Shipbuilding with less shipping

A business case for the improvement of logistical activities and sourcing strategy in the supply chain of Damen Shipyards with particular attention to quality concerns

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Abstract

Due to increasing cost pressure, disturbances from customs and an opportunity seen in reducing costs by increasing the procurement and construction in the Far East, Damen Shipyards Gorinchem is changing the requirements for its supply chain. Changes to the supply chain however not only inflicts a large number of stakeholders, but the cost reduction through procurement in Asia gives an intrinsic difficulty: on one hand the costs of the components potentially decrease, but on the other hand the cultural differences and larger distances from the headquarters increase the cost and effort in assuring quality of the procurements. This research improves the logistics and quality control in Damen's supply chain for a specific type of tugboat (ASD 2810) produced at Damen Shipyards Changde. The main research question is: can the logistics and quality controlling activities in the supply chain of DSCh’s tugboat ASD 2810 be improved, taking into account the increasing procurement and construction activities in Asia as well as the transparency of the Supply Chain?...