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Case 9-2 C.H Robinson Worldwide Inc Paper
Case 9-2 C.H Robinson, Worldwide Inc,Paper
1.What are advantages and disadvantages of using Navisphere? Make sure that you dis- cuss this from the viewpoint of both customers and contract carrier
Many companies have developed services in logistics through IT enabled platforms such as cloud computing, etc. Cloud based systems are helping the customers and solution providers to dynamically respond to the daily requirements of the transporting industry.
Navisphere is an online platform that provides solutions to the logistics and transporting needs to stakeholders. Navisphere is an online platform promoted by a logistics service provider headquartered in the US. The cloud-based service provides various solutions to the transportation requirements. Advantages of the system are as follows.
Disadvantages are as follows
3.What type of companies are good targets (potential users) for Navisphere®? Make sure that you discuss specific characteristics of target customers such as size, industries to which they belong, technological capabilities, and geographic locations.
The Navisphere tool that helps the shippers to manage their supply chain is one of the popular cloud-based tools. The cloud-based platform is owned by CHR, a large third-party logistics provider. Because of the superior truckload services, rail connectivity and strategic support to the business houses across the globe, Navisphere can be used in the following industries.
The system is not very effective for less than truck load (LTL) cargo, which wouldn’t be very useful for customers who have smaller shipments, and their needs aren’t completely addressed within the system. This could cause the company to experience a loss in their customers who do not ship truck loads due to the fact that the system isn’t much tailored toward them.
Some of the advantages of Navisphere transportation include the following:
Freight view is perfect for those companies who are below Walmart size. These companies do not have products that would require full truck but still need a truck to fulfill orders, there is also peak time for example, Christmas. Where they might have more products to ship so they would need a TL instead of LTL.
If a company does not have the ability to obtain and maintain software this work perfectly for them since all they need is an internet connection to be able to access the browser. For those business that are locations not within reach of a transportation, this would be the way to get the products out to them.
The three Primary risks that must be addressed are: Shipment delays or loss due to hurricanes, piracy problems and Reduced packaging and biodegradable packing materials. The product being shipped is high value, somewhat fragile, and susceptible to theft, therefore measures taken in each of these categories should be the highest priority.
The weather is an element that cannot be controlled, therefore dynamic re-routing tools must be in place to avoid poor weather. Ensuring that adequate packing and protective packaging is used to minimize chances of product being damaged by weather or temperature issues. Security measures must include strategic routing, to avoid pirate hot spots, generic packaging and descriptions, and cargo tracking technology to minimize any possibilities of theft.
To mitigate each of the three risks identified I recommend that YAP develop and implement a risk management strategy that includes vetting all carriers in the areas of their business, including their record and model, personnel training, accident or incident reports, service usage, documentation process and procedures for accuracy, contract terms, risk management, cargo management, and supply chain handling procedures, security measures and practices, including types containers used, shipment logistic planning practices, and technological capabilities for the routing, tracking and security of packages from pick-up to delivery.
Novack, R. A., Gibson, B. J., Suzuki, Y., & Coyle, J. J. (2019). Transportation: a global supply chain perspective(9th ed.). Boston: Cengage Learning.
Based on my answer in Question 1, the three primary risks that I believe YAP must address are:
I choose these three primary risks because they represent major risks to YAP based on their probability of happening and the impact they will have on the company. Late or incomplete shipment will cause their retailers to penalize them with fines. Piracy reduces the ability of shipping companies to trade by sea. A product that is kept at adequate temperature during transport can be quickly compromised if it sits in the sun on a loading dock upon arrival.
First of all, YAP must regularly review and update risk management plans. Due to the fact that risks are not static, it is imperative for YAP to regularly re-evaluate the probability and expected impact of risks. This will help the organization evaluate whether its previously selected plans are still appropriate and effective.
If YAP is affected by piracy, they may cover their losses by raising the cost of their transport services. To solve the temperature-sensitive issues, products require to be shipped with a system that will control temperature through the entire packaging and shipping process, not just during transport.
Because risk management and mitigation plans are not perfect. Testing, experience, and actual disruptions will need action plan changes and developments to better deal with the risks being encountered. The goal of the risk review stage is to determine a repeatable, measurable, verifiable validation process that can be run from time to time to continually verify the organization’s ability to manage risk.
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