The Yokohama Company’s International Components and Strategy

Introduction

The Yokohama company is a manufacturer based in Tokyo, Japan. For the production of rotating whirligigs, the company requires a supply of parts from three international locations: Guangzhou, China; Manila, The Philippines; and Ulaanbaatar, Mongolia. Thus, the manufacturer is a part of a global supply chain that spans several countries. It is crucial to communicate objectives to the suppliers to ensure that all parts are delivered promptly. Thus, it is crucial to account for the distance between these locations as well as the mode of travel to guarantee Yokohama does not run out of any of the components necessary for production. It should be noted that three out of four cities are ports and, thus, the delivery of parts can be achieved either via sea or air freight. Meanwhile, Ulaanbaatar, Mongolia, is landlocked, and parts from this location can be transported via land or air. In addition, it is also essential to account for the quantity of the goods shipped and their weight.

Guangzhou, China

Guangzhou is a port city located in Guangdong province, China. The distance between Guangzhou and Tokyo is 2,907 kilometers by air. Meanwhile, the distance between the port of Guangzhou and the port of Tokyo is 2139 nautical miles. The time of transportation via an air carrier and ships will differ significantly. Thus, the average time of travel by aircraft is 4 hours, and the time of travel by sea is evaluated to be nine days on average. It should be noted that the payload of one aircraft is 40,000 to 295,900 lb, whereas one cargo ship can fit dozens of 40-foot containers that can bear 67,200 lb per container. Thus, depending on the number of parts needed for the production of Yokohama rotating whirligigs, sea freight would be a better option as it is a cheaper alternative for mass shipments.

Manila, The Philippines

Manila is the capital of the Philippines, with several ports located in the Port Area and the Tondo district of the city. The distance between the international port of Manila and the port of Tokyo is approximately 2306 nautical miles, and the time required for travel between the two ports is estimated at nine and a half days. Meanwhile, the air distance between the two cities is 3004 kilometers. The average time of travel by air between Manila and Tokyo is approximately 4 hours. As the time of delivery by sea coincides with that of delivery from Guangzhou to Tokyo, it would make sense to opt for the transportation of parts for the whirligigs by sea. Thus, Yokohama can receive parts from Guangzhou and Manila simultaneously and save on transportation costs to the warehouse.

Ulaanbaatar, Mongolia

Ulaanbaatar is the capital of Mongolia, a landlocked, non-coastal country. It is the most remotely located supplier from Tokyo, with a distance of 3,011 kilometers by air. The average travel time by air is approximately just over 5 hours. As transportation to the nearest port in Vladivostok, Russia, or Dalian, China, and then to Tokyo is possible but time-consuming, air travel is the optimal choice. However, the capacity of cargo aircraft is limited, depending on the aircraft type. Therefore, the overall weight of the cargo should not exceed 295,900 lb. With an average weight per unit not exceeding 45 lb, the maximum number of boxes per shipment is approximately 6,500. Depending on how many parts are needed to ensure uninterrupted production of Yokohama rotating whirligigs, it is recommended to commission a more frequent supply of parts from Ulaanbaatar compared to deliveries from Guangzhou and Manila.

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StudyCorgi. "The Yokohama Company’s International Components and Strategy." December 21, 2022. https://studycorgi.com/the-yokohama-companys-international-components-and-strategy/.

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StudyCorgi. 2022. "The Yokohama Company’s International Components and Strategy." December 21, 2022. https://studycorgi.com/the-yokohama-companys-international-components-and-strategy/.

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