Operations management and logistics improvement – Oasis Water

Abstract

Oasis Water is a company trading in ozonated, filtrated water. The water is bottled on site. The distribution/transport entails only materials, not finished products. The company currently consists of 105 franchises nationwide, only 40 of these franchises produce Oasis juice. The concentrates for these juices are received from a company called Bronpro, situated in Nelspruit. Every franchisee follows its own method of transporting these concentrates. The Witbank branch was studied in specific, having the largest production capacity. No standard production planning method has been implemented at any of the branches thus far. Witbank’s method of production planning and inventory management would be examined. Oasis makes use of a company called Winplas to manufacture their bottles at given rates. Winplas is also responsible for the distribution of materials and would therefore play an important role in the production planning of Oasis water. The aim of the project is to lower logistics cost regarding the transportation of juice concentrates. Also to investigate the economic order quantity model that can be implemented to improve current deficiencies regarding inventory management. Research will be done in the form of a literature review covering applicable topics. Two solutions related to both these topics will be presented in the form of this document and a PowerPoint presentation.