Grocery Gateway Case Essay
Dominique Van Voorhis, the vice-president of industrial engineering and operations systems for Grocery Gateway has been asked to make recommendations aimed at improving delivery operations at the weekly management meeting in seven days. There he will need to present his new ideas to the CEO and COO of Grocery Gateway.
Dominique has already gathered the delivery time information as well as current average orders being placed. He’s been able to identify that it takes 15 minutes for set up, 30 minutes for stem time, 30 minutes to return to the centre and 15 minutes for close out. Also, 10 minutes were included to meet with the customer of whom almost half was to receive payment and unload. …show more content…
Dominique Van Voorhis, vice-president of industrial engineering and operations systems for Grocery Gateway, has been asked by the chief executive office and chief operating office to provide recommendation aimed at improving the delivery operations at the Downsview Ontario customer fulfillment centre.
Two key areas where improvements are needed are with Grocery Gateway’s delivery operations to achieve 4 stops per hour on area (SPHOA) and to reduce delivery windows to 30 minutes. The Downsview fulfillment centre is currently achieving only 2.7 SPHOA and the company offers a 90 minute delivery window.
Dominique also needs to consider the current business plan objectives when making his recommendations. A major objective of the plan is aggressive growth. Grocery Gateway has a target of 5,000 orders per day within 3 years. The Downsview centre currently achieves 1,500 orders per day.
Dominique has only 7 days to come up with a plan before he has to present his recommendations at the management meeting.
Grocery Gateways overall objective is to provide a high quality,