What did LEGO Learn from its European Production and Distribution Outsourcing Experience?

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SKU: Repo858323 Category:

LEGO understood its own process and structures

Great knowledge comes from company failure

 

Assessment Context

This assessment is a continuation of assessment 3. The vice president of operations and supply chain management at LEGO has provided feedback to your assessment 3 paper. Your boss now wants you to learn from the key challenges LEGO experienced when outsourcing production and distribution to Flextronics and DHL in Europe to help ensure that the Chinese production and distribution investments planned will be a supply chain success story. He/she wants to ensure that the supply chain management lessons learned from Europe are included in the training program.

 

Assessment Task

Your manager has requested that you write a report to be used as part of the training material. The report must respond to the questions listed below.

Your task is to write a report responding to your manager’s request.

The report must answer the following questions:

1.Identify and briefly discuss the key challenges LEGO experienced when outsourcing production and distribution to Flextronics and DHL in Europe. Was it a success? Why / why not?

 

2.What did LEGO learn from its European production and distribution outsourcing experience?

 

3.Recommend how this learning can be applied to its expansion into China and Asia or are the challenges different?

 

4.Explain why LEGO is investing in production and distribution centres in China and how it plans to go about it.

 

5.What supply chain management concepts, methods and techniques do you recommend that LEGO apply to configure its new production and distribution centres in China from perspectives of (i) network planning, (ii) procurement and supply, (iii) distribution within Asia and (iv) collaboration with retailers?

 

Assessment Criteria

Your report will be assessed according to the following criteria.

Your report analysis, recommendations and presentation must demonstrate:

  • Thorough understanding of relevant supply chain management concepts, principles, theories, tools and models in regards to the case study and the questions.

 

  • Appropriate and well structured, concise and clear expression of supply chain management arguments.

 

  • Clear flow of thought throughout the paper with a clear and succinct purpose described in the introduction and a clear and succinct conclusion.

 
 

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