Logistics must be one of the most complex issues in the production process for any organization that is trying to expand into a greater marketplace.
Seeing how it involves a careful consideration of the existing resources, the careful evaluation of all possible transportation issues, the comparison of the costs for transportation and the self-cost of the product that is going to be transported, etc., one must admit that logistics must be addressed in the first place (Coyle, Langley, Novack & Gibson, 2009).
In many cases, logistics poses a complicated dilemma for the company leader to handle, as the case of Supreme Sound Explosion shows.
Despite the fact that the company is taking great risks with the production of Blasters, it is more reasonable to take chances and coordinate the logistics issues concerning the Woofers and Blasters supply so that the company could maintain its high status and attract such famous customers as The Rolling Stones and U2.
The idea of providing the customers that are famous all over the world with the sound system that does not comply with the existing standards of quality does not seem right, which is why the given idea cannot be considered as an option.
While with the help of diplomacy, a scandal with the rock stars can be avoided, the very fact that SSE has failed to provide the services of the required quality will definitely bring the SSE reputation down a few notches once the news reaches reporters.
With that being said, the logistics strategies should be reconsidered. Since the case study does not give any information concerning the SSE’s budget, it can be assumed that the company can afford any of the options. The basic problem is, therefore, that, to construct Tweeters, Woofers are also required and, therefore, the time spent on their assembly will increase.
With that being said, it is reasonable to resort to the transportation services that provide faster delivery. In other words, T2 and W1 options must be chosen so that the SSE Company could provide the customers with decent services.
It should be mentioned, though, that the W2 option might sound more reasonable, seeing how it includes a much shorter transit time, e., one day instead of two.
However, it should be kept in mind that the W1 option presupposes a weekly delivery, while the W2 option offers a delivery every other week (Langley et al., 2008, 447). Therefore, the SSE Company will be able not only to assemble the Tweeters faster, but also save on Woofers.
Therefore, it is clear that the company should definitely choose to deliver the sound system of the best quality possible to its customers. Since the dissatisfaction with the quality of the product is definitely going to have a much more negative impact on the company’s reputation than a delayed delivery of the product, it will be logical to pick the lesser evil.
In addition, the given choice will help the company reconsider its approach towards the logistics and find the method to solve the transportation issues once and for all.
After all, it is important to keep in mind that the company is going to expand and, therefore, will need to transport resources to even more remote corners of the United States. Therefore, it is clear that SSE cannot run away from the logistics issues forever and that the latter must be solved efficiently.
Reference List
Coyle, J. J., Langley, C. J., Novack, R. A., & Gibson, B. J. (2009). Supply chain management: A logistics perspective (9th ed.). Mason, OH: Cengage Learning.
Langley, C. J. et al. (2008). Supply chain management: A logistics perspective. Mason, OH: Cengage Learning.