Logistics Strategy

LOGISTICS STRATEGY MODULE

ASSIGNMENT: ESTABLISHING A HOME DELIVERY SERVICE

FOR A HOME FURNISHING RETAILER

ASSIGNMENT BRIEF

Home Delivery services have witnessed enormous growth in recent years, bringing with it both opportunities and challenges to companies offering such services.

Companies have had to review their logistics strategies to take into account this growing trend and, as the demand for home deliveries continues to increase, they are focusing greater attention on improving the performance of their delivery services whilst at the same time striving to make this aspect of their business more cost efficient.

ASSIGNMENT TASKS

1 The Growth of Home Delivery Services (20 marks)

Undertake some research to assess the level of growth that has been experienced in Home Delivery services, generally (i.e. not just the home furnishing sector). Assess what have been the underlying factors in generating this growth and indicate which sectors have tended to develop this service.

2 Developing a Home Delivery Service for a Home Furnishing Retailer (35 marks)

Assume you are the Logistics Director working for a large international Home Furnishing Retail chain (similar to IKEA)and your Company has decided to enter the UAE market in one years time when the construction of its Dubai based retail outlet and adjoining warehouse is completed.

You have been asked by the CEO to take responsibility for establishing the companys home delivery service within the UAE. Examine what factors, both operational and commercial, that the Company should consider before launching the service.

With regard to this assignment you would not be concerned about the inbound movement of goods from suppliers to the retail outlet. Your focus is on establishing an operation that will ensure orders received from customers can be delivered to their home address in an efficient manner.

3 The Cost of Failed Deliveries (25 marks)

What are the various cost elements associated with a failed delivery (i.e. a delivery which fails to reach the customer and / or is refused by the customer for whatever reason) and how can delivery performance be improved to reduce the likelihood of failed deliveries?
(20%)

Overall structure and clarity of the report (8 marks)
Conclusion and Recommendations (12 marks)

Assignment length, 3,500 words (do not exceed 3,700 words). Submit online. Submission date specified on Moodle.