Activity Number 3

1. Supply chain sector is divided into three separate sectors: Primary sector where the raw material is produced. These are later sold to other companies or sold directly by the primary sector firm. The secondary sector also called the manufacturing sector manufactures the raw material where in this case Kellog's is in the secondary sector. The third sector is called the tertiary sector, they sell the manufactured goods that the second sector firms make. There are firms in the primary sectors that are also retailers, they sell the raw material directly to the consumer for example coal.
2. The three sections of the industrial supply chain need to interact to ensure goods or services reach
consumers. The efficient delivery of the product to the consumer at the right price, in the right
place and at the right time will result in good business for each link of the chain. This takes
strategic planning and effective collaboration with all partners. Specialisation is more cost-effective
for Kellogg’s and partnering with other industry specialists reduces costs to the business, the
customer and the environment. Kellogg’s champions socially responsible operations. Through
effective supply chain management, it benefits itself, the environment and other businesses.
3.Every firm has to have good relations with the tertiary sector companies because after all they sell the product to the actual consumers. In Kellog's case they depend on them because they promote the product. If their relations are poor then the product would not be promoted in the best way which would decrease the sales.
4. Companies like TDG help large manufacturers such as Kellog's to transport and store their products easily. This helps the firms to focus on their merchandise all the time. Since these logistic companies carry multiple products it reduces the cost of shipment and the number of empty trucks. They also help to reduce co2 emission.


After reading about Kellog there were not any questions that occurred to me.