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ExamPaper_Supply Chain Network Design_2013
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Exam Supply Chain Network Design (EBM040A05)October 29, 2013
Questions 1,2,3,4,5: 75 credits
Your name and student number:
Exercise 1 Supply Chain Network Design for a beer brewer (25 credits)
A beer brewer within the Netherlands produces bottles of organic beer. A supplier of bottles
delivers each week sufficient bottles to the brewer. Hops and grain are supplied from another
supplier, who has direct contact with some farmers who deliver high quantity organic raw
materials. The bottles filled with organic beer are directly transshipped from the brewer to a
distribution centre by a third party logistics provider. From the distribution centre the bottles
are delivered by this third party logistics provider to some restaurants and retailers, where
customers can buy the beer. Each week the brewer electronically submits to the third party
logistics provider a request for trucks required to handle all transportation requests. Customers
can return the empty bottles to the retailers. Both the retailers and restaurants make sure that
their empty bottles are returned with one of the arriving trucks. At the distribution centre the
empty bottles are cleaned and thereafter transshipped by the third party logistics provider to
the supplier of bottles to be re-used. An EDI system is used for communication between the
brewer and its suppliers, between the brewer and the retailers and restaurants and between the
distribution centre and the retailers and restaurants.
The beer brewer is considering expansion to Belgium and Luxemburg in 2014. Total demand
and demand patterns in Belgium and Luxemburg will presumably follow those of The
Netherlands closely (apart from population size of course). The beer brewer is considering
what additional production capacity is required to also handle the demand of Belgium and
Luxemburg. The current suppliers will not be able to deliver more raw materials and as a
result new suppliers of raw materials need to be selected for these new markets. Also a third
party logistics service provider (3PL) needs to be contracted. The current one might be used
but the company would like to consider alternative options as well. The company asks for
your advice on the best third party logistics provider, the best opening hours for the factory,
the best suppliers and an estimate of the delivery speed to be promised to customers.
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