- Goal and Dataset Structure
- Insights Summary
- Recommendations
- Performance Dashboard
- Presentation
DataCo Global is a fictitious company. The goal of this project is to investigate the operational efficiency of supply chains used by DataCo Global to surface recommendations on delivery delay reductions.
The dataset consisted of one table including information about customers, store locations, shipping locations, delivery status, among other variables. The key features and the table schema are shown below:
In order to evaluate the operational efficiency and analyze sales, we focused on the following key metrics:
- Order Fulfillment Time: Order Shipping Date - Order Placement Date. This helps measure how fast a supply chain can handle shipping.
- On-Time Delivery Rate: The percent of deliveries that arrive on-time to their destination.
- Order Item Profit Ratio: The profit made from an order divided by the product price of the order before any discounts. This helps assess how profitable an item is relative to its price.
- Sales Value per Customer: The average sales value of the purchases made by a customer.
Order Fulfillment Rate
- The Pet Shop department had the lowest average OFT of 3.39 days. The Discs Shop department had the highest at almost 3.6 days. Both departments had a low number of orders.
- Same Day deliveries had the lowest average OFT of 0.478 days, although there were less than 10k orders. Standard Class deliveries had the highest at almost 4 days, but more than 50% of deliveries were shipped with Standard Class.
- All global markets had a similar average OFT, with the fastest OFT in US-Canada and the slowest in Africa differing by less than 0.03 days.
On-Time Delivery Rate
- The Discs Shop department had the highest On-Time Delivery rate of 41.43% days, while only having 839 orders. The Pet Shop department had the lowest at 37%, with only 182 orders.
- Standard Class deliveries had the highest On-Time Delivery rate of 57.66%, with over 62k orders arriving on-time. First Class deliveries had the lowest, with no orders arriving on-time.
- All global markets had a similar average On-Time Delivery Rate, with the highest in Africa and the lowest in Europe differing only by around 1%.
Order Item Profit Ratio
- The Fitness department had the highest profit ratio of 13.12%. The Book Shop department was the least profitable at 7.91%.
- First Class deliveries had the highest order item profit ratio of 12.65%, with over 27k orders. Same Day deliveries had the lowest, with a profit ratio of 11.76% per order item.
- The African market is the most profitable, with an order item profit ratio around 1% higher than Pacific Asia (11.59%), and at least 0.25% more profitable than the rest of the markets.
Sales Value per Customer
- The Technology department had the highest sales value per customer at $637.73, more than double of any other department. The Book Shop department had the lowest at $27.91, almost a third of the second lowest, the Pet Shop department.
- Standard Class deliveries had the highest sales value per customer of $183.68. Same Day deliveries had the lowest, with $179.23.
- The European market had the highest sales value per customer ($194.40), more than $14 higher than Pacific Asia ($180.18). The market with the lowest sales per customer was US-Canada ($176.50), almost $20 per customer less than the European market.
- Focus on optimizing Standard Class deliveries as they account more than 50% of deliveries but have the highest OFT. Consider revising logistics, improving warehouse operations, or negotiating with shipping partners to reduce the average OFT.
- Prioritize European supply chains, as Europe is the second-largest market, with the highest average sales value per customer, but the lowest On-Time Delivery rates.
- Investigate operational inefficiencies for First Class deliveries, as all orders were late but they are the most profitable. Consider changing carriers if necessary.
The Tableau Public Dashboard can be viewed here.
The presentation created for a Logistics and Operations team walks through the insights and recommendations above and can be found here. Some extracts are presented below for easy viewing.
Constante, Fabian; Silva, Fernando; Pereira, António (2019), “DataCo SMART SUPPLY CHAIN FOR BIG DATA ANALYSIS”, Mendeley Data, V5, doi: 10.17632/8gx2fvg2k6.5