What is the total cost MiniToys.com incurs in 2019 with the current warehouse arrangement?

Write a 3,000-3,500 word business report summarising the case, the objectives, the issues identified, and your analysis of the different networks options under consideration, together with your recommendation and conclusion. Answer each of the case questions (Q1 to Q4) separately in a separate section at the end of the report. Use summary tables and figures to present the findings where necessary and appropriate. Show the mathematical formulation of the problem and the Solver setup in the appendix.

CASE QUESTIONS

1. What is the total cost MiniToys.com incurs in 2019 with the current warehouse arrangement?

2. What is the cost MiniToys.com incurs under the following scenarios in 2020, 2021 and 2022?

(a) Keeping the existing large warehouse in St. Kilda with additional warehouses rented all in Melbourne;

(b) Keeping the existing large warehouse in St. Kilda with additional warehouses rented in different cities

(Note: some of the additional warehouses can be in Melbourne if necessary); and

(c) Not keeping the existing large warehouse or using any warehouse in Melbourne but renting new

warehouses in other cities.

3. What supply chain network configuration would you recommend for MiniToys.com in the long run based

entirely on cost consideration? A year-by-year action plan should be recommended.

4. How would your recommendation change if instead of charging a flat fee of $15 per shipment from the

customer, the Australia Post shipment charge is to be borne by the customer? Again, a year-by-year action

plan should be recommended.

5. Based on the findings from Questions 3 and 4, do you think MiniToys.com should change the current

shipping arrangement to the one being considered? Why?

The following report format should be used:

A proper Report Cover (a page that properly provides the course number and title, assignment number, title of the case, student number, student name, and submission date) should be provided.

In the report proper, the following should be included:

  1. A formal business report is required.
  2. In addition to the Covering Page (a page that properly provides the course number and title, assignment number, title of the case, student number, student name, and submission date), the report should include the following:

         (a) Executive Summary (Summarise the case, the findings of analysis, and the recommendations in one page.)

         (b) Table of Contents (List the sections and subsections with corresponding page numbers on a separate page.)

         (c) List of Figures (List the figure numbers and captions, if any, with corresponding page numbers on a separate page.)

         (d) List of Tables (List the table numbers and captions, if any, with corresponding page numbers on a separate page.)

         (e) Summary of the Case (Use your own words to give a brief summary of the case in half a page.)

         (f)  Objectives (State the purposes of the study and what needs to be investigated in half a page.)

         (g) Issues Identified (Analyse the information provided in the case to identify the issues faced by the company in half a page.)

         (h) Network Option Analysis (Marcus)

(Analyse in one page the network options under consideration using the information provided in the case. Total cost of the current configuration, i.e., Q1, needs to be worked out. MS Solver will be needed to find the optimised options for Q2 and Q4. Summary of findings of the scenario tests should be presented. NOTE: Only summaries of the analyses are needed in this section. Details of the analyses should be given in the Answers to the Case Questions section. Use summary tables to show the configurations and costs.)

         (i)  Recommendations (Recommend the best option to adopt based on the outcome of the analysis in half a page.)

         (j)  Conclusions (Summarise the study and give insight in half a page.)

         (k) Answers to the Case Questions (Answer the case questions one by one in separate subsection with the question number clearly stated. DO NOT MERGE EVERYTHING into a big paragraph or essay. Marks will be deducted if answers to the case questions are not provided separately as required. Make full use of the information in the case and the model as a tool to help answer the questions. Assessment is based on how thorough the case analysis, whether the model has been appropriately used, and how relevant the answers to the case questions are.)

         (l) References (List the references used in the report in strict Harvard style.)

      (m) Appendices (Show all the calculations involved in making the recommendations.)

  • Use summary tables, charts, and figures where appropriate to aid your analysis and discussion. The figures and tables should be inserted in the sections and subsections immediately after they are mentioned instead of in the List of Figures and List of Tables.
  • All the Solver setup and calculation must be clearly shown in the appendices to the report. Use screen dumps of the spreadsheet or the Solver dialogue box to aid explanation where appropriate.
  • All references must be provided in strict Harvard style.
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