REGAL MARINE: Supply Chain Management

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REGAL MARINE Supply Chain Management
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Why is Supply Chain Management Important to Regal

• competes in a multibillion dollar industry
• Need to differentiate its products.
• Differentiation through quality, innovation,
  unique features, up to date technology,
  responsiveness
• Final product quality is bound to suppliers
  products used.
• Huge portion of revenue spent on purchases.

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Goals

• To focus on improving the quality, safety, value,
  and environmental impact of our products
• To share knowledge and best practices among our
  members
• To promote cost-effective solutions and other
  mandated policies and guidelines
• To provide a member forum for the consideration
  of issues that affect the Marine Industry
• To provide a member interface with other industry
  organizations for improving the Marine Industry

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Supply Chain Issues

• Partner with upstream suppliers of direct
  materials and components
• Suppliers are involved into the product design
  process
• A number of local vendors supply hardware and
  fasteners to the assembly line in JIT
• Regal works with an Orlando personnel agency to
  outsource part of recruiting screening.
• Participation with other boat manufacturers in a
  buying group called the American Boat Builders
  Association

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Results of Effective Supply Chain Management

• reduced daily on hand inventory to 22 days
• inventory turnover of 16.8 times/year
• constantly updating their suppliers
• discuss material innovations with suppliers
• eliminated 40 non-value added man hours
• all because of effective supply chain management
• Through economies of scale in procurement,
• Regal is able to navigate against billion dolar
  competitor Brunswick.

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Additional information

• http//www.snc.edu/socsci/chair/333/bricks/Locatio
  n.html
• http//209.85.135.104/search?qcachehFR1j17Xn_8J
  www.coba.unt.edu/acct/cost12ism/cost12ism_20.pdf
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