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Week 4 DQ 1 and 2
Q DISCUSSION 1
Describe how a firm's warehousing strategy for a particular commodity impacts decisions regarding its manufacturing strategy. Please cite a particular product to illustrate your entry.
The movement of goods happens in the form of raw materials from the warehousing to manufacturing, then after production from the manufacturing unit to the warehousing. There are many types of good like perishable and non-perishable. So the warehousing strategy heavily impacts the manufacturing strategy. Depending on the type of product a company makes its warehousing strategy and manufacturing strategy. For goods such FMGC (Fast moving consumer goods) the warehousing plans will be different than that of vegetables or fruits. The manufacturing unit must provide the proper need for the raw materials which will be used in the production. According to this, the purchase