The warehouse that had the poorest performance Cleveland across the five months period in both years

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Question 1

In making comparison for the five months of 2016 and 2017, it is clear that Melbourne registered the highest performance among all the other warehouses. This is because the units that were shipped within the two periods is constantly high. Melbourne results shows that the warehouse does a lot of shipping. According to the results given by the VP who oversees warehouse operations, Melbourne warehouse is located just next to its manufacturing company. Melbourne is said to be company operated because it has readily available personnel’s from the Lift up My Light who have the skills in carrying out warehousing activities. This is an advantage to it as it can do more shipping.

Question 2

The warehouse that had the poorest performance Cleveland across the five months period in both years. The reason behind this is because it registers the least amount of unit produced and least amount of expenditure. This results were repeated in the year 2017 hence rendering its performance as the poorest. The distance between this warehouse and the nearby manufacturing company is quite long hence it cannot utilize the services of warehousing as compared to those that are located near the manufacturing companies. Perhaps the managers of the warehouse must be deficient in labor and presence of readily available warehouse facility.

Question 3

In order to identify the best performing warehouse, a decrease in the warehouse expense would serve best as a tool for this kind of analysis. According to the table illustrating the warehouses, the best performing warehouse is the St, Louis and Los Sanna. This is because of a decrease in the warehouse expenditures that they project. In such a scenario, a warehouse may thus be said to be functional because it does not operate under losses. (Warehouse, 2018). Cost reduction should be practiced in all warehouses.

Question 4

New contractor has with itself new strategies .These strategies are considered viable because they come after a failure of a previous contract which act a lesson to the new contract. The strategies involved herein are carefully chosen and thoroughly discussed with a panel of board members hence the foundation of the new contract is strengthened

Question 5

Warehouse expense (2017)

Location

Budgeted

Jan-Dec

Actual

Jan-May

Total Per

Warehouse

Akron

$178,000

$40,228

$218,228.00

Buffalo

$73,000

$29,416

$102,416.00

Melbourne

$305,000

$141,222

$446,222.00

Detroit z

$31,000

$14,900

$45,900.00

Cleveland

$17,000

$9,605

$26,605.00

Los Sanna

$176,000

$93,280

$269,280.00

Portland

$85,000

$42,616

$127,616.00

St. Louis

$56,000

$19,191

$75,191.00

GRAND TOTAL

$921,000.00

$390,458.00

$940,191.00

 

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