258 8227
14 21524 14172 8498
15 20853 16179 8423
16 20002 16887 8954
17 20062 18728 8613
18 22210 16580 8782
19 23926 16861 9455
20 22863 16705 9309
21 22639 16929 8914
22 22182 18051 9148
23 24064 18726 9010
24 23624 20931 10533
25 24875 16509 10796
26 23591 21268 11013
27 27273 22027 10251
28 28566 23348 9083
29 30682 23477 10531
30 26061 25889 11595
 31 25377 23874 13148
32 27162 23311 12295
33 26777 20867 11793
34 31025 25191 12961
35 29749 23724 11600
36 29910 24896 12571
37 32336 26329 12434
38 34131 27752 12300
39 34441 28282 12638
40 34416 32218 13131
41 34680 29009 12974
42 37026 32116 14076
43 36311 29520 15936
44 35359 33888 13902
45 42561 35002 14514
46 40600 36853 17183
47 38942 36038 16740
48 39728 37666 16432
49 43540 40249 15887
50 46365 39452 17053
51 47003 42044 17427
52 50010 45411 18202

R-square 0.9655 0.9694 0.9649

53 46425 42365 17654 46321 42263 17756

54 47468 43507 18003 47364 43417 18135
55 48533 44679 18360 48428 44602 18522
56 49623 45884 18723 49518 45819 18919
57 50737 47121 19094 50632 47070 19327
58 51876 48391 19472 51771 48355 19743
59 53040 49695 19857 52937 49677 20170
60 54231 51035 20250 54127 51035 20608
61 55448 52411 20651 55345 52429 21057
62 56693 53824 21060 56591 53862 21516
63 57965 55275 21476 57865 55335 21987
64 59267 56765 21902 59167 56849 22469
65 60597 58295 22335 60498 58404 22963
66 61957 59866 22777 61861 60004 23472
67 63348 61480 23228 63253 61645 23992
68 64770 63137 23688 64677 63332 24525
69 66224 64839 24157 66132 65068 25072
70 67711 66587 24635 67622 66851 25632
71 69231 68382 25122 69144 68683 26205
72 70785 70225 25619 70700 70566 26795
 73 72374 72118 26127 72292 72499 27398
74 73999 74063 26644 73920 74487 28018
75 75660 76059 27171 75585 76531 28653
76 77358 78109 27709 77287 78630 29304
77 79095 80215 28257 79027 80788 29974
78 80870 82377 28817 80807 83005 30659
79 82685 84598 29387 82627 85285 31363
80 84542 86878 29969 84489 87626 32084
81 86439 89220 30562 86392 90033 32825
82 88380 91625 31167 88338 92506 33585
83 90364 94095 31784 90327 95049 34365
84 92392 96632 32413 92362 97662 35165
85 94466 99237 33054 94443 100346 35987
86 96587 101912 33708 96571 103104 36829
87 98755 104659 34376 98746 105941 37693
88 100972 107480 35056 100971 108856 38581
89 103239 110378 35750 103247 111852 39494
90 105556 113353 36457 105573 114930 40428
91 107926 116409 37179 107952 118093 41390
92 110348 119547 37915 110385 121345 42376
93 112826 122769 38665 112872 124689 43388
94 115358 126079 39431 115416 128123 44429
95 117948 129478 40211 118018 131654 45498
96 120596 132968 41007 120678 135282 46595
97 123303 136552 41819 123398 139010 47721
98 126071 140233 42646 126180 142843 48878
99 128901 144013 43491 129023 146784 50066
100 131794 147896 44351 131933 150832 51287
101 134753 151882 45229 134907 154993 52541
102 137778 155977 46124 137949 159271 53830
103 140871 160181 47037 141059 163667 55154
104 144033 164499 47968 144240 168186 56514

ExponentialGrowthForecastOrders
Forthcoming Q1 ie Week 53-65 691903 649247 258837 You can also produce quarterly forecast based
Forthcoming Q2 ie Week 66-78 923382 917457 333951
Forthcoming Q3 ie Week 79-91 1232303 1296476 430862
Forthcoming Q4 ie Week 92-104 1644580 1832074 555894
understand by that? When do businesses exhibit such a growth pattern?

the KRM locality, select cells L16:L67 which contain its weekly deliveries in the past 52 weeks.
t, the first graph.

e better candidate models (nobody knows for sure).

calities, individual r-square is between 0.71 (cell S69) and 0.95 (cell W69).
er 1 includes HSR, IND and KRM etc), the r-sq for the exponential models are respectively 0.9655 / 0.9694 / 0.9649 in B69:D69.
5 localities: Would you use forecast for each locality or across the 3 Tiers? Why?
ecasts (see F71-H122) or Forecast of a sum of deliveries across localities within each of the 3 Tiers (B71-D122) ?

Tier 1 1 1 2 2 2 2 2 3
HSR IND KRM CBD JPN JYN MLS MRT ELC
3410 7470 5821 1449 2294 2484 2224 1798 646
3156 6405 4871 1596 2298 2616 2293 1576 647
3913 6857 6059 1333 3538 2690 2178 2432 675
3159 5217 5495 1574 4668 2518 2206 2068 675
3871 6374 5358 1540 3767 2682 2392 2654 719
3929 5582 5226 2126 2586 2827 2613 1629 669
4629 6626 7817 1978 2848 2842 2152 1506 674
4006 7057 5564 2314 3237 3062 2737 2177 750
3592 8220 5123 1929 2478 3115 2859 2395 724
3781 6783 6829 1827 3143 3234 2294 2321 754
4549 7852 5953 2545 3984 3307 2426 2841 783
4717 8067 6103 2199 2664 2982 3123 2177 738
3941 7256 7447 2482 3218 3445 2650 2463 777
4161 9290 8073 2216 2699 3492 2832 2933 901
4613 8633 7607 2785 3970 3399 3369 2656 965
4588 8998 6416 2650 4531 4156 3051 2499 966
4982 7695 7385 2793 5302 4035 3637 2961 797
3998 9082 9130 2098 3573 4382 2895 3632 813
5188 8978 9760 2333 4270 3942 2725 3591 1019
4357 9123 9383 2011 4499 4237 3041 2917 981
4387 8777 9475 2640 3814 4197 3728 2550 899
5018 8169 8995 3404 4441 3967 3409 2830 1176
5476 9593 8995 3400 3622 3667 3741 4296 768
5762 8674 9188 2875 5598 3897 3986 4575 1221
5459 9691 9725 2742 4124 3652 3187 2804 921
5530 8617 9444 2684 5744 3659 4460 4721 1241
6527 10536 10210 3452 5820 4025 4299 4431 903
5888 12149 10529 4330 4975 4010 5575 4458 873
6392 13057 11233 4681 5401 4307 4940 4148 967
5910 11780 8371 4843 6008 4720 5687 4631 1097
 6030 9398 9949 4865 6006 4467 5183 3353 1376
6988 9942 10232 3567 6837 4504 5070 3333 1115
5770 10137 10870 3627 4489 4257 5251 3243 1195
6950 11879 12196 4506 6724 5109 4889 3963 1237
7375 12983 9391 4426 4854 4453 5851 4140 947
7908 10677 11325 3554 6071 5088 6280 3903 1337
7272 11970 13094 4102 6991 5727 4825 4684 1126
7557 13619 12955 3817 7957 5354 4497 6127 1106
6231 15257 12953 4645 7831 6081 4942 4783 1186
7636 12144 14636 5760 7673 6370 6293 6122 1429
6346 13575 14759 4696 6691 6283 5402 5937 1690
7003 16906 13117 5096 8527 6232 6549 5712 1648
8670 13188 14453 4068 8119 5467 5614 6252 1715
7002 14182 14175 4841 9496 5956 6785 6810 1004
8796 16964 16801 4940 8727 6581 8125 6629 1396
9085 17620 13895 5556 9847 7102 7013 7335 1542
7562 18584 12796 6267 10399 6770 6179 6423 1329
8447 17433 13848 5589 10806 7240 7517 6514 1528
9152 19796 14592 6347 11577 6880 8380 7065 1364
10100 20105 16160 6697 9746 7394 7478 8137 1520
9498 21869 15636 7026 11039 8601 7389 7989 1745
10262 22691 17057 7339 12450 9865 8407 7350 2041

0.92 0.90 0.91 0.90 0.87 0.93 0.93 0.88 0.82

9725 19293 17303 6998 11149 7762 8412 7942 1684

9925 19742 17697 7201 11472 7932 8640 8172 1715
10128 20201 18099 7410 11805 8105 8874 8408 1747
10336 20671 18511 7625 12147 8282 9114 8651 1779
10548 21152 18932 7846 12500 8463 9360 8901 1812
10764 21644 19363 8073 12862 8648 9614 9158 1846
10985 22148 19804 8308 13236 8836 9874 9423 1880
11210 22663 20254 8549 13620 9029 10141 9696 1915
11440 23190 20715 8797 14015 9226 10415 9976 1950
11674 23730 21187 9052 14421 9428 10697 10264 1987
11914 24282 21669 9314 14840 9634 10986 10561 2024
12158 24847 22162 9585 15270 9844 11284 10866 2061
12407 25425 22666 9863 15713 10059 11589 11180 2099
12662 26017 23182 10149 16169 10279 11903 11504 2138
12922 26622 23709 10443 16638 10503 12225 11836 2178
13187 27241 24249 10746 17121 10732 12555 12178 2219
13457 27875 24800 11058 17618 10967 12895 12530 2260
13733 28524 25365 11379 18129 11206 13244 12893 2302
14015 29187 25942 11709 18655 11451 13603 13265 2344
14302 29866 26532 12049 19196 11701 13971 13649 2388
 14595 30561 27136 12398 19753 11956 14349 14043 2432
14895 31272 27753 12758 20326 12217 14737 14449 2477
15200 32000 28385 13128 20916 12484 15136 14867 2523
15512 32744 29031 13509 21522 12757 15545 15297 2570
15830 33506 29691 13901 22147 13035 15966 15739 2618
16154 34286 30367 14304 22789 13320 16398 16194 2667
16486 35083 31058 14719 23451 13611 16842 16662 2716
16824 35900 31765 15146 24131 13908 17297 17144 2767
17169 36735 32488 15585 24831 14212 17765 17640 2818
17521 37590 33227 16038 25551 14522 18246 18149 2870
17880 38464 33983 16503 26293 14839 18740 18674 2924
18247 39359 34756 16982 27056 15163 19247 19214 2978
18621 40275 35547 17474 27841 15494 19768 19769 3033
19003 41212 36356 17981 28648 15832 20302 20341 3089
19392 42171 37183 18503 29479 16178 20852 20929 3147
19790 43152 38029 19040 30335 16531 21416 21534 3205
20196 44156 38895 19592 31215 16892 21996 22157 3265
20610 45183 39780 20161 32120 17261 22591 22797 3325
21033 46234 40685 20745 33052 17638 23202 23456 3387
21464 47310 41611 21347 34011 18023 23830 24134 3450
21904 48411 42557 21967 34998 18417 24475 24832 3514
22353 49537 43526 22604 36013 18819 25137 25550 3579
22812 50690 44516 23260 37058 19230 25817 26289 3646
23280 51869 45529 23935 38133 19649 26516 27049 3713
23757 53076 46565 24629 39240 20078 27233 27830 3782
24244 54311 47625 25343 40378 20517 27970 28635 3853
24741 55574 48708 26079 41550 20965 28727 29463 3924
25249 56867 49817 26835 42755 21423 29504 30315 3997
25767 58190 50950 27614 43995 21890 30303 31191 4071
26295 59544 52110 28415 45272 22368 31123 32093 4147
26834 60930 53295 29239 46585 22857 31965 33021 4224
27385 62347 54508 30088 47937 23356 32830 33975 4302

e quarterly forecast based on the individual forecasts which have been summed in F71-H122
.9649 in B69:D69.

3 3 3 3 3 3
FRT HBL RJJ SNT WLG WTF
1103 669 1322 1331 743 957
1134 581 1356 1188 755 771
1164 438 1352 1181 775 659
1165 499 1347 1238 779 853
1219 599 1353 1130 780 1168
1222 544 1428 1243 809 1227
1215 617 1386 1143 793 1267
1194 422 1550 1300 814 1472
1303 763 1552 1387 829 1570
1211 489 1585 1437 880 1316
1345 446 1470 1501 942 1247
1323 425 1610 1553 877 961
1314 764 1568 1586 980 1238
1304 617 1542 1692 849 1593
1401 531 1508 1412 1008 1598
1140 860 1770 1245 1005 1968
1287 896 1551 1584 920 1578
1209 805 1525 1615 993 1822
1311 1174 1854 1573 983 1541
1240 893 1956 1669 982 1588
1366 755 1910 1351 945 1688
1581 830 1843 1375 1029 1314
1414 883 2009 1421 1029 1486
1362 1424 1879 1311 1148 2188
1583 1449 1673 1743 1027 2400
1609 694 2241 1531 1057 2640
1664 864 1736 1514 1057 2513
1191 503 1921 1697 1165 1733
1603 1002 2213 1972 1136 1638
1748 1048 2303 2296 1098 2005
1513 1806 2447 2364 1223 2419
1188 1730 2494 1966 1215 2587
1645 1465 1971 2479 1098 1940
1572 1925 2523 2731 1148 1825
1766 1700 2022 2046 1162 1957
1382 1672 2586 2131 1409 2054
1558 1420 2433 2273 1399 2225
1807 1417 2124 1999 1453 2394
1673 1350 2921 2036 1440 2032
1891 1808 2413 2105 1381 2104
1711 1990 2209 1772 1458 2144
1317 2248 2151 2527 1477 2708
1853 2367 2428 2926 1651 2996
1894 1813 2400 1928 1390 3473
1769 1578 2192 2494 1670 3415
2138 2647 2701 2798 1592 3765
1749 2361 2288 3583 1610 3820
1593 2293 2749 3156 1619 3494
1774 2468 2521 2833 1677 3250
1880 2652 2468 3312 1487 3734
1779 2553 2343 3569 1596 3842
1928 2463 2838 3375 1522 4035

0.71 0.83 0.84 0.82 0.95 0.83

1906 2745 2819 3080 1711 3811

1925 2843 2860 3140 1739 3913
1944 2944 2900 3203 1767 4017
1963 3050 2941 3266 1796 4124
1983 3159 2983 3331 1825 4234
2002 3271 3025 3397 1855 4347
2022 3388 3068 3464 1885 4463
2042 3509 3112 3532 1916 4582
2063 3635 3156 3602 1947 4704
2083 3764 3201 3674 1978 4829
2104 3899 3246 3746 2010 4958
2125 4038 3292 3820 2043 5090
2146 4182 3339 3896 2076 5225
2167 4332 3387 3973 2110 5365
2189 4486 3435 4052 2144 5508
2211 4647 3483 4132 2179 5654
2233 4813 3533 4214 2214 5805
2255 4985 3583 4297 2250 5960
2277 5163 3634 4382 2287 6118
2300 5347 3686 4469 2324 6281
2323 5538 3738 4557 2361 6449
2346 5736 3791 4647 2400 6621
2369 5941 3845 4739 2439 6797
2393 6153 3899 4833 2478 6978
2417 6373 3955 4929 2518 7164
2441 6600 4011 5026 2559 7355
2465 6836 4068 5126 2601 7551
2489 7080 4126 5227 2643 7752
2514 7333 4184 5331 2686 7959
2539 7595 4244 5436 2730 8171
2564 7866 4304 5544 2774 8389
2590 8147 4365 5654 2819 8612
2616 8438 4427 5766 2865 8842
2642 8740 4490 5880 2911 9077
2668 9052 4553 5996 2958 9319
2694 9375 4618 6115 3006 9568
2721 9710 4684 6236 3055 9823
2748 10057 4750 6359 3105 10084
2776 10416 4818 6485 3155 10353
2803 10789 4886 6613 3206 10629
2831 11174 4955 6744 3258 10912
2859 11573 5026 6878 3311 11203
2888 11987 5097 7014 3365 11501
2917 12415 5170 7153 3419 11808
2946 12858 5243 7294 3475 12123
2975 13317 5317 7439 3531 12446
3004 13793 5393 7586 3589 12777
3034 14286 5469 7736 3647 13118
3065 14796 5547 7889 3706 13467
3095 15325 5626 8045 3766 13826
3126 15872 5706 8204 3827 14195
3157 16439 5787 8367 3889 14573
ChangeFactorQ1 1 1 1
Tier Rider Fixed Weekly Salary Per Order Tip Avg Deliveries per Week per Rider
1 2000 35 90
2 1700 30 82
3 1500 25 75

Q1Revenue 73,818,715 Q1Expenses

ChangeFactorQ2 1 1 1
Tier Rider Fixed Weekly Salary Per Order Tip Avg Deliveries per Week per Rider
1 2000 35 90
2 1700 30 82
3 1500 25 75

Q2Revenue 100,301,188 Q2Expenses

ChangeFactorQ3 1 1 1
Tier Rider Fixed Weekly Salary Per Order Tip Avg Deliveries per Week per Rider
1 2000 35 90
2 1700 30 82
3 1500 25 75

Q3Revenue 136,436,720 Q3Expenses

ChangeFactorQ4 1 1 1
Tier Rider Fixed Weekly Salary Per Order Tip Avg Deliveries per Week per Rider
1 2000 35 90
2 1700 30 82
3 1500 25 75

Q4Revenue 185,798,287 Q4Expenses

StartingCashReserve INR 28,000,000

NetRevenue INR -69,974,658
EndCashReserve INR -41,974,658 Problem is LINEAR as long as changes are made to DIFFERENT p
But if adjustments are made to SAME parameter (eg Fixed Sala
 1 1 ForecastOrders
Avg Order Value Avg Commission Rev/Order Q1 Actual orders may
be inserted for Q1
340 51 691,903 and revised forecasts
292 15.00% 43.8 649,247 for Q2-Q4
260 39 258,837

84,177,301 Q1CashBurn -10,358,586

1 1 ForecastOrders
Avg Order Value Avg Commission Rev/Order Q1
340 51 923,382
292 15.00% 43.8 917,457
260 39 333,951

114,409,925 Q2CashBurn -14,108,737

1 1 ForecastWeeklyOrders
Avg Order Value Avg Commission Rev/Order Q1
340 51 1,232,303
292 15.00% 43.8 1,296,476
260 39 430,862

155,676,347 Q3CashBurn -19,239,627

1 1 ForecastWeeklyOrders
Avg Order Value Avg Commission Rev/Order Q1
340 51 1,644,580
292 15.00% 43.8 1,832,074
260 39 555,894

212,065,994 Q4CashBurn -26,267,707

ng as changes are made to DIFFERENT parameters e.g. Fixed Salary in Q1 and Tip in Q3 etc.
made to SAME parameter (eg Fixed Salary in Q1 & Q4), problem becomes NON-LINEAR due to product of 2 unknowns.
of 2 unknowns.
DHL Supply Chain © David Ringrose and Singfat Chu, April 2012

A 2009 World Economic Forum publication declared, “ Human activity generates annual greenhouse gas emissions of around 5
We estimate that 2,800 mega-tonnes or 5.5 per cent of the total are contributed by the logistics and transport sector.” [1]
[1] “Supply Chain Decarbonization — The Role of Logistics and Transport in Reducing Supply Chain Carbon Emissions”, Page

The executive summary (on page 4 of the report) stated, “Significant movement is expected towards reduced supply chain carb
This will create both opportunities and risks for logistics and transport firms, with changes in supply and demand driven by regu
The sector can play an influential role in decarbonization, both in its own operations and through broader supply chain optimiza

It concluded with several recommendations for supply chain stakeholders. Among the six recommendations for logistics and tra
For shippers and buyers, it was recommended to “plan to allow slower and better optimized transport.” Finally, policy makers

COMPANY INFORMATION

After reading the report, Yee Hwai, a member of the solutions team at DHL Supply Chain, recognized the very findings he had
environmental protection program initiated by parent firm, Deutsche Post DHL.As the thought leader on sustainability in the ind
the carbon emission problems faced by many of its customers. DHL even stated on its website, “We recognize environmental p
Deutsche Post DHL was the first logistics company to set a quantified carbon efficiency goal — to improve its CO2 efficiency ac

THE PROBLEM

The simulation exercise Yee Hwai undertook pertained to a consumer electronics company (CEC). Prominent among its line of
Production of the LCD TV sets was subcontracted to various original design manufacturers (ODMs) located in China and Taiwa
The responsibility of DHL Supply Chain was to ship the LCD TV sets from the ODMs to the distribution centre (DC) located in S
In the latest contract, the CEC had allocated a budget of (Chinese Renminbi) CNY 3 billion for the production and shipping of 9
Yew Hwai had worked with the CEC to configure the optimal supply chain which would fulfill this order within the CNY 3 billion b
economy of scale, production capacity, supplier risk management and service level requirements on the shipping front. At tha

The CEC had a list of seven ODMs to which it could subcontract the production of LCD TV sets according to their availability an
ODM1 and ODM2 were the only companies which could produce both LCD32” and LCD42”. The remaining five ODMs produce
Their unit production costs are listed in the next worksheet. To engender economies of scale in the production, the CEC gu
Also, to mitigate dependency risk on any ODM, the maximum order for either LCD32” or LCD42” was capped at 600,00
ODM1 and ODM2 had high production capacities and if chosen, they each had the ability to produce 600,000 units of L

Several transportation modes were available to ship the TV sets from the ODMs to the DC: regular air, air express, road, road L
The distances from the ODMs to the DC and the various shipping rates are tabulated in the data sheet. ODM5 was located nea
ODM6 was located in Taiwan and shipping could only be conducted via air or water.
Across shipping modes, the rates of carbon emission (see next worksheet) varied greatly from as high as 1.44 (regular air or ai
Each LCD32” weighed about 16.5 kgs and each LCD42” weighed about 22 kgs.

Shipping times varied from two days (via air express) to 10 days (via water). Based on historical information on shipping times a
DHL Supply Chain had to ship a minimum number of 32” and 42” LCD TV sets, according below. There was no constraint on sh
Supply Chain Production and Shipping Constraints
Minimum production of LCD42” (ditto for LCD32”) at any manufacturing ODM
Maximum production of LCD42” at manufacturing OEM (ditto for LCD32”) at manufacturing ODM
Minimum number of units of LCD42” (LCD32”) to be shipped by Regular Air or Air Express
Minimum number of units of LCD42” (LCD32”) to be shipped by Road or Road LTL or Road Network
Minimum number of units of LCD42” (LCD32”) to be shipped by Rail

In the simulation exercise, Yee Hwai assumed a likely consequence of government legislation to reduce the emission of CO2 w
He also anticipated the brand value of the LCD TV sets could rise as a result of customer awareness. Yew Hwai estimated thes
He was eager to find out the potential reduction in CO2 emission made possible through a potential CNY 3.21 billion budget for

Complete the optimization template on the next worksheet to help Yee Hwai figure out
(a) the supply chain based on the original budget of CNY3 billion i.e. which ODMs will be chosen, which / how many L
(b) the reduction in CO2 emission when the budget is increased.
gas emissions of around 50,000 mega-tonnes CO2 (Carbon Dioxide emission).
ansport sector.” [1]
Carbon Emissions”, Page 4, accessed April 2012 at http://www3.weforum.org/docs/WEF_LT_SupplyChainDecarbonization_Rep

educed supply chain carbon intensity.

nd demand driven by regulation of carbon emissions, higher and more volatile fuel prices and evolving consumer and client demand.
der supply chain optimization. This provides direct benefits through reduced costs, managed risks and business growth.” 

ations for logistics and transport providers was to “switch (transport) modes where possible.”
rt.” Finally, policy makers were also invited to “reflect the cost of carbon in energy tariffs; support carbon measurement and labeling stand

the very findings he had uncovered in a recent simulation analysis, undertaken as part of the "Go Green"
on sustainability in the industry, Deutsche Post DHL recognized there were clear opportunities to begin resolving
recognize environmental protection as our responsibility as well as a business opportunity".
rove its CO2 efficiency across global operations by 30 per cent compared to the 2007 baseline - see http://www.dp-dhl.com/en/respo

ominent among its line of products were 32” and 42” LCD TV sets (LCD32” and LCD42”).
cated in China and Taiwan.
n centre (DC) located in Shanghai.
oduction and shipping of 920,000 units of LCD42” and 530,000 units of LCD32” TV sets to its DC.
within the CNY 3 billion budget while satisfying various constraints pertaining to
the shipping front. At that point, this optimization exercise did not consider the volume of CO2 emissions.

ding to their availability and prices.

aining five ODMs produced LCD42” exclusively.
production, the CEC guaranteed a minimum order of 200,000 to any selected ODMs.
2” was capped at 600,000 units.
oduce 600,000 units of LCD32”, as well as 600,000 units of LCD42”.

, air express, road, road LTL (Less than Truck Load), road network, rail and water.
t. ODM5 was located near the DC, restricting shipping to road, road LTL and road network.

h as 1.44 (regular air or air express) to 0.007 (water) kilogram (kg) per ton shipped per kilometer (km) travelled.

mation on shipping times and customer order cycle times, the CEC decided that to maintain satisfactory inventory levels,
re was no constraint on shipments via water.
 200,000 units
600,000 units
46,000 (53,000) ie minimum of 46,000 LCD42" (and 53,000 LCD32") by Regular Air or Air Express
92,000 (79,500)
138,000 (79,500)

ce the emission of CO2 would appear in the form of a tax incentive.

Yew Hwai estimated these factors could translate into a 7% increase in the budget for this specific supply chain.
NY 3.21 billion budget for manufacturing and shipping the TVs from the ODMs to the DC.

en, which / how many LCD will they manufacture and how will these be transported to the Distribution Center
 upplyChainDecarbonization_Report_2009.pdf

sumer and client demand.

iness growth.” 

measurement and labeling standards and build open carbon trading systems.”

http://www.dp-dhl.com/en/responsibility/environment.html

ventory levels,
Air Express

ion Center
DHL Supply Chain

Product Weight Metric Ton Units to be shipped

LCD 42" 0.022 920,000
LCD 32" 0.0165 530,000

Air Express Road Road LTL

Carbon Emission in Kg per Ton per KM 1.44 1.44 0.0613 0.0613

Shipping Cost per Metric Ton

Product - OEM Unit Production Cost Air Express
LCD 42" ODM1 ¥1,983.40 ¥64,400.00 ¥70,840.00
LCD 42" ODM2 ¥2,254.00 ¥115,920.00 ¥127,512.00
LCD 42" ODM3 ¥2,582.40 ¥103,040.00 ¥113,344.00
LCD 42" ODM4 ¥1,976.10 ¥64,400.00 ¥70,840.00
LCD 42" ODM5 ¥2,711.30
LCD 42" ODM6 ¥2,704.80 ¥135,240.00 ¥148,120.00
LCD 42" ODM7 ¥2,125.20 ¥103,040.00 ¥112,700.00
LCD 32" ODM1 ¥1,818.00 ¥64,400.00 ¥70,840.00
LCD 32" ODM2 ¥1,996.40 ¥115,920.00 ¥127,512.00

The matrices below indicate (1) the combined production and shipping cost and (2) CO2 emission

Production + Shipping Cost per Unit

Air Express
LCD 42" ODM1 ¥3,400.20 ¥3,541.88
LCD 42" ODM2 ¥4,804.24 ¥5,059.26
LCD 42" ODM3 ¥4,849.28 ¥5,075.97
LCD 42" ODM4 ¥3,392.90 ¥3,534.58
LCD 42" ODM5
LCD 42" ODM6 ¥5,680.08 ¥5,963.44
LCD 42" ODM7 ¥4,392.08 ¥4,604.60
LCD 32" ODM1 ¥2,880.60 ¥2,986.86
LCD 32" ODM2 ¥3,909.08 ¥4,100.35

SupplyChainMatrix
Chosen Air Express
LCD 42" ODM1
LCD 42" ODM2
LCD 42" ODM3
LCD 42" ODM4
LCD 42" ODM5
LCD 42" ODM6
LCD 42" ODM7
LCD 32" ODM1
LCD 32" ODM2

ShipmentModeTotal MinServiceReq
LCD42" - Air / Express ? 46000
LCD42" - Road, Road LTL, Road Network ? 92000
LCD42" - Rail ? 138000
LCD32" - Air / Express ? 53000
LCD32" - Road, Road LTL, Road Network ? 79500
LCD32" - Rail ? 79500
SupplyChainTotal Units Required
LCD42'' 0 920,000
LCD32" 0 530,000
Zerocells 0
Cost
Carbon Emission
When a problem involves small (eg B
e.g. a constraint is NOT satisfied but
One REMEDY Is to select AUTOMATI
Other helpful "lessons" when workin
(1) Before you go to Solver, CLEAR a
(2) If you have INTEGER constraints,
The reason is an INTEGER solution m
Insert the INTEGER constraints on th

(3) If you have an EQUALITY constra

In the present DHL case, I have seen
 Road-Network Rail Water
0.0613 0.0285 0.007

Distance from OEM to Customer Warehou

Road Road LTL Road-Network Rail Water Air Express
¥6,182.40 ¥5,216.40 ¥4,830.00 ¥4,250.40 ¥3,091.20 2508 2508
¥7,084.00 ¥5,796.00 ¥5,667.20 ¥5,796.00 ¥2,704.80 1553 1553
¥7,084.00 ¥5,796.00 ¥5,667.20 ¥5,796.00 ¥3,284.40 1380 1380
¥6,182.40 ¥5,280.80 ¥5,216.40 ¥4,250.40 ¥3,091.20 2150 2150
¥9,660.00 ¥9,016.00 ¥8,694.00
¥3,413.20 690 690
¥7,084.00 ¥5,796.00 ¥5,538.40 ¥5,860.40 ¥2,769.20 686 686
¥6,182.40 ¥5,216.40 ¥4,830.00 ¥4,250.40 ¥3,091.20 2508 2508
¥7,084.00 ¥5,796.00 ¥5,667.20 ¥5,796.00 ¥2,704.80 1553 1553

nd (2) CO2 emission for each LCD unit from ODM to DC.

ost per Unit Carbon Emission per Unit

Road Road LTL Road-Network Rail Water Air Express
¥2,119.41 ¥2,098.16 ¥2,089.66 ¥2,076.91 ¥2,051.41 79.45 79.45
¥2,409.85 ¥2,381.51 ¥2,378.68 ¥2,381.51 ¥2,313.51 49.20 49.20
¥2,738.25 ¥2,709.91 ¥2,707.08 ¥2,709.91 ¥2,654.66 43.72 43.72
¥2,112.11 ¥2,092.28 ¥2,090.86 ¥2,069.61 ¥2,044.11 68.11 68.11
¥2,923.82 ¥2,909.65 ¥2,902.57 0.00 0.00
¥2,779.89 21.86 21.86
¥2,281.05 ¥2,252.71 ¥2,247.04 ¥2,254.13 ¥2,186.12 21.73 21.73
¥1,920.01 ¥1,904.07 ¥1,897.70 ¥1,888.13 ¥1,869.00 59.59 59.59
¥2,113.29 ¥2,092.03 ¥2,089.91 ¥2,092.03 ¥2,041.03 36.90 36.90

=2
0, 0
Road Road LTL Road-Network Rail Water TotalODM MinProd How
0 ? WI
0 ?
0 ?
0 ?
0 ?
0 ?
0 ?
 0 ?
0 ?

TotalBudget CurrentBudget Incentive%

? ¥3,000,000,000 ¥3,000,000,000 0%

oblem involves small (eg BINARY solution) and BIG (eg the cells in the SupplyChainMatrix) numbers, "numerical" issues may arise
raint is NOT satisfied but there is NO error message.
DY Is to select AUTOMATIC SCALING in OPTIONS.

ful "lessons" when working on BIG problems:

you go to Solver, CLEAR all UNKNOWN cells (in YELLOW) - the presence of numbers in these cells may occasionally take SOLVER on a non

ave INTEGER constraints, do not enter them when you are testing your SOLVER logic.
is an INTEGER solution may requires LENGTHY number-crunching.
NTEGER constraints on the final run after you've ascertained everything else is fine.

ave an EQUALITY constraint like Supply=Demand, do consider using instead Supply>=Demand or Supply<=Demand depending on which
ent DHL case, I have seen a huge difference in using >= or <= compared to = (which can yield a sub-optimal solution).
from OEM to Customer Warehouse in KM
Road Road LTL Road-NetwRail Water
2508 2508 2508 2508 2508
1553 1553 1553 1553 1553
1380 1380 1380 1380 1380
2150 2150 2150 2150 2150
30 30 30
690
686 686 686 686 686
2508 2508 2508 2508 2508
1553 1553 1553 1553 1553

mission per Unit

Road Road LTL Road-NetwRail Water
3.38 3.38 3.38 1.57 0.39
2.09 2.09 2.09 0.97 0.24
1.86 1.86 1.86 0.87 0.21
2.90 2.90 2.90 1.35 0.33
0.04 0.04 0.04 0.00 0.00
0.00 0.00 0.00 0.00 0.11
0.93 0.93 0.93 0.43 0.11
2.54 2.54 2.54 1.18 0.29
1.57 1.57 1.57 0.73 0.18

=200,000 if chosen and

0, 0/w
MaxProd How to formulate this
? WITHOUT using IF statement?
?
?
?
?
=600,000 if chosen and
?
0, o/w
?
How to formulate this
WITHOUT using IF
statement?
 =600,000 if chosen and
0, o/w
How to formulate this
? WITHOUT using IF
? statement?

umerical" issues may arise

ccasionally take SOLVER on a non-optimal path...

y<=Demand depending on which one is sensible.

mal solution).
Team Assignment due Mon 3 Sep 11am

SIKA: OPTIMIZING THE APAC EPOXY FLOORING SUPPLY CHAIN

Bruno Oehy and Professor Singfat Chu wrote this case solely to provide material for class discussion. The authors do not intend
to illustrate either effective or ineffective handling of a managerial situation. The authors may have disguised certain names and
other identifying information to protect confidentiality.
Version: 2018-03-20

It was 8:00 a.m. on July 4, 2017, and Dorothy Kwok, regional head of Operations and Supply Chain at Sika
AG (Sika), had just squeezed into the elevator that would take her to her office on the 17th floor. Having a
quick read of an email on her mobile phone, Kwok noted another quarter of significant capacity
underutilization in the Asia Pacific (APAC) supply chain for one of Sika’s epoxy flooring products. Stepping
out of the elevator, she wondered, “Is it time to review our current decentralized supply chain model?”

SIKA

Sika was a Swiss specialty chemicals leader in the development and production of solutions for the
building and automotive industries. 1 Its business activities straddled seven markets: concrete,
waterproofing, refurbishment, roofing, flooring, sealing, and bonding.

Kaspar Winkler laid the cornerstone of the firm in 1910 with his invention of waterproofing agents for
mortar. Sika’s first breakthrough came with its contribution to the sealing of Swiss Federal Railways’
15-kilometre Gotthard Base Tunnel in 1918. An innovative type of waterproofing mortar designed to
protect against water ingress allowed electric trains to use the tunnel. Following an early expansion in
Europe in the 1920s, Sika established its first Asian subsidiary in Japan in 1932.

By 2017, Sika had expanded globally with national subsidiaries and more than 190 production plants
in 100 countries. Its workforce of more than 17,000 employees generated annual sales of SFr5.75
billion2 in 2016.3 Its market capitalization was approximately SFr16 billion in November 2017.4 The
APAC region, where Sika had a presence in 19 countries, contributed 19 per cent to its turnover.

FLOORING AND COATING PRODUCTS

Sika’s flooring and coating solutions were based on synthetic resin and cementitious systems. They were used in
different functional areas in buildings and facilities used by various industries such as manufacturing, food and
beverage, pharma, warehousing, car park, commercial, and institutional (e.g., schools, hospitals, and sports
complexes). Each of these markets had specific requirements for floors in terms of traffic and mechanical wear,
chemical resistance, temperature, slip resistance, impact resistance, permeability to liquids, fire resistance, and
rapid curing. Sika introduced the modular concept for epoxy

1
Sika website, accessed December 1, 2017, https://www.sika.com/.
1
Sika website, accessed December 1, 2017, https://www.sika.com/.
2
SFr = CHF = Swiss franc; SFr1 = US$0.99721 on November 1, 2017.
3
Sika, “Record Sales with Growth in All Regions,” media release, January 10, 2017, accessed December 1, 2017,
www.sika.com/en/group/Media/Mediareleases/2017/rekordumsatz-mit-wachstum-in-allen-regionen.html.
4
“Sika AG (SIKS.S),” Reuters, accessed December 1, 2017, www.reuters.com/finance/stocks/overview/SIK.S.

systems in the early 1980s and followed this initiative with numerous other innovations. It was also the
market pioneer in hybrid and self-levelling solutions.

In the APAC region, Sika operated more than 50 production facilities in 18 countries. The epoxy
flooring solution, whose capacity underutilization was of concern to Kwok, was produced in six
countries and sold in eight countries, mostly in China, India, and Indonesia. While its production in
different countries was very similar, its formulation varied due to local climate (hot/cold) and colour
preferences.

The epoxy flooring solution was sold mainly to construction projects via contract specifications. The time
from Sika being awarded a project to it supplying the material could be between four and six weeks. As a
result, the demand throughout each quarter was project-based and could fluctuate in volume and in product
variations. To reduce net working capital and the risk of expiration of the product in stock, Sika produced
the epoxy flooring solution on a make-to-order basis. In the past, Sika had lost projects due to too long a lead
time. Since then, Sika had instituted a maximum lead time of 30 days in the epoxy flooring product supply
chain.

CURRENT APAC EPOXY FLOORING SUPPLY CHAIN

To allow quick decision making in the eight APAC countries where it sold the epoxy flooring product,
Sika operated in a decentralized organization model, i.e., free choice of supply partners with no formal
coordination through the Regional Operations and Supply Chain function. Demand for epoxy flooring
in these countries was satisfied by local production or through imports from neighbouring Sika plants
when there was no local production.

Exhibit 1 illustrates the supply chain in the second quarter of 2017. Each of the six producing countries
primarily supplied its local market, while the plant in Country 3, which had the highest quarterly
production capacity (5,286 tons), also fulfilled the demand in Country 7 and Country 8, which had no
Sika production plants. Under the “freedom of choice” model, the total supply chain cost, comprising
fixed operating costs plus landed costs, was US$50,537,164

THE WIN–WIN COFFEE BREAK

Kwok had been concerned about the efficiency of the APAC epoxy flooring product supply chain since
2016. Leaving supply chain decisions to the local units had resulted in significant capacity and price
inefficiencies. She had noted, for instance, that for the second quarter of 2017, capacity utilization
ranged from 53 per cent (Country 2) to 88 per cent (Country 6), with an average of 71 per cent across
the six producing countries. She believed that having production concentrated in fewer countries could
meet the demand in the eight markets at a lower total cost. Production plants that were not needed could
readily be reassigned to other products for which capacity was lacking.

On July 5, 2017, Kwok was sharing a morning coffee break with her colleague Roger Nadal, who had
just returned from the first residential segment of an executive MBA program. When she described her
supply chain concern to Nadal, he could not believe his luck—Nadal was looking for a problem to work
on for an “Analytics@Workplace” project that was required for the completion of his Business
Analytics for Decision Makers course. If he was provided the pertinent data, Nadal believed he could
 the six producing countries. She believed that having production concentrated in fewer countries could
meet the demand in the eight markets at a lower total cost. Production plants that were not needed could
readily be reassigned to other products for which capacity was lacking.

On July 5, 2017, Kwok was sharing a morning coffee break with her colleague Roger Nadal, who had
just returned from the first residential segment of an executive MBA program. When she described her
supply chain concern to Nadal, he could not believe his luck—Nadal was looking for a problem to work
on for an “Analytics@Workplace” project that was required for the completion of his Business
Analytics for Decision Makers course. If he was provided the pertinent data, Nadal believed he could
optimize the supply chain and improve its cost efficiency.

On the same afternoon, Nadal received data pertaining to the current quarterly capacity and fixed operating cost
for each of the six production plants; for example, 1,725 tons and US$1,380,000 in Country 1, and so

on for the other countries. He was also provided matrices of landed costs (comprising production,
transportation, and import tax costs) and lead times (for order processing and transportation) from the
production plant to market; for example, US$4,900/ton and 18 days for shipments from Country 1 to
Country 2, and so on (see Exhibits 2 and 3). Lead time was not an issue when a production plant supplied
its local market, and in such cases the lead time was at most seven days. However, for overseas
shipments, the lead time varied widely between 12 and 49 days. As Sika imposed a 30-day maximum
lead time, a producing plant could therefore only serve some markets. For instance, the plant in Country
1 could service countries 1, 2, 3, 4, and 7, but not 5, 6, and 8 (see Exhibit 3).

Nadal quickly applied the knowledge gained in his analytics course to develop an optimization template
for the epoxy flooring supply chain problem.

REPLY FROM HEADQUARTERS

Soon after Kwok forwarded Nadal’s solution to the company’s headquarters (HQ) in Baar, Switzerland,
she received an urgent email:

HQ loves the supply chain rationalization proposal. Ultimately, we want a ROBUST solution
that can be implemented for the next few years. According to our collaborative forecast model,
the demand for this epoxy flooring product will grow moderately in the near future. Also, the
landed cost and lead time matrices are expected to remain stable due to long-term contracts
with our strategic supply and transportation partners; i.e., they will not change much.

In light of these, please forward us a ROBUST solution that (1) has at least 700 tons [of] spare
capacity to accommodate future growth in demand and (2) can satisfy a shorter lead time, which
we think will be required by more of our customers. Can we hear from you by tomorrow?
The Exhibits appear on the SikaSolver worksheet

Required

Before the start of 3 Sep class, EVERY team to email bizchucl@nus.edu.sg

In emailing me, please cc to all Team Members and I will then "Reply to all" when e

An Excel file named Team#_BMS5205Ass1.xlsx and containing

(A) The completed SikaSolver template (i.e. next Worksheet).

First develop the template for 30 days lead time.
 Thereafter, refine to it to address the requirements set by HQ.
Submit only your FINAL template + Solver.

(B) SikaMemo - see instructions there.

For the upcoming INDIVIDUAL case, you will also submit one EXCEL file containing

Team1 will present its SOLVER template, findings and recommendation in about 15 m

Presentation Guidance
For your presentation, use a thumb drive on the class computer. Setting up your notebook is not time-friend

Every team will present TWICE during the course, first for an assigned case study and secondly, in the last w
Organize yourselves so that every team member present at least ONCE during the semester: Marks are in pl

Imagine the class as a lay audience => Use simple and concise English even for complicated ideas!

Suggested Coverage:
(1) What is the problem about?
(2) Guide audience through your analysis SMARTLY e.g.
Your SOLVER window must show NAMES for the objective, unknowns and constraints and absolutely NO ce
Design your template and SOLVER window MINIMALLY i.e. no superfluous variables or formulae and define
(3) Briefly discuss if the problem can be solved intuitively i.e. quick "System 1 thinking" (if so, outline "ideas
(4) X-factor: Anything interesting and related to this problem you wish to share e.g. Have you experienced a

Desired Outcome
Analytics plus COMMUNICATIONS will contribute a synergistic leap to your career!
Y CHAIN

uthors do not intend

d certain names and

Version: 2018-03-20

ply Chain at Sika

h floor. Having a
nificant capacity
oducts. Stepping
ain model?”

olutions for the

rkets: concrete,

ofing agents for

deral Railways’
rtar designed to
rly expansion in

roduction plants
ales of SFr5.75
mber 2017.4 The
turnover.

They were used in

uring, food and
s, and sports
mechanical wear,
resistance, and
December 1, 2017,
ml.
w/SIK.S.

s. It was also the

ries. The epoxy

produced in six
ts production in
cold) and colour

cations. The time

six weeks. As a
me and in product
k, Sika produced
to too long a lead
g product supply

looring product,
s with no formal
r epoxy flooring
ring Sika plants

ducing countries
ighest quarterly
8, which had no
cost, comprising

pply chain since

pacity and price
acity utilization
1 per cent across
countries could
not needed could

Nadal, who had

he described her
problem to work
of his Business
elieved he could
 countries could
not needed could

Nadal, who had

he described her
problem to work
of his Business
elieved he could

ed operating cost
and so

sing production,
tation) from the
om Country 1 to
n plant supplied
er, for overseas
0-day maximum
plant in Country

ization template

aar, Switzerland,

OBUST solution
forecast model,
future. Also, the
g-term contracts
much.

0 tons [of] spare

ead time, which
tomorrow?

cl@nus.edu.sg
n "Reply to all" when emailing my feedback.
 ents set by HQ.

EXCEL file containing your SOLVER template AND a Memo.

ndation in about 15 mins. Q&A will follow for 5-10 minutes.

r notebook is not time-friendly !

dy and secondly, in the last week for the capstone project.

he semester: Marks are in play !

complicated ideas!

traints and absolutely NO cell addresses (or you will be PENALISED!)

bles or formulae and define unknowns and constraints where possible as rows (eg C56:F56), columns or matrices…
hinking" (if so, outline "ideas" …) or is effortful "System 2 thinking" required e.g. SOLVER?
e.g. Have you experienced a similar problem at the Workplace? What "realism" is lacking in problem? Etc.
s or matrices…
Sika: Optimizing the APAC Epoxy Flooring Supply Chain

Exhibit 1 Supply Chain Matrix (tons)

Operating? Capacity Fixed Op. Cost Production/Market Country 1 Country 2
1.00 $ 1,725.00 $ 1,380,000.00 Country 1 1,120.00 0.00
1.00 $ 800.00 $ 1,050,000.00 Country 2 0.00 425.00
1.00 $ 5,286.00 $ 3,171,600.00 Country 3 0.00 0.00
1.00 $ 483.00 $ 618,240.00 Country 4 0.00 0.00
1.00 $ 1,050.00 $ 1,785,000.00 Country 5 0.00 0.00
1.00 $ 2,334.00 $ 1,633,800.00 Country 6 0.00 0.00
Demand_in_Tons 1,120.00 425.00

Exhibit 2 Landed Cost (= Production + Transport + Import Tax) per

Production/Market Country 1 Country 2
Country 1 $4,840 $4,900
Country 2 $5,250 $5,180
Country 3 $5,030 $5,508
Country 4 $5,020 $5,504
Country 5 $5,191 $5,708
Country 6 $5,423 $5,655

Exhibit 3 Leadtime Matrix (Order Processing and Transportation) D

Production/Market Country 1 Country 2
Country 1 7 18
Country 2 12 7
Country 3 16 15
Country 4 18 20
Country 5 31 38
Country 6 36 40

Max Lead Time 30

Hint: The Maximum Supply Matrix is Maximum Supply Matrix (tons)

useful for enforcing the maximum Production/Market Country 1 Country 2
lead time requirement. Country 1 1120 425
If you change E33 to say 27, the Country 2 1120 425
Maximum Supply Chain Matrix will Country 3 1120 425
adjust accordingly. Country 4 1120 425
See more details in F37 Country 5 0 0
Country 6 0 0
 Country 3 Country 4 Country 5 Country 6 Country 7 Country 8
0.00 0.00 0.00 0.00 0.00 0.00
0.00 0.00 0.00 0.00 0.00 0.00
3,225.00 0.00 0.00 0.00 247.00 180.00
0.00 292.00 0.00 0.00 0.00 0.00
0.00 0.00 684.00 0.00 0.00 0.00
0.00 0.00 0.00 2,065.00 0.00 0.00
3,225.00 292.00 684.00 2,065.00 247.00 180.00

sport + Import Tax) per Ton

Country 3 Country 4 Country 5 Country 6 Country 7 Country 8
$5,484 $5,501 $5,182 $5,050 $5,152 $5,172
$5,838 $5,872 $5,415 $5,350 $5,509 $5,519
$4,880 $5,626 $5,236 $5,080 $5,030 $5,314
$5,594 $4,940 $5,198 $5,140 $5,020 $5,297
$5,788 $5,830 $5,071 $5,311 $5,211 $5,425
$5,775 $5,776 $5,463 $5,050 $5,170 $5,493

g and Transportation) Days

Country 3 Country 4 Country 5 Country 6 Country 7 Country 8
24 14 31 31 14 39
15 12 25 20 12 25
7 16 27 25 16 29
27 7 31 21 21 33
38 38 7 38 38 24
33 32 44 7 40 49

Country 3 Country 4 Country 5 Country 6 Country 7 Country 8

3225 292 0 0 247 0
3225 292 684 2065 247 180
3225 292 684 2065 247 180
3225 292 0 2065 247 0
0 0 684 0 0 180
0 0 0 2065 0 0
Pen a Memo with 300 words maximum (insert a Word Count) to report / discuss
(1) Your findings e.g. Which plants will you retain for leadtime = 30 / 29 / 28 …. days while servic
(2) Your recommendation and justifications thereof on the most pragmatic configuration of plants
(3) Anything else that will impress Management
Sample Memo

Write your Memo in Word, select page by page (see how I did it in the SikaCase worksheet), COPY

The most successful students are those who can analyze and report their analyses FLUIDLY i.e. in a CLEA
The purpose of the weekly communication exercise is to spur you to reach such a stage - you'll have to inv
…. days while servicng the 8 countries? A TABLE would effectively summarize your findings.
onfiguration of plants to operate in the next few years.

worksheet), COPY and go to say cell B12 below, PASTE SPECIAL, Microsoft Word Document Object (you wi

UIDLY i.e. in a CLEAR, CONCISE and POLISHED (eg gramatically correct) manner which makes the reading EASY
ge - you'll have to invest perhaps more time & effort into it than in the analysis!!!
ment Object (you will have to do this for the first INDIVIDUAL case)…

es the reading EASY and PLEASING i.e. "How/what you write says a lot about you".