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OPERATIONS AND SUPPLY CHAIN MANAGEMENT REVISION EXAMINATION PACK MANCOSA

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OPERATIONS AND SUPPLY CHAIN MANAGEMENT REVISION EXAMINATION PACK MANCOSA

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THE BMZ ACADEMY




THE BMZ ACADEMY




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BMZ ACADEMY 068 053 8213

, THE BMZ ACADEMY



MANCOSA: BBA (HONS) Assessment

A class-based discussion with model answers to PAST EXAMINATIONS AND
Assignment

Model Solutions provided in this document are not intended for cheating, rather
to provide a starting point.

All solutions were presented based on class discussion.

Further breakdown are given for each question to give students a
comprehensive starting point and keep on referencing to the relevant areas.




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, THE BMZ ACADEMY

Logistics and supply chain challenges may impact medical
oxygen availability in third wave

SECTION A

QUESTION 1 (20 Marks) In the context of the case study,
critically examine the supply chain operations (SCOR) model
in reference to manufacturing of oxygen cylinders.
Study Area, Required Resources, and Preliminary Knowledge

Study Area:

This question covers the Supply Chain Operations Reference (SCOR) model within the field of logistics
and supply chain management. It applies the five key components—Planning, Sourcing, Making,
Delivering, and Returning—to the manufacturing and distribution of medical oxygen cylinders in the
healthcare sector. The focus is on analysing operational failures and process integration in the context of
crisis logistics, such as during the COVID-19 pandemic.

Required Resources:

Students are expected to use the SCOR framework by the Supply Chain Council (SCC), academic
resources on supply chain models, and current literature on healthcare logistics. Recommended
resources include textbooks like Supply Chain Management: Strategy, Planning, and Operation by
Chopra and Meindl (2021), reports from SAPICS, and scholarly journals addressing healthcare supply
chains in Africa.

Preliminary Knowledge and Competencies:

To answer this question effectively, students must demonstrate understanding of supply chain
integration, reverse logistics, demand forecasting, and transportation management. They should also
apply critical thinking to real-world crises by identifying gaps between theoretical frameworks and
practical application. Basic competencies in quantitative planning, process mapping, and risk
management in logistics are also essential.

MODEL SOLUTION TO QUESTION 1
Critical Examination of the SCOR Model in the Manufacturing of Oxygen Cylinders

The Supply Chain Operations Reference (SCOR) model offers a comprehensive framework to evaluate
and optimize supply chain activities through five key processes: Plan, Source, Make, Deliver, and



BMZ ACADEMY 068 053 8213

, THE BMZ ACADEMY
Return. In the context of the case study, the manufacturing and distribution of oxygen cylinders during
the COVID-19 pandemic exposed critical weaknesses across several of these components. While
production capacity increased in South Africa, challenges in planning, coordination, and logistics
persisted, threatening the availability of medical oxygen in hospitals. A structured analysis of each SCOR
process provides insight into these challenges and their implications for supply chain resilience.

Planning: Strategic Forecasting and Coordination Failures

The Planning phase of the SCOR model involves determining how to meet anticipated demand using
available resources and ensuring performance efficiency through accurate forecasting (Bolstorff &
Rosenbaum, 2012). In the case of oxygen cylinders, the planning process failed to adequately anticipate
the extreme spikes in demand during pandemic waves. Although suppliers increased production
capacity, the lack of coordinated demand forecasting between manufacturers, hospitals, and
government agencies led to localized shortages. Effective planning would have required integrated
information systems to align supply with fluctuating medical needs. This highlights the need for
improved crisis planning and demand modelling in healthcare supply chains (Chopra & Meindl, 2021).
Ultimately, the failure of strategic planning cascaded into operational disruptions across sourcing and
delivery functions.

Sourcing: Limitations in Resource and Asset Procurement

The Sourcing process focuses on obtaining materials and logistics resources needed to support
production and distribution (Stevenson, 2020). In this scenario, sourcing failures were evident in the
shortage of specialized cryogenic tankers used to transport liquid oxygen. The dependency on a limited
number of suppliers and logistical partners created bottlenecks, as illustrated by the tragedy in India
where a tanker driver’s delay resulted in loss of life. This emphasizes the importance of supplier
diversification and robust contract management in sourcing strategies. Effective sourcing should have
included contingency planning to secure critical transportation infrastructure. Furthermore, public-
private collaboration could have mitigated the risks associated with resource scarcity and supplier
dependency in medical supply chains (Heizer et al., 2020).

Making: Production Efficiency and Capacity Utilisation

The Making process relates to transforming raw materials into finished goods and managing production
workflows. In this case, the production of oxygen itself was not the central problem, as both South
Africa and India reported sufficient output levels to meet demand. However, the integration between
production and logistics was inadequate. While manufacturers increased production capacity, they
faced limitations in transferring oxygen to points of use due to poor coordination with downstream
activities. This disconnect demonstrates that efficiency in “making” must be supported by synchronized
processes in sourcing and delivery (Chopra & Meindl, 2021). Additionally, production planning must
include real-time data sharing with distribution partners to avoid supply stagnation during crises.

Delivering: The Core Challenge of Healthcare Logistics




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