Supply Chain Design-Riordan Manufacturing
Every organization has their own manufacturing strategy, depending on the type of organization will depend on the strategy to have the best end result. Understanding the strategies and how they are used can help the manufacturing process. Riordan manufacturing is a Fortune 1000 organization which produces multiple products, throughout this paper Team C will explain Riordan’s manufacturing strategy and the details that go into a manufacturing strategy.
Riordan’s Manufacturing Strategy There are three different types of manufacturing strategies that an organization can utilize, which include the Chase Strategy, the…show more content… Therefore, this can be costly to the company as it can cause the company to not meet orders received for product. The more efficient that an employee is, the more efficient the company will be in meeting the needs of its customer and fulfilling their orders.
Supplier Relationship At Riordan, the supplier relationship utilizes outsourcing. Riordan partners with FedEx to ship parts and products. “Federal Express has one of the most advanced systems available for tracking items being sent through its services” (Jacobs & Chase, 2011 pg. 382). Having a company as reliable as FedEx and the services it offers is a great benefit for Riordan. Riordan can ship across the world and ensure that the customer will receive the product. Riordan is located in Hangzhou, China and ships across China as well as around the world to other countries including the United States. By utilizing an outsourced company, Riordan can save money by not having to operate a shipping facility of their own. An additional benefit of outsourcing is the ability to use metrics to identify supplier performance. For Riordan, they can identify the performance of FedEx by evaluating both the number of on-time deliveries as well as identifying product that is received by the customer defective due to shipping. If customers are not receiving their products when they expect to receive them this can stress the relationship the customer has with
