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上海交通大学:《供应链管理 Supply Chain Management》课程教学资料_Case Studies_Sample Works_Research Report_2012OpenResearch_赵千里_The Adoption of RFID on the Airplane

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上游充通大 SHANGHAI JIAO TONG UNIVERSITY 供应链设计与管理 Designing and Wanaging the Supply Chain Name: 赵千里 No.: 5087149035 First Report Title: Globalization of Wal-Mart Grade: Second Report Title: The adoption of RFID on the airplane Grade:

供应链设计与管理 Designing and Managing the Supply Chain Name: 赵千里 No. : 5087149035 First Report Title: Globalization of Wal-Mart Grade: Second Report Title: The adoption of RFID on the airplane Grade:

Globalization of Wal-Mart 1.The incentive for globalization a.The market in America is saturated.Because of "marginal effect", it's much harder to enlarge its portion in American market. b.The rapid development in other countries brings new opportunities in oversea market.Compared with local retailers and supermarkets,Wal-Mart has advantages in many aspects. 2.How to enter a new market? There're many ways to do this.However,correct decisions should be made based on the local circumstances.Here're some aspects which should be contemplated. a.Cultural differences.If the cultural differences is negligible, company acquisition or direct entrance is a good choice. Otherwise,joint venture with local companies is advisable.In the first case,it's a lot easier to copy the model in America,while in the second case joint venture with local companies can save Wal-Mart a large "tuition fee"and reduce the possible risks. b.Maturity of the new market.Because immature market is easier to enter,the decision of direct entrance can be considered.While in mature market,company acquisition and joint venture are

Globalization of Wal-Mart 1. The incentive for globalization a. The market in America is saturated. Because of “marginal effect”, it’s much harder to enlarge its portion in American market. b. The rapid development in other countries brings new opportunities in oversea market. Compared with local retailers and supermarkets, Wal-Mart has advantages in many aspects. 2. How to enter a new market? There’re many ways to do this. However, correct decisions should be made based on the local circumstances. Here’re some aspects which should be contemplated. a. Cultural differences. If the cultural differences is negligible, company acquisition or direct entrance is a good choice. Otherwise, joint venture with local companies is advisable. In the first case, it’s a lot easier to copy the model in America, while in the second case joint venture with local companies can save Wal-Mart a large “tuition fee” and reduce the possible risks. b. Maturity of the new market. Because immature market is easier to enter, the decision of direct entrance can be considered. While in mature market, company acquisition and joint venture are

preferred. c.Perturbations of local politics.Joint venture can provide necessary protections if local situation is not very steady. 3.Incentives of localized operation. a.Reduction in cost. b.Government and political factors.Localization can help Wal-Mart establish good relationships with local government,because Wal-Mart can bring more jobs. c.Local staff can reduce the negative effect of cultural difference. Meanwhile,they can enhance Wal-Mart's local influence and reputation. 4.Localization a.Localization of staff. 1 Localization of managers.Although most senior managers are from America,Wal-Mart is carrying on the localization of managers, because decisions by local managers are more suitable for local situation. 2 Localization of common staffs.Employment of local staffs can reduce the expense of staff wages. b.Localization of public relations. Local staffs have more acquaintances in local society.Besides, they will not be puzzled with problem caused by cultural

preferred. c. Perturbations of local politics. Joint venture can provide necessary protections if local situation is not very steady. 3. Incentives of localized operation. a. Reduction in cost. b. Government and political factors. Localization can help Wal-Mart establish good relationships with local government, because Wal-Mart can bring more jobs. c. Local staff can reduce the negative effect of cultural difference. Meanwhile, they can enhance Wal-Mart’s local influence and reputation. 4. Localization a. Localization of staff. ○1 Localization of managers. Although most senior managers are from America, Wal-Mart is carrying on the localization of managers, because decisions by local managers are more suitable for local situation. ○2 Localization of common staffs. Employment of local staffs can reduce the expense of staff wages. b. Localization of public relations. Local staffs have more acquaintances in local society. Besides, they will not be puzzled with problem caused by cultural

differences.For example,after the Earthquake in Wenchuan( 大地震),the companies which donate a large sum of money won praise and advocate of the public.But most foreign companies are faced with boycott in China because they didn't donate much money.Carrefour's supermarkets were even smashed by Chinese citizens in some places.Localization can avoid those things by the greatest extent. c.Localization of purchasing. 1Localization of purchasing can reduce costs. 2 Localization of purchasing can be seen as another way of enhancing public relations,and it can help establish good relationships with government and enterprises. d.Localization of operation. Here're two examples."Special counter"cannot be seen in any Wal-Mart outside China,and it's made especially for Chinese customers.Wal-Mart's target customer is individuals in China. While they're more like wholesalers outside China,small retailers and organizations are their major clients. 5.Information technology's influence on globalization Wal-Mart's information system is the greatest in the world.And it's also the first company to use IT to manage inventory.POS,EDI, and RFID made a great contribution to Wal-Mart's development

differences. For example, after the Earthquake in Wenchuan(汶川 大地震), the companies which donate a large sum of money won praise and advocate of the public. But most foreign companies are faced with boycott in China because they didn’t donate much money. Carrefour’s supermarkets were even smashed by Chinese citizens in some places. Localization can avoid those things by the greatest extent. c. Localization of purchasing. ○1 Localization of purchasing can reduce costs. ○2 Localization of purchasing can be seen as another way of enhancing public relations, and it can help establish good relationships with government and enterprises. d. Localization of operation. Here’re two examples. ”Special counter” cannot be seen in any Wal-Mart outside China, and it’s made especially for Chinese customers. Wal-Mart’s target customer is individuals in China. While they’re more like wholesalers outside China, small retailers and organizations are their major clients. 5. Information technology’s influence on globalization Wal-Mart’s information system is the greatest in the world. And it’s also the first company to use IT to manage inventory. POS, EDI, and RFID made a great contribution to Wal-Mart’s development

Wal-Mart even uses commercial satellite to connect its information system across the world.In America,Wal-Mart's suppliers have to connect their information system to Wal-Mart's. It's not difficult to imagine that Wal-Mart's advanced information system will be of great help in its process of globalization.However, in fact,the system's power is greatly hampered in the less developed countries.The level of IT application in these countries is far behind Wal-Mart.As a result,the information Wal-Mart could get from the suppliers is not sufficient.The use of commercial satellite is under close monitor and control in some counties,such as China 6.My opinion on the Wal-Mart's development in China. a.Without any doubt,the market in China has become increasingly important for the transnational corporations. However,many successful foreign companies are defeated in the battle with Chinese companies.For example,Taobao() is widely known in China,while few Chinese have ever bought things on E-bay.So,localization is of most significance in China.Culture in oriental society is quite different. b.Establish good relationship with the government.Chinese government is very powerful and has decisive impact on any aspect in society.Google's failure in China is a good example. c.Flexibility is important.Advanced technology still works in

Wal-Mart even uses commercial satellite to connect its information system across the world. In America, Wal-Mart’s suppliers have to connect their information system to Wal-Mart’s. It’s not difficult to imagine that Wal-Mart’s advanced information system will be of great help in its process of globalization. However, in fact, the system’s power is greatly hampered in the less developed countries. The level of IT application in these countries is far behind Wal-Mart. As a result, the information Wal-Mart could get from the suppliers is not sufficient. The use of commercial satellite is under close monitor and control in some counties, such as China. 6. My opinion on the Wal-Mart’s development in China. a. Without any doubt, the market in China has become increasingly important for the transnational corporations. However, many successful foreign companies are defeated in the battle with Chinese companies. For example, Taobao(淘宝) is widely known in China, while few Chinese have ever bought things on E-bay. So, localization is of most significance in China. Culture in oriental society is quite different. b. Establish good relationship with the government. Chinese government is very powerful and has decisive impact on any aspect in society. Google’s failure in China is a good example. c. Flexibility is important. Advanced technology still works in

China,but other things may not do.Sticking to the successful models in America will lead to poor efficiency d.Considering the uniqueness of this market,joint venture or company acquisition is a good choice. e.The competition in the first-tier cities is already very fierce. Stores in third-tier and forth-tier cities will bring more profit. f.Considering the significant polarization between the rich and the poor in China,,multi brand strategy(多品牌战略)may work

China, but other things may not do. Sticking to the successful models in America will lead to poor efficiency. d. Considering the uniqueness of this market, joint venture or company acquisition is a good choice. e. The competition in the first-tier cities is already very fierce. Stores in third-tier and forth-tier cities will bring more profit. f. Considering the significant polarization between the rich and the poor in China, multi brand strategy( 多 品 牌 战 略 ) may work

The adoption of RFID on the airplane 1.Research Area: Consider whether the RFID is suitable for the airplane industry. Stimulation: Currently,there're many kinds of ID technology in use.it's necessary to think about which particular Id technology works for which particular solution.Despite the advantage of RFID,is it the most suitable tech for airplane industry? To solve this problem,we will divide it into two small problems. ①Research Area:: Make out the characteristics of the airplane industry.To fulfill the goal we plan to find the differences between the applications of ID technology in fast moving consuming goods industry and airplane industry. Stimulation: It's widely known that the ID technology has been adopted in the FMCG area for decades.But does its tech and experience can be directly taken into the airspace area? Result: Key differences between the two areas are shown in the format below

The adoption of RFID on the airplane 1. Research Area: Consider whether the RFID is suitable for the airplane industry. Stimulation: Currently, there’re many kinds of ID technology in use. it’s necessary to think about which particular ID technology works for which particular solution. Despite the advantage of RFID, is it the most suitable tech for airplane industry? To solve this problem, we will divide it into two small problems. ○1 Research Area: Make out the characteristics of the airplane industry. To fulfill the goal we plan to find the differences between the applications of ID technology in fast moving consuming goods industry and airplane industry. Stimulation: It’s widely known that the ID technology has been adopted in the FMCG area for decades. But does its tech and experience can be directly taken into the airspace area? Result: Key differences between the two areas are shown in the format below

Retail industry Aviation industry Focus The sale sector The whole product life Product life short Long(robust technology required) Produce Low value,low High value, high characteristics complexity complexity(more expensive tech) Key application Logistics area How product are being areas used,life cycle information, repair services, spares management, logistics services Environmental Nice Harsh environment conditions From the format.we could easily see that there're numerous differences between the two areas.Besides,their requirements for the ID technology are quite different.So,we can conclude that the tech and experience from the FMCG area cannot be taken directly into the airplane industry. So,here comes the second problem:which kind of technology should airplane industry adopt? ②Research Area:

Retail industry Aviation industry Focus The sale sector The whole product life Product life short Long(robust technology required) Produce characteristics Low value, low complexity High value, high complexity(more expensive tech) Key application areas Logistics area How product are being used, life cycle information, repair services, spares management, logistics services Environmental conditions Nice Harsh environment From the format, we could easily see that there’re numerous differences between the two areas. Besides, their requirements for the ID technology are quite different. So, we can conclude that the tech and experience from the FMCG area cannot be taken directly into the airplane industry. So, here comes the second problem: which kind of technology should airplane industry adopt? ○2 Research Area:

Make out the characteristics of RFID.To achieve this goal,we plan to make comparison between RFID and the bar code. Stimulation: The cost of RFID is much higher than the bar code.Besides,the later one is used much more widely.Why do we bother to change for a new ID tech? Result: Advantage: a.The recognition of RFID is more accurate,and can work through a long distance.In comparison,the ban-code scanner has to "see"the tag.The RFID reader can still work even though there are obstacles because electromagnetic wave can travel round them. b.RFID is resistant to contamination of water and other liquid.While barcode tag is more vulnerable. c.The memory volume of RFID is much larger than bar-code. d.The tag of RFID can be reused,because its memory can be rewritten. e.In terms of information security,RFID can be protected with code, and it's hard to forfeit. The disadvantages of the RFID is its high cost.However,with the development of science and technology,the cost is steadily decreasing.In addition,the investment of RFID is larger in the primary stage.But in the long run,RFID will bring more profit

Make out the characteristics of RFID. To achieve this goal, we plan to make comparison between RFID and the bar code. Stimulation: The cost of RFID is much higher than the bar code. Besides, the later one is used much more widely. Why do we bother to change for a new ID tech? Result: Advantage: a. The recognition of RFID is more accurate, and can work through a long distance. In comparison, the ban-code scanner has to “see” the tag. The RFID reader can still work even though there are obstacles because electromagnetic wave can travel round them. b. RFID is resistant to contamination of water and other liquid. While barcode tag is more vulnerable. c. The memory volume of RFID is much larger than bar-code. d. The tag of RFID can be reused, because its memory can be rewritten. e. In terms of information security, RFID can be protected with code, and it’s hard to forfeit. The disadvantages of the RFID is its high cost. However, with the development of science and technology, the cost is steadily decreasing. In addition, the investment of RFID is larger in the primary stage. But in the long run, RFID will bring more profit

Analysis and conclusion: Combing the first two answers,we can see the characteristics of RFID airplane industry and RFID.After analysis,we can conclude that"they're made for each other",RFID can satisfy the airplane industry's requirements,and its high expense is acceptable for the airplane industry. Aviation industry'requirements The characteristics of RFID Focus: Long-lasting, resistant to The whole product life contamination. Product life: Long-lasting. Long(robust technology required) Produce characteristics: High volume of memory which High value,high complexity can be rewritten. Good information security. Key application areas: High volume of memory which How product are being used,life can be rewritten. cycle information, repair services, spares management, logistics services Environmental conditions: Resistant to contamination. Harsh environment

Analysis and conclusion: Combing the first two answers, we can see the characteristics of RFID airplane industry and RFID. After analysis, we can conclude that “they’re made for each other”, RFID can satisfy the airplane industry’s requirements, and its high expense is acceptable for the airplane industry. Aviation industry’ requirements The characteristics of RFID Focus: The whole product life Long-lasting, resistant to contamination. Product life: Long(robust technology required) Long-lasting. Produce characteristics: High value, high complexity High volume of memory which can be rewritten. Good information security. Key application areas: How product are being used, life cycle information, repair services, spares management, logistics services High volume of memory which can be rewritten. Environmental conditions: Harsh environment Resistant to contamination

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