Anderson Plastics Inc. Company Essay

771 Words4 Pages
Case Study

In this case study Roger Gray and the Anderson Plastics Inc. Company has a many purchasing problems and concerns. All of these problems are not directly caused my Roger Gray himself or the purchasing department. In this report I will explain these problems and recommend ways in which these problems can be resolved.

One problem in this company is the lack of staff in the purchasing department. The plants number of products has increased from 250 to 550 and Roger Gray is still the only real purchasing agent for the company. I believe with more help Roger Gray could spend more time monitoring inventories instead of filling out order forms on the computer. If Roger Gray could have more help with doing the simple tasks in this
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Holding more of the stock on hand would also be an appropriate way to help prevent stock outs. The company has never criticized Roger Gray for having too many items in stock. It is not necessary to hold the extra items that you don’t sell as much in stock, just the primary items. By holding more of the primary resources in stock you will still be able to produce the items that generate the most income. This will help keep customers happy, and will also keep some of the plant running saving some money for the company.

The materials management systems need to be updated. They are never truly up-to-date or real time amounts. The case says that the systems are usually a day or two behind so Roger never actually knows what he has in stock. In order for Roger Gray to be able to do his job more effectively it would help if he knew what he had on hand at any given time. Upgraded computer and company software and hardware as a whole would make the company more efficient. The company may also need to find a different way of controlling and monitoring stock numbers. Possibly people could alert Roger or one of his fellow staff members when they are taking a load of materials to a new place or area of the plant so he is aware of where everything is at all times. Another issue within the company is the lack of communication from one department to the other. This was the cause of one of the stock outs
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