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ST. AUGUSTINE UNIVERSITY OF TANZANIA STRATEGIC LOGISTICS PLAN 2010/2011-2014/2015 Building the City of God’ Prepared by Fransisko T. Mashimbi (3131/T.10) Submitted to Mr. Bakari Mohamed Mzumbe University as a Term paper in National & International Logistics Course (LOG 5621)

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Page 1: Strategic Logistics Plan

ST. AUGUSTINE UNIVERSITY OF TANZANIA

STRATEGIC LOGISTICS PLAN

2010/2011-2014/2015

‘Building the City of God’

Prepared by Fransisko T. Mashimbi (3131/T.10)

Submitted to Mr. Bakari Mohamed

Mzumbe University

as a Term paper in National & International Logistics Course (LOG 5621)

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TABLE OF CONTENTS

Abbreviations....................................................................................................................... i

Executive Summary............................................................................................................. ii

1.0 University Profile..................................................................................................... 1

1.1 Background.................................................................................................. 1

1.2 Vision and Mission....................................................................................... 2

1.2.1 Vision............................................................................................... 2

1.2.2 Mission............................................................................................. 2

1.3 Objectives of the University......................................................................... 3

1.4 Core Values.................................................................................................. 3

2.0 Situation Analysis..................................................................................................... 4

2.1 Strength and Weaknesses............................................................................. 4

2.1.1 Strengths.......................................................................................... 4

2.1.2 Weaknesses...................................................................................... 5

2.2 Opportunities and Challenges....................................................................... 6

2.2.1 Opportunities.................................................................................... 6

2.2.2 Challenges........................................................................................ 7

3.0 Strategic Logistics Plan............................................................................................ 8

3.1 Management Overview................................................................................ 8

3.2 Statement of Strategic logistics Objectives.................................................. 9

3.2.1 Customer Perspective Objective...................................................... 9

3.2.2 Workforce Perspective Objective.................................................... 9

3.3.3 Financial Perspective Objective....................................................... 9

3.3 Strategies...................................................................................................... 9

3.4 Description of Individual Logistics Functions............................................. 10

3.4.1 Objective 1....................................................................................... 10

3.4.2 Objective 2....................................................................................... 13

3.4.3 Objective 3....................................................................................... 15

3.5 Major Logistics Operational Plan................................................................ 17

3.6 Action Plan Timetable.................................................................................. 20

3.7 Logistics Operational Requirements Forecast.............................................. 21

3.8 Logistics Financial Statements..................................................................... 22

4.0 References................................................................................................................ 23

5.0 Appendix-SAUT Organisation Chart

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ABBREVIATIONS

SAUT St. Augustine University of Tanzania

HEAC Higher Education Accreditation Council

TCU Commission for Universities

NSTI Nyegezi Social Training Institute

TEC Tanzania Episcopal Conference

SWOT Strengths, Weaknesses, Opportunities and Threats

SWOC Strengths, Weaknesses, Opportunities and Challenges

WBUCHS Weill Bugando University College of Health Sciences

MUCE Mwenge University College of Education

RUCO Ruaha University College

AAC Association of Africa University

EOQ Economic Order Quantity

JIT Just in Time

ACUHAM Association of Catholic Universities and Higher Institutes of Africa

and Madagascar

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EXECUTIVE SUMMARY

This Strategic Logistics Plan clearly sets out the logistics strategies and links to the key

strategic initiatives that St. Augustine University wishes to vigorously pursue in the period of

five years (2009-2014). As a department we are confident that our initiatives shall spur

further university success and place it in an enviable position at the National, East Africa and

even global arena as a community of knowledge creation and dissemination.

This Plan comprises of The University Profile including; Mission, Vision, Objectives and

Core Values. It also comprises the University SWOT Analysis and the main Logistics

Strategic Plan.

The Logistics Plan comprises three objectives; maximizing customer (students) satisfaction

through provision of required academic and support facilities; providing a supportive work

environment that recognizes and rewards achievement through provision of teaching and

support facilities; and Achieving a cost-effective inventory management by ensuring

minimum ordering and inventory holding costs.

The Plan is also states the description of the individual logistics functions in relation to the

stated objectives; Major logistics Operational Plans and Action Plan Timetable stating the

Strategic Objectives and their Strategies, Key Performance Indicator, Timing, Expected Costs

and their Impact; Logistics Operational Requirements and the Logistics Financial Statement.

These initiatives shall require a substantial amount of capital to actualize. It is expected that

the University board and Management with support of academic and support staffs shall

bring detail and precision that will allow these plans to be budgeted both as regard to income

and expenditure as the implementation process roles out.

We therefore call upon all staffs and other partners to support our departmental objectives

and realize the University Vision for “Building the City of God”.

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CHAPTER ONE

UNIVERSITY PROFILE

1.0 Introduction

St Augustine University of Tanzania (SAUT) is chartered as a secular non-profit

making private university. It was established by the Catholic Bishops of Tanzania in

accordance with the laws of Tanzania. It has a Certificate of Incorporation under the

Trustee incorporation Ordinance (Cap. 375) and a Certificate of Accreditation granted

by the Higher Education Accreditation Council (HEAC) now known as Tanzania

Commission for Universities (TCU).

The university extends over 600 acres in Nyegezi-Malimbe area 10km south of

Mwanza City. It lies 4km off Mwanza-Shinyanga road on the shores of Lake Victoria.

Mwanza can be reached from other parts of Tanzania and East Africa by train, air,

ferry and highway.

1.1 Background

St. Augustine University of Tanzania (SAUT), established in 1998, is the successor of

the Nyegezi Social Training Institute (NSTI) founded in 1960 as the Nyegezi Social

Training Centre by the Catholic White Fathers under the initiative of Bishop Joseph

Blomjous of the Mwanza Diocese.

The NSTI was established with a view to training indigenous manpower, regardless of

race or creed, in general management as well as in professional skills such as

journalism, accountancy, materials management, and health administration.

In 1975, the NSTI was entrusted to the Tanzania Episcopal Conference (TEC). The

TEC guided and managed the NSTI in achieving its aim of manpower training. More

than 2400 men and women graduated from the institute for service in the countries of

East and Central Africa until the 1998.

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The TEC founded SAUT established in accordance with the laws of the country,

under the direction of the TCU in accordance with the provision of the Universities

Act No.7 of 2005.

1.2 Vision and Mission

1.2.1 Vision

The founders of SAUT envisioned a training that would not only impart

academic and professional skills but also a training that would inculcate values

of civic and social learning such as the acquisition of national identity, cultural

norms, political growth and responsible citizenship.

1.2.2 Mission

SAUT‟s Mission is:

i) To be a centre of excellence, providing high quality of

education, research and consultancies

ii) To contribute towards the satisfaction of the demand for

experts by the society in various fields of humanities, social

sciences, science and technology, law, medicine, and

agriculture by preparing competent and well qualified

intellectuals of high academic and moral integrity

This mission statement constitutes the purpose or legitimacy for its existence

as an institution.

1.3 Objectives of the University

They are the following

i. To form an academic community of both teachers and learners as a

centre of creativity and dissemination of knowledge;

ii. To advance, expand, transmit, enhance and preserve knowledge;

iii. To promote respect for learning among various disciplines and the

pursuit of knowledge and truth;

iv. To contribute toward the satisfaction of demand for experts by society

in various fields;

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v. To prepare and mould men and women of integrity, dedication, and

commitment;

vi. To be an organ of the Church in its prophetic mission;

vii. To act as an example in the implementation of some of the national

policies, such as equal opportunity for women, ethnic minorities, the

poor and the disabled:

viii. To promote an understanding of the practical applications of

knowledge; and

ix. To be a forum for ecumenical dialogue and collaboration with other

Christian denominations.

1.4 Core Values

Excellence-We provide the best quality education, research, publications and

consultancy services.

Teamwork & Collaboration- SAUT provides a positive and challenging

environment that supports the achievement of mission goals and fosters

team spirit.

Students & Community- Students are our customers and satisfying them is our

driving force. Our wish is to continually disseminate knowledge and

enhancing creativity.

Corporate Citizenship- SAUT values a positive corporate image and is sensitive to

our corporate responsibilities to the community. We actively participate and

support community involvement.

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CHAPTER TWO

SITUATION ANALYSIS

2.0 Introduction

This chapter provides the appraisal of the internal and external environment. In so

doing, it identifies the major strengths, weaknesses, opportunities and threats (SWOT

analysis). However, the university considers threats as challenges which are

convertible into opportunities, hence considering SWOC analysis. These must be

considered by the plan for the period 2010-2015.

2.1 Strengths and Weaknesses

Through examination of the current situation is critical in identifying promising

strategies. Internal appraisal enables SAUT to identify areas where it is relatively

strong to capitalize on and areas which would require change or improvements as

outlined below:

2.1.1 Strengths

1. It has demand-driven academic programmes which can ensure sustainable

competitive advantage over other universities.

2. The Tanzania Episcopal Conference (TEC) is committed to the

development of SAUT through guidance and management in achieving its

objectives.

3. SAUT is destined to be the largest university in the Lake zone and among

large universities in the Tanzania. This provides opportunities for

economies of scale,

4. The geographical location of Mwanza creates easy accessibility of the

University to the regions of the country and nearby countries of Kenya

and Uganda by ferry through Lake Victoria, railway (central railway), and

air.

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5. It has adequate land resource for establishing teaching, research facilities,

and public services centers, including possibility for expansion.

6. Through the programme of recruiting staffs from its own best students,

SAUT is in a better position to shape its own institutional tradition that

will foster success and contribute towards effective and efficient

implementation of the strategic objectives.

7. Competence of staff makes the academic programmes of SAUT

marketable and acceptable throughout the country, and excelling in areas

of research, publications and consultancy.

8. Through its training programmes, SAUT provides opportunity for staff

retention and loyalty to the organization. They also expose staff to

diversified knowledge and skills for university and personal growth.

9. SAUT collaborates with other institutions of higher learning particularly

those located in the AMECEA region for the integral development and

understanding and promotion of cultures, the environment.

10. Through its public relations programme, SAUT offers a variety of

services to communities especially the poorest or the neediest and the

most marginalized in the society.

2.1.2 Weaknesses

1. National and International collaboration of SAUT and other higher

learning institutions is still at an infant stage.

2. With continuous increasing number of students, SAUT does not have

adequate number of administrative and academic staff, and inadequate

infrastructure for teaching, research and publications.

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3. SAUT has inadequate accommodation facilities, hence leading most of

people to stay off the campus where it is expensive. This hinders the target

of the University of serving the poor and the needy through affordable fee.

2.2 Opportunities and Challenges

Generally, the uncontrollable environment consists of the external factors that work

for or against the institution. The analysis of these factors sheds light on opportunities

that are available for SAUT and the challenges that need proactive measures to ensure

timely attainment of strategic objectives.

2.2.1 Opportunities

1. SAUT being the only university in the Lake zone part of Tanzania; it has a

great opportunity of attracting students from Lake Zone regions and other

parts of Tanzania.

2. SAUT has a constituent College of Health and Allied Sciences of

Bugando in Mwanza. This has led to the provision of more health

professionals and growth of Bugando hospital into a referral hospital, with

this more people will be attracted to come and live in Mwanza, hence

increasing the population of the potential clients to the university.

3. SAUT incorporates three constituent colleges; Bugando University of

Health Sciences (BUCHS) in Mwanza, Mwenge University College of

Education (MWUCE) in Moshi, and Ruaha University College of Law

and Technological Science (RUCO) in Iringa. It has also three centres;

Dar es Salaam centre (School of Graduates), Mtwara centre, Tabora centre

and Morogoro centre. This provides opportunity for SAUT to gain

popularity and supporting its growth.

4. Through being under TEC, it is given a chance to collaborate with other

institutions of higher learning particularly those located in the AMECEA

region for the integral development and understanding and promotion of

cultures, the environment.

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5. Given the vast land owned by the University, there are possibilities for

further investment, both public and public private partnership ventures.

Such partnership and investment are an opportunity for SAUT to become

the largest University among private universities in Tanzania.

2.2.2 Challenges

1. Stiff competition with other universities creates the challenge for SAUT to

improve services in terms of human and physical facilities so as to attract

good local and international students.

2. Training of newly recruited staff at masters and PhD level requires a

balance between demand of work and significant financial commitment by

the university. This becomes a long term on-going process in terms of

time and financial requirements.

3. Implementation of the SAUT‟s strategic objectives as spelt in this plan,

will highly depend on availability of funds in short term as well as long

term.

4. Recruitment and retention of high quality academics may be problematic

since other universities in thee country and commercial firms offer

attractive remuneration and other related fringe benefits. This may

eventually lead to brain drain for the existing and prospective employees.

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CHAPTER THREE

STRATEGIC LOGISTICS PLAN

3.0 Introduction

After understanding of the corporate objectives for the attainment of the overall

mission and vision of the university, this chapter gives a unified comprehensive and

integrated planning process to achieve competitive advantage through creating value

and customer service to ensure superior customer satisfaction by anticipating future

demand for logistics services and managing the resources of the entire supply chain.

3.1 Management Overview

St. Augustine University as an organization is divided into two categories; the

Academic category and Administrative category. The Academic category has four

faculties; the faculty of Business Administration, the faculty of Law, the faculty of

Education and the faculty of Humanities and Social Sciences. Each faculty is further

divided into three to four departments. The Administrative category is divided into

Administration section and Finance section.

Logistics and Supplies department integrates to both functional divisions through

supply of academic facilities and administrative facilities. This includes both material

goods and services for enhancing knowledge dissemination and supportive work

environment.

The department also works closely with the Building and Estate section responsible

for buildings‟ construction through the whole tendering process and project

management.

The Logistics and Supplies section plays great role to the satisfaction of customer or

user departments and attaining of value for money purchases through buying in right

quality, right quantity, at right place, for right cost and at right time.

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3.2 Statement of Strategic Logistics Objectives

The established objectives focus on three basic perspectives; Customer (Student)

perspective, Workforce perspective, and Financial perspective.

3.2.1 Customer Perspective Objective

“Maximizing Customer Satisfaction”

We will provide the required academic and support facilities to enhance

students‟ creativity and acquiring of knowledge as an academic community.

3.2.2 Workforce Perspective Objective

“Provide a supportive work environment that recognizes and rewards

achievement”

We acknowledge our responsibility as a Supplies department to provide

teaching facilities for enhancing knowledge dissemination and creativity for

academic staffs and other administrative staffs with relevant facilities.

3.2.3 Financial Perspective Objective

“Achieving a cost-effective inventory management”

We want to ensure minimum ordering and inventory keeping costs

3.3 Strategies

Our department will employ twelve key strategies to achieve the above objectives and

university mission and hence positioning the community for future academic success,

these are;

1. Providing library resources (Books) as an ongoing progress.

2. Erect, equip and maintain facilities in lecture halls, students‟ hostels, and staffs

houses.

3. Provide office supplies and general stationeries for supporting administrative

and academic activities.

4. Providing health facilities as an ongoing function.

5. Provision of catering services as an ongoing function.

6. Provide sports equipments and other recreational facilities.

7. Provide cleanness services as an ongoing function.

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8. Enhancing security of university assets and community.

9. Providing transport facilities for enhancing administrative and academic

activities

10. Consolidating orders to reduce ordering costs

11. Installing online ordering and warehousing

12. Use of EOQ model to ensure keeping the minimum demanded stock

13. Purchasing of some items on demand (Use of JIT technique) such as fuel.

3.4 Description of Individual Logistics Functions

These include procurement function, order processing, transportation, warehousing,

inventory control and shipping of materials to the user departments.

3.4.1 Objective 1

Maximizing Customer Satisfaction

A detailed given supply chain shows where and how various facilities are acquired,

transported, stored and issued to the user departments for enhancing knowledge

acquiring.

1. Procurement

Under this function, emphasis is on material specification to ensure delivery of

the right materials in right quantity. Method of acquiring each good or service is

indicated.

Books

Each department needs to communicate the need for current books

relevant to their field of study.

Most of books will be purchased directly from the relevant professional

bodies. The quantity to be bought in a period of five years will vary

depending on the need for current books on annual basis.

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Accommodation facilities

By 2013/2013, it is under plan to have five buildings erected with 500

rooms and equipped with beds, shelves, small tables and chairs to cope

with increased students‟ enrolment of 15,000 by 2014.

Competitive tendering will be employed in acquiring a contractor and

facilities supplier who can offer value for money.

Lecture Halls Facilities

By 2010/2011 to have erected one lecture halls building with five floors,

each having two lecture theaters, giving a total of ten lecture theatres.

Competitive tendering will be used to acquire a contractor and supplier

of fixed chairs (1500 chairs). Experience in construction projects will

have an added advantage.

Medicines and Medical Facilities

Continuous supply of medicines will be conducted by purchasing

directly from wholesalers in Mwanza and Dar es Salaam.

Catering Service

Since is a non-core function, it will be outsourced so as to reduce

operating costs.

Competitive tendering will be employed in acquiring a service provider

and contract will be given on an annual basis.

Sports Equipment and Recreational Facilities

They will be purchased directly from sports equipments suppliers in

Mwanza and stored, and will be issued on demand.

Acquiring of the service provider through competitive tendering for

running the university recreation center and contracted on an annual

basis.

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Cleaning Services

This service will also be outsourced as it is a non-core activity.

Competitive tendering will be employed in acquiring a service provider

and contract will be renewed on an annual basis.

Security Service

This service will also be outsourced as it is a non-core activity.

Competitive tendering will be employed in acquiring a service provider

and contract will be renewed on an annual basis.

2. Order Processing

By 2010/2011, Supplies section will have installed an on-line integrated

system.

The system will involve order placement, order status, order tracing and

back-order status.

This will minimize order processing time and hence achieving

customers‟ satisfaction.

3. Inventory Control

By 2010/2011, the department will have installed an automated

inventory control system.

The system will show inventory levels as new inventory is received or

issued maximum and minimum stock levels once reached and thus

immediately alerting for order replenishment and thus avoiding stock

outs and overstocking.

4. Warehousing Operations

By 2010/1011 to establish utilization of computers in warehouse

functions including shipping and receiving, order picking system, and

sorting system. The department will implement a system known as

Warehouse Information Network System (WINS).

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This will allow direct communication between the user departments and

warehouse attendants. This will include information on shipping orders,

inventory status, warehouse activity levels, warehouse transfer

shipments, and other administrative matters.

Provide handling equipments including hand pallets/trolleys and

adjustable steel shelves for enhancing warehouse operations and

customer servicing.

5. Transportation

For most of orders made at the university, suppliers do quote prices

based on free on board (FOB) destination, in other words the price paid

for a product includes delivery to the buyer.

By 2013/2014 to buy a truck with 3 tons carrying capacity within the

given timeframe for enhancing transportation of user departments

orders.

6. Distribution

Acquiring of a 3 tons capacity vehicle to enhance distribution of tailor

made goods to other university centers in Morogoro, Tabora and

Mtwara,

7. Customer Service

The university through its supplies section is committed towards provision of

academic and support facilities of right quality, in right quantity, at right place,

for right cost at right time for users’ satisfaction. This will be achieved through

implementation of this five years‟ strategic logistics plan.

3.4.2 Objective 2

Provide a supportive work environment that recognizes and rewards achievement

A detailed given supply chain shows where and how various facilities are acquired,

transported, stored and issued to the user departments for facilitating their tasks.

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1. Procurement

There are various requirements for academic and administrative staffs, these

include;

Books and Office Stationeries

Acquiring of books will involve direct procurement as applied in item

3.5.1 (1).

Stationeries including papers, pens, chalks staple and punching machines

will be purchased directly from suppliers in Mwanza.

Housing facilities

Competitive tendering will be employed in acquiring a supplier who can

supply various house furniture for a price reflecting value for money.

Office Facilities

Erecting and equipping sixty offices block by 2012/2013.

Competitive tendering will be employed in acquiring contractor and

facilities supplier whose price reflects value for money.

Medicines and medical facilities

Continuous supply of medicines will be conducted by purchasing

directly from wholesalers in Mwanza and Dar es Salaam in an annual

basis.

2. Order Processing

On-line integrated System will be employed as applied in item 3.5.1 (2)

for reducing order processing time and hence achieving customers‟

satisfaction.

3. Inventory Control

Automated Inventory Control System will be employed; this strategy will

be incorporated under item 3.5.1 (3)

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4. Warehousing

Warehouse Information Network System (WINS) will be installed

Provide and position adjustable steel shelves and hand operated pallets

and trolleys for handling functions. The strategy is incorporated with

item 3.5.1 (4).

5. Transportation

Acquiring 1 truck, incorporated with plans under item 3.5.2 (5).

Buying two buses with 40 passengers‟ carrying capacity.

The buses will be operating in the morning to the university and evening

from university to residential areas; 07hrs and 16hrs. The first bus will

be moving to and from Nyakato areas and the other to areas of Ilemela.

6. Distribution

Acquiring 1 truck for enhancing distribution and incorporated with plans

under item 3.5.1 (6)

8. Customer Service

Supplies department is committed towards provision of academic and support

facilities of right quality, in right quantity, at right place, for right cost at right

time for users’ satisfaction. This will be achieved through implementation of

this five years‟ strategic logistics plan.

3.4.3 Objective 3

Achieving a cost-effective inventory management

1. Procurement

The use of the right method of procurement depending on the value of

purchase aiming at achieving Value for money

Consolidating orders to attain discounts and reducing transportation costs

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2. Order Processing

On-line integrated System will be employed as applied in item 3.5.1 (2) for

Reducing transportation expense

Minimization of order processing time or delays.

Provide highly accurate data required for forecasting and distribution

planning, updating inventory records and monitoring users‟ demands‟

3. Inventory Control

Employing an Automated Inventory Control System. The system will;

Show inventory level as new items are received or issued

Maximum and minimum stock levels and alerts for order replenishment.

The use of EOQ model will also be incorporated to ensure keeping of minimum

stock to reduce carrying costs.

4. Warehousing

Installing a Warehouse Information Network System (WINS). The system will;

Increase efficiency in warehousing operations

Requiring less warehouse personnel and hence minimizing carrying costs.

2 full warehouse guards will also be employed to reduce risk of theft, pilferage and

fire.

5. Transportation

1 truck will be acquired to be used in carrying incoming and outgoing goods,

hence reducing transportation costs resulting from using other private carriers.

6. Distribution

Location of the warehouse within the campus reduces costs related to

distribution.

A truck to be acquired will reduce distribution costs to other university

centers and facilitating distribution within the campus.

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3.5 MAJOR LOGISTICS OPERATIONAL PLAN

Strategic Objective Strategies Key Performance

Indicator

Timing/Milestone

(Academic Years)

Expected Costs

in Tshs.

Impact

1.Maximizing Customer

Satisfaction

1.1. Provision of relevant

books on time

Relevant books

available

Beginning of each

year (2010-2015)

200,000,000/=

Students satisfied

with facilities for

acquiring

knowledge and

enhancing

creativity

1.2. Erect and equip

accommodation

facilities

Adequate

accommodation

facilities available

By end of

2012/2013

academic year

2,787,500,000/=

1.3. Erect and equip

lecture halls

facilities

Adequate lecture

halls facilities

By end of

2010/2011

1,545,000,000/=

1.4. Provision of

medical facilities

Adequate medical

facilities available

Beginning of each

year, 2010-2015

100,000,000/=

1.5 Acquiring catering,

cleaning and security

services

Available catering,

cleaning and

security services

Beginning of each

year, 2010-2015

850,000,000/=

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2. Provide a supportive

work environment

that recognizes and

rewards achievement

2.1. Erect and equip

office facilities

Adequate offices

and its facilities

By end of

2013/2014

1,215,000,000/=

Staffs provided

with supportive

work

environment

2.2. Providing

stationeries i.e

papers, chalks,

pens, staples e.t.c

Available

stationeries i.e

papers, chalks e.t.c

Beginning of each

semester , 2010-

2015

250,000,000/=

2.3. Provide transport

facilities (2 buses)

2 buses available By semester 1,

2014/2015

300,000,000/=

2.4. Install on-line

ordering system

Reduced ordering

time

By end of

2010/2011

7,350,000/=

2.5. Provide staff

housing facilities

Adequate housing

facilities available

By end of

2014/2015

30,000,000/=

Strategic Objective Strategies Key Performance

Indicator

Timing/Milestone

(Academic Years)

Expected Costs

In Tshs.

Impact

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3. Achieving a cost-

effective inventory

management

3.1.Use of right method

of procurement

reflecting value for

money

Buying at right

price through right

procurement

method

For @ project

from 2010-2015

Minimization in

inventory

ordering and

holding cost

3.2.Consolidating user

departments orders

Reduced ordering

cost

For @ order

from 2010-2015

3.5.Use of inventory

control model (EOQ)

Optimum stock

kept

From 2010-2015

3.6.Improve warehouse

security system

Reduced stores

theft and pilferage

By 2nd

Semester

2010-2011

10,000,000/=

GRAND TOTAL

7,294,850,000/=

Strategic Objective Strategies Key Performance

Indicator

Timing/Milestone

(Academic Years)

Expected Costs

in Tshs.

Impact

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3.6 ACTION PLAN TIMETABLE

Note: S1- First Semester

S2- Second Semester

Purchase of stationeries is on semester basis from 2010/2011-2014/2015

Purchase of Books, Medicines, sports equipments and acquiring of security and cleaning services is on annual basis in the first semester

of each year

S/N Activities 2010/2011 2011/2012 2012/2013 2013/2014 2014/2015

S1 S2 S1 S2 S1 S2 S1 S2 S1 S2

1. Purchase of Stationeries (papers,chalks,pens, etc)

2. Purchase of books, medicines, sports equipments

3. Acquiring Security services ( on annual basis)

4. Acquiring Cleaning services( on annual basis)

5. Purchase of system facilities and installation

6. Purchase of hand pallets/trolleys/forklift

7. Fixing of Adjustable steel shelves

8. Erecting and equipping a lecture halls building

9. Improve warehouse security system

10. Erecting and equipping of 5 Hostel blocks

11. Erecting and equipping Staff offices building

12. Acquiring 1 truck

13. Acquiring 2 staff buses

14. Provision of staffs housing facilities

15. Supply of Fuel ( Is on Demand Bases)

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3.7 LOGISTICS OPERATIONAL REQUIREMENTS FORECAST

1. Capital Requirements

1 truck vehicle

Adjustable Steel shelves

Hand pallets/trolleys and forklift

2. Operating Requirements

Fuel and Lubricants

Vehicle Maintenance

Computer with internet facility and system software

1 working telephone

2 tables and 4 chairs

3. Workforce Requirements

Table 2: The Logistics staff cadres, qualifications and experience

S/No.

Logistics Post

Academic

Qualifications

No. of

staffs

Experience

(Years)

1. Principle Logistics

and Supplies

Manager

MSc. (PSCM), BBA

(PLM), CPSP (T)

1 10

2. Warehouse

superintendent

BBA (PLM), DBA 1 5

3. Procurement &

Supplies officers

BSc. (PSCM) 3 3-5

4. Warehouse

management officers

BBA (PLM) 2 2-5

5. Warehouse operators Form six with warehouse

management course

2 5-7

6. Warehouse mgt &

ordering systems

analyst

BSc (ICTM), CICT 1 3

7. Forklift driver Driving course-Class C 1 2

8. Truck driver Driving course-Class C 1 3

9. Security Guard JKT Certificates 2 1

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3.8 LOGISTICS FINANCIAL STATEMENT

A. Overall Five Years‟ Financial Statement

1. Capital Requirements; Tshs. Tshs.

1 truck vehicle……………… 200,000,000

Adjustable Steel shelves……. 5,000,000

Hand pallets/trolleys & forklift (1 ton) 10,000,000

System facilities and installation;

3 computers @700,000… 2,100,000

1 printer………………… 250,000

System installation…….. 5,000,000

1 working telephone………. 500,000

2 office tables and 4 chairs... 1,000,000 223,850,000

2. Consumable Operating Requirements

Office Stationeries

(12,000,000@yr * 5yrs)…… 60,000,000

Fuel and Lubricants

(20,000,000@yr * 5yrs)…… 100,000,000

Vehicle Maintenance

(10,000,000@yr * 5yrs)…….. 50,000,000 210, 000,000

3. Workforce Requirements;

*Salaries and Allowances

1 Principle Logistics and Supplies Mnger

(1,500,000*12*5yrs) 90,000,000

1 Warehouse superintendent

(750,000*12*5yrs) 45,000,000

2 Procurement & Supplies officers

(@500,000*2*12*5yrs) 60,000,000

2 Warehouse management officers

(@500,000*2*12*5) 60,000,000

2 Warehouse operators

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(@200,000*2*12*5) 24,000,000

1 W/h mgt & ordering systems analyst

(550,000*12*5yrs) 33,000,000

1 Forklift driver (@250,000*12*2yrs) 6,000,000

1 truck driver (@250,000*12*2yrs) 6,000,000

Security Guard (200,000*12*5) 12,000,000

Other staffs‟ benefits/allowances 50,000,000 386,000,000

4. Miscellaneous Requirements

Breakfast and refreshments

(5,400,000@yr * 5yrs)……… 27,000,000

Drinking water

(1,800,000@yr * 5yrs)…….. 9,000,000 35,000,000

Grand Total 854,850,000/=

* Salaries and allowances are in approximations as they may vary depending on

annual increments, contract renewals and special allowances

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B. Annual Financial Statements from 2010/11-2014/15 (in „000 Tsh.)

Requirements/Year 2010/11 2011/12 2012/13 2013/14 2014/15

1. Capital Requirements;

1 truck vehicle ------- -------- -------- 200,000 --------

Adjustable Steel Shelves 5,000 -------- -------- -------- --------

Hand pallets/trolleys & forklift 10,000 -------- -------- -------- --------

System facilities and installation 7,350 -------- -------- -------- --------

Office furniture 1,000 -------- -------- -------- --------

1 Working telephone 500 -------- -------- -------- --------

2. Consumable Operating Requirements;

Office Stationeries 12,000 12,000 12,000 12,000 12,000

Fuel and Lubricants 20,000 20,000 20,000 20,000 20,000

Vehicle maintenance 10,000 10,000 10,000 10,000 10,000

Staff salaries and allowances 77,200 77,200 77,200 77,200 77,200

3. Miscellaneous Requirements;

Breakfast and refreshments 5,400 5,400 5,400 5,400 5,400

Drinking Water 1,800 1,800 1,800 1,800 1,800

Grand Total 150,250 126,400 126,400 326,400 126,400

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3.9 Description of the Business Impact of the Logistics Strategy

With successfully implementation of the stated logistics strategies, the plan will have

the following impact to the university;

Maximized customer satisfaction

University customers who are students will be satisfied through being

provided with both academic and support facilities for enhancing acquiring of

knowledge and students‟ creativity.

Supportive Work Environment

Both academic and administrative staffs will be provided with supportive

work environment that recognizes and rewards achievement. This is through

being provided with teaching and office facilities for academic staffs and with

office and other operating requirements for supporting or administrative staffs.

Cost Effective Inventory Management

The department will play part in reducing university operating costs through

minimization of inventory ordering costs and holding costs by using various

techniques in procurement and inventory controlling.

Through these impacts with consideration of the increased students‟ enrollment to

15,000 by 2014, Supplies & Logistics department will have contributed greatly

towards the achievement of the university goal of being a centre of excellence,

providing high quality education, research and consultancies.

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4.0 REFERENCES

Business planning available at

http://www.sba.gov/starting_/business/planning/basic.html accessed on 23th

Dec, 2010

Christopher M.; Logistics and Supply Chain Management, 3rd Edition, (1992),

Prentice Hall, UK

Lambert M. & Stock R.; Strategic Logistics Management, 3rd

Edition, (1999),

McGraw-Hill, Singapore

SAUT Corporate Strategic Plan, 2009-2014

SAUT Procurement Plan, 2009/2010

SAUT Quality Assurance Project Report 2009/2010

St. Augustine University of Tanzania –Prospectus 2010-2011

Unsons Technical Works, Logistics/Warehousing Services, available at

www.unsonstechnicalworks.com accessed on 22nd

Dec, 2010

WWF Project, Design operational plan (2007) available at

https://intranet.panda.org/documents/folder.cfm?uFolderID=60980.