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Determining the Optimal Level of Product Availability According to the Product Life Cycle

Student: Semeniuk Veronika

Supervisor: Dmitry A. Kuzin

Faculty: Faculty of Management (Nizhny Novgorod)

Educational Programme: Management (Bachelor)

Final Grade: 8

Year of Graduation: 2016

In this paper, there are both theoretical analysis of essential literature and analysis of the company OOO" Santekhzagotovka ". In the study of the sources, it was found that there are many factors that affect the efficiency of the company. Some of them - logistics and logistics service. Their activities are aimed at meeting the needs of customers. For this reason, the planning and organization of activities must take place in accordance with the expectations of consumers. In addition, the product life cycle which reflects the behavior of customers should be taken into account when planning the volumes of purchases and the proposed level of logistics service. The aim is to find the optimal level of logistics service in accordance with the level of the product life cycle. The study is revealed at what stage of the life cycle the product - convector "Universal-NN" is and there are recommendations about logistics service at a certain stage of the product development. In paper also consider the financial documents that help to determine the stage of the product life cycle and to calculate the salvage value of the products. The paper is presented calculations of performance optimization that was carried out in Excel. Moreover, the effectiveness of the proposed method is demonstrated by comparing the expected profit from the real, which company has in the analyzed period. The efficiency of the offered method makes 38,2%. Moreover, the organizational structure was analyzed, which at the moment is linear and it was suggested its restructuring in the form of a linear functional. The results of this work show that the choice of a level of logistics service is a difficult but necessary process that requires a full analysis of multiple factors, including the stage of the product life. Therefore, the actions taken in the logistics must be deliberate, measured and related to studies in this area.

Full text (added May 22, 2016)

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