SC407F - Sourcing and Supplier Management Market Analysis Assignment

Assignment Task :

OBJECTIVE: 

The objective of this individual report is to allow you to apply the concepts covered in class to a real- case company which operates in the Electronic Industry and speciliazes in the manufacturing of RFID cards, tickes and Terminals such as GEMALTO. Armed with the consultant file, you need to conduct a spend analysis and help the company set saving target for each different category of Kraljick Matrix. Then, detail an action plan using concepts and tactics covered in class. 

What you are required to do for this work is :

• To provide an introduction : context for the analysis, reasons behind your analysis. Consider yourself a consultant who will offer some fresh insights to the company and save her millions. You should highlit why a reader of this section needs to continue reading the rest of the report. In other words, you need to provide a catching hook for the potential readers. You can finish by providing possible results and the structure of the work. 

• An analysis of the spending of the company to know what are the products it buys that are hard to source and affect directly the competitive advantage of the firm. Who are the suppliers the company works with. How much value of purchases suppliers get. Which purhcases represent the top 10 in value, in quantity. The possibilities are endless. You need to show proficiency in excel or any other data visualization software. Show creativity and use only clean graphs. Please note, do not put screenshots from excel in the report, paste only clear graphs. Tables can be added to the appendix of the report. Finally, the results of this analysis will be used to draw the Kraljic Matrix. 

• Choice of the categories: After analysing the spend and inputing the data in the excel file supplied to you (sheet name = spend analysis), you will need to use the bubble-chart (sheet name= opportunity analysis chart) to identify 4 different categories of product you will discuss in the rest of the report. You will have to justify your choice. 

• A market analysis Based on the identified item in the previous section will allow you to asses the supply conditions of A item. You need to back your analysis with solid arguments and data. You may find the two website of Beroe and Thomasnet very helpful in this section. You need to use the concepts seen in class to perform this analysis. You need to demonstrate and discuss at length the following points: Complexity of the item, number of suppliers, length and complexity of the supply chain, criticality of the item in terms of core business process, ability of current supplier, lead time for delivery, etc. You must use the different tools covered in class to strengthen your analysis by apply 5 Forces of Porter Model, Cost Break-down, Value Chain, SWOT or TOWS, 5 forces of porter and to a have better understanding of the Supply Market.(Read chapter 2 : category management). 

• A portfolio analysis: this analysis is the conclusion of the first part of the report. It should position your four items in the portfolio matrix. Of course, it is mandatory to present arguments explaining why you have positioned your product in that quadrant. Based on your analysis and the position of the category, you need to set objectives that you need to reach in terms of cost savings, improved purchasing that you will subsequently highlight in your new sourcing strategy. 

• After that, you need to clearly discuss and explain your new sourcing strategy what will be the encompass the tactics to put in place in order to manage this category and meet the objective set before.To do so, you need to fill in the excel file (sheet name= Opportunity analysis) where you detail for each category (tactical acquisition = Non-critical items, Tactical profit = Leverage items, Strategic Security = Critical Items and Strategic Critical = Strategic items), the actions and tactics you will put in place to reach the global saving target. 

• Once the portfolio analysis conducted, and strategy defined, you will come back to your report to detail for each Category the action plan to put in place. Here, I leave the room open for student to be creative with the tools and concepts they will apply. You will be evaluated based on the coherence, logic, and fit with the objective of sourcing (Portfolio analysis), the strategy, and the level of savings targeted (in value, difficulty, and time to deliver). You are encouraged to include solutions covering different topics from cost modelling chapter, negotiation, selection, SRM. 

• Based on the findings of your analysis, draw your conclusions and recommendations. 

REPORT: 

Your report, which will give the main highlights of your analysis, must be brief and synthetic as you are allowed to write no more than 3800 words +/- 10% (appendices not included). You must submit in addition to your report the excel file of the consultant that includes the spend analysis and opportunity analysis. You must also put any table used in the appendices. An electronic version of the report is to be submitted on Turnitin by Sunday 26th of April 2020 at 23h59. Groups which are not respecting the deadlines will be penalized. No excuses will be accepted, to avoid any issues with the submission, try to do it at least 3 hours before the deadline. 

DATA SOURCES AND METHODOLOGY: 

This project will be time-consuming, therefore we advice you to start gathering information now about the firm you want to analyse. As the firm you are choosing is publicly trated, much information about its purchasing strategy and supplier relationship practices are going to be available