Managing The Supply Chain Essay Example | Topics and Well Written Essays - 2000 words

Managing The Supply Chain - Essay Example The project would also look at the production process employed by Colgate-Palmolive and the management and distribution channels. The importance of the end-user would also be examined in the paper. Colgate Procurement System (2013) identifies that the company uses a uniform and fair system of taking tenders and supplier application from producers. The company decides what to buy on the basis of quality and price offered by a supplier. The suppliers reliability, integrity, innovation and commitment to continuous improvement is a basis for decision making (Colgate Procurement System, 2013). Ethical standards are used to carry out the examination and evaluation of different suppliers. This include a number of standards and expectations that must be met by each and every supplier in the list of possible contenders. Once this is done, there are some guidelines that are used to by the Global Procurement Group to authorize a supplier. The Global Procurement Group of Colgate-Palmolive is made up of purchasing and logistic professionals from the regional units of the company. They use teamwork to guide their efforts. The group takes up tenders and quotes from suppliers around the world who fit some basic requirements. The quotes are presented to the Group and they examine and critique it. The company uses various criteria including positive discrimination techniques like identifying minority-owned suppliers and women-owned businesses. The group uses ethical business practices and high integrity levels to set goals and attain them. When suppliers are chosen, the company settles down to manage them through various technological and ICT databases and platforms that produce real-time information for decision making and guidance. Every suppliers contract is stipulated and given out to the customer when they join the supply team. The suppliers are monitored by the Internal Supply Managing the Supply Chain Essay Example | Topics and Well Written Essays - 2250 words Managing the Supply Chain - Essay Example There should be a complete realignment of the procurement system that will be followed for all raw materials, parts, and components. The activities that follow the procurement process apply to the purchase of goods and services in the industrial markets. These activities often cut across both functional boundaries on an intra-firm basis and organizational boundaries on an inter-firm basis. It needs the inputs from all the parties involved in the transactions. Hence streamlining the procurement system would maximize value for both buying and selling. The realignment of procurement system maximizes productivity by ensuring the production lines work in tandem with each other. There should be a complete integration of the inventory management and the procurement system to ensure an effective supply chain management. There ate four important purposes that are expected to achieve by the integration of the inventory management and the procurement process; they are: With the use of any readily available computer software the integration of the inventory management and procurement could be easily achieved. ... Integration of Inventory Management and Procurement System There should be a complete integration of the inventory management and the procurement system to ensure an effective supply chain management. There ate four important purposes that are expected to achieve by the integration of the inventory management and the procurement process; they are: (1) Cost savings in inventory (2) Control over the inventory (3) Reduction and control of production cycle time and (4) Improved customer satisfaction (Oracle) All the above purposes are considered the essence of an effective supply chain management and hence it is important the inventory management and procurement system of the company is integrated. With the use of any readily available computer software the integration of the inventory management and procurement could be easily achieved. With this integration the company would be able to procure materials according to production demands and the delivery time can be calculated every hour for an efficient movement and usage of stock. The company can monitor inventory information at every stage of the production cycle, including the required amount for a particular order, quantity ordered, actual shipping amounts, and delivery dates. There will be a possibility of reducing the value of inventory held at the warehouse. Production Planning System Introduction of an integrative Manufacturing Planning and Control System would ensure that the desired products are manufactured at the right time, in the right quantities, meeting the customer specifications and at minimum cost. The major elements in an integrated system include: Demand Management Aggregate Production Planning Master Production Scheduling Rough-cut Capacity