Challenges Faced By CIL Hotel And Solutions To Overcome Them

Order Consolidation

Write about the Business Report for Brand Standardization Inconsistencies.

Order consolidation is the overall workplace flow process and an optional procedure where some of the businesses decide to save money for certain suppliers (Henn, Koch & Wäscher, 2012). The CIL Hotel has problem to decide on whether to consolidate orders or not. To solve the issue, the company should conduct the research about the value of order consolidation, and then train the employees on how to make the process work. When the employees in the hotel understand the order consolidation process, they will they know when to conduct the process and when not to perform the procedure (Eriksen et al., 2014).

A business must have brand for it to thrive in the market. Branding the company is making the public have knowledge on your business (Eriksen et al., 2014). The hotel has a problem in bran standardization therefore; the managers should allocate sufficient resources to the branding department for the department to improve the branding of the hotel.

The hotel has a product quality problem in that the vendors to don give them consistent quality comedies. The company should develop formal quality program that will help the hotel’s suppliers understand and know what the hotel requires.

E-procurement is a procurement networks that are found online in which more than one business get their supplies at a cheaper cost (Li,  Qian & Qian, 2014). The hotel will use marketplace e-procurement system because it is an all-round system.

Savings and/or costs issues associated with the new e-procurement system

The system is less costly because it performs both purchasing and supplying functions. The system can reduce the cost of having purchase system and supply system.

Conclusion

A business cannot run without encountering some challenges thus the hotel should develop strategies to deal with the challenges they face.

Recommendation

CIL Hotel should allocate resources in dealing with brand standardization and development of e-procurement system. The quality program can help the hotel to show its vendors what they need. Problems are part of the business thus the hotel should come up with strategies to tackle the problems.

As stated in the executive summary, CIL Hotel is suffering some setbacks despite the fact that they have profits in their business. The challenges include product quality from the vendors, lack of standardization of the brand of hotel’s products, and difficulty in managing the shipments.  There is also a challenge in developing an e-procurement system. The organization does not know which procurement system to adopt.  The company also have order consolidation problem. Most of the workers do not understand order consolidation, which products to consolidate and which ones should not be consolidated when purchasing goods from the vendors. Therefore, the challenge is whether to consolidate the purchasing system of not, and when should the systems be consolidated or should consolidation not done.

Branding

According to Li,  Qian and Qian (2014)order consolidation is the overall workplace flow process and an optional procedure where some of the businesses decide to save money for certain suppliers. Any institutions that are supply chain oriented are becoming more international with excellent consumer focus and business functions (Hsin Chang, Tsai & Hsu, 2013). As a result of this dynamic business, CIL Hotel like many other businesses, encounter the issues to improve their effectiveness in supply chain. Order consolidation also helps in dealing with purchasing challenges. Order consolidation can help a business to work a lesser hub of trustworthy suppliers, have excellent rapport with suppliers, it can also easy the shipping services.

Many business managers do not know what branding can accomplish in their institutions (Li,  Qian & Qian, 2014). Branding is not just visual images and company logos, it is the enterprise’s truth and how its customers perceive the business’ reputation and identity in the market (Hsin Chang, Tsai & Hsu, 2013). Branding of the business helps the customers to easily understand the company’s message clearly and share with their friends. Inconsistencies in branding can cause the business to lose its customers. CIL Hotel has issues with branding of the enterprise therefore, the hotel management should put their resources in branding of the business so that their clients should understand what they provide. Branding connects the customers emotional with the business. The image bellow shows the supply chain by (Ülkü, 2012) 

Quality program is important to a business, CIL Hotel faces challenge of getting poor quality products even from the vendors. The hotel should employ quality assurance personnel who the enterprise can generate formal quality program which can help the organization in purchasing commodities of high quality. The quality assurance personnel can help develop policies that give them to vendors. The formal quality program can advise the hotel on how to choose vendors go supply quality products.

Walker and Brammer, (2012) defines e-procurement as the procurement networks that are found online in which more than one business get their supplies at a cheaper cost. There various types of e-procurement systems in the world of business that helps in procurement process. They include marketplace e-procurement system, industry-specific e-procurement system, e-procurement system focused in management systems, license application, supplier management applications, and contact management systems. CIL Hotel should focus on using marketplace e-procurement system because the system has various functions that include supplier management, purchase management and office equipment procurement. The system will be dealing with food delivery about 50 packages, equipment, furniture, and fixture. The system will make it easy for company during purchase activities.

Product Quality

The cost of the new e-procurement system is less costly and provides various activities which will save the cost of the actions like printing of papers during procurement process, makes operational supplies easy, and simplify the purchase process. The system will also save costs of employing many workers in the procurement department. When the hotel uses e-procurement system, they can get quality products from the internet because many vendors are found online. Therefore, it will solve the problem of product quality. Using e-procurement system shows that the business is adapting the new technology in conducting its day to day operations. The figures shows the technology advancements of e-procurementBy (Walker & Brammer, 2012)

Conclusion

CIL Hotel is making good progress but it still suffers some challenges that include order consolidation, poor quality products from vendors, and transport problems. The hotel should therefore, develop strategies to counter the issues they are facing in the business.  E-procurement can help solve procurement programs where the process will be done online. If the hotel employs quality assurance personnel, the employee will help in drafting procedures that will help the company secure quality products. Challenges in business are countered with the best strategies.

The business should consider starting e-procurement program. The business should employ quality assurance personnel to help in purchasing quality products. The business should order consolidation.

Defected goods must be there in every business and they affect the image of the company producing then financially. The hotel also suffers from defected goods. Therefore, they should sell the goods at a cheaper price to avoid total loss. The following are the effects of goods on:

Hotel's brand image

1. Defected goods bring loss to the hotel
2. The goods tarnish the good image of the hotel
3. Defected goods reduce the quality of the hotel’s products

Financial impact

1. The hotel may lose customers loosing profits
2. The hotel may lose incomes
3. The hotel lack money to pay suppliers because the goods were not used

 The individual hotel’s perspective

1. Customers will want compensation from defected goods
2. Defected goods may waste the consumers’ time from not using the products
3. Defected goods takes the customers’ trust on the hotel away

References

Eriksen, P., Bartels, E. M., Altman, R. D., Bliddal, H., Juhl, C., & Christensen, R. (2014). Risk of Bias and Brand Explain the Observed Inconsistency in Trials on Glucosamine for Symptomatic Relief of Osteoarthritis: A Meta?Analysis of Placebo?Controlled Trials. Arthritis care & research, 66(12), 1844-1855.

Henn, S., Koch, S., & Wäscher, G. (2012). Order batching in order picking warehouses: a survey of solution approaches. In Warehousing in the Global Supply Chain (pp. 105-137). Springer, London.

Higginson, J. K., & Bookbinder, J. H. (2015). Policy recommendations for a shipment-consolidation program.

Hsin Chang, H., Tsai, Y. C., & Hsu, C. H. (2013). E-procurement and supply chain performance. Supply Chain Management: An International Journal, 18(1), 34-51.

Lewis, S. (2015). Qualitative inquiry and research design: Choosing among five approaches. Health promotion practice, 16(4), 473-475.

Li, L., Qian, G., & Qian, Z. (2014). Inconsistencies in international product strategies and performance of high-tech firms. Journal of International Marketing, 22(3), 94-113.

Ülkü, M. A. (2012). Dare to care: Shipment consolidation reduces not only costs, but also environmental damage. International Journal of Production Economics, 139(2), 438-446.

Walker, H., & Brammer, S. (2012). The relationship between sustainable procurement and e-procurement in the public sector. International Journal of Production Economics, 140(1), 256-268.