Case 102 Tv Gadgetry Tv Gadgetry Tvc Distributor Inexpensive Kitchen Tools Small Spm Promo Q28865016

CASE 10.2 TV Gadgetry TV Gadgetry (TVc)-a distributor of inexpensive kitchen tools and small spm that are promoted on late-night infomercials-is facing challenges in its DC o Compared to the previous month, both the numbers of orders and customer patn regarding service quality have increased dramatically in September. The companyinpain picking systems and paper-based order management methods seem to be affect mance, as is the heavy labor turnover occurring in the DC operat Dylan Larking, the company’s vice president of logistics is determined to source of these complaints. He asks the new intern, Connor McDavis, to coll evaluate a variety of KPls. McDavis jumps on the task and captures the informat to evaluate order fill rat These metrics, McDavis believes, will help him identify the real problems so that ch e, fulfillment accuracy, invoice accuracy, and on-time can be made. His effort generates the following data: SEPTEMBER 50,000 300,000 AUGUST 40,000 200,000 192,507 FULFILLMENT DATA Customer Orders Processed Units Ordered Units Shipped Correct Units Shipped Correct Customer Inwoices Orders Ready by Deadine Total Labor Hours Paid 247,385 46,310 49.188 2.000 39,124 38,791 1,500 After thanking McDavis for the collecting the data, Larking asks the intern to do three things: (a) Calculate relevant distribution KPls; (b) Compare the results to the TVG fulil ment goals; and (c) Identify the major problem areas and potential solutions. Get busy with this,” says Larking. “I want you to investigate the situation back to me on Monday” CASE QUESTIONS 1. Help McDavis with the analysis by calculating KPls for: (a) Unit fill rate (b) Fulfillment accuracy; (c) Document accuracy: (d) On-time dispatch; and (e) Productivity 2. Compare your KPls to the following TVG goals and comment on the problemareas KPI Unit Fill Rate Fulfillment Accuracy Document Accuracy On-Time Dispatch Productivity GOAL 95% 98% 99% 95% 135 units shipped per labor hour Show transcribed image text