Supply Chain Management Case Studies

The major role of the procurement department is to get the products in the door, with little concern for price, to satisfy the needs of production and engineering. There are no basic systems in place to control materials once they arrive. The expediter often typed up purchase orders for rush items, and in other cases, picked up the items and told the supplier they would receive an order confirmation from the Blozis Company supply department. Once returning to Blozis, and distracted by other issues he would forget to ask supply for a confirming order. This caused distress for the supply department clerks, as they would need to process invoices for which it had no corresponding orders. Purchase orders were often made up to match invoices if the material had obviously been received from the supplier, after the fact.

Reorders are placed at the time of review (T), and the safety stock that must be reordered is:

Supply chain management is a practice that involves the planning, supervision, and implementation of strategies and controls to direct the movement of goods and services provided to customers. The intent of this essay is to incorporate a synopsis of existing literature and to provide the reader with a general understanding of how supply chain management correlates with the organizational design and structure of modern firms. The essay comprehensively reviews the components of supply chain management and their integration with functional areas within an organization. The information presented in this essay

In the case of extra supplies being needed, runners / messengers will be kept on hand to run for those supplies. The Purchasing Director will be the one in charge of ordering and monitoring these extra supplies

Open dialogue and communication is very important between the supplier and buyer. Late, missing or inaccurate documents can cause delays of customs clearance and, ultimately, delivery to destination. E-mail and the Internet, and phone calls, can enhance supply-chain efficiency.

Parts Emporium Inc. is currently facing numerous problems in relation to their inventory system. Each problem could be considered both short-term and long-term because both problems need focus immediately but may take an extended period of time to furnish. The first problem is in relation to their customer service department. The customer service department puts

Perhaps one of the most commonly cited success stories in supply chain management (SCM) is that of Wal-Mart Stores, Inc., which reported total sales of $191.329 billion and a net income of $6.295 billion during the fiscal year ended January 31, 2001 (see www.walmartstores.com). These figures represent a 15.9% growth in total sales and a 17.1% increase in net income over the immediately preceding fiscal year. International sales accounted for $32 billion of the total sales figure, increasing 41% over the previous year. Wal-Mart, which opened its first store in Arkansas in 1962, has retail stores in all 50

All products received must be documented and signed off by the receiving clerk with a matching purchase order to go along with the bill of lading or packing slip. No items should be received into inventory in the supply department without a corresponding approved purchase order. Supply department should receive a receiving report daily so they can arrange timely payment of invoices to take advantage of purchasing discounts. Nobody else should be allowed to remove a product fro inventory without providing a requisition. These processes should be implemented by the supply manager.

In Case 1 (Avion, Inc.) of the text book Purchasing Supply Chain Management, procurement managers Susan Dey and Bill Mifflin are having a meeting about struggles of a supplier they are using for a certain material required to make their product. In this meeting they start by discussing how they are in a large surprise that this Foster Technologies, the supplier, is not meeting the quality and on time delivery they had set forth to get. Initially they discuss if the supplier had shown enough promise at their facility in order to meet these standards. Bill Mifflin then pushed the fact that Foster had shown great promise and had very impressive flow processes and

Settlement risk if there are quality or delivery issues with a reduced number of suppliers;

Material delivery problems can present challenges to successful contract performance, particularly if the customer experiences long delays, is required to halt production, and/or misses important deadlines (Working and Material Shortages, 2006). Repercussions for poor contract performance include requests for a per-day down time payment or legal action if there are penalty clauses within the contract for non-delivery or late delivery. In addition, problems of destroy the potential for referrals for new business and clients and limit prospects for a long-term relationship with the customer. In order to safeguard against these challenge, proper planning and a constraint analysis of project resources is required (Worker and Material Shortages, 2006). It is important to fully understand the contract language and all penalty clauses at the onset of the project. Contractors should have an intimate knowledge of and communication within their own supply chain. A materials shipment tracking software can help with planning and maintaining transparency with inventory. Further, it is critical to develop a contingency plan for supply shortages. This may include identifying alternate suppliers or suitable replacement materials in the event of an emergency. It

co-location, SC is dispersed | Orch delivers output at same time | Orch has 1 clear leader setting tempo

Wal-mart Stores Inc was the world’s largest retailer and was started by Sam Walton in 1962 who named it as “Wal-Mart Discount City”. However before Wal-mart; Sam Walton owned a number of Ben Franklin Store Chains. Due to this prior experience of owning smaller variety stores and dealing with its franchised supply chain, he learnt various business concepts and also was able to selectively purchase merchandise in bulk from new suppliers and then transport these goods to his stores directly. And then he realized a new trend of discount retailing which was based on driving high volumes of product through low cost retail outlets. He also started a new concept of “Everyday Low

Dealing with suppliers to make sure that stock quality and quantity meet the standards of daily operation;

In the traditional concept of supply chain, for instance, a paper retailer buys paper from its wholesale supplier. Then this paper company sells them in its retail store. Or a paper manufacturer buys raw stocks from raw stocks suppliers, then turns raw stocks into paper and sells it to others. While, Extended supply chain tends to include the factories where the paper are made, the company that sells the paper, the mill where that supplier buys their raw materials, and other related segment units in this supply chain. Thus, paper retailers may not know very much about which companies originally made the paper, where the paper came from, and how it was transported to the wholesalers, what does the warehouses that store various paper look like. In this supply chain system, retailers may not be capable of reaching Tier-1 suppliers directly.