Recommendation of Network distribution at Kellogg Company

            In this section there are some recommendations for the Kellogg Company, that they are using retail storage with the customer pickup design for distribution network. This design is ideal for this company because through this network the efficiency of distribution increased. The other design method that is used by this company is that they can use the manufacturer storage with direct shipping this method can be used through the use of different websites and software. As this company is using the Retailer storage with customer pickup and this design for the distribution network is best and suit with their company because through the use of this design the efficiency of their distribution has been increased in great amount. But there are some minor recommendations in the design of distribution network for the Kellogg because this company is multinational company so for them the manufacturer storage with direct shipping network can be used (Hammond 2012).

        This is because they the cost factor for the inventory will be low through the use of this design, as this company currently using the Retailer storage with customer pickup design for distribution network. So the use of this design their inventory cost has been increased because there is no aggregation in this design for distribution network. The major advantage of manufacturer storage with direct shipping design is that the handling cost and facilities cost will be lowered because of aggregation. The cost can be saved when the manufacturer of the Kellogg company handle the small shipment cost from the production line. This recommendation is minor because of the response time of the company.

        If the Kellogg company uses this design for their distribution network so the response time for their product will be long and that is about 2 to 3 weeks may be due to increased in the distance and the placing of order. If the Kellogg company uses this design so that their response from their customers will be increase but the efficiency of their product will be decreased and this is not the good sign for this company in case of distribution network, because every company wants to use that design for their distribution network that enhances their companies distribution’s efficiency. In manufacturer storage with direct shipping method there is one major advantage and that is that through the use of this design the company can able to enhance the customer experience in great deal.

Reference  of Network distribution at Kellogg Company

Wordpress.com. (2018). Distributional Channelling By Kellogg’s. Retrieved from https://mpk732t12016clusterb.wordpress.com/2016/05/16/distributional-channelling-by-kelloggs/

Huang, George Q., K.L. Mak, and Paul G. Maropoulos. 2009. Proceedings of the 6th CIRP-Sponsored International Conference on Digital Enterprise Technology. Springer Science & Business Media.

Wordpress.com. 2018. Distributional Channelling By Kellogg’s. https://mpk732t12016clusterb.wordpress.com/2016/05/16/distributional-channelling-by-kelloggs/.