LOGISTICS AND

SUPPLY CHAIN Vincent Paul W

MANAMGEMENT: AN
Valera Jr. – 126889

ANALYSIS ON Lecturer: Dr. Chris

Riley

CARDINALE’S
CHOCOLATE BUSINESS
 On the basis that all sales are now being made either through the shop or online through Amazon,
construct a diagram that captures all phases of the Cardinale Chocolates Supply Chain.

The Cardinale’s chocolate is composed of butter, milk, sugar and cocoa. These are the raw materials
or key ingredients that they need in order to produce chocolates. In order to obtain these materials,
there is a series of steps that are chained and linked to one another.

Their business would be composed of multiple suppliers from different farms, each having a distinct
roles to play but everyone achieving similar goals. The transportation services, warehouses, retailers
and the consumers themselves are all part of the supply chain (Jain et al., 2010).

Figure 1 - Supply Chain for Cardinale’s Chocolate Business

SUPPLY CHAIN: CARDINALE’S CHOCOLATE BUSINESS

1.) Raw materials 2.) Raw materials 3.) Raw materials 4.) Factory makes
are harvested are put in are then cocoa, milk, butter
from farms. packaging for transported. and sugar products.
transportation.

5.) Raw materials 6.) Manufacturing and 7.) Customers

are then Packaging of Chocolate
transported.

Looking at the supply chain of the Cardinale’s chocolate business (figure 1), it all starts from the
supplier (farms). The raw materials are then transported to factories to be manufactured. After this,
these products are transported to Cardinale’s shop. Once they have received their supplies, this is
 where the manufacturing and packaging happens before they eventually distribute it to their
customers.

Due to the absence of third party stores, the products are simply sold from the same location owned
by the Cardinales. However, this would not be the case if they were to utilize Amazon.

SUPPLY CHAIN with AMAZON

Amazon
Freight Delivery Products are Warehousing and
through Air or transported packaging.
Amazon Ocean (Ground).

Services

Freight or Parcel
Customers Delivery.

Figure 2 - Supply Chain for Cardinale’s Chocolate Business through Amazon

Having to use Amazon as their 3rd party retailer, it adds up to their supply chain (see figure 2).
Whenever the Cardinales receive orders from overseas, the finished goods are shipped via air or
ocean. This is then transported (by land) to Amazon owned warehouses which is then managed,
labelled and packed. Eventually, it is delivered to customers through freight or parcel.

As noticed in the supply chain as a whole, there are quite a lot of processes and steps starting from
suppliers up until finished goods are delivered to customers. It is very important for the Cardinales
to have effective management of their supply chain, taking into consideration about the
coordination of each participant in the chain to keep costs as low as possible and to achieve
customer satisfaction also.

References:

Jain, J., Dangayach, G. S., Agarwal G., & Banerjee, S. (2010). Supply Chain Management: Literature
Review and Some Issues. Journal of Studies on Manufacturing, vol. 1, no. 1, pp. 11-25.

Logisticsplus (2018). Amazon Global Selling, viewed 28 MAY 2018,

https://www.logisticsplus.net/services/ship-international/amazon-global-selling/amazon-importing-
exporting/.

Mangan, J., Lalwani, C., Butcher, T. and Javadpour, R. (2012) Global Logistics & Supply Chain
Management, 2nd ed., John Wiley & Sons, West Sussex.

Yu, Y., Wang, X., Zhong, R., and Huang, G. (2016). E-commerce Logistics in Supply Chain
Management: Practice Perspective. Elsevier. pp. 179-185.