Ocean Spray Cranberries, Inc.
Introduction
According to a case study cited by Staudt and Stranz (2009), Ocean Spray Cranberries, Inc is an agricultural cooperative owned by more than 750 cranberry growers in the United States and Canada. The company produces canned and bottled juice, juice drinks and food products at distribution centers in Bordentown, New Jersey; Kenosha, Wisconsin; Sulphur Springs, Texas; and Henderson, Nevada. August is usually a challenging month for Ocean Spray Cranberries, Inc., when the Lakeville, Massachusetts-based firm has to pump up volume to meet the surge in demand for upcoming holiday season. Ocean Spray was managing its transportation operations internally, but the company decided that focusing on its core competency would allow them to maintain leadership in the shelf-stable juice drink category. The company believes centralizing its transportation operations and bringing all into uniformity while expanding into new markets will be beneficial for their company. Although Ocean Spray’s transportation capabilities to be able to support the expansion of their logistic network can be challenging, investing in a third-party logistics provider will allow the focus of core competency and revamping of transportation logistics.
Benefits of 3PL The result of an increasing trend toward outsourcing of logistic activities, shippers have been faced with the inevitability of selecting an appropriate third-party logistics provider (Soh, 2009). The process of finding the best suitable 3PL provider that fits user and company requirements can be very challenging. Likewise, Ocean Spray’s expansion of logistics network allows the 3PL to manage distribution, packing, warehousing and assembling. Through their combined resources and knowledge, they can help to maximize profitability and reliability. One of the advantages of having a 3PL provider is having a large amount of resource network (Langley, 2012). According to an article, 3PLs have a large network available that has
According to a case study cited by Staudt and Stranz (2009), Ocean Spray Cranberries, Inc is an agricultural cooperative owned by more than 750 cranberry growers in the United States and Canada. The company produces canned and bottled juice, juice drinks and food products at distribution centers in Bordentown, New Jersey; Kenosha, Wisconsin; Sulphur Springs, Texas; and Henderson, Nevada. August is usually a challenging month for Ocean Spray Cranberries, Inc., when the Lakeville, Massachusetts-based firm has to pump up volume to meet the surge in demand for upcoming holiday season. Ocean Spray was managing its transportation operations internally, but the company decided that focusing on its core competency would allow them to maintain leadership in the shelf-stable juice drink category. The company believes centralizing its transportation operations and bringing all into uniformity while expanding into new markets will be beneficial for their company. Although Ocean Spray’s transportation capabilities to be able to support the expansion of their logistic network can be challenging, investing in a third-party logistics provider will allow the focus of core competency and revamping of transportation logistics.
Benefits of 3PL The result of an increasing trend toward outsourcing of logistic activities, shippers have been faced with the inevitability of selecting an appropriate third-party logistics provider (Soh, 2009). The process of finding the best suitable 3PL provider that fits user and company requirements can be very challenging. Likewise, Ocean Spray’s expansion of logistics network allows the 3PL to manage distribution, packing, warehousing and assembling. Through their combined resources and knowledge, they can help to maximize profitability and reliability. One of the advantages of having a 3PL provider is having a large amount of resource network (Langley, 2012). According to an article, 3PLs have a large network available that has