Best Practices in Logistics and Supply Chain Management
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1 Best Practices in Logistics and Supply Chain Management The Case of Poland Edited by Krzysztof Rutkowski \ WARSAW SCHOOL OF ECONOMICS OFICYNAWYDAWNICZA WARSAW 2009
2 CONTENTS About Department of Logistics atwse 11 About the Authors 13 Preface 15 Acknowledgments, 21 CHAPTER 1 The best practices in business between the hammer of economic demands and the anvil of corporate social responsibility 23 l.the essence of^the phenomenon of best practices in business Stakeholders and their influence on the perception of the best practices The social responsibility of business and the best practices The best practices in light of the theory of sustainable development and the Triple Bottom Line concept The best practices in logistics and supply chain management in light of selected research of an international scale Prologis MIT Supply Chain AMR BestLog Project The best practices - The Holy Grail of contemporary business? 59 CHAPTER2 Transferring Best Practices - one solution fits all? 61 Richard Cuthbertson, Wojciech Piotrowicz 1. Introduction Methodology Transferability limitations (STEEP) Social 65
3 6 CONTENTS Technological Economic Environmental Political Process and product differences Summary 69 CHAPTER 3 Reconfiguration of supply chain structure to increase the role of railway transport. Best Practice Case of IKEA and COM.40/Correct 71 Barbara Ocicka 1. General description of company and sector History IKEA on the global arena The Polish furniture sector IKEA in Poland Products Porter's 5 forces analysis Business strategy of IKEA SWOT analysis Supply chain management Supply chain structure Transport Sourcing Distribution Logistics customer service Need forecasting Outsourcing and evaluation of logistics processes Reconfiguration of the supply chain structure - Best Practice presentation Challenge to IKEA - supply chain restructuring Project implementation COM.40 and Correct - leaders of the Best Practice project Choice of project partners Best Practice nature Procedure of a new supplier inclusion Role of the Best Practice for realisation of the IKEA business strategy 94
4 CONTENTS Best Practice effects Economic benefits Environmental and social benefits Best Practice transferability Summary 99 CHAPTER 4 The influence of product development on warehousing and transport efficiency. Best Practice Case of BSH Sprzet Gospodarstwa Domowego Sp. z o.o 101 Barbara Ocicka 1. General information about the company and its sector Bosch und Siemens Hausgerate GmbH on the global market Business strategy of BSH Strategic analysis of the company's business sector Household appliances in Poland - industry profile BSH activities in Poland Global supply chain management BSH supply chain concept Purchasing Warehousing and transport Production and assembly Distribution Best Practice presentation General information about the clothes dryers'factory in Lodz Purchasing Production and assembly Warehousing and internal transport Distribution The influence of product development on warehousing and transport efficiency Warehousing efficiency Transport efficiency Effects of the Best Practice implementation Best Practice transferability Summary 130
5 8 CONTENTS CHAPTERS Pooling impact on efficiency of logistics processes. Best business practice of FM Logistic 131 Katarzyna Gapska 1. Company profile FM at a glance Services offered The company's potential Quality and company values Customer satisfaction Best Practice presentation Scope and significance of Best Practice Best Practice implementation The Best Practice evaluation according to adopted criteria Business criteria: effectiveness and process development Non-business criteria: ecology and social responsibility Best Practice transferability assessment Possibilities of continuous improvement of Best Practice Summary 153 CHAPTER 6 Multidemensional Benefits of a Logistics Network Transformation. Case Study ofdb Schenker in Poland 155 Rafai Tarasewicz 1. Profile of the company DB Schenker at a glance Competitive position in Poland Services offered Values and relationships Company's potential Quality and long-term development Customer satisfaction Employee care Presentation of the Best Practice The Best Practice characteristics Implementation of the Best Practice The Best Practice evaluation according to adopted criteria Business criteria: effectiveness and process development Non-business criteria: ecology and social responsibility 176
6 CONTENTS Environmental criteria Social responsibility Transferability of the implemented solution Possibility to continuously improve the Best Practice Summary 182 APPENDIX A Investment attractiveness - why Poland? Investment attractiveness of Poland Main factors influencing investment attractiveness of Poland Territory, location, and population Strong economy Large domestic market EU membership Foreign trade Labour skills and costs CEE and Poland as low-cost sourcing and manufacturing countries APPENDIX B Developments in logistics, transportation and warehouse markets in CEE countries. The anatomy of Poland Where do CEE countries come from? Where are they going? The old system. Where do we come from? The new system. Where are we going? Transport system in Poland General remarks Road transport Poland's rail network River and sea transport Air transport Warehouse market 218 References 225
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