Introduction
Logistic is the process of planning , organization, and the management and to get details the control and the execution of the transport operation. In The P& G company this Implies the transport of manufactured product to the market and the raw material to the industry. The logistic that is in P&G is to create an economical transport system that also reduces emissions of CO2 in the atmosphere.
This company has more than 140 plants for manufacturing all over the world. Transport continues to be a major challenge to this company. Transport entail a transport of raw material to the company. And the transport of finished products to their consumer. The cost incurred in transport by this company is so much that it needs to cut them down. The other challenge is that they also need to cut down effluent of CO2 in the atmosphere.
The efficiency of this in cost is that they will reduce the cost of transport. Instead of using a track to transport of bulky materials they Use of trains and boats helps to cut on cost and also reduce carbon (IV) oxide level in the atmosphere. Making sure that the trucks are filled to capacity also reduces the number of tracks on the roads hence it reduces the cost of transport.
The Quality of goods is improved. Using the plane that is more fast goods reach consumers when they are still fresh. Using of truck that have refrigeration condition help store the product in cool dry place as they require to stay for long without getting worse. When transport is enhanced the quality of goods also follows. The perishable raw material reaches the manufacturing plant in time hence goods being process are of high quality(Aras, 2010 p.27).
Flexibility for transport is enhanced in that they are not over dependent in one channel of transport that is they are not over dependent on roads. Flexibility is also enhanced in that in places w3here roads cannot be accessed boats or the plains are used . Incase plane is unavailable due to their fixed timetable they can use the road which is always flexible.
Question b
P & G have set about 140 manufacturing plants in the world. It also has over 30,000 trucks which are specifically used to deliver goods and services to about 4 million consumers. It controls the complexity of the transport network that has big environmental and geographic footprint. The company has a plan to cut delivery miles, this is by moving freight from road to rail as well as inland shipping. The process of reducing waste has really put the company ahead of its competitors. All of this is by designing a more cost-effective and sustainable system of logistics. For example Tina which is a new approach to delivering fast moving goods across Europe has saved the company a lot of cash. The main aim of moving freight from road to rail reduce the amount of carbon produced in the environment.
This new project was launched in 2009. It has led to the redesigning of supply network from the shelf as well as working backgrounds. It has also led to distribution centers to be moved closer to the consumer. Goods this day are compacted in order to reduce the size of packaging and transport volumes. Use of trains and boats to transport goods has been proven to be more efficient than relying only on trucks. Lorries are now being packed efficiently than in the past. This is after the company discovered that trucks which are travelling from France to UK were mostly full of pallets. But they were only half full when it comes to vehicles carrying capacity. The new methods are cheaper and easily accessible than the current or old ones(Melrose 2006 p.59).
Works Cited
Aras, Güler, and David Crowther. Ngos and Social Responsibility. Bingley: Emerald, 2010. Print.
Melrose-Woodman, Jonquil E, and Ingrid Kverndal. Towards Social Responsibility: Company Codes of Ethics and Practice. London: British Institute of Management, 2006. Print.
