Plan of action Sveiby AB

Document
Namen

: Plan of action
: Danny Kortland
Roy v/d Ven
Vincent v/d Berghe
Oktay Ozer
Sutrilastyo
Radinal Wibisono

Group
Company name
Projectcode
Project supervisor
Version
Date
Place

: 10
: Sveiby AB
: ILEPJT31
: Mr. Steendam
: 2.0
: March 12th
: Academieplein, Rotterdam

0860234
0863316
0851896
0867091
0905218
0905217

Table of contents
1. Content of the project........................................................................................ 3
1.1. Background of the project and client...........................................................3
1.3. Problem description..................................................................................... 3
1.4. Research question........................................................................................ 4
1.5. Sub questions............................................................................................... 4
1.6. Objective...................................................................................................... 5
1.7. Products....................................................................................................... 5
1.8. Project boundaries and precenditions..........................................................6
2. Project activity and planning..............................................................................7
2.1. Project Activity............................................................................................. 7
2.2. Project Planning........................................................................................... 9
3. Load balancing................................................................................................. 10
3.1. Cast............................................................................................................ 10
3.2. Projectmembers......................................................................................... 10
4. Projectorganisation and risks...........................................................................11
4.1. Risks........................................................................................................... 11
4.2. Time collaboration...................................................................................... 11
Appendix.............................................................................................................. 12

1. Content of the project

This chapter describes the contents of the project will be displayed.
1.1. Background of the project and client
Sveiby AB is a manufacturer of wood furniture. The company has started producing simple furniture
such as chairs and tables. Later it began to specialize in the production of furniture for shipping. The
company is based in Frila (this is located about 350 kilometers north of Stockholm).
Over the years, the range of Sveiby AB expanded to four different types of furniture. These are
especially suitable for installation vessels. The products are sold throughout Europe. Sveiby AB
representative of their products in several European countries:
Jansen BV (The Netherlands);
Stobart Ltd. (Great Britain);
Richter Gmbh (Germany);
F.C. BM (France).
As employees of Rotterdam University Consultancy (HRC) we specialize in researching the logistics
chain. The staff of the Hogeschool Rotterdam Consultancy has been asked to investigate the long lead
times and high transport costs and to report an opinion.
1.2. Project Assignment
As employees of Rotterdam University Consultancy is asked to investigate the long lead times and
high transport costs. It should be investigated whether there is no other way so that end users in 90%
of orders within 72 hours of their products in house.
Alternative solutions will be given on:
- Service Levels;
- Shipping Cost;
- Inventory costs;
- Handling costs;
- Storage costs.
These are elaborated in a spreadsheet. Eventually, all possible solutions are included in a final report
including the costs and benefits of each alternative.
1.3. Problem description
The delivery times to the end users and representatives are much too long. The end users are quite
dissatisfied about this. The reason for these long delivery times is based on the low stocks that are
maintained, or indeed items not being in stock at all. Large stocks are not maintained for representatives;
the financial situation does not allow this. Representatives can only place an order with Sveiby AB once a
customer order is received. This way of ordering significantly extends the delivery time to customers. In
addition, transport time is also an uncertain factor. In winter, particularly, delivery times can therefore be as
long as 14 days.
Transport costs are very high. There are two reasons for this. First, transport costs are very high because
the various representatives are only supplied 1 to 2 loading meters (LM) at a time. A loading meter is one
meter of the loading length of the truck, with a maximum height of 2.60m (internal height of a truck).
Freight is paid based on loading meters. This means that there can be two europallets in one loading
meter, 5 europallets in two loading meters and 7 europallets in three loading meters. If 2.1 pallets in
volume are delivered, this is transported on 3 pallets, with payment being made for two loading meters.
Below is a table with the price per loading meter (LM).
A second reason for the high cost of transport is that Sveiby AB, in Frila, is located about 350 kilometres
north of Stockholm. This means that Frila is a location from which it is difficult to organise transport. So
forwarders must detour many kilometres in order to take on freight. Whenever a truck passes the factory,
the driver stops to ask if there are any goods that he should take on. Although this does allow a higher
load factor for the forwarder, the load per shipment of Sveiby AB is very small, that is to say 1 to 2 loading
meters.

This prompted Sveiby AB to have a team of logistics advisers (the project group) investigate to determine
whether there may be an optional method, so that the end users of 90% of the orders would receive their
deliveries within 72 hours. Of course earlier delivery is also possible.
1.4. Research question
With what advice, that can be realized within 8 weeks, Can Sveiby AB its logistics processes,
improvements in the distribution process and shorten delivery times optimize so that 90% of orders
within 72 hours will be delivered to the end user, taking into account handling, transportation and
inventory costs?

1.5. Sub questions

Current situation:
Warehouse
1. Which factors play a role in the current delivery times?
2. What is the current service level?
3. What can be said about the sustainability?
4. What are the current storage and handling costs?
Stock
1. What are the current inventory costs?
2. Is there A, B and C product? If so, what products / items are fast runners and what are the slow
runners in the range of Sveiby AB?
3. What are the product characteristics?
4. What are the current input costs per representative?
5. What is the products characteristic based on packing density and density value?
6. Which factor has the biggest effect in the optimization of inventory cost
Transport
1. How is the current distribution network in the current situation?
2. What is the current distribution look like?
3. Is there a European distribution in the current situation? If so, what kind of European distribution is
involved here?
4. What methods are used and what are the current costs of transporting Sveiby AB to
representatives?
New situation:
Warehouse
1. What requirements are there to be drawn to the new warehouse?
2. How do the new requirements with respect to the delivery time?
3. What requirements must meet the activities within the warehouse to minimize the delivery time?
4. What is the ideal location for a DC in Europe?
5. What is the optimal balance between inventory costs, warehousing costs and transportation costs?
Stock
1. What requirements must meet the stock to minimize inventory, storage and handling costs?
2. What is the ideal inventory model?
3. What is the growth in sales and marketing?
Transport
1. What requirements must meet the new distribution structure?
2. What are the potential distribution structures?
3. Which distribution alternatives are offered in the new situation?
4. What are the costs and benefits for each distribution alternative?
5. What is EDL?
6. What does the shift from EDL do in the new situation?

7. What possibilities does the European distribution?

8. How does the role of automation in the new situation?
1.6. Objective
Sveiby AB wants customers to be more satisfied with the goods and services of the company. They
want the end users at 90% of orders within 72 hours of their products in house.
Sveiby for AB this is the reason to Rotterdam University Consultancy (HRC) in rent and to investigate
whether it is feasible.
1.7. Products
For this project, the following must be submitted;
Plan of action
This plan is clearly indicated what is the reason for the research, the problem, the objectives and what
steps are being taken to achieve the objectives. In addition, there is described when these steps are
taken and which products must be delivered.
EDL Literature
The purpose of this literature review is to gain more knowledge about European Distribution so that it
can be described in the report. The report should indicate what the shift ELC menas and also explain
what platform logistics means and the role of automation and telematics. This literature review is
included as an appendix in the interim report.
German Letter
Through German letter, information is sought from the German wholesale. Which asks why Sveiby AB
holds little stock and the level of service is therefore quite low.
Between Report
In this interim report indicates what is the progress. The current situation is calculated in Excel and is
underpinned identifies three distribution alternatives will be developed further. They are supported by
the literature on EDL
Final Report and Working Model
This report covers the results of the study for the management of Sveiby AB. The report should be
brief and be businesslike and should cover the whole project. The working model is handed on @
tschool and put in a CD with the final report.
Individual Defense
These individual oral defense will take place in week 8. There will be understanding questions related
to the report and the Excel model.
Evaluation
This project will conclude with a process report. This report will be evaluated during the last meeting in
week 10. In the process of report items are discussed, such as: the work, cooperation, guidance and
their own actions and those of other project members.
Below is a list of the products to be delivered on the following dates and at the designated teacher.

1.7.1. Submission dates

See the table below for dates of handing in assignments. The deadline for handing in assignments is
considered to be Friday by 23:59 at the latest. All products to be handed in must be handed in via
N@tschool. A separate work room at N@tschool will be created for each group.
Hand in on

Product

Back on

Thursday week 2

Action plan

Wednesday week
3

Thursday week 2

Send German letter to Mr R.

Holdermans

Wednesday week
3

Thursday week 4

Interim
model

Excel

Wednesday week
5

Thursday week 8

Final report including Excel model

Wednesday week
9

Wednesday week 9

Oral defence

Wednesday week
9

Week 10

Repair

Week 10

report

including

Week 6
Week 7

1.8. Project boundaries and precenditions

1.8.1. Project boundaries
The project group will focus on the drafting of the report and Excel model for Sveiby AB. In this report
will be looked at the physical distribution process in the Netherlands, Germany, France and Great
Britian. The process is of the finished product to the end user.
1.8.2. Preconditions
The end result must establish the criteria of school and client. Also, we will be look strictly to the
grammar of the report, this have to be in the right condition.
There should be enough computers available with internet function to search for needed information.
We will keep us all the rules, needs, requirements and standards established by our employer. We
treat others as you would want to be treated yourself. Respect for norms and values is key.
During this project we will use external sources, such as: Internet, articles and books. These will be
detailed with reference to the APA rules
When a project member cant do his work for a bad reason, this should not affect the work that will be
delivered. The work will be divided over the other members.

2. Project activity and planning

2.1. Project Activity

Action Plan
Subject

Person in Charge

Start Date

1. Content
1.1. Project Background
1.2. Client
1.3. Project Assigment
1.4. Problem Description
1.5. Research Question
1.5.1. Subquestion
1.6. Objectives
1.7. Product
1.8. Project Boundaries and
Precondition
2. Project Activity and Planning
3. Load Balancing
4. Project and Risk

Danny Kortland
Danny Kortland
Danny Kortland
Vincent van den Berghe
Vincent van den Berghe
Radinal Wibisono
Sutrilastyo
Danny Kortland
Oktay Ozer
Oktay Ozer
Radinal Wibisono
Danny Kortland
Roy van de ven

Deadline

End Date

11-Feb-15
11-Feb-15
11-Feb-15
11-Feb-15
11-Feb-15
11-Feb-15
11-Feb-15
11-Feb-15
11-Feb-15

19-Feb-15
19-Feb-15
19-Feb-15
19-Feb-15
19-Feb-15
19-Feb-15
19-Feb-15
19-Feb-15
19-Feb-15

20-Feb-15
20-Feb-15
20-Feb-15
20-Feb-15
20-Feb-15
20-Feb-15
20-Feb-15
20-Feb-15
20-Feb-15

11-Feb-15
11-Feb-15
11-Feb-15
11-Feb-15

19-Feb-15
19-Feb-15
19-Feb-15
19-Feb-15

20-Feb-15
20-Feb-15
20-Feb-15
20-Feb-15

German Letter
Subject
Letter

Person in Charge

Start Date

Vincent van den Berghe

Deadline

11-Feb-15

19-Feb-15

End Date
20-Feb-15

EDL Literature Study

Subject

Person in Charge

Reference Search
EDL Definition
Change from EDL to ELC
Logistics Platform Definition
Role of Automation and Telematics
Cross Chain Control System Case Study

Everyone
Everyone
Everyone
Everyone
Everyone
Everyone

Start Date

Deadline

End Date

11-Feb-15
20-Feb-15
20-Feb-15
20-Feb-15
20-Feb-15
20-Feb-15

19-Feb-15
5-Mar-15
5-Mar-15
5-Mar-15
5-Mar-15
5-Mar-15

20-Feb-15
06-Mar-15
06-Mar-15
06-Mar-15
06-Mar-15
06-Mar-15

Interim Report
Subject
Current Situation
Suggestion
Suggestion 1
Suggestion 2
Suggestion 3

Person in Charge
Sutrilastyo
Danny Kortland
Vincent van den Berghe
Roy van de ven
Oktay Ozer

Start Date
04-Mar-15
04-Mar-15
04-Mar-15
04-Mar-15
04-Mar-15

Deadline
12-Mar-15
12-Mar-15
12-Mar-15
12-Mar-15
12-Mar-15

End Date
13-Mar-15
13-Mar-15
13-Mar-15
13-Mar-15
13-Mar-15

End Report
Subject
Executive Summary
Foreword
Introduction
Current Situation
New Situation
Conclusion and Recomendation
Acknowledgements
Appendix

Person in Charge

Start Date

Deadline

End Date

Oktay Ozer
Danny Kortland
Sutrilastyo
Radinal Wibisono
Vincent van den Berghe
Roy van de ven
Radinal Wibisono
Roy van de ven

04-Mar-15
04-Mar-15
04-Mar-15
04-Mar-15
04-Mar-15
04-Mar-15
04-Mar-15
04-Mar-15

02-Apr-15
02-Apr-15
02-Apr-15
02-Apr-15
02-Apr-15
02-Apr-15
02-Apr-15
02-Apr-15

03-Apr-15
03-Apr-15
03-Apr-15
03-Apr-15
03-Apr-15
03-Apr-15
03-Apr-15
03-Apr-15

Excel Model
Subject
Current Situation
New Situation

Person in Charge

Start Date

Everyone
Everyone

Deadline

04-Mar-15
04-Mar-15

12-Mar-15
02-Apr-15

End Date
13-Mar-15
3-apr-15

Defence and Evaluation

Subject
Individual Defence Preparation
Evaluation

Person in Charge
Everyone
Everyone

Start Date
04-Mar-15
15-Apr-15

Deadline
02-Apr-15
23-Apr-15

End Date
03-Apr-15
24-Apr-15

2.2. Project Planning

Week

Action Plan

German Letter

Interim Report
and Excel
Model

End Report and

Excel Model

Defend

Evaluation

1
0

1
1

3. Load balancing
3.1. Cast

Project leader: Danny Kortland

Archivist: Oktay Ozer
Roles of chairman and secretary vary by week. The next table will show who is the chairman or
secretary in which week.
Week
1
2
3
4
5
6
7
8

Chairman
Steendam
Vincent v/d Berghe
Oktay Ozer
Danny Kortland
Roy v/d Ven
Sutrilastyo
Radinal Wibisono
Vincent v/d Berghe

3.2. Projectmembers
Naam
Studentnummer

Secretary
Oktay Ozer
Danny Kortland
Roy v/d Ven
Sutrilastyo
Radinal Wibisono
Vincent v/d Berghe
Oktay Ozer

Telefoonnummer

Functie

E-mailadres

0851896

0614207449

Project member

vincentvdberghe@outlook.com

Oktay Ozer

0867091

0648146116

Project member

oktay259@hotmail.com

Sutrilastyo

0905218

0685015229

Project member

sutrilastyo@gmail.com

Danny Kortland

0860234

0614910967

Projectleader

dannykortland@gmail.com

Radinal Wibisono

0905217

0639370068

Project member

radinalwibi@yahoo.co.id

Roy van de Ven

0863316

0621273790

Project member

royvandeven14@hotmail.com

Vincent
Berghe

van

den

4. Project organization and risks

4.1. Risks
The project is linked to a number of risks, the most common risks are described below with the result.
A project member stops training.
Result: The tasks are divided among the other project members.
A project member is sick.
Consequence: the unfinished work is overtaken by the person, prolonged illness the work is taken
over by the other project members.
Absence of a project member.
Result: work is overtaken by the person.
Problems with making certain project assignments.
Consequence: help ask questions about the project members or advice during a meeting.
Discussion on distribution over who should make.
Consequence: consultation with all project members about why the person does not agree with it, this
happens in the group discussion or during the group meeting with the teacher.
Discussion on substantive issues within the project.
Consequence: consultation between all project members about the problem during the group
discussion or during the group meeting.
A project member has too many tasks undertaken.
Result: another team member helps if possible one that has too many tasks, so the job is coming on
time.
4.2. Time collaboration
Every Wednesday is being done at school in the project of 11:20 to 13:30 and 14:00 to 16:00.
When working on the project are first searched computers to perform the work. Every Wednesday at
13:30 to 14:00 there is a meeting scheduled with Mr. Steendam, so any questions and / or issues can
be solved.
The minutes of the meeting must be put within 24 hours after the meeting on N@tschool, and the
agenda must be posted at least 24 hours before the meeting at N@tschool. Everyone within the
project must bring the agenda for the meeting. If there is still work to be done, that were planned within
a given week, you have to work for this after school to complete the work or it can be completed at
home.
Each participant of the project is responsible for the end result and should show maximum effort
during the work occasions. Anyone have input into the decisions that are taken, the project manager is
the one who takes the final decision when no decision can be taken. The project manager ensures
that there is a good communication between the group.

Appendix
Cooperation contract
Members:
Oktay Ozer
0867091
oktay259@hotmail.com

Vincent van den Berghe

0851896
Vincentvdberghe@outlook.com

Danny Kortland
0860234
dannykortland@gmail.com

Roy van de Ven

0863316
royvandeven14@hotmail.com

Sutrilastyo
0905218
sutrilastyo@gmail.com

Radinal Wibisono
0905217
radinalwibi@yahoo.co.id

By signing this contract we declare:

1. Planning
1.1
1.2
1.3
1.4
1.5

Each member must be on time at scheduled meetings.

In case of illness or incapacity timely reporting to the project manager. 2 hours before the
agreed time.
All the work should be handed before the deadline (the deadline is a week in advance and
mailed to the project group)
Each Member in a timely manner should report this to the project leader.
The plan must be clear and honest are divided.

3. Quality
3.1
3.2

All appointments and activities should be typed.

The work must be looked clearly and well-structured to see.

4. Information

4.1 All information is posted on dropbox, which is available for the project members.
4.2

Altering the schedule is everyone temporarily informed by the project .

During self- planned meetings and formal meetings keeps the secretary that changes every
week all information in the minutes
5. Organisation
5.1
5.2
5.3
5.4
5.5

Self Scheduled meetings take place on weekdays , depending on workload . During meeting
evaluated is made work. Formal meetings are held on Tuesdays.
All tasks are divided in groups.
All decisions are made in groups.
Each member serves to substantiate the criticism with clear arguments.
With little or no commitment of members, the client will be notified.

6. Communication
6.1
6.2
6.3

The Project members check their e-mail several times a day

The project members always give each other feedback in digital form
Project members are willing to schedule their day to focus on the project when it is needed.

7. Penalties
At non-compliance with the above arrangements can be applied the following penalites there by the
other group members:
Yellow card. Failure to comply with the agreements without good reason. Two yellow cards is a red
card. Red card means removing from the project group. Yellow cars can be shelved by extra work to
do for the project group.

Rotterdam, 19 February 2015

Oktay Ozer

Vincent van den Berghe

Danny Kortland

Roy van der Ven

Sutrilastyo

Radinal Wibisono