Research Paper on "Analyzing Supply Chain Management"

Research Paper 5 pages (1619 words) Sources: 5

[EXCERPT] . . . .

In close collaboration with the franchise's product development and marketing departments, IPC supports new demand. For instance, Subway's foot-long five-dollar promotion increased sales by 20-percent. This increased bread usage by 48% during the promotion, together with an added 700,000 product cases delivered each week to the restaurants. Chainalytics and Massachusetts Institute of Technology experts were also a part of this in-depth study of the company's distribution network. These experts' reassurance and insights provided IPC with the incentive to collaborate with Subway manufacturers more closely; the manufacturers could, in turn, approach their banks to seek the required capital. The transportation management responsibility was allocated to C.H. Robinson. The logistics company employed its branch -- Transportation Management Center -- for overseeing relevant data management and business processes (SupplyChainBrain, 2011).

Sustainability continues to be a major concern for Subway and IPC. (Another responsibility assigned to Chainalytics was: measurement of Subway's carbon footprint in North America, in terms of distribution and transportation). Yearly environmental savings arising from the venture included corrugated cardboard (9.9 million pounds), plastic (4.6 million pounds), gasoline (14.1 million gallons), electricity (18.6 million kilowatts), and water (115 million gallons). The bottom line of Subway was positively impacted as well. From 1997 to 2009, IPC was estimated to have realized cumulative cost reductions of over one billion dollars (SupplyChainBrain, 2011).

Subway continues employing best practices to enhance profitability, while developing a supply chain that is more sustainable in nature (SupplyChainBrain, 2011).

References

f5. (n.d.). IPC, a SUBWAY® Franchisee-Owned Organization, Streamlines and Future-Proofs IT Infrastructure and Operations. Retrieved from https://f5.com/solutions/customer-stories/ipc-a-subway-franchisee-owned-organization-streamlines-and-future-proofs-it-infrastructure-and-opera

IPC. (n.d.). Independent Purchasing Cooperative. Retrieved from LinkedIn: https://www.linkedin.com/company/independent-purchasing-cooperative

McMahon, T. (2010, Feb). Lean Demonstrated at Subway. Retrieved from http://www.aleanjourney.com/2010/02/lean-demonstrated-at-subway.html

Subway. (n.d.). The History of Subway. Retrieved from http://www.subway.com/en-pk/aboutus/history

SupplyChainBrain. (2011, Jan 06). http://www.supplychainbrain.com/content/nc/industry-verticals/food-beverage/single-article-page/article/ipc-streamlines-the-supply-chain-for-the-subway-restaurant-chain/. Retrieved from SupplyChainBrain.com: http://www.supplychainbrain.com/content/nc/industry-verticals/food-beverage/single-article-page/article/ipc-streamlines-the-supply-chain-for-the-subway-restaurant-chain/ READ MORE

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