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Globalisation. Its a not so small world. - Coggle Diagram
Globalisation. Its a not so small world.
Offshoring
Total supply chain cost
Total landed costs
Inventory holding cost
cost of product obsolescence
Nearshoring
bringing the key supply chain tasks back closer to
home
Increased response time to customers
Limiting risk from some cheap labour areas
Likely better infrastructures
"Flattening" the world
Container shipping
Cheapest shipping method
Slowest Shipping method
Allows for overseas supply chains
Globalisation
very different expectaions
US market
Customers expect shipments within a few days
Hong Kong
Customers expect shipments within a few hours
Africa
Sell direct to distributors
Monthly expectation
Russia
Distributors collect product from warehouse
Location
Own facility or lease?
How reactive can distribution resources be?
Affordability/strategically located area?
Logistics availability?
Establishing relationship with officials/authorities?
Establish local supply base?
Local work force?
Local labour laws?
Local culture?
Hire experienced local manager?
Available infrastructure
Best practice characteristics
effective corporate global vision
Investing in...
Global commodity councils & reporting systems
International procurement offices
Share expertise about regional sourcing and sales opportunities
International sales offices
Improved total cost models for decision making
Global information systems with sourcing and demand planning capabilities
Optimize the mix of local suppliers and global suppliers
prone to change as companies gain
more experience with local suppliers
Accept the need to make positive changes.
Logistics friendliness
logistics performance of 150 different countries in seven areas
Quality of transportation and information technology infrastructure for logistics
Ease and affordability of arranging international shipments
Competence of local logistics providers
Capability to track and trace international shipments
Cost of domestic logistics
On-time delivery performance
Efficiency of the Customs clearance process
World Bank study, the 10 most logistics-friendly counties
Singapore
Netherlands
Germany
Sweden
Austria
Japan
Switzerland
Hong Kong
UK
Canada