LOGISTICS AND SUPPLY CHAIN MANAGEMENT MODEL FOR THAI ORCHID BUSINESS: A CASE STUDY OF AIR ORCHID

Abstract

Nowadays, Thailand is a major tropical orchid growing country in Asia, especially Dendrobium orchid because the country’s weather is 25-33 degree Celsius and relative humidity is 75-80%. The major orchid planting grounds are in Bangkok, Nonthaburi, Nakhon Pathom, Samut Sakhon, Ratchaburi, Phra Nakhon Si Ayutthaya, and Pathum Thani Orchid is also an important economic crop. Cut and plant orchids can be exported and Thailand earns 1,500 million baht annually. Major export markets are Japan, European Union, and USA. In addition, the trend of new markets, such as the Middle East, China is likely to increase. This study aims to search the present condition, inspecting, and analyzing the development of logistics and supply chain system of Thai orchid business and to inspect in order to analyze the characteristics of SCOR Model, questionnaire, and in-depth interview. The research samples are Executives, employees, and customers of Air Orchids, Mana Orchids, and orchid garden & sky-high lemon farm (Lemon Me). The data is analyzed and compared, including the secondary data is collected from several sources, both inside and outside Airorchid Supermarket. The results depict that Air Orchids has a laboratory to produce and propagate orchids themselves. It is made to order and has a separate storage area. Product flow starts with the production of raw materials through the process of tissue culture in the laboratory. When the production is finished, it will be forwarded to the seedling plant. The big flowers bloom when the customer orders. When the orchids complete according to the types of product, the last step is to deliver to the customer and the orders will be returned because of Air Orchids mistakes only. It also found that there is a cost problem in supply chain management business orchid in terms of the delivery to customers because the operator does not have its own transportation system. It will use the shipping agent to deliver the goods to all customers.