Purchasing and Supply Chain Objectives ( (Supply Chain Umbrella Large…
Purchasing and Supply Chain Objectives
Is the Supply Chain different from Supply Management?
is the systems of organizations, people, activities, information and resources involving in moving a product or service from supplier to consumer.
is the methods and processes of modern corporate or institutional buying.
-Attempting to acquire goods or services to accomplish the goals of its enterprise.
Manage the physical and international links between the supplier and buyer
Work directly with suppliers to develop proper quality control procedures and processes
Demand and Supply Planning
Demand planning identifies all the claims (or demand) on output.
Supply Planning is the process of taking demand data and developing a supply production and logistics network capable of satisfying demand requirements
Helps to ensure that customers receive material when and where they require it.
Production Planning, Scheduling and Control
Determining time-phased schedule of production, developing short-term production schedules and controlling work in process production.
Warehousing / Distribution
The product may be stored for a period in a warehouse before it is shipped to customer.
Getting a product ready for distribution to the customer.
Goods that are going out from a business to end consumers
Activities that attempt to keep a customer satisfied with a product or service.
Receiving, Materials Handling & Storage
Control of the physical processing and handling of inventory.
Materials and Inventory Control
Determining inventory level of finished goods required to support customer requirements.
Supply Chain Umbrella
Large set of activities beside purchasing is part of SCM.
There are 12 activities
4.5 rights of purchasing
Differences between inbound and outbound transportation in supply chain umbrella
refers to the storage , transport and delivery of goods coming into a business to .
refers to the same for goods going out of a business to end consumers.
Inbound and outbound transportation
combine within the field of SCM as managers seek to maximize the reliability and efficiency of distribution networks while minimizing transport and storage costs
Purchasing and Supply Objectives
-Company must have enough raw materials, component items for long term growth.
Manage the sourcing process efficiently and efficiency
Company must determine their staff levels and provide professional training and growth opportunities for employees for a better management of the company.
Develop Supply base managemen
An organization have to maintain relationships with external suppliers to expand the business.
Develop Alligned goals with internal stakeholders
An organization have to maintain the stronger relationships within the internal stakeholders to maintain the growth of the company.
Develop intergrated purchasing strategies that support organizational goals and objectives
An organization must develop strategies based on their company goals and objectives.
Supply Chain Objectives
Minimize total system cost
Satisfy customer requirements