Subject category:
Production and Operations Management
Published by:
Ivey Publishing
Version: 2001-09-20
Length: 6 pages
Data source: Field research
Abstract
As a manufacturer and distributor of agriculture equipment, as well as a broad range of construction and forestry equipment, Deere & Company had a lot riding on the smooth flow of its logistics function. FedEx Logistics provided out-sourced transportation services to 11 Deere facilities across North America. But with each of Deer''s individual business units responsible for its own logistics activities, and with each unit negotiating a separate service agreement with the FedEx facility, costs and services tended to differ across the units. Deere''s manager of logistics design asked a summer intern student to evaluate the company''s logistics agreement with FedEx, with a view to identifying opportunities for standardizing costs and services across the business units. The logistics manager is expecting a report containing details of each operation''s work flow and cost information, as well as some recommendations for updating Deere''s out-sourcing arrangements with FedEx Logistics.
About
Abstract
As a manufacturer and distributor of agriculture equipment, as well as a broad range of construction and forestry equipment, Deere & Company had a lot riding on the smooth flow of its logistics function. FedEx Logistics provided out-sourced transportation services to 11 Deere facilities across North America. But with each of Deer''s individual business units responsible for its own logistics activities, and with each unit negotiating a separate service agreement with the FedEx facility, costs and services tended to differ across the units. Deere''s manager of logistics design asked a summer intern student to evaluate the company''s logistics agreement with FedEx, with a view to identifying opportunities for standardizing costs and services across the business units. The logistics manager is expecting a report containing details of each operation''s work flow and cost information, as well as some recommendations for updating Deere''s out-sourcing arrangements with FedEx Logistics.