Optimizing the efficiency of Jedi's transportation logistics function: A business process reengineering study

• Main Authors: Canteras, Ramona Louise D., Intal, Erica Anna P., Osias, Jhasy R., Quiogue, Cathryn Bernadette B.
• Format: text
• Language: English
• Published: Animo Repository 2007
• Subjects: Transportation; Transportation > Cost of operation; Transportation > Cost effectiveness; Reengineering (Management); Strategic planning; Industrial management; Industrial engineering
• Online Access: https://animorepository.dlsu.edu.ph/etd_bachelors/14661
• Institution: De La Salle University

As a part of the supply chain system of manufacturing companies, they partner with distributors in order for their products to be able to teach as many customers as possible in the different areas of the country. These distributors act as an intermediary between these manufacturing companies and their customers. Jeturian-Esteban (JEDI), one of the distributors of Unilever Philippines (ULP), is operating to acquire finished home and personal care products (HPC) from ULP and distribute them throughout the different trade channels in Batangas area. This research intends to find out the problem area in the country's operations that needs to be addressed in order to significantly cut down on costs and increase profits. A work-centered analysis (WCA) of the system provides a thorough look at the different areas of the pre-selling system of the company from the participants of the system, information and technology utilized, infrastructures needed, business process practiced, down to the products and customers that the system serves. The results of the WCA analysis show weaknesses in the delivery process, credit collection procedure, and the cycle time. The problem validation proves that the most urgent problem that needs to be addressed is in the delivery process, particularly the non-optimization of the capacity of the public market and drugstore trucks used in the pre-selling system. The aim of this research is to address the problem on the non-optimization of the trucks by developing a new system to be used in the delivery process through the business process re-engineering approach. The proposed system of the researchers is called the 'school bus system', which is supported by the reconstructed permanent journey plans of the delivery teams based on district clustering and the new layouting procedures prepared. The system requires that the delivery teams follow the district clustering in their permanent journey plans and the layouters to observe the new layouting in the trucks on a per account basis. The proposed system includes reconstructed journey plans and layouting guidelines to be followed by the delivery teams. The clustering of the districts into larger areas for deliveries allows for added usage for each truck. Along with this, the layouting procedure on the trucks on a per account basis allows for faster unloading and distribution of the stocks by the drivers and helpers. The results of this study show that the proposed 'school bus system' addresses the problem of the non-optimization of the public market and drugstore trucks by increasing the number of stocks carried by the trucks during deliveries.