This supply chain case study is focusing on the Bitumen Cocoa organisation in Zaria Nigeria. In the past decades, numbers of products offered to the market have generally exploded. The cocoa product lifetime has decreased hugely. The combination of these two trends leads to increased inaccuracy of the demand uncertainty resulting the increase in inventory levels. However, the disadvantages of holding inventory have been increasingly recognised with the regard to impact this may have on supply chain responsiveness.
Bitumen Operations
In lean supply chain philosophy, inventory is regarded as one of the seven waste and therefore, it is considered as something to be reduced as much as possible (Womack and Jones, 1996). Interest …show more content…
The structure of events that currently adopt remains consistent with practice, however, this may be valuable to consider a substitute system event, where the manufacturer sets the general price before the dealers decide the constraints of the transshipment decision, and however, if the manufacturer has full control of the transshipment constraints, then the current result remains …show more content…
The main common subjects well-known are customer service matters and inventory management problems. However, the study makes known that the communication response of the bitumen cocoa factory to observe production problems in Nigeria can be drawn to a range of visible factors including location, identified problems, and cash constraint.
Moreover, through a keen understanding of the role of familiar associations to the supply chain, identification of suitable involvements becomes potential and understanding the facilities offered by the bitumen cocoa factory which helps to recognise the possible role of more operative cocoa organisation and this may increase productivity and clearness of the farm level of production.
In addition, despite the fact that linear programming has come to be accepted as a valuable aid in long period forecasting, many management difficulties are connected to the smaller time prospect in the field of development and inventory control. However, the long range development using linear programming provides a sound context and guide procedures for short range simulations. The importance of the model was validated by the valuation of new evaluations of cocoa, with a suggestion of the capability of the bitumen factory capacity to support certain volumes of cocoa