Delivery problems at

ANKUR BHARDWAJ (10P068)

JAYANT BAHEL (10P081)
LOKESH HARNAL (10P086)
MANIKA VERMA (10P087)
MOHIT AHUJA (10P090)
SAMBHAV AHUJA (10P107)
Arrow’s history
 Started as a local distributor in NYC in the 30s
 Went public in early 60s, became 11th largest by
1968
 Became 2nd largest by 1980 with nationwide
presence
 Centralized purchasing and distribution (37
warehouses to 4 PDCs)
 Focus on growth through acquisitions
 1992 – acquired Scheweber to became no. 1
Arrow’s ordering process
Type of orders
Analysis of orders
 Type 1 (One off order with short lead time)
need to be shipped the same day
 Type 2 and type 3, do they need to be shipped
the same day?
 Therefore, does it mean that type 1 orders
comprised of 94% total orders before
Schweber acquisition?
 Premium freight paid for late orders

Schweber acquisition
Changes after acquisition
Average orders 94% efficiency 78% efficiency
July 91-Dec 91 86858 81646
Jan 92- Dec 92 1633811 127981 106197

Inference – Schweber may have more of type

1 orders

Processes at PDC
PROCESS
Problems
 Due to surge in orders, workers were taking
procedural short cuts to speed up the
process
 Consequences
 Sense of confusion, destroyed orderly flow
 Delayed parts already on the conveyor
 Increased chances of quality errors
 Rush during evening hours i.e 3-7 pm
 Overtime for initial processes


Possible solutions
Recommendations
Advantages of RFID
 Selectively apply the technology to improve
specific processes that are labor intensive or
prone to creating delays or inaccuracies
 Mobile readers are often advantageous to fixed-
position models because they can be used for
multiple applications
 As applications grow, so does inventory visibility,
which ultimately leads to lower inventory
levels and more efficient supply chain
operations
RFID IMplementation
RFID IMpact
 Receiving
 Labor Savings
 Pallets automatically identified
 Data read and transferred to Warehouse
Management System
 Cross docking for immediate transport
 Storage and picking personnel (40% of
workforce) can then be deployed in receiving
and packing & shipping
RFID Impact
 Putaway
 Automaticallyassociate stored goods with actual
putaway location
 Security/Documentation
 Unattended location monitoring
 Picking
 Error-proofing the picking process
 Shipping
 Can validate pallet loads and improve shipping
accuracy
 Asset Tracking
 Track the shipping container with RFID, if the
container is a returnable or reusable asset
 Improve planning, reduce buffers and increase
utilization

Thank You