Just in Time

EXECUTIVE SUMMARY

This following summary includes a very brief yet thorough description of the logistical issues facing the video game production legend, Nintendo. An assessment of the current Just-In-Time (JIT) shipping practice of the company was taken, further prospective solutions to advance the shipping/warehousing techniques of Nintendo with respects to its retailers were proposed, and finally a detailed recommendation with respect to realistic assumptions, restrictions & constraints was formed. The end result of this recommendation is for Nintendo to incorporate an “in-house” shipping strategy to best service its retailers while saving on overall costs.

Problem Analysis:

An in-depth look into what some of the primary issues at hand faced by Nintendo was assessed. Considered was information concerning the current shipping methodology practiced by the company. Also in conjunction with such insight was the location of the company’s current (and only) plant manufacturing site in Seattle Washington. From this, several key issues were noted. These include:

• Should Nintendo ship goods internally and alleviate having to deal with a shipping company?

• Should the company develop a partnership with a specific courier to help cater to demand?

• Should Nintendo invest in multiple plant locations to ease the transportation of goods regionally?

Alternatives:

A list of possible alternatives that could improve Nintendo’s circumstances was comprised. Instating forward vertical integration in the form of internal shipping was considered. So also was the idea of establishing a partnership with a parcel company (i.e. the way Amazon has with USPS). Lastly, adding several regionally based warehouses to improve shipping speeds was contemplated.

Recommendation:

The recommendation endorsed was thought to be the most feasible way for Nintendo to go about selecting the best possible shipping method that would meet their needs while meeting the demands of the retailers...