Global Supply Chain Management

OPER8340 Term Project

Fall 2021

Objective:
The purpose of this Term Project is to provide OPER8340 students with an opportunity to apply
supply chain management tools & knowledge learned throughout the course to a real-world
business environment. One of the learning aspects of the course is to familiarize oneself with
the terminology associated with the supply chain function and be able to write summary reports
in a clear, concise businesslike manner.

Grading:
The Term Project involves a supply chain scenario. Each Group will submit a Project Report
with their responses to six short-answer / essay style questions covering highlights from the first
half of the course. The Term Project accounts for 25% of the overall OPER8340 course grade.

Due Date:
The Term Project is due by 11:59 pm on your class day in week 7 of the course (or as advised
by your professor).

One group member will submit the Term Project electronically as a word document through
eConestoga -> Course Tools -> Assignments. All documents submitted in the Assignments
folder will be evaluated for plagiarism by Turnitin.

Assigned Supplier:
The scenario for this Term Project is based on your decision to start your own business,
importing clothing for sale to healthcare workers in Canada. Your supplier in this scenario is
Loyal Textile Mills Ltd., located in Chennai, India. Loyal Textile Mills Ltd. is one of India’s largest
manufactures and exporters of garments, fabrics, and textiles.

Group Reports:
This Project is a group assignment. Students have either formed their project groups or have
been randomly assigned to project groups by their professor to work together to research, review
and discuss course material related to the Term Project. All Term Project Reports should include
a correctly formatted cover page listing the report title, course name, number and section
number, professor’s name, group number, and participating students’ names.

All group members must contribute equally to completing the Term Project. Each Group should
decide individual student roles among themselves; every group member must prepare their
research on a Word document following the Report requirements.

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The Group must also appoint one student to collect the research from all group members and
assemble their findings into the Project Report. This person is also responsible for ensuring the
Group’s Project Report is submitted on time.

Term Project reports are to be submitted electronically via eConestoga (Term Project Dropbox).
Report submissions should be a MAXIMUM of twelve (12) pages in length (excluding Cover
page, Appendices, Exhibits and References page), single-sided, 1” margin, 12-point Arial
font. Reports may also contain up to an additional five (5) pages of relevant appendices and
supporting exhibits as required.

Contact your professor if you have any problems assigning work roles or collecting research
from individual group members.

Plagiarism:
“Submitting any work produced by someone other than yourself without acknowledging that
source may be considered plagiarism. This includes writing, mathematical solutions, data,
code, images, graphical designs, and more” (About Academic Integrity. (2021)).
https://lib.conestogac.on.ca/academic-integrity).

Please ensure that all group members read and understand their obligations and responsibilities
regarding academic integrity. All students must participate and contribute to receive credit for
the Term Project. Keep a copy of your work for your files. Students may be asked to submit their
contributions to the Group Report.

Project Report marks, whether assigned to all participants as a group mark or students on an
individual basis based on their contribution, are at the professor’s discretion. Information on
academic integrity is available at https://lib.conestogac.on.ca/academic-integrity).

Your Term Project must include appropriate citing and referencing based on the current version
of “APA@Conestoga” at Conestoga College. Current information on “APA@Conestoga” is
available on the College website at https://lib.conestogac.on.ca/apa-getting-started/introduction.

A significant portion of the mark for your Term Project is based on formatting (layout,
grammar/spelling, presentation, citing, referencing, etc.). See the Grading Rubric for more
information. For example, your Term Project Report is expected to include appropriate
formatting, including:

• Quoting & Paraphrasing (https://apa.conestogac.on.ca/Sections/Quoting)

• Citations in Text (https://apa.conestogac.on.ca/Sections/Citations)
• Reference List (https://apa.conestogac.on.ca/Sections/ReferenceList)

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Source Material:
Information for completing this Term Project can be found within (but is not limited to) your eText:
“FITT. (2021). Global Value Chain (7.2 ed.). FITT”. Students are expected to augment their
knowledge of the relevant issues in this Term Project by researching generally available online
resource material as necessary and where applicable.

Grading Rubric:
See page 6.

Project Description:
Having experienced firsthand the many product shortages Canadians endured during the
COVID-19 pandemic, you decided to start your own business and began researching
opportunities for importing healthcare-related products. You registered a company name,
Canadian Healthcare Imports, and rented 1,000 square feet of warehouse space at 299 Doon
Valley Drive in Kitchener, Ontario.

During your online research, you contacted Loyal Textile Mills Ltd., a large manufacturer of PPE,
textiles, and garments headquartered in Chennai, India. Your initial inquiry drew a response
from the Manager of International Sales for Loyal Textile Mills, Mr. Balakrishnan, who advised
they were not shipping PPE products to Canada because of domestic regulatory issues but
hoped to do so in the near future. However, Loyal Textile manufactured other healthcare
garments, including medical scrubs and doctor’s coats that you felt could be successful as
imports (See Appendix A).

During your online conversations with Mr. Balakrishnan, he mentioned that Loyal Textile would
be very interested in selling its garment line in Canada since they hoped to secure permission
from the Indian government to export their proprietary PPE products within the next twelve
months. Mr. Balakrishnan felt it would be easier to sell their PPE products in Canada if you could
first establish their line of healthcare garments in the Canadian market while they waited for
regulatory approval. Once Loyal Textile Mills received permission to export PPE products, Mr.
Balakrishnan suggested they would be open to discussing a licensing arrangement with you for
the Canadian market.

As a further incentive, Mr. Balakrishnan offered to ship your first garment order without any
advance payment or deposit, stating Loyal Textile Mills would wait for payment until 30 days
after you sold their products in Canada. The company would protect its receivable and only
require that you arrange and deliver the shipment to Canada.

These were very favorable terms, and you expressed your agreement to Mr. Balakrishnan
subject to signing a sales contract that you would prepare and forward within the next two weeks.
Now that you had secured a supplier, you concentrated your efforts on finding Canadian
customers for Loyal Textile’s line of healthcare garments.

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Over the next few days, you were able to convince a large Ontario hospital buying group to
place an order for medical garments with a 50% deposit upfront to secure their order. Two weeks
later, you placed your first order with Loyal Textile Mills Ltd., consisting of 1,000 scrub tops (250
each of four colors), 1,000 pairs of scrub pants (250 each of four colors), and 500 doctor’s coats
(250 short-sleeved coats and 250 long-sleeved coats). Scrub tops are packed 20 per box, scrub
pants are packed 10 per box, and doctor’s coats are packed 5 per box.

One week later, the local sales representative for your freight forwarder, OMG Logistics,
advised they were picking up your order at Loyal Textiles’ plant in Venkateswarapuram, India.
Your order would be consolidated into an ocean container and shipped overland to the port of
Chennai. Your shipment was booked on the Evergreen vessel Ever Given, which departed
Yantian, China, on March 8th en route to Halifax, Canada. The Ever Given was scheduled to
arrive in Chennai on March 14th and depart on March 16th.

The average sailing time from Chennai to Halifax was approximately 35 days, but the sales
representative promised to provide regular updates on the vessel’s progress and the estimated
arrival time in Halifax. Although almost 40% of ocean shipments were routinely late, your sales
representative said he had a good feeling about this voyage and was sure it would be smooth
sailing all the way!

Project Scope:
Each Group should consider themselves entrepreneurs, responsible for all facets of importing
products to Canada for distribution. The scope of your role is to research and analyze your
company’s responsibilities and obligations and answer the following six questions, which make
up this Term Project.

Assemble your Report as follows:

• Cover page
• Table of Contents
• Answers to questions
• Reference page
• Appendices
• Exhibits

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 Answer the following six (6) questions:

1. Identify the stakeholders in this scenario. (10 points)

2. What is the most appropriate Incoterm for you to select (as the buyer) in this scenario?
(5 points) Explain your answer. (5 points) (5 + 5 = 10 points total for this question)

3. Draw up a sales contract (as the buyer) for the first shipment between Canadian
Healthcare Imports and Loyal Textile Mills Ltd. Clearly state all assumptions. (25 points)

4. Classify the inventory in this sales transaction (5 points) and draw up a commercial
invoice to represent the first shipment. (15 points) (5 + 15 = 20 points total for this
question)

5. In week four, we learned about the competitive forces that shape the organization’s
business strategy.
What is your business strategy in this scenario? (5 points)
Explain your answer (5 points)
(5 + 5 = 10 points total for this question)

6. Identify the interaction group type (2 points) and the supplier interaction model (3
points) in this scenario and explain why that model best describes the relationship
between Canadian Healthcare Imports and Loyal Textile Mills Ltd. (5 points) (2 + 3 + 5
= 10 points total for this question)

Answer all questions and submit your Project Report on time. All students must participate and
contribute to receive credit for the Term Project. Keep a copy of your work for your files. Students
may be asked to submit copies of their contributions to the overall Term Project report.

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 OPER8340
Term Project – Rubric

OPER8340-__ Group #__

Possible Achieved
Question # Marks Mark Comments
1 10
2 10
3 25
4 20
5 10
6 10
Format
(Cover page etc.,
layout, grammar,
coherence, 15
spelling, citing,
referencing)

Total: 100

Assigned Course Out of 25%

Grade

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 References

Conestoga Library Services. (n.d.). Academic Integrity. https://lib.conestogac.on.ca/apa-

conestoga

Conestoga Library Services. (n.d.). APA @ Conestoga. https://lib.conestogac.on.ca/apa-

conestoga

FITT. (2021). Global Value Chain (7.2 ed.). FITT.

Loyal Textile Mills Ltd. (n.d.). About Us. https://www.loyaltextiles.com/about-us/

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 Appendix A – Loyal Textile Mills Ltd. Garment Line

Hospital Garments

Scrub Tops Scrub Pants Doctor’s Coats

Images from:
https://www.loyaltextiles.com/product/scrub-top/
https://www.loyaltextiles.com/product/scrub-pants/
https://www.loyaltextiles.com/product/doctor-coat/

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Appendix B – Maps (Chennai, Tamil Nadu, India)
Loyal Textile Mills Ltd. Corporate Office

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Appendix C – Maps (Venkateswarapuram, Tamil Nadu, India)
Loyal Textile Mills Ltd. Factory Location

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